Kurralta Village sold to Taplin Group for $75.2m

Taplin Group is planning an expansion of the Kurralta Village shopping centre after paying $75.2m to take over the complex from supermarket giant Coles.

The Kurralta Village shopping centre on Anzac Highway, Kurralta Park.

Local property and development firm Taplin Group has paid $75.2m for the Kurralta Village shopping centre on Anzac Highway, with plans to expand the retail complex around a new full-line Coles supermarket.

Taplin has acquired the sub-regional centre from Coles two years after the supermarket giant paid $74.25m for the site.

The Kurralta Park property offers close to 10,700sq m of gross lettable area and stretches across a 32,570sq m landholding with 542 car parks.

It is fully occupied by Coles and Kmart stores and 12 specialty outlets, with net annual passing income of around $3.5m.

The off-market sale was brokered by Knight Frank’s Ryan Mills, Max Frohlich and Campbell Aitken.

Mr Mills said Kurralta Village, which opened in 1969, had long been the dominant sub-regional shopping centre in the local area, servicing large parts of Adelaide’s southwest.

“Following the sale, Taplin Group will expand the Kurralta Village shopping centre, with Coles to grow its footprint to have a full-line supermarket,” he said.

“There are also options for a future, potential residential apartment development on part of the site, which currently consists of a vacant allotment and residential flats, with projects of up to eight storeys prescribed under its zoning.

Adelaide rich lister Nick DiMauro paid $128m for the Arndale shopping centre last year.

“In addition to anticipated significant development upside, the asset is underpinned by a secure, highly-defensive income stream with more than 80 per cent generated from strongly-performing national tenants Coles and Kmart that have an established and proven track record of delivering above average sales in the catchment area.”

Mr Mills said investor sentiment towards retail property continued to improve in Adelaide, driven by “a scarcity of opportunities and a strong base of local high net worth private investors”.

“Shopping centres are undoubtedly the most sought-after asset class in the Adelaide market, often transacting at yields firmer than the eastern states and below debt costs.”

After a busy 2024 it’s been a slow start to the year for big ticket shopping mall transactions in Adelaide, with the Kurralta Village deal the city’s biggest since rich lister Nick DiMauro splashed out $128m to acquire the Arndale shopping centre last October.

That followed moves earlier in 2024 by Scentre Group and joint venture partner Barrenjoey to pick up 50 per cent stakes in two Westfield centres – at West Lakes and Tea Tree Plaza.

Taplin Group is a prominent property owner and developer in Adelaide’s southwest, particularly around Glenelg, where it recently opened the 60-room The George Glenelg hotel on the corner of Jetty Rd and Colley Tce.

It also owns several sub-regional and neighbourhood shopping centres, including Mitcham Square, Bayside Village and the Marden and Marryatville shopping centres.

Originally published as Kurralta Village sold to Taplin Group for $75.2m