Fund manager Clarence Property has sold Townsville neighbourhood shopping centre North Shore Marketplace to ISPT in an off-market sale.
With 5,691sqm GLA, the centre is anchored by a Woolworths supermarket and complemented by 18 specialties and offices including BWS, Domino’s, Studio Pilates, TSG, and United Chemist.
CBRE’s Joe Tynan and Michael Hedger managed the transaction on behalf of Clarence Property.
Of the sale, Mr Tynan said, “There has been a significant re-immergence of institutional capital into neighbourhood centres due to the opportunity to purchase below replacement costs, driving further competition amongst the private sector.”
The centre is underpinned by a long-term a 6.0-year WALE (by income) and guaranteed income growth with a minimum annual review of 3.00% across the specialties.
Ben Somerville, Head of Capital Transactions at Clarence Property said, “Northshore Marketplace is a key asset in a high-growth corridor. By optimising the tenancy mix, increasing foot traffic, and driving rental growth, we’ve strengthened its long-term value. Since acquiring the centre in October 2020, we’ve strengthened its long-term value through key upgrades, including a regional Woolworths Direct to Boot, new tenancy fit-outs, and an optimised tenancy mix. The Woolworths works and Direct to Boot offering have further lifted the centre’s appeal, and we’re proud of what the team has achieved in a short time.”
Located 12km west of Townsville, the centre is surrounded by national retailers including Hungry Jack’s, McDonalds, and Bunnings Warehouse.
“Townsville’s population has experienced rapid growth, increasing by 164% between June 2022 and June 2023, with the northern suburbs, including Bushland Beach, Burdell, Mount Low, and Deeragun,” Mr Tynan added.
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