The Retail Wrap
Introduction
Welcome to RWC WA’s Retail Wrap report for the quarter ending 30 September 2024.
Since our last report in July, we have seen continued demand across the board of the assessed asset classes.
There has been a continued rush on Shopping Centre investment sales with three transacting this past quarter alone which include 50% stakes in the Clarmeont Quarter ($207M) and Westfield Whitford City ($195M) making it the equal most of any asset class transacted. So far we have seen 10 shopping centers transact in WA this calendar year.
Healthcare and Childcare assets have continued to transact strongly with multiple of each changing hands over the past quarter. There are a further 14 childcare centres currently on the market within WA.
Service Station and Large Format Retail assets have been relatively subdued since our last assessment, with only a handful transacting over the past quarter. So far this year we have only seen a single Large Format Retail asset transact, illustrating the tightly held nature of this particular asset.
The Fast Food sector has proven to be the most tightly held asset class with no transactions taking place over the past quarter. So far only two have changed hands this calendar year at an average passing yield of 5.14%.
Whilst interest rate uncertainty persists, the past quarter has illustrated that prudent investors have a continued demand for assets backed by long term lease covenants and sustainable income streams. Looking forward, we believe continued demand for prime assets will persist over the final quarter of 2024 and into the following year.
Brett Wilkins Director of Capital Markets
Stephen Harrison Joint Managing Director
Andrew Woodley-Page Capital Markets
Michael Milne Senior Commercial Property Advisor
Childcare Fast food Service stations
Shopping centres
Healthcare
Large format retail
Shopping centres
*The sale represents a 50% stake.
Lakeside Joondalup Shopping Centre
Claremont Quarter Halls Head Central
Belridge
Apollo Health Greenfields
Large format retail
Bed n Dreams & Jaycar
Orrong Business Estate
Drovers Marketplace
Service stations
7-Eleven Landsdale
Liberty East Rockingham
Caltex
Fast food
Red Rooster Joondalup
Hungry Jacks Yanchep McDonalds Yanchep
Childcare
Nido Maylands
Young Bucks Dardanup
Nido Kingsley
RWC WA
If you would like to discuss the market or what your property might be worth, get in touch with us.
Brett Wilkins Director of Capital Markets
RWC WA
Andrew Woodley-Page Capital Markets
RWC WA
Collaboration and support
Mario Garbin Analyst/Licensed Valuer
RWC WA
Stephen Harrison
Joint Managing Director
RWC WA
Michael
Milne Senior Commercial Property Advisor
RWC WA
