Exceed Capital purchases Allenstown Shopping Centre and adjoining land

New details on the purchase of a Rockhampton shopping centre, and adjoining land, by a privately-owned investment company can be revealed along with the final sales price.

Funds manager Exceed Capital is buying Allenstown Square Rockhampton

Rockhampton’s Allenstown Square has been sold to a privately-owned investment company for $55.9 million.

The sale also included land on neighbouring Grant and Derby Streets for $2.8 million (plus GST).

The land on Derby Street owned by the owners of Allenstown Shopping Centre.

The properties on the Grant Street owned by Allenstown Shopping Centre.

Brisbane-based company Exceed Capital launched an expression of interest in 2022 for investors to buy a share in AT Property Trust, set up for the sale of the shopping centre.

At the time, the advertisement campaign said the centre had a book value of $58.8 million and investors were offered a seven per cent first-year cash yield with a $100,000 minimum investment, seven-year investment term and distributions to be made monthly.

The sale of the centre was finalised in early 2023 and the land, with a combined 11000 sqm, was in a separate sale, finalised in December.

An overview of the land now owned by Exceed Capital for Allenstown Shopping Centre.

The outgoing shopping centre owners, Charter Hall, purchased the surrounding 18 properties in Grant, Canning and Derby Streets during 2016 and 2019.

It was calculated through real estate data that the company spent $5.495 million doing so. 

Many of the homes were not for sale and the homeowners were directly approached by Charter Hall. 

The homes along Derby Street were demolished or removed in 2019 but plans for what was going to happen with the land were never unveiled by Charter Hall.

It is understood that COVID-19 hitting in 2020 put a stall to the internal company discussions and then the centre was put on the market.

Houses on Derby and Grant St in Allenstown that were demolished under Charter Hall.

 

Empty blocks beside Allenstown Square from Grant Street during the demolition in 2020.

In its time owning the centre, Charter Hall did the $16 million extension that closed off part Canning Street, at the end of the centre where the Reject Shop and doctor’s surgery is, adding 15 new stories with 2400 sqm of retail space and a car park expansion.

It was unveiled in 2013 and had taken five years to get planning approvals from council.

Exceed Capital managing director Vaughan Hayne.

Exceed Capital managing director Vaughan Hayne said the company was working with consultants to identify opportunities for the land.

“Whether that be bringing in new services and offerings that complement the existing tenants,” he said.

“Now we have control of the land, it’s really exciting for the Allenstown Shopping Centre and we want to embrace the community.”

Various national retailers have expressed interest.

“We are working with various large household names,” Mr Vaughan said but wouldn’t divulge further details.

While the company was looking “at all options”, Mr Vaughan said convenience, parking and ease of access are a priority.

Empty blocks beside Allenstown Square from Grant Street in 2020.

As the Derby Street land is already cleared, the “natural thing” would be to expand the existing shopping centre or build on next to the shopping centre.

“We could turn some of that land into car parks … we are yet to sit down and go through that with council,” he said.

In the time since it took over Exceed Capital has rebranded the complex from Allenstown Square to Allenstown Shopping Centre with a new website launched and new signage and a facade to come soon.

“Creating a bit of a new look and feel to the shopping centre,” Mr Hayne said.

Leasing has been a key focus, extending leases with existing tenants and sourcing new tenants.

“We are working with a group of new tenants which is exciting and looking to roll them out in the coming months,” Mr Hayne said.

“We want to grab the shopper’s attention with something that is different.”

The centre is anchored by Woolworths and mini major Reject Shop with a handful of retail and food stores.

Offering more food options is an area of focus, Mr Hayne said.

“Food is important, we would like to, where possible, provide an offering after hours,” he said.

“Have the centre activated after a majority of the speciality stores have closed.”

They are also taking suggestions of what customers would like to see at the centre.

“It’s about embracing the customer experience and we want to hear from our customers.”

Originally published as Exceed Capital purchases Allenstown Shopping Centre and adjoining land