Benowa Village sells for $49,500,000 recording sharpest yield for a neighbourhood shopping centre in QLD

Benowa Village has been sold to a private investor on behalf of Coles Property Group for $49,500,000, exclusively negotiated by JLL directors Jacob Swan and Sam Hatcher. 

The sale represents the sharpest initial yield ever recorded for a neighbourhood shopping centre in Queensland, at 5.08%. 

Completed in 2016, Benowa Village is a fully leased centre with a GLA of 6,318sqm*, anchored by Coles (including Liquorland), supported by 13 specialties, 2 ATMs/Kiosks and 2 pad sites including McDonalds and Coles Express Petrol. 

JLL’s National Director of Retail Investments, Jacob Swan commented, “Investors remain focused on the changing fundamentals in the retail sector and have shown significant interest in high quality single supermarket anchored neighbourhood centres such as Benowa Village.” 

“Benowa Village is another sale driven by high levels of demand for non-discretionary based shopping centres from investors. We have achieved similar strong results through recent sales including MarketPlace Warner, Peregian Springs, Albany Creek Square, Casuarina Village and now also Benowa Village. The demand for high quality, well leased centres has driven yields to well below historical levels, said JLL’s director of Retail Investments, Sam Hatcher. 

Benowa Village is situated on a 2.82* hectare site approximately 6 kilometres west of the Southport CBD and 75 kilometres south-east of the Brisbane CBD in the suburb of Benowa. It is the only centre with a full line supermarket in the Main Trade Area, which is currently made up of approximately 40,330 people.

 The Main Trade Area is forecast to grow to 49,680* by 2031, representing average annual growth of 1.5%*. The centre is also expected to benefit from the $385 million* increase in retail expenditure within the Main Trade Area, signifying an average annual increase of 4.0%*.