logo redirect pin user minus plus fax mobile-phone office-phone data envelope globe outlook retail close line-arrow-down solid-triangle-down facebook globe2 google hamburger line-arrow-left solid-triangle-left linkedin wechat play-btn line-arrow-right arrow-right solid-triangle-right search twitter line-arrow-up solid-triangle-up calendar globe-americas globe-apac globe-emea external-link music picture paper pictures play gallery download rss-feed vcard account-loading
Our website uses cookies and other technologies so that we can remember you and understand how you and other visitors use our website. By continuing to browse this Site, you are agreeing to our use of cookies. Click here for more information on our Cookie Policy, including how you may control the information we collect about you through cookies.
Read More
Accept
Australia
  • Global
  • United States
  • Angola
  • Argentina
  • Australia
  • Austria
  • Bahrain
  • Baltics
  • Belgium
  • Brazil
  • Cambodia
  • Canada
  • Chile
  • Colombia
  • Czech Republic
  • Denmark
  • Egypt
  • Finland
  • France
  • Germany
  • Greece
  • Hong Kong
  • Hungary
  • India
  • Indonesia
  • Ireland
  • Israel
  • Italy
  • Japan
  • Kazakhstan
  • Kenya
  • Korea
  • Latin America
  • Luxembourg
  • Mainland China
  • Malaysia
  • Mexico
  • Morocco
  • Netherlands
  • New Zealand
  • Nigeria
  • Norway
  • Oman
  • Pakistan
  • Panama
  • Peru
  • Philippines
  • Poland
  • Portugal
  • Romania
  • Russia
  • Saudi Arabia
  • Singapore
  • Slovakia
  • South Eastern Europe
  • Spain
  • Sweden
  • Switzerland
  • Taiwan
  • Thailand
  • Turkey
  • Ukraine
  • United Arab Emirates
  • United Kingdom
  • Venezuela
  • Vietnam
Log In
  • Global Intranet
  • myCBRE
  • Services
    • Business Lines
      • Advisory & Transaction Services
      • Capital Markets
      • Global Workplace Solutions
      • Investment Management
      • Property Management
      • Valuation & Advisory Services
    • Industry & Specialties
      • Agribusiness
      • Build-to-Rent
      • Building, Depreciation & Cost Consultancy
      • Government Real Estate Advisory & Transactions
      • Hotels
      • Industrial & Logistics
      • Office
      • Residential
      • Retail
      • Retirement & Healthcare
      • Sustainability
    • Services for Investors
      • Debt and Structured Finance
      • Host
      • Institutional Investments
      • International Investments
      • Investment Accounting Reporting Solutions
      • Investment Advisory
      • Structured Transactions & Advisory
      • Leasing & Advisory
      • Metropolitan Investments
      • Property Management
      • Property Sales
      • Recovery & Restructuring
      • Valuation & Advisory
    • Services for Occupiers
      • Enterprise Facilities Management
      • Host
      • Leasing & Advisory
      • Occupier Consulting
      • Portfolio Services
      • Project Management
      • Sale and Leaseback
      • Structured Transactions & Advisory
      • Transaction Management
      • Valuation & Advisory
      • Workplace
  • Properties
    • Agribusiness
      Hotels
      Industrial & Logistics
      Institutional Investments
      Metropolitan Investments
      Office
      Residential
      Retail
  • Research & Reports
    • About Research
      Australia Research Archives
      Asia Pacific Research
      Global Research Gateway
  • People & Offices
    • Executive Committee
      Local Office Leadership
  • About CBRE
    • Careers
      Case Studies
      Corporate Information
      Corporate Responsibility
      Investor Relations
      Client Tools
      Media Centre
      The Place Makers
      CBRE Who are we?

Previous

Zambrero secure Sydney CBD property

Next

50 Cavill Avenue reviving the Gold Coast CBD
  • Home
  • About CBRE
  • Media Centre
  • Federation Centres to sell sub-regional VIC shopping centre

Federation Centres to sell sub-regional VIC shopping centre

13 April 2014
  • Email
  • Share
  • Tweet
  • Share
  • Share

Melbourne, 13 April 2014 – The Somerville Shopping Centre in the Mornington Peninsula is set to be the first significant sale for the Victorian retail investment market in 2014.  

The Coles and Target-anchored shopping centre comprises 16,520sqm of lettable space and is situated on an expansive 49,890sqm site. Both Coles and Target are on long-term leases expiring in 2023, with their stores totalling 3,722sqm and 5,176sqm respectively.

CBRE’s Mark Wizel and Justin Dowers have been appointed to sell the asset on behalf of Federation Centres via a public Expressions of Interest campaign commencing this month. The property is expected to fetch circa $40 million.

Mr Wizel said the centre was expected to attract interest from a range of buyers including high net worth private investors, syndicators, institutions and offshore groups.

“Somerville Shopping Centre represents the first sub-regional shopping centre to be offered for sale in Victoria in 2014, which highlights the overall lack of supply in this sector,” Mr Wizel said.

“The asset ticks a lot of boxes for a variety of buyer mandates in the market, given that the centre is fundamentally sound, underwritten by long term leases to Coles and Target, whilst also providing organic growth and the ability to add value.”

The last sub-regional shopping centre to be offered to the market in Victoria was the Bendigo Marketplace, which was purchased by ISPT in December 2013 for $165 million, representing a yield of 7.3%

Somerville Shopping Centre, which also includes four national mini majors and 26 specialty tenancies, benefits from a central location in the growth corridor within the Mornington Peninsula.

Mr Dowers commented: “This asset is positioned for growth, with the Mornington Peninsula population growing in line with Melbourne metropolitan averages, fuelled by the recent success of the Peninsula Link Freeway.”

The freeway has improved the livability of the Mornington Peninsula region and underpinned population growth, which is having a positive impact on retail investment assets, Mr Dowers added.

“The anticipated Port of Hastings major expansion is a bit of an X factor for the region, which would see areas like Somerville go from strength to strength.”

Mr Wizel said the sale of Somerville Shopping Centre would provide some temporary relief for the major demand/supply imbalance occurring in the retail investment market nationally.

“We have seen a shift in investor sentiment towards the sub-regional sector over the last 18 months,” Mr Wizel said.

“The assets that are drawing the most attention are those with underlying fundamentals, sustainable income levels in locations that promote future growth and with value-add potential. Centres that meet these criteria continue to be competitively pursued by predominately institutional investors, along with syndicators, funds and high net worth private families.”

For Australian/international news or global stories, follow us on Twitter.

About CBRE Group, Inc.

CBRE Group, Inc. (NYSE:CBG), a Fortune 500 and S&P 500 company headquartered in Los Angeles, is the world’s largest commercial real estate services and investment firm (in terms of 2013 revenue).  The Company has approximately 44,000 employees (excluding affiliates), and serves real estate owners, investors and occupiers through more than 350 offices (excluding affiliates) worldwide. CBRE offers strategic advice and execution for property sales and leasing; corporate services; property, facilities and project management; mortgage banking; appraisal and valuation; development services; investment management; and research and consulting. Please visit our website at www.cbre.com.au.
 

 

 

 

 

Media Contacts

Kathryn House Headshot
Kathryn House
Communications Director
Pacific
+61 2 9333 3585
  • Corporate Information
  • Corporate Responsibility
  • Media Centre
  • About CBRE
  • Careers
  • Case Studies
  • People & Offices
  • Executive Committee
  • Investor Relations
  • Contact Us
  • Australia Privacy Policy
  • Privacy Policy
  • Australian Job Applicant Privacy Policy
  • Sitemap
  • Terms of Use
  • Instagram
  • Facebook
  • Twitter
  • LinkedIn
  • Google