Shopping centre in Newcastle transacts for $47 million as demand for neighbourhood centres hold firm
Stonebridge Property Group’s Philip Gartland in conjunction with JLL’s Nick Willis, are pleased to announce the sale of the Junction Fair Shopping Centre in Newcastle for $47.0 million to syndicator Stirling Property Funds on behalf of Fortius Funds Management.
Junction Fair comprises of a strong performing full-line Coles Supermarket, two mini majors and 21 specialty shops across a total lettable area of 7,225 sqm on a large mixed-use zoned land parcel. The Centre located at 204 Union Street was comprehensively refurbished and remixed in 2016 by the current owners Fortius Funds Management and serves a highly affluent pocket of Newcastle.
Stonebridge Director Philip Gartland who negotiated the sale said:
“This is a really encouraging result for the retail investment market. The asset exchanged in January 2020 and settled in June 2020, with the successful capital raising demonstrating that investor appetite for quality retail assets remains robust. What COVID-19 has very much reinforced is the importance of non-discretionary retail and the important role that town centre assets have in serving the community and we are anticipating strong demand for this style of asset in the second half of 2020.”
JLL’s Director of Retail Investments, Nick Willis said:
“Despite the changes and evolution we are experiencing in the retail sector we continue to deal with a significant weight of capital looking to deploy into the sector. This capital has largely either identified the resilient nature of neighbourhood shopping centres like Junction Fair and a reweighting towards this sub-sector, or the opportunity in sub-regional assets where repositioning development opportunities to alternative uses are becoming more prevalent.”
For further information please contact the selling agent Philip Gartland on +61 403 582 324.
