SCA Splashes $46.3M for Third Gold Coast Centre

SCA Property Group has purchased the Worongary Town Centre on the Gold Coast for $46.3 million. The transaction reflected a yield of 6 percent and was brokered by Peter Tyson and Jon Tyson of Savills on behalf of AHC Ltd, following a competitive Expressions of Interest campaign that generated over 200 buyer enquiries.

The Coles-anchored neighbourhood shopping centre features 42 retail, medical and office tenancies, as well as a freestanding Caltex Service Station, and Red Rooster and Zarraffa’s Coffee drive-thru pad sites. The 6,900sq m centre was developed in stages from 2004 to the most recent extension in 2016.

Savills National Director of Retail Investments, Peter Tyson said “SCA was attracted to Worongary’s strong trade area dynamics, with population growth projections forecast to exceed four percent annually over the next decade. This augurs well for centre trading performance.”

The Worongary centre is the second Gold Coast acquisition by SCA this year and brings to three, the number of centres they own in the region. The transaction follows the group’s purchase of the Woolworths-anchored Mudgeeraba Market complex in April for $35.8 million, in a deal also brokered by Savills.

SCA now operate and manage approximately 75 shopping centre assets across Australia, with a combined value of over $2.364 billion as at 30 June 2017.

“Demand for neighbourhood centres which feature solid fundamentals, including strong anchor tenant performance and good population growth, remains robust and we don’t foresee this market demand wavering for the balance of the year,” Savills Director of Retail Investments in Queensland, Jon Tyson said.