A contemporary shopping centre with an anchor lease to Woolworths has come to market in Margaret River, a major tourism town in WA’s internationally renowned South West region.
The campaign for the 5,706sqm ‘The Village Margaret River’ will be brought to the market by Colliers International’s Ben Tana and Wayne Lawrence, together with CBRE’s Anthony Del Borrello and Richard Cash.
The centre was purpose-built for Woolworths in 2013 and sits on a 7,233sqm site on the corner of Town View Terrace and Wilmott Avenue. It is the newest shopping centre in tightly-held Margaret River, a premier wine and tourism destination, 220km south of Perth.
The neighbourhood centre has a fully leased net income of $1.55 million and its anchor lease to ASX-listed Woolworths runs until 2034 and includes four renewal options.
The Village at Margaret River has one mini-major—Red Dot and a complementary mix of specialty stores, including national retailers Just Jeans, Plus Fitness and BWS.
It also has undercroft parking for 204 vehicles and an average weighted lease expiry of 11.6 years (by income) and capacity for additional income growth.
Mr Tana said the 15 years remaining on the Woolworths’ lease and the added bonus of fixed reviews, would be key selling points.
“With Woolworths achieving compound growth in turnover of more than 10 per cent per annum since the centre opened, there will be strong interest in this asset,” Mr Tana said.
Mr Del Borello said with 67 per cent of the centre’s income derived from Woolworths, which occupies a 3,800sqm tenancy on the centre’s upper level, The Village at Margaret River presents an attractive opportunity for local, national and offshore investors in search of secure returns.
“With the South West being one of WA’s fastest-growing regions, and among Australia’s top five over the past 10 years, the opportunity to acquire a substantial retail footprint in the region, backed by a major national ASX-listed retailer, will be strongly sought after,” Mr Del Borello said.
Expressions of interest for The Village at Margaret River close on October 11.