A $38.88 MILLION deal has delivered an offshore investor the prime Kilmore shopping precinct with Coles and ALDI as the main occupants.
The investor is set to pocket a bonanza of fully leased net operating income estimated at $1.96 million a year, as the two stores enjoy long leases with options for extensions.
It has been sold by Looop, a private equity and venture capital group, with Stonebridge Property Group (SPG) conducting the expressing-of-interest process.
The SPG said the key highlights of the sale in the high growth corridor include dominant dual-supermarket configuration anchored by Coles (new 10-year net lease) and ALDI (20-year lease), representing about 69 per cent of total gross income.
It says the secure income profile is underpinned by 100 per cent national and blue-chip tenants including McDonald’s, Viva Energy, Amplifon and Bakers Delight.
The investment on the 1.86-hectare Commercial 1-zoned corner site has frontage to the busy Northern Highway and Clarke Street and is positioned next door to Kilmore Village. The vacant land opposite the site is also a plus as it offers further retail development potential.
“Highly efficient 5264 sqm centre GLA (gross lettable area) has 248 on-title car spaces and minimal landlord complexity via freestanding and pad-site configuration. There is potential 50 per cent stamp duty savings, subject to purchaser circumstances,” the SPG said.
