Regional neighborhood shopping centre with hotel development potential hits the market

Newly refurbished The Village on Summer Street, which occupies the largest single landholding in Orange CBD, has been listed for sale.

JLL’s Nick Willis, Sam Hatcher and Sebastian Fahey have been exclusively appointed to sell ‘The Village on Summer Street’ at 86-102 Summer Street, Orange NSW via an Expressions-Of-Interest campaign.

The Village on Summer Street is anchored by a strong performing IGA Supermarket and Dan Murphy’s and supported a diverse mix of ten high-quality specialty retailers. The asset is 98% occupied and provides an attractive weighted average lease expiry (WALE) of over 7.2 years, with more than 75% of income underpinned by IGA Fine Foods Market (Metcash guaranteed) and Dan Murphy’s (Endeavour Group).

Mr Willis said, “The opportunity to acquire an essentially brand-new neighbourhood shopping centre is something we seldom see in the market. The outstanding performance of the centre has and will continue to reap the benefits of the recent high-quality upgrade, and in turn continue to provide income growth.”

The centre recently underwent a best-in-class refurbishment, curated by co-owner of the asset and globally renowned retail architect Paul Saunders of Saunders Global. The firm that is responsible for many major international and Australia retail developments and refurbishments, including Bawabat Al Sharq Mall in Abu Dhabi.

“Further to the security and performance of the retail, the offering provides value add potential. The site’s flexible mixed-use zoning allows a range of uses from simple freestanding retail to full-scale mixed-use buildings (STCA),” said Mr Willis.

Unparalleled in size in the region, the centre is positioned on a 2.109-hectare site in the heart of the Orange, with an additional 2,573 sqm development site suitable for a range of mixed-use development options (STCA), and current DA approval for a 108-room hotel.

Mr Hatcher said, “Anchored by the only full-line liquor superstore in the trade area, Dan Murphy’s productivity is over 50% above industry benchmarks trading at almost $20,000 per sqm – an outstanding performer that anchors the success and growth of the asset.”

Mr Fahey said, “Orange is unlike any other regional city in Australia and offers a diverse and growing economy, home to world class winery and culinary experiences. Only a 3.5-hour drive from Sydney with daily flights and express rail, Orange provides easy access to almost 1 million visitors per year, underpinning the booming tourism market.”

Expressions-Of-Interest for the ‘The Village on Summer Street’ at 86-102 Summer Street, Orange, NSW will close at 2.00pm (AEST) on Wednesday 14^th September 2022.