Crestwood Plaza: Molendinar shopping centre up for sale
A popular Gold Coast shopping centre is on the market, with the site next to one of the city’s busiest roads declared “prime for future development’. FIND OUT WHY.
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Retail investors are being offered a Dutch treat on the Gold Coast – a shopping centre where the major tenant is a giant Netherlands grocery chain.
The centre is Crestwood Plaza, on the corner of Olsen Ave and Crestwood Drive at Molendinar and it was built 20 years ago by residential developer Mark Howard.
The property is anchored by a 1440 sqm Super SPA supermarket, part of a Netherlands-based chain which is the second-biggest grocer in the world.
SPA, set up in 1932, has more than 14,000 stores around the world.
Crestwood Plaza is being sold by Chinese investors with Brisbane links who have owned it for nearly four years.
The plaza was built on a 1.2ha site bought by a Howard company in 2001 from Crestwood Heights developer Australand for $2.2 million.
The centre was sold to Port Lincoln fishing major Dinko Lukin for $14.5 million in 2006 and he on-sold it to South Australian investors for $12.8 million in 2010.
The Chinese investors bought the plaza, which had undergone two expansions, for $17.55 million in late 2020.
Steven King, who heads the Gold Coast office of Colliers, yesterday said Crestwood Plaza’s two buildings covered less than a third of the site.
“The plaza is primed for future development and value-add opportunities.”
The 3848 sqm neighbourhood shopping centre includes 23 specialty tenancies, Pizza Hut, BWS and Domino’s.
It is 92 per cent occupied and is netting $1.7 million a year, a figure predicted to rise to $1.9 million when it is fully leased. The centre’s average weighted lease expiry, by income, is 4.25 years, with national and chain tenants providing 71 per cent of income.
Colliers’ James Wilson said the plaza was being sold at a time when there was resilient demand from both onshore and offshore private investors for investments anchored by supermarkets.
“That demand can be attributed to the secure income profile and non-discretionary nature of such investments, coupled with their strategic positioning and inherent long-term development prospects.”
The plaza is being sold via expressions of interest, which close on July 2.
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