Stonebridge Property Group, in conjunction with McVay Real Estate, is pleased to announce the sale of Castle Mall shopping centre for $105 million at a passing yield of 3.81%.
Castle Mall is an enclosed two level neighbourhood shopping centre with a total gross lettable area of 9,652 sqm. The Centre is anchored by TK Maxx, Tong Li IGA Express and Castle Hill Medical Centre together with 3 mini majors (including medical and fresh food), 35 specialty shops, 2 kiosks, 1 car wash and 1 ATM. Basement car parking is provided for 234 vehicles and is supplemented by an at-grade council car park for 263 vehicles. The asset has mixed-use potential, with a 45 metre height limit and 3.8:1 FSR.
Stonebridge Partner Philip Gartland said “Demand for this asset was extremely strong, reflecting the market’s appetite for prime Sydney assets with strong underlying land. We received an exceptional 175 enquiries, 42 data room applications and 14 first round offers. Multiple unconditional contracts were lodged at EOI close and the purchaser completed their due diligence during the second round process”.
Stonebridge Partner Lincoln Blackledge said “Castle Mall was very attractive to both investors and developers, creating a very competitive process with both domestic and offshore capital participating. In an uncertain construction cost and interest rate environment, developers are increasingly seeking land with holding income and are bidding aggressively to secure such assets”.
The sale of Castle Mall continues Stonebridge’s coverage of the Sydney neighbourhood market, having sold Beyond Hurstville ($41.5m), Prospect Central ($39.7m) and Cherrybrook Village ($132.8m) over the past 12 months.
For further information, please contact the Stonebridge team –
Philip Gartland | +61 403 582 324 | firstname.lastname@example.org
Lincoln Blackledge | +61 408 780 772 | email@example.com