Hong Kong group buys Roxburgh Park mall
JY Group has purchased Roxburgh Village from Vicinity Centres, with which it co-owns other malls.
The 1.14 hectare complex with 25,972 square metres is setting the Hong Kong based group back $123 million – a 7.25 passing yield, or 7.74pc return if it were fully leased, which it is expected to be by settlement in March.
The price is also an 8.8pc premium over the June, 2023, value, made evens sweeter for the buyer which will continue managing it.
Also today, we are reporting Vicinity acquired a 49pc interest in Sydney’s Chatswood Chase for $307m – a dramatic drop on the $562.3m it sold the stake to GIC for, in 2017.
Roxburgh Village
Aldi, Coles and Sacca Fine Foods anchor Roxburgh Village with a combined 48pc.
There are also 1096 carparks.
“The result demonstrates continued demand and ready liquidity for well located, quality metropolitan sub-regional assets with a focus on shopper convenience, non-discretionary food, service and necessity-based spending,” CBRE’s Simon Rooney, who negotiated the off-market deal with Vicinity’s James Douglas, said.
“The offering…attracted keen interest from primarily private based capital, given the potential for future mixed use development, subject to the relevant planning approvals, to capitalise on the centre’s highly sought after metropolitan Melbourne location and immediate proximity to Roxburgh Park train station,” he added (story continues below).
The deal comes four months since Vicinity sold a half-stake in the nearby Broadmeadows Central for $134.5m – a small drop on the ($138.35m) December, 2022, valuation.
Roxburgh Park is 23 kilometres north of Melbourne’s CBD.
JY boosts local portfolio
The Roxburgh Village acquisition comes 14 months since JY and Vicinity teamed to buy Carlingford Court, in Sydney’s north west, for $120.5m – a 6.3pc yield.
In 2021, JY Group paid Challenger $167m for a half share in Sydney’s Roselands shopping centre.
The balance of that asset is controlled by Vicinity.
Despite what is considered a bleak economic backdrop, JY Group has also partnered with Haben to buy a swag of malls including Wollongong Central, in regional New South Wales, and Melbourne’s Casey Central and Forest Hill Chase – the latter which accommodated Australia’s first Woolworths.
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