$14 million for shopping centre

TORQUAY Central has been sold for $14 million to an undisclosed party, joint agents Darcy Jarman/Gross Waddell and CB Richard Ellis reported last night.

The Business 1-zoned property was placed on the market in mid-October with an expected sale price of more than $10 million.

Torquay Central covers 1.403ha and comprises 5300sq m growth lettable area, 33 retail shops and 228 car spaces on the corner of Bristol Rd and Payne St in Torquay.

The centre has a current passing net income of $1.28 million a year, with a projected total net income of $1.533 million.

Tim Darcy, of Darcy Jarman/ Gross Waddell, said he and Mark Wizel, of CB Richard Ellis, ran a tender campaign over the past five weeks under instructions from receivers Korda-Mentha. The Austexx-owned centre went into administration in July last year. ‘‘While I cannot reveal the identity of the buyer, we were overwhelmed with potential purchasers,’’ Mr Darcy said. ‘‘We had 15 formal submissions, then went into a select tender where a number of interested parties were shortlisted and this closed on Monday at noon. ‘‘Then the sale was facilitated with the preferred
buyer, contracts were executed and exchanged.’’

In October, Mr Darcy told the Geelong Advertiser the type of purchasers he felt would show genuine interest would be ‘‘predominantly private investors, high-net-worth individuals and perhaps syndicates’’. He said the centre allowed for 38 individual shop areas, but some had combined premises, taking the total back to 33, with five vacant. ‘‘In the past 12 months, we have been managing this on behalf of KordaMentha and a significant number of tenants have renegotiated their leases and they are now paying rentals reflecting market value,’’ Mr Darcy said.