164 Forrest Pde, Rosebery: Palmerston commercial hub listed for sale amid supermarket struggle

A Palmerston commercial hub featuring a service station, medical, and allied health has hit the market, but it will come with a vacancy to fill amid an ongoing struggle to secure an IGA replacement.

164 Forrest Pde, Rosebery, is being marketed by Knight Frank Darwin. Picture: Knight Frank

A Palmerston commercial hub featuring a service station, medical suites, allied health and an Indian restaurant has hit the market, but it will be without the community supermarket the centre was formerly known for, after an unsuccessful seven-year search for its replacement.

RAM Medical Property Nominees Pty Ltd, the owner of 164 Forrest Pde, Rosebery, at the intersection of Haydon St, has listed its holding for sale with Knight Frank Darwin.

The site features a United Petroleum service station, Incredible India restaurant, Top End Medical Centre, Movement for Life Physiotherapy and Your Smile Dental.

According to Knight Frank, the site, which has 2286.4 sqm of net lettable area, has an estimated fully leased net income of $826,839 per annum plus GST.

A key gap in the offering, however, is the ongoing inability to secure a tenant to replace the former IGA Rosebery, which was closed by owner Mike Harvey in May 2017.

RAM purchased 164 Forrest Pde in 2022 after the commercial site was offloaded by former owner Elias Investments Pty Ltd.

164 Forrest Pde, Rosebery, is being marketed by Knight Frank Darwin. Picture: Knight Frank

Elias Investments, owned by former NT Administrator John Anictomatis, had been unable to fill the vacancy caused by the departure, and was additionally slugged $70,000 after pleading guilty to causing material environmental harm and contravening or failing to comply with a pollution abatement notice.

The charges related to a dodgy airconditioning unit at IGA Rosebery, which locals described as “like an aeroplane taking off”.

Attempts to secure a new tenant have been further complicated after RAM was recently stripped by the Liquor Commission of the liquor licence that was formerly held by IGA Rosebery.

RAM had asked the commission to retain the licence, so as to add an additional sweetener for the new owners of the site, but the commission declined.

An expressions of interest campaign for 164 Forrest Pde concluded on May 29.

Knight Frank partner Matthew Knight told this masthead the agents continued to negotiate with a number of local parties who had expressed interest in obtaining the asset.

164 Forrest Pde, Rosebery, is being marketed by Knight Frank Darwin. Picture: Knight Frank

Mr Knight said he was confident a more hands on, local landlord could secure a replacement for IGA Rosebery.

“It’s been a long time, hasn’t it? It was just a fantastic little supermarket,” he said.

“The owners that bought it [RAM] have been interstate and probably a little bit hands off.

“It could be a rent thing, if rent is cheap enough, you will find somebody.”

Mr Knight suggested the new owner could change the use of the tenancy, or split it into two or more smaller tenancies, as the current one is 800 sqm.

He said he was unable to disclose the price being sought by RAM.

RAM investment analyst Lewis Sears said the property has undergone a recent refurbishment to amalgamate some internal office space and refit the interior.

No tenants would be evicted as part of the sale, he said.