Con Makris banks c$35 million selling Adelaide’s Newton Village Shopping Centre to Revelop

Built in the 1980s, the centre has a gross lettable area of 9965 square metres.

Parramatta based Revelop – a boutique developer and investor directed by Charbel Hazzouri and Anthony El-Hazouri – is paying one of Australia’s richest men a speculated $35 million for an Adelaide mall.

Con Makris sold Newton Village Shopping Centre following an off-market campaign managed by Savills’ Rino Carpinelli and Ryan Mills.

The brokers said the deal is a display of confidence in the South Australian retail market.

Revelop acquired the centre, on 2.2 hectares, following an off-market campaign.

It is also a vote of confidence for the commercial property sector more generally, coming in the week a COVID-19 led economic slowdown cost thousands of Australian jobs and various levels of government have unveiled stimulus packages to sustain confidence and spending.

Newton is about 11 kilometres north east of the CBD.

Revelop’s investment there comes 18 months after it partnered with Singapore’s Hmlet to develop four Australian co-living assets which will contain a total of nearly 100 beds, in Sydney’s inner and outer west (Harris Park, May Hills and Petersham), and northern beaches (Balgowlah).

Two years ago the builder proposed an eight storey office and boarding house with 41 rooms capable of lodging 82, at 109A Wigram Street, Parramatta, also in Sydney’s mid-west.

In 2017 it paid Charter Hall Retail REIT $13 million for the fully leased 2440 sqm Woolworths Rosehill and Liqourland outlet – a deal which reflected a 5.3 per cent yield.

Newton Village Shopping Centre

The 9965 square metre Adelaide shopping centre occupies a high-profile 2.2 hectare block at 200 Montacute Road, on the north west corner of Stradbroke Road.

This intersection is Newton’s main east-west traffic route.

Anchored by two majors, supermarkets Coles and Woolworths, and two mini-majors (The Reject Shop and Jetts 24 Hour Fitness), Newton Village is also configured with 23 specialty stores and two kiosks.

The complex underwent a $25 million redevelopment which expanded it.

Mr Carpinelli said the local neighbourhood centre will provide everyday needs of the local community “now and well into the future”.

“There is significant investment demand for defensive style non-discretionary retail assets, which has been reinforced by the ongoing COVID-19 events,” the managing director of the agency’s SA arm, added.

“Core retail assets and shopping centres are essential for everyday life”.

Also with a lift, travellator and 500 car parks – also on the basement and rooftop – Newton Village is the only shopping centre in the main trade area to be occupied by both a Coles and Woolworths.

Con Makris one of South Australia’s most successful business identities

Mr Makris, Australia’s 44th richest person with a net worth of about $850 million, according to Forbes’ Australia’s 50 Richest 2019, started buying South Australian shopping centres in the 1980s.

He owns some eight retail investments now, a hotel and two Adelaide CBD offices.

In late 2017 the businessman sold the high-profile ex Le Cornu furniture showroom in North Adelaide to the local council for $34 million.

This site, dormant for just over 30 years, is earmarked for a high-density residential redevelopment, and workplaces.

In 2016 Mr Makris relocated the headquarters of his company, Makris Group, from Adelaide, where it had been for about 45 years, to Gold Coast’s Southport.

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Marc Pallisco

A former property analyst and journalist, Marc is the publisher of realestatesource.com.au.

Marc Pallisco