COLES Morwell is set to test investor demand in the hotly contested neighbourhood shopping centre market.
JLL’s Stuart Taylor, Tom Noonan, and MingXuan Li in conjunction with Stonebridge’s Philip Gartland, Justin Dowers and Kevin Tong have been appointed to run the Expressions of Interest process on behalf of a private investor.
Coles Morwell is secured by a rare 15-year NET lease to Coles + Liquorland and is complemented by seven non-discretionary specialty stores.
The 5259 square metre shopping centre is supported by at-grade and undercroft car park that provides 259 car parking spaces on a large 1.1-hectare site, located only 250 metres from Morwell train station.
Justin Dowers, national partner of Stonebridge, said “We are anticipating significant interest in this asset, especially with the added benefit of 50 per cent stamp duty concessions available for commercial property in regional Victoria. This is driving heightened demand for shopping centre assets in Victoria’s major regional towns.”
Senior director of retail investments at JLL, Stuart Taylor, said “Coles Morwell provides investors with the opportunity to secure a long-term lease to a strong trading Coles supermarket paying percentage rent and provides exceptional ongoing rental growth and income security”.
Stonebridge national partner, Philip Gartland, added, “92 per cent of the gross rent is secured by Coles, who in 2018 undertook a major $5 million store refurbishment which highlights the highly secure nature of this income stream and investment opportunity.”
Coles Morwell is being offered for sale via a public expressions of interest campaign closing on Wednesday, April 10, 2024 at 3pm (AEST).
