Commercial real estate investment firm, Erskine Owen, has launched a new property syndicate - Brackenfields Property Syndicate - to buy the $15 million retail development in November this year.
It will be the company’s first entry into the retail market.
The centre is anchored by the 3564 sq m Countdown supermarket, which experienced a 23 per cent revenue growth over the past four years.
Simon Paris, Erskine Owen general manager of investor relations, says supermarket-anchored developments of this nature do not enter the market often, and they anticipate strong wholesale investor interest.
He says the commercial retail hub generates about $1,377,311 net income per annum across 16 tenancies.
‘‘Pressure on Christchurch’s housing stock is contributing to significant growth in townships like Amberley which has seen a 118 per cent increase in property values over the past decade.
‘‘A further surge in growth is expected in the coming months as eight new residential subdivisions and a $200m retirement village are completed, offering housing for hundreds of residents.
‘‘The influx of new residents is also expected to boost traffic to the shopping centre with the nearest competing supermarkets in Kaikoura, 135km to the north and Woodend, 25km to the south, creating a significant geographic advantage for the Brackenfields retail hub,’’ Paris says.
Countdown Amberley has five years remaining on the lease term, with a final lease expiry in 2049.
The three-building shopping precinct was built in 2014 and has a lettable area of 5790 sq m.
The site also has an undeveloped, 1000 sq m adjacent area, which presents further opportunities for retail expansion of the hub.
In addition to the supermarket, the centre is supported by 15 specialty tenancies, including a pharmacy, bakery and cafe, fish and chip shop and an ATM, Paris says.
He says the Brackenfields Property Syndicate offers wholesale investors, with a minimum investment of $100,000, a projected 8 per cent cash return. It is now open for subscription.
