Metro Storage pays $47m for Blaxland Home Centre
Interests associated with Metro Storage have emerged as the buyer of a major large-format centre in western Sydney in a $47.5 million play.
The recently registered Metro Diversified Property Management picked up the Blaxland Home Centre in Campbelltown from Intergen Property Partners.
The deal was brokered by Colliers International’s James Wilson and Alex James-Elliot and the Knapp Property Group.
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The transaction showed a passing yield of 7.19%, reflecting the centre’s position in the southwest Sydney growth corridor.
The large format retail centre sits on a 4.17ha site.
The Blaxland Home Centre sits on a significant 4.17ha site in total, comprising four separate lots and titles.
This could allow Metro to reposition the centre and give it a range of property strategies.
Metro Storage already has facilities across Sydney, with major centres at Leichhardt, Canterbury, Marrickville and Bondi Junction.
The complex has a 98% occupancy rate and its income is secured by national retail tenants including Fantastic Furniture, DeRucci and Sleeping Giant.
The Blaxland Home Centre at Campbelltown.
Last year, the Australian large-format retail sector recorded $1.03 billion worth of investment sales across 21 assets.
The next test for the market will be sale of the Griffith Hometown, with the asset’s anchor tenant, an 8688sqm Bunnings Warehouse, tipped to drive interest.
The centre, on a 6.41ha parcel, has a weighted average lease expiry by income of 6.35 years and is being handled by the Colliers International agents.
This article originally appeared on www.theaustralian.com.au/property.
