Asset manager snares growth corridor homemaker centre
Centennial is paying a bullish price for a Sydney growth corridor bulky goods centre which last sold 20 months ago.
McGraths Hill Home at Vineyard is setting it back $66.8 million following an off-market deal.
Another asset manager, Stirling Property Funds, is the vendor.
It paid HMC Capital $55m – book value – in November, 2024.
The property was previously controlled by Brett Blundy’s Aventus, which merged with HMC’s HomeCo Daily Needs Trust three years earlier.
Reconfiguration upside
On 3.78 hectares, McGraths Hill Home contains 16,478 square metres anchored to BCF, Harvey Norman and Bunnings, the latter on a lease expiring in 2029; the weighted average lease expiry is 3.9 years (continues below).
The purchase price reflects a 5.75 per cent net passing yield.
Centennial will hold the property in a single asset fund now calling for investors.
In promotional material the asset manager said if the hardware giant quits, it will reconfigure the space into smaller, modern showroom blocks, which would earn a higher return per sqm.
This pocket of Vineyard is 51 kilometres north west of Sydney’s CBD.
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