Business confidence in Salamander Bay’s commercial precinct has been cemented following the sale of the suburb’s shopping centre for more than $170 million.
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Charter Hall Retail REIT, a real estate investment trust, bought Salamander Bay Shopping Centre in May, paying $174.5 million for the complex that includes more than 55 stores including Woolworths and Coles.
“We are pleased to announce the strategic acquisition of the Salamander Bay Centre to our portfolio,” fund manager Scott Dundas said.
In a statement about the sale, Charter Hall highlighted what made the centre attractive to own.
“The centre benefits from low levels of direct competition within its captive trade area along with a resident population of 36,000 and strong tourism sector trade.”
Tomaree Business Chamber president Ryan Palmer said the sale was a focal point in the progress being made in Salamander Bay.
“It’s good to see something finally happening,” Mr Palmer said.
“It’s good to see ALDI investing in the area – it’s moving into its own purpose built store outside the centre.
“There will be businesses shifting into larger premises, which creates extra jobs.
“I hope this will stimulate confidence in businesses in the community.
“There has been some concern that new business is not being created in the area, that there are a lot of vacancies, but this should be a sign there’s confidence in the area.”
Councillors gave ALDI the green light to build a standalone store at 155 Salamander Way, adjacent to McDonald’s, at a recent council meeting.
The retailer, which currently has a store within the shopping centre, was one of the first to confirm its interest in the expansion of the Salamander Bay Shopping Centre precinct by buying a lot in the new commercial hub outside.
“This location was chosen as it catered to our increased space requirements, while remaining convenient for our existing customers,” an ALDI spokesman told Fairfax Media when it lodged plans for the store in December.
“Many of these customers have been loyal shoppers since we established in the area in 2012.”
Plans for a Woolworths service station, with four double-sided pumps and a LPG dispenser, were also considered at the last council meeting.
However, councillor John Nell took issue with access planned for the service centre and found unanimous support to defer the plans to conduct a site inspection.
The matter was due to go before council again on Tuesday.
Mr Palmer said a Woolworths petrol station would be a welcome addition to not just Salamander Bay, but the entire Tomaree Peninsula.
“It’s great to see a new player in the game, creating competition,” he said.
“There are concerns about prices in the area because of the lack of competition.”
Charter Hall has begun a re-brand of the shopping centre, which will become Salamander Bay Square.
“Our team has been onsite over the past couple of days talking to shoppers to gather insights,” a spokesman from Charter Hall said.
“[The] centre management team are dedicated to working with our customers and the community to review the product and experience offering.”
First opened in 1986, the centre is anchored by Coles, Woolworths, Kmart, ALDI, and Target Country and has more than 55 specialty stores.
Charter Hall bought the 24,000-square-metre shopping centre from an unlisted fund managed by Vicinity Centres. It was listed for sale in February this year.