Charter Hall swoops on two malls and a Bunnings
Charter Hall is breaking up a south east Queensland retail portfolio assembled by Consolidated Properties Group and CVS Lane Capital Partners – taking two centres for $136.7 million.
Pavilions Palm Beach on the Gold Coast and Yeerongpilly Green Riverside Village in Brisbane’s inner south will settle September 30.
CPG and CVS Lane were the sellers.
The pair reoffered Pavilions after an unsuccessful campaign in 2022.
Also with the Great Western Super Centre at Keperra, Karalee Shopping Centre, Wilsonton Shopping Centre and Arndale Shopping Centre, the portfolio value was between $500-$600m.
Occupancy was 97 per cent.
The weighted average lease expiry was 5.1-years by area and 4.7 years by income.
Don O’Rorke sheds two Brisbane malls
Charter Hall is acquiring the Queensland properties through its Charter Hall Convenience Retail Fund, with the $80m Churchill Centre South, which contains Bunnings Prospect, in Adelaide.
Pavilions, at Palm Beach on the Gold Coast, is anchored by a 3,700 square metre Coles with 27 specialty stores.
CPG, controlled by Don O’Rorke and the Liberman-family backed CVS Lane acquired the centre and adjoining land in 2017 before undertaking a major redevelopment completed in 2020.
Yeerongpilly Green Riverside Village, completed in 2023, contains 8,850 sqm anchored by Woolworths.
Priceline Pharmacy and BWS are amongst the other occupiers.
Part of the Yeerongpilly Green mixed-use precinct, which CPG and CVC value at c$850m, it about seven kilometres south of Brisbane’s CBD (continues below).
$216.7m spend
The Adelaide asset is a fully leased 5.4ha large-format retail precinct on Churchill Road.
Axiom developed it over 10 years ago.
“We have continued our long-standing relationship with Don O’Rourke’s CPG, with more than $500 million of transactions completed together over two decades,” Charter Hall chief executive officer and managing director, David Harrison, said.
Charter Hall Retail chief executive, Ben Ellis, added “these acquisitions continue our focus on growing CCRF and the Charter Hall managed platform into Australia’s largest owner of convenience-based shopping centres”.
For CPG and CVS, the sale is a capital-recycling event.
Their retail partnership commenced in 2014.
The pair have built or extended several supermarket-anchored neighbourhood shopping centres.
Pavilions, for example, had a smaller Coles.
Yeerongpilly Green was developed as part of the broader mixed-use precinct rather than acquired as an established shopping centre.
CBRE’s Joe Tynan with JLL’s Jacob Swan were the agents.
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