Kedron Coles sale sets record as the largest freestanding supermarket sale in QLD

23 May 2019

Coles Group has sold its Kedron Centre for $34.24 million, setting a new record as the largest freestanding supermarket sale for Queensland.

The standalone property was sold to a Melbourne based private investor in a deal brokered by Savills National Director Peter Tyson.

The unconditional Kedron transaction has topped the Coles Alderley sale of $30.2 million last year along with the Coles Pacific Pines result that sold at Auction for $30.25 million in July 2017.

The Kedron transaction was agreed in late 2018 and settled recently, capping off a very active divestment program for the year by Coles Group Property Developments across the country.

Savills National Retail Investment team, Peter Tyson, Ben Parkinson and Steven Lerche, were appointed to manage the international expressions-of-interest campaign, which fielded enquiry from local, interstate and offshore buying groups.

The 4,092 square metre complex was a development by Coles Group and opened in late 2017. It features three tenancies, comprising a freestanding 3,915 square metre Coles Supermarket and Liquorland store, plus a Coles Express service station and a café tenancy.

Mr Tyson commented that the centre was fully leased and provided long lease security with a weighted average lease expiry of 14.7 years, underpinned by a 15 year lease to Coles, making it a rare commodity in the marketplace.

“The supermarket’s high-exposure location on the outbound side of Gympie Road, within seven kilometres north of the CBD was a valuable drawcard,” he added.

“Coles Kedron’s highly convenient freestanding design differentiates it from larger, less-convenient surrounding shopping centres, ensuring it will remain attractive to shoppers in the long term.”

Mr Tyson said Coles acquired and consolidated the site over an extended period of time and positioned the development to capitalise on the city’s growing population which is underpinned by Brisbane’s ongoing infrastructure investment boom as well as rising interstate and offshore migration.

 
 

Key Contacts

Peter Tyson

Peter Tyson

National Director
Retail Investments

Brisbane

+61 (0) 7 3002 8807

 

Ben Parkinson

Ben Parkinson

National Head
Retail Investments

Melbourne (VIC Head Office)

+61 (0) 3 8686 8012