Growthpoint and BlackRock are chasing $200m for the prize HomeHQ Artarmon

Growthpoint Properties Australia and US giant BlackRock have put the HomeHQ Artarmon, a dominant large format retail centre on Sydney’s wealthy lower North Shore on the block with hopes of $200m.

Growthpoint Properties Australia and US giant BlackRock have put the HomeHQ Artarmon complex on the market

The listed Growthpoint Properties Australia and US giant BlackRock have put the HomeHQ Artarmon, a dominant large format retail centre on Sydney’s wealthy lower North Shore on the block with hopes of $200m.

The centre had been offered previously but has since been revamped and the large format market has drawn more interest due to its resilience in tougher times. It is also the only dedicated large format centre in the area and billed as a chance for investors to buy a high-performing retail precinct in one of Australia’s most tightly held markets.

The complex last traded in 2018 when BlackRock backed a $140m play by Fortius Funds Management for the centre.

Growthpoint later bought the Fortius operation and has grown it with office purchases.

They bought the homemaker centre from US private equity house Blackstone, which has nearly doubled its money on its investment in the once struggling complex after four years of ownership.The sale is being handled by JLL’s Nick Willis and Sam Hatcher and McVay Real Estate’s Sam McVay.

“HomeHQ Artarmon is a cornerstone of Sydney’s retail landscape, uniquely positioned to capitalise on an undersupplied LFR market and an affluent catchment,” Mr Willis said.

He cited the centre’s proximity to Sydney CBD, combined with its proven retailer evolution achieving rental growth of 4.5 per cent annually since 2018.

HomeHQ Artarmon is one of only three such centres in inner Sydney, alongside Moore Park Supa Centa and Alexandria Homemaker Centre.

Moore Park Supa Centa is owned by the Saunders family and the Alexandria Homemaker property was bought by the Goodman Group from the Karedis family three years ago for $200m on a 4 per cent yield.

Mr Hatcher said the scarcity of inner-ring LFR assets, coupled with ongoing residential development, ensured HomeHQ Artarmon’s continued market dominance. “With economic rents needing to grow 30-40 per cent to develop multi-tenanted LFR centres, this asset is irreplaceable; we expect strong interest from institutional, private, and offshore investors,” he said.

Since its development in 2013, HomeHQ Artarmon has continually evolved, increasing ­national tenant representation from 71 per cent to more than 90 per cent.

Originally published as Growthpoint and BlackRock are chasing $200m for the prize HomeHQ Artarmon