Charter Hall Pick Up Campbellfield Plaza
Charter Hall Retail REIT have acquired Campbellfield Plaza in Melbourne’s northern suburbs from ISPT for a total consideration of $74 million. The transaction reflects a fully let yield of 6.5%.
The Centre is located on a 58,600sqm site on the corner of Sydney Road and Mahoney’s Road, Campbellfield, approximately 14 kilometres north of the Melbourne CBD. The Centre was originally constructed in 1983 and acquired by ISPT in 1995 before an expansion in 2004. The Centre has low site coverage of just 17,900sqm offering further redevelopment potential.
The Centre's WALE is 8.4 yrs (by GLA) and generates approx $4.6M in net income. The Centre's anchor tenants include one of Victoria’s strongest performing Kmart stores, Coles, a latest format ALDI, and Officeworks. The Centre has an MAT of approx $112M.
The major anchor tenants are either currently paying or are expected to pay percentage rent within the initial investment horizon or are under fixed rental increases. The Centre also comprises 19 specialty tenants and at grade car parking for over 800 cars.
The purchase will be funded from the sale proceeds of Charter Halls recent disposal at Coomera, Qld and Young, NSW.
JLL acted on the sale of the asset for ISPT.