Westbridge Funds Management has acquired a Dan Murphy’s-anchored retail complex in the Perth suburb of Southern River for $20.25 million.
The 10,744 sqm retail complex at 1-7 Holmes Street offered 3,038 sqm of gross lettable area across a freestanding Dan Murphy’s store, an adjoining Brooklands Tavern and a retail/commercial building consisting of ten individual tenancies.
It was anchored by the Australian Leisure and Hospitality Group, a wholly owned subsidiary of the Endeavour Group, which underpinned 62% of the net income.
The fully leased property featured 11 tenants in total, including Baskin-Robbins, Crust Pizza and LJ Hooker, and offered a weighted average lease to expiry (WALE) of 8.54 years.
The site was situated about 17 kilometres south-east of the Perth CBD in a rapidly growing residential corridor with a population in excess of 120,000.
The acquisition was the third asset for the buyer’s Diversified Fund No.4.
Westbridge bought an upgraded office/warehouse, leased to Blackwoods, in Perth from Perron Group on behalf of the fund for $16.21 million in March.
Prior to that, Westbridge acquired a logistics facility in the Melbourne suburb of Broadmeadows for the fund.
Damian Collins, Chairman of Westbridge Funds Management, said the purchase of the Southern River site was a key strategic step for Westbridge Diversified Fund No.4, which was designed to provide regular income to investors, while targeting assets that had the potential for capital growth.
“The Diversified Fund No.4 is well-placed to achieve its mandate through three high quality assets spread across very different sectors and locations, giving investors the benefit of true diversity,” Collins said.
In February this year, Westbridge purchased the Orrong Road Business Estate in Welshpool, Perth on behalf of a new fund for $37.465 million.
Recent Perth retail deals include Greenpool Capital and Savills Investment Management’s acquisition of the Forest Lakes Shopping Centre in Perth’s south-eastern suburbs for $81.5 million last week.
Last month, SCA Property Group bought the Tyne Square Shopping Centre in Perth for $12 million, as part of a larger $180 million portfolio deal comprising five convenience-based shopping centres.
