Opportunity knocks at Caloundra shops

A rare opportunity to enter the Sunshine Coast’s tightly held retail market has emerged, with a well-established neighbourhood shopping centre in the heart of the Caloundra CBD being offered for sale.

The Caloundra Village Shopping Centre, located at 1 Ormuz Ave, just one block from Caloundra’s main Bulcock St strip, is anchored by a strongly performing IGA supermarket.

The 3000sqm centre is almost fully tenanted, with only a small 40sqm space currently vacant.

The centre comprises the 1500sqm IGA and 15 speciality shops, including a pharmacy, post office, travel agency, bottle shop, newsagency, hairdresser, bakery, butcher and fruit market, along with an ATM and parking for 115 vehicles.

It is expected that the centre, which was completed in the early 1990s and where the majority of tenants have been trading for more than 10 years, will sell for between $15 million and $20 million.

It is an unbeatable location with outstanding future growth prospects

It provides a long-term weighted average lease expiry of over five years by income, with six years remaining on the IGA Supermarket lease.

Savills Sunshine Coast director Dustin Welch, who is marketing the property via expressions of interest alongside Savills Brisbane sales and leasing executive Peter Capps, says the owner is also offering a two-year rental guarantee.

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“This is a rare offering of a well established and strongly-performing neighbourhood shopping centre in a recognised growth corridor that also provides the potential for further development under the new town plan, subject to council approval,” Welch says.

Caloundra Village Shopping Centre is tipped to sell for more than $15 million

Welch says the centre’s zoning has been lifted from about 9m to 14m, opening up the potential for a mixed-use development.

He says the owner also owns a neighbouring residential house, which has the same zoning as the shopping centre, and is willing to negotiate for its purchase separately, should the buyer wish to expand the centre.

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The single-level centre has three street frontages to Ormuz Ave, Bingera Terrace and Wyreema Terrace, as well as a dedicated retail laneway to Bulcock St.

This is a rare offering of a well established and strongly-performing neighbourhood … that also provides the potential for further development

Capps says established neighbourhood shopping centres in high growth locations, such as Caloundra, were one of the most sought after property investments in the current market.

“Caloundra Village Shopping Centre is an immaculately presented centre that is easily accessible and well supported by residents, tourists and businesses in the surrounding catchment,” he says.

“It is an unbeatable location with outstanding future growth prospects and we expect very strong interest from investors in this unique opportunity.”

Expressions of interest close on Thursday, September 17.