Morayfield Retail Centre Changes Hands for $48m

A large format retail centre north of Brisbane has changed hands for $48 million off-market as investor demand for defensive retail assets stays strong.

The fully leased HomeCentre Morayfield, 44m north of the CBD, is in one of Queensland’s fastest-growing metropolitan corridors where residential development is expanding and transport connectivity improving.

The sale was handled by Stonebridge Property Group.

Argus Property Partners, who paid HMC Capital $28.85 million for the asset five years ago, was the vendor.

The buyer was BWP Trust, which is the largest owner of Bunnings Warehouse sites in Australia with a portfolio of 66 stores. BWP also owns 12 large format retail showroom properties, two industrial properties and currently has two vacant properties, according to its website.

The centre services a substantial trade area that has more than $600 million in annual retail spending within a 3km catchment.

Strong local spending power and limited competing supply have positioned the asset as a dominant retail destination in the precinct.

The transaction reflected a core market capitalisation rate of 5.75 per cent, aligning with pricing for high-quality metropolitan retail assets.

HomeCentre Morayfield has a weighted average lease expiry of 4.04 years by income.

Major tenants include Nick Scali, Supercheap Auto, Super Amart, Sydney Tools, Pillow Talk and the Salvation Army.

Population growth across Brisbane’s northern corridor is continuing to drive demand for retail destinations with sizable parking and easy access.

Morayfield’s proximity to major roads has strengthened its role as a regional retail hub servicing residents and surrounding suburbs.

Industry sources said market participants were increasingly viewing well-located large format retail as a defensive play amid volatility across other commercial property sectors.

High-quality retail centres in growth corridors remain tightly held, with off-market transactions continuing to dominate the sector.

In November, Morayfield Village with eight speciality retailers was sold to a private Sydney-based investor for $24.6 million.