Stockland Sells Four Shopping Centre Sites For $44 Million
The four vacant sites include two retail super lot sites at Stockland’s masterplanned residential communities at Bayswood in Vincentia, New South Wales and Highlands in Victoria. The additional two are retail development sites in Mudgee, New South Wales and Mernda in Victoria.
Stockland CEO Commercial Property John Schroder said the sales demonstrated Stockland’s commitment to actively managing its portfolio.
“We recognise that market conditions in Australia are getting tougher. Given the increasing cost and scarcity of capital, selling these assets allows us to more prudently allocate our resources, with the proceeds being used to pay down debt.”
The settlement of the sale is conditional upon Stockland securing development approvals and executed Agreements for Lease with major tenants at Vincentia, Highlands and Mernda. In addition, on behalf of the purchaser, Stockland is currently working with the Midwestern Regional Council to negotiate the replacement of a buy-back deed on the Mudgee site with an alternate form of security for the Council.
The Stockland Vincentia site is situated in Jervis Bay on the NSW South Coast. The approved project is adjacent to Stockland’s residential development, Bayswood, and includes a lettable area of approximately 12,500m2, incorporating two supermarkets and around 40 specialty stores in the first stage of the development.
The 15,400m2 site at Mudgee was purchased by Stockland in 2006 and currently has approval for the development of a 8,300m2 shopping centre comprising a Coles supermarket, Target Country and a range of specialty stores.
In Victoria, the Highlands and Mernda Villages neighbourhood shopping centre sites are strategically situated within Stockland’s masterplanned residential communities, just north of the Melbourne CBD.
The 3.5 hectare site at Highlands will provide a proposed 6,700m2 convenience-based centre incorporating a Woolworths supermarket, while the Mernda centre will provide a proposed 3,000m2 centre anchored by an IGA supermarket.
In December, Stockland announced it had achieved $211.1 million worth of commercial property asset sales since 30 June 2008.
