$70m shopping hub coming to Altona North
The Greg Paramor-led Folkestone has struck a deal that will see it develop a $70 million shopping centre and large format retail site in the Melbourne suburb of Altona North.
The company will buy one hectare of land from the listed BWP Trust and has taken an option over an adjoining 2.4ha in Millers Road. This will allow it to develop the third stage of its Millers Junction project.
The 3.4ha of BWP Trust land will be amalgamated with about 2.2ha of Folkestone’s existing land holding to create Millers Junction Retail. This will comprise a 13,330sqm large format retail centre anchored by Woolworths. Folkestone’s existing Millers Junction Home development includes a 16,885sqm Bunnings, Officeworks, and JB Hi-Fi Home.
Commercial Insights: Subscribe to receive the latest news and updates
Folkestone has also entered into its fourth joint venture with Wilmac Properties to develop enterprise park developments. The pair will develop another 2.2ha of Folkestone’s land at Altona North into a project with an end value of about $28 million.
Folkestone’s head of real estate Ben Dodwell says the projects show the company’s ability to use its balance sheet to secure and develop investment grade real estate across multiple sectors.
“This has enabled us to grow our retail development pipeline, which now includes two neighbourhood centres, and has a combined end value of about $105 million and our enterprise park pipeline which has a combined end value of about $160m,” Dodwell says.
This article originally appeared on www.theaustralian.com.au/property.
