Multi-tenanted convenience retail centre
58 Oldfield Road, Sinnamon Park, Queensland
The Sinnamon Park Retail Centre is an established neighbourhood retail centre with exposure to a diverse mix of convenience and daily needs retail tenants.
Occupying a prominent corner site, this asset was selected due to its prime inner-Brisbane location, strong rental growth prospects and potential development opportunities.
Since acquiring the asset in December 2023, our asset management team has agreed terms for a General Practice Medical Centre to fill the property’s vacancy on an initial ten-year lease term. In addition, we have also negotiated a lease extension with the existing Pharmacy, extending their lease term out to February 2034. On completion of these transactions, the asset’s WALE will be extended from 2.35 years at purchase to 6.6 years, with the asset’s annual rent increasing by 87% to $400k per annum.
Moving forward, we are continuing to explore further options as part of our value-add strategy, including investigating potential to enhance the site’s value through possible expansion.
Sector
Neighbourhood Retail
Location
Sinnamon Park, Queensland
Tenant
Multi-tenanted with exposure to convenience and daily needs retail
INVESTMENT HIGHLIGHTS
- The Centre offered immediate value-add potential through the re-leasing of a vacant medical tenancy to a medical or complementary user.
- The site is currently underdeveloped, with an expired development application for a further 520sqm of retail space. We intend to explore the option of expanding the Centre to further maximise the asset’s value.
- The transaction is underpinned by high underlying land value (estimated at 60% of purchase price) and the property was acquired below replacement cost.
- The Centre is located in the affluent riverside suburb of Sinnamon Park, 14km from Brisbane’s CBD. This area has recorded sustained population growth, with strong future growth potential.
Site and Surrounds
