Fund manager lists Warrnambool shopping centre, land
MA Financial, formerly known as Moelis Australia, is selling another shopping centre.
The Gateway Plaza at Warrnambool carries $70 million-plus price hopes.
MA secured the asset with its $800m takeover of Armada Funds Management assets in 2017.
AFM paid the AMP Capital managed Property Income Fund $39.25m almost nine years ago.
The listing comes two months since MA Financial, representing a fund part backed by the Abu Dhabi Investment Authority, sold the land rich Dandenong Plaza, in Melbourne’s south east, to Pelligra, for $145m.
The fund manager has recently bolstered its Australian CBD office portfolio, teaming with Centuria for Adelaide’s Grenfell Centre, which set it back $166.7m, and in Perth, Allendale Square ($223m).
Development upside
At $70m-plus, Gateway Plaza at 154 Raglan Parade would sell on a sub c6.2 per cent net passing yield.
That return would be even more impressive for the buyer given the development upside; the centre covers a low 28pc of a 6.2 hectare block.
As well as the mall, MA is offering a neighbouring 5.6ha parcel for c$6m.
Both tracts are zoned Commercial 1 meaning they could be considered for, amongst other things, offices and residential.
Colliers’ Lachlan MacGillivray, Tim McIntosh and Mike Crittenden are the agents (story continues below).
Another regional mall for sale
With 17,562 square metres of area, Gateway Plaza carries a 0.6pc vacancy rate.
Aldi, Coles and Kmart are the anchors.
There are also three mini-majors, 31 specialty stores and 926 car parks, the agents said.
Warrnambool, Victoria’s eight largest town, is c225 kilometres south west of Melbourne.
Last week, Singapore’s Sim Lian-Metro Capital outlaid $88.1m – reflecting a 6.25pc yield – for the Shepparton Marketplace, in the state’s fifth largest city, 160km north of the CBD.
That seller was Dexus, which held it in the Wholesale Property Fund.
Harvey Norman meanwhile, which leases, owner-occupies and is a landlord, in June snapped up a 6.72ha block beside the Gateway Plaza at Leopold, Geelong with plans for a bulky goods complex it will co-fill.
In another regional Victorian mall deal, last year, SCA Property Group outlaid $112m – a 5.34pc return – for Ballarat’s Delacombe Town Centre.
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