RetailLindsay SaundersThu 20 Aug 26
Supermarket-Anchored Centres Draw $275m Across South-East Queensland
Retail investment activity is surging across South-East Queensland with more than $275 million in transactions as investors target supermarket-anchored assets.
Charter Hall has agreed to pay $136.7 million for Pavilions Palm Beach on the Gold Coast and Yeerongpilly Green Riverside Village in Brisbane’s inner south.
Pavilions is anchored by a 3700sq m Coles and includes 27 specialty stores. Consolidated Properties Group and CVS Lane Capital Partners acquired the centre and adjoining land in 2017 before completing a major redevelopment in 2020.
Yeerongpilly Green Riverside Village was completed in 2023 and comprises 8850sq m of retail space anchored by Woolworths, with Priceline Pharmacy and BWS among its other tenants. The centre forms part of the broader Yeerongpilly Green mixed-use precinct, which has an end value of about $850 million.
Meanwhile, private investment firm Mintus has paid $62.5 million for Underwood Marketplace, 16km south of Brisbane’s CBD, from China-backed Risun Group.
The 4.08ha centre with 3930sq m of retail space is anchored by Woolworths and Big W, which together account for 69 per cent of the centre. It also has 47 specialty stores, eight kiosks and about 860 car spaces.
Mintus plans to refurbish the centre and undertake a strategic leasing program. The acquisition follows its $85 million purchase of Beenleigh Marketplace in late 2022 and adds another South-East Queensland sub-regional centre to its portfolio.
And west of the capital, Consolidated Properties Group and CVS Lane Capital Partners have offloaded their Karalee Shopping Village in Ipswich’s north-eastern growth corridor for $76 million.
The unconditional sale to an Australian-based Taiwanese investor was struck at a yield of about 5.5 per cent. Settlement is scheduled for October.
Karalee Shopping Village occupies a 4.6ha town centre site on Junction Road, Chuwar and comprises 11,460sq m of retail space.
The dual-supermarket-anchored centre is 99 per cent occupied, with Coles and Woolworths accounting for 62 per cent of gross lettable area and generating more than $81 million in moving annual turnover.
The centre forms part of a six-property portfolio of neighbourhood shopping centres brought to market by CPG and CVS Lane, providing exposure to convenience retail across South-East Queensland.
CPG executive chairman Don O’Rorke said the sale reflected more than a decade of investment in the centre.
“Karalee’s sale [is] the successful execution of our long-term strategy to develop and reposition the centre in line with strong population growth and local community needs and crystallises the value that we have built into the asset over more than a decade of ownership,” O’Rorke said.
CBRE state director, Queensland retail investments Joe Tynan said the $76 million sale reflected strong buyer demand for supermarket-anchored centres. JLL executive director, retail investments Jacob Swan said the result reinforced investor confidence in convenience retail.
“The final sale result of $76 million, underpinned by strong enquiry and competitive bidding throughout the campaign, demonstrates investors are prepared to move decisively for high-quality retail assets offering defensive income and long-term growth potential,” Swan said.
The transactions come as investor demand for supermarket-anchored retail assets strengthens, with limited stock and resilient convenience spending supporting renewed capital flows into the sector.
