Asset managers flip Adelaide mall
Greenpool Capital and Qualitas have sold one of two shopping centres co-purchased in 2021, in Adelaide.
Local construction boss Richard Antune is buying North Adelaide Village.
On 1.15 hectares at 61-83 O’Connell Street, it has significant development upside with buildings up to six storeys permittable.
Residential could also be considered.
Greenpool and Qualitas paid Con Makris $48.5 million – a c6.75 per cent yield – nearly five years ago, soon after the country came out of lockdown.
The on sale price is speculated to be around that.
North Adelaide Village
Two and a half kilometres from the CBD, with a catchment capturing several exclusive suburbs, North Adelaide Village, commonly known by the address 67 O’Connell St, contains 9352 square metres anchored to Romeo’s Foodland, committed until 2033 with a 25 year option.
Goodlife Gym occupies too.
The complex also contains 32 specialty stores and kiosks, seven office tenancies, a car wash and pad site.
“The optionality to consider various value add initiatives was underpinned by the secure underlying cash flow of Romeo’s Foodland and all specialty leases featuring redevelopment clauses,” CBRE’s James Douglas, who brokered the deal with Simon Rooney and James Sherley, said.
A high density project is also proposed across the road at 88 O’Connell St.
Mixed use developer, investor
Wayville based Antunes also owns the Henley Square Pavilion, with 28 specialty stores and a gourmet supermarket, Port Mall, Prospect Centre and Regency Centre.
Its portfolio also includes mixed use food and beverage and office complexes at 175 and 202 Hutt St, in the CBD, 134 The Parade in Norwood and, at Henley Beach, 269 Seaview Rd.
The group is also behind a mental health complex at Woodville, custom built for the government, and low, medium and high density residential complexes.
Big spending demographic
The North Adelaide Village demographic is affluent – per capita income is 34.4 per cent above benchmark in the primary trade area.
The bulk of visitors though – 64.1pc – are from outside that trade area, many, tourists.
“There is also a significant worker market of 10,559,” Mr Sherley added.
“Population growth within the main trade area is projected to increase from 43,763 to 55,543 by 2046 representing robust average annual growth of 1.4pc,” according to the executive.
“North Adelaide is an attractive investment destination experiencing significant capital investment including…the redevelopment of the North Adelaide Golf Course, Adeliade Oval Market Square, Keystone Tower and Festival Tower, highlighting continued capital interest in the region and inflows to the state,” he said.
Greenpool is Perth based.
Qualitas is headquartered in Melbourne.
The pair also own Gold Coast’s Runaway Bay shopping centre, bought from Perron Group and Vicinity Centres, four years ago.
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