Melbourne’s first metropolitan shopping centre development opportunity of 2019 hits the market

Residential developer ID_Land is preparing to launch an Expressions of Interest campaign for the sale of the Truganina Central Shopping Centre development site in Melbourne’s west.

CBRE’s Justin DowersMark Wizel and Kevin Tong have been appointed to steer the campaign, which represents the first Melbourne metropolitan shopping centre site offering for 2019.

The 2.2ha master planned site is earmarked for a full-line Coles supermarket and a range of specialty shops with commercial facilities, providing a total lettable area of 7,390 sqm. 

It will cater to significant forecast population growth in the immediate area, with Truganina emerging as one of Victoria’s fastest growing suburbs underpinned by a range of surrounding developments from groups such as Stockland and Villawood. 

“Coles has pre-committed to a 15-year lease with 30 years of options, meaning the offering is significantly de-risked,” Mr Dowers said.

“The mixed use and residential development potential of the surrounding land will be highly beneficial for supermarket trade, and the presence of Coles will also enhance the appeal of the residential product to be developed on the balance of the estate.” 

Macroplan Dimasi data highlights that Truganina’s population has grown by over 100 per cent since 2011 and is forecast to double between now and 2031.

The area’s demographic profile is also shifting, supported by a 70% rise in median houses prices over the past eight years.

The ID Land offering follows the $51,500,000 sale by Woolworths earlier this year of its town centre site in Mernda.

“There has been growing buyer demand for this style of product, given the strong performance of retail centres with a bias towards non-discretionary spending,” Mr Dowers said.