SOLD: IGA West Mackay for $9.25mil
Sam Hatcher and Doug Rapson of JLL, in conjunction with CBRE have sold IGA West Mackay to a private investor for a sale price of $9,250,000, reflecting a passing initial yield of 7.06%.
IGA West Mackay is a recently constructed Neighbourhood Centre anchored by a strong performing IGA Supermarket (1,647 sqm), supported by a BWS Liquor store, Sullivan Nicolaides Pathology and two food based retailers.
The centre benefits considerably from the 24 hour IGA opening hours, trading strongly, evidenced by its turnover being in excess of $10,000/sqm. IGA West Mackay provides a long term secure income with a WALE of 14.84 years by area. An optional 1,282 sqm parcel of land provides future development for an adjoining retail/and or medical facility.
JLL’s Sam Hatcher said “non-discretionary food and service based Neighbourhood Centres, anchored by a major supermarkets remain keenly sought.”.
Doug Rapson, who marketed the Centre alongside Sam Hatcher said “Private investors and syndicators are attracted to these types of properties because their focus is on consistency of income and long term tenure.”
Mr. Hatcher said “we are anticipating further yield compression across all retail sub-sectors in 2017.”