A joint venture comprising Haben Property Fund and JY Group is paying $225.018 million – a price reflecting a 5.38 per cent yield – for south east Melbourne shopping centre Casey Central.
The 10.63 hectare Narre Warren asset was offloaded by London-based M&G Investments which spent $220.75 million in 2016.
That vendor, Westfield operator Scentre, listed it after 10 years and a $155m renovation and extension.
Colliers’ Lachlan MacGillivray marketed it on both occasions.
The latest deal is the priciest Victorian sub-regional shopping centre deal in five years and Australia’s biggest since 2019.
Last year the Haben and JY Group JV acquired The Pines in Melbourne’s Doncaster East for c$153m from Stockland.
Each party also holds investments of this type either individually or as part of other joint ventures.
Over a floor, Casey Central, at 400 Narre Warren-Cranbourne Road contains 31,196 square metres of gross lettable area – with 75 specialty stores and three pad sites.
ALDI, Coles, Kmart and Woolworths are the anchors; they rent a total 54 per cent of the lettable space.
There are also three mini-majors (story continues below).
The Weighted Average Lease Expiry by income is 14.4 years.
Buildings covers a low 29pc of the block.
There are also about 1400 car parks.
Casey Central covers about 18pc of the (60ha) area defined as the Casey Central Town Precinct.
“The asset has shown incredible resilience through a challenging last 12 months and we have been very pleased with its performance over our period of ownership,” M&G head of Australia, Real Estate, James MacKinnon said.
Haben managing director Ben Finger added the joint venture would focus on the long-term growth prospects.
Elsewhere in Melbourne, last month, Abacus and Charter Hall paid $270.4m for a two third stake of Myer Melbourne – in the Bourke Street Mall.
In April, Colin DeLutis’ DeGroup spent $136.5m for Caroline Spring’s CS Square, which spreads 9.05ha.
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