Vicinity lists its smallest mall
Vicinity Centres is selling its smallest mall by value – in Perth’s exclusive Victoria Park, diagonally adjacent to the Burswood border.
Also potentially one of its most under-utilised assets, affected by a Precinct Structure Plan allowing high density residential, up to 22 storeys, Victoria Park Central on 1.3 hectares at 366 Albany Highway is expected to sell for well over $30 million according to sources.
Developed in 2000, it contains 5771 square metres anchored to Woolworths.
With 24 specialty tenancies too, the trade area population exceeds 113,000 – a figure set to grow until 2041, according to the marketing agents.
Any incoming owner will be able to reposition the centre quickly, with the weighted average lease expiry, by area, a short two years.
There are also 225 car parks.
The listing comes a month since the shopping centre giant sold Maddington Central, south east of town, to Realside Property, for c$107m.
Late last year meanwhile it divested Dianella Plaza, in the inner north, to Greenpool Capital, for $76.25m while in 2022, it collected $465m from Midland Gate – 16km north east of the CBD – a deal also including management rights.
Other sub $50m centres held by Vicinity include Armidale Central in New South Wales and Carlingford Court, Sydney. South Australia’s Kurralta Central was appraised mid last year at $56.7m.
Ultimate future development opportunity: agents
Vicinity bought Victoria Park Central in 2004 (story continues below).
Also facing Shepperton Road, the complex is 450 metres from Victoria Park station.
The CBD is three kilometres away.
“Neighbourhood centres often occupy the most strategic and well zoned landholdings in their respective suburb and Victoria Park Central is no different,” according to Stonebridge’s Justin Dowers, who is representing Vicinity with Kevin Tong and Cygnet West’s Tim Scott and Ian Mickle.
“Victoria Park is an affluent city fringe suburb…set to benefit from strong population growth and strong retail expenditure growth of 1.3 per cent and 3.8pc to 2041 respectively,” he added.
“The centre provides outstanding value add and development opportunities with potential outgoing optimisations, centre remixing and vertical redevelopment offering exceptional views of the Swan River and Perth CBD,” he said.
“The 1.31ha landholding…and proposed future heights of up to 22 storeys offer the ultimate future development opportunity.
“All of this coupled with a strong and secure existing income stream anchored by a full line Woolworths, the only supermarket in the primary catchment”.
The listing comes a week since we reported Centuria snapped up its third shopping centre at Mandurah, some 75 kilometres south of Perth, outlaying $70m.
Vicinity and ISPT, on behalf of the Core Fund, held an equal share of that complex, Halls Head Central.
Subscribe to our newsletter at the bottom of this page.
