Cadence, Assembly plug major Sunshine Square vacancy
Charlie Buxton’s Cadence Property Group and Assembly Funds Management – backed by Sydney’s Lowy family – have found two retailers to take over the ex-Furniture Galore store at Sunshine Square – which was contributing to 7.5 per cent of the homemaker centre’s high vacancy.
In the biggest deal, just, Petbarn has taken 954 square metres in a new tenancy known as 14B.
ASX-listed Supercheap Auto, meanwhile, has leased 904 sqm next to that – 14A.
Leedwell’s Tom Perkins was the agent.
Though rents haven’t been disclosed, recent other lease agreements in the Sunshine North complex have been struck at over $230 per square metre, per annum, net.
Tenancy mixing
Cadence and Assembly paid Sentinel $39 million in February, 2020, for the 6.1 hectare, 24,885 square metre complex at 484-486 Ballarat Road, on the north west corner of McIntyre.
Then known as City West Plaza, it was suffering a high vacancy – 19.6 per cent.
The Weighted Average Lease Expiry was also short – 2.15 years.
Furniture Galore, the Sunshine Badminton Centre and Infinity Spa moved out after ownership transferred, despite the rebrand and reposition to a lifestyle hub (story continues below).
Agents are also marketing two large hardstand areas – tenancies nine and 10 – that replaced the Fun City entertainment complex at the south west edge of Sunshine Square which was destroyed by fire in 2017.
“We’re excited to welcome Petbarn and Supercheap Auto to Sunshine Square,” Cadence head of Investment, Tony Mount, said.
“The two new retailers follow our recent revitalisation and rebrand…which has seen in excess of $2m of improvements to date,” he added.
“These two retailers are popular with local shoppers and will provide even more reasons for people to visit,” according to the executive.
“They’ll be great additions to the centre alongside…Total Tools, Cheap as Chips, Lollipops Playland and more”.
Harvey Norman is Sunshine Square’s biggest tenant, occupying about 30pc of the area.
The suburb is 13 kilometres west of Melbourne.
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