Nigel Satterley, one of Australia’s largest private residential land developers, is aiming to expand his commercial property footprint to $1 billion annually, according to The Australian Financial Review. The move positions him in direct competition with retail veterans such as Chemist Warehouse co-founder Sam Gance, as both vie for the backing of family offices and high-net-worth investors.
Currently, Satterley and a core group of long-term investors hold around $500–$600 million worth of commercial assets, which serve as long-term investments. He is looking to develop an additional $500 million to $1 billion in new retail and medical centre projects each year, depending on site availability.
Competing in a Competitive Market
The recent resurgence in retail property values has sparked renewed interest from family offices seeking stable, long-term capital returns. Satterley acknowledges the competition, particularly from established figures like Gance, whose National Retail Group aims to double its portfolio to $5 billion over the next five years.
However, Satterley believes his extensive residential land development business gives him a competitive edge in identifying and executing retail and medical property projects across Western Australia, Melbourne, and south-east Queensland.
Focus on Large-Format and Community Retail
Satterley’s strategy targets neighbourhood shopping centres, convenience stores, daycare facilities, and large-format retail. He plans to both develop new assets and acquire existing properties that meet his criteria. Each investment will be structured through separate entities, with Satterley co-investing at the same level as external investors. Minimum investment thresholds start at $250,000, attracting both domestic and international investors. Currently, 80% of his investor base is Australian, with 20% from Asia, mainly Singapore and Malaysia.
Recent projects highlight this approach. The Ellenbrook 8,500-square-metre large-format retail centre, which formally opened recently, includes WA’s busiest Guzman y Gomez location and has an end value of approximately $38 million. Additionally, Satterley’s syndicate manages the 40,000-square-metre Cockburn Central large-format retail centre in Perth, and has recently acquired an adjoining 35,000-square-metre site to expand it into a $175 million end-value property.
Synergies Between Retail and Residential
Satterley emphasises that retail property complements his core residential developments. “These neighbourhood centres are the hub or meeting place of communities,” he said. “They’re very safe assets. A lot have additional land where you can put additional services like medical, convenience, and petrol on.”
The developer also sees opportunities for partnerships with families or investors who hold underutilised assets. In such cases, Satterley can inject capital to expand or refurbish the properties, often leveraging cheaper borrowing to enhance value.
With an ambitious pipeline and a clear strategy of combining residential land expertise with commercial property development, Satterley is positioning himself as a formidable player in Australia’s retail and medical property markets. His approach underscores the growing importance of syndicates and private investors in funding large-scale commercial property projects in a competitive market.
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