A major retail investment in Mt Druitt, 43 kilometres west of the Sydney CBD, has sold for $24.8 million to Spotlight.
The Sydney ShopSmart Outlet Centre (pictured, top) hit the market in May.
On a 2.9 hectare block, the 9990 square metre complex with 396 car parks is positioned between Westfield Shopping Centre, the Mt Druitt Hospital and the suburb’s train station.
International retailer TJMaxx, along with Spotlight and a medical centre are anchor tenants at the complex which offers a fully-let net income of $1,716,000.
On that basis, the Sydney ShopSmart Outlet Centre at 10 Zoe Place traded on a market yield of 6.9 per cent. The asset was sold by private investor Nick DiMauro.
About 19 kilometres west of the Parramatta central activity district, the site is zoned B4, allowing for commercial and retail use.
The complex’s “established trade area” servicing more than 234,000 people “with a strong affinity to convenience and outlet based retail facilities” was also promoted as part of the expressions of interest campaign.
The adjacent site, 1 Zoe Place (pictured top left), is owned by Chinese-backed Ausunion First Group and was recently permitted to be replaced with a residential complex containing 268 apartments.
Also in the area, a $700 million upgrade to the Mt Druitt Hospital was recently unveiled. A $7 billion rail link connecting Badgerys Creek (Western Sydney) Airport to western Sydney is proposed to deliver the “Broader Western Sydney Employment Area” in a precinct south of Mt Druitt and St Mary’s train stations.
At the time the Sydney Shopsmart Outlet Centre was listed, Mr Willis said that the increasing government investment in Sydney’s west was encouraging investors looking to secure a foothold in the market.