Information Memorandum
LOT 5 VILLAGE SQUARE BROWNS PLAINS
8 Retail Investments under $1.1 millionÂ
For Sale By Private Treaty
LOT 5 | 10-20 EASTERN ROAD, BROWNS PLAINS, QUEENSLAND
02
GRAND PLAZA REGIONAL SHOPPING CENTRE
JB HI-FI BUNNINGS HARDWARE LOT 5
SPOTLIGHT THE GOOD GUYS
HARVEY NORMAN
* Outline Indicative only
Contents The collection of prime retail investments in the Village Square Browns Plains present as the perfect SMSF investments with prices ranging from $650,000 - $1,070,000. Each tenancy provides the opportunity to acquire near new retail assets in one of South East Queensland’s major retail precincts at entry level prices. Information Memorandum - October 2013
Investment Highlights
03
Location Map
05
Centre Plan
07
Sales Brochure - Godfreys
09
Sales Brochure - National Dental Care
10
Sales Brochure - Rugs a Million
11
Sales Brochure - Urban Burger
12
Sales Brochure - TAB
13
Sales Brochure - EB Games
14
Sales Brochure - Owner Occupier Opportunities
15
Sales Details - JD Lighting
16
Sales Process
17
Investment Highlights CBRE & First Commercial are pleased to offer a collection of prime retail investments in Village Square Browns Plains For Sale by Private Treaty. Please consider the following strengths of these assets -
▪▪ Minimal Exposure To Outgoings Increases All tenants to the centre have committed on net lease arrangements. This means all tenants are responsible for a majority of their outgoings, excluding Land Tax (where applicable) and contributions to the Body Corporate Sinking Fund.
▪▪ Perfect Self-Managed Super Fund Investment The long term net lease agreements, strong fixed annual increases, the nationally recognised covenants all within a $1.10 million price point sees the assets as the perfect self managed super fund investments.
▪▪ Future Population Growth The Village Square Browns Plains sits within a large and stable main trade area of approx. 254,380 persons (1) which is forecast to grow 21% approx to approx. 351,510 persons over the next 10 years.
(1)
▪▪ A Dominant Retail Precinct This centre benefits from a concentration of the nations leading retailers including the $400 million Grand Plaza Shopping Centre, Bunnings Hardware, Harvey Norman, Spotlight, The Good Guys, JB Hi-Fi & many others.
▪▪ Significant Depreciation Benefits Village Square Browns Plains was developed in 2008 by FKP to the highest standard of construction and design. Due to the centres age and finishes the tenancies offer significant fast tracked depreciation benefits. (Copy available on request)
(1)Source – Urbis Main Trade Area Analysis September 2012
Information Memorandum - October 2013
LOT 5 | 10-20 EASTERN ROAD, BROWNS PLAINS, QUEENSLAND
04
Sandgate Shorncilffe
06
Nudgee Zillmere Geebung
MORETON BAY
Banyo Port of Brisbane
Virginia Stafford Heights
Ferny Grove
Kedron
Everton Park Gaythorne
Windsor
Hamilton
Kelvin Grove
Morningside
Kenmore
Pullenvale
Fairfield
Fig Tree Pocket Sherwood Jindalee
The key location attributes include the following – Wellington Point
Thorneside
Dunwich
Ormiston convenient retail, commercial and dining precinct;
Chandler
Holland Park
Alexandra Hills
Sumner
Darra
Salisbury
Oxley
Wishart
Coopers Plains
Archerfield
Moggill
Inala
Durak
Rochedale
Runcorn
Underwood Marketplace
Sunnybank Hills Shopping Town Calamvale Central Pallara Forest Lake Camira
Lara Pinta
Centro Springwood
Karawatha
Parkinson
Berrinba 10 km
5 km
Marsden
Orion Springfield Greenbank
15 km
Forestdale
Logan Central Plaza Shailer Park Meadowbrook Kingston 10 km
5 km
15 km
Springfield
Loganlea Bethania Loganholme
Crestmead
Springfield Lakes
Eagleby
Park Ridge Logan Reserve
Waterford Beenleigh Marketplace
Park Ridge South Buccan Munruben
Chambers Flat
Winaroo Yatala
North Maclean Information Memorandum - October 2013
Cleveland
Stockleigh Logan Village
traffic flow enjoyed by all retailers at the centre. Thornlands
Acacia Ridge Willawong
Redbank Plaza Goodna
Burbank
Sunnybank Plaza
Sunnybamk
Wacol
▪▪ The highly convenient on-grade design of the town centre precinct allows for ease of movement between The Village Square, Grand Plaza Shopping Centre and other major retailers in the area, enhancing the exposure and
Moorooka
Rocklea
west of the Brisbane CBD; to the Mount Lindesay Highway. With on grade parking for 468 cars, the centre has established itself as a
Capalaba Mt Ommaney Centre
▪▪ Browns Plains is a major commercial centre and high growth residential corridor located approx. 35 kms south ▪▪ The Browns Plains Town Centre benefits from direct access to Browns Plains Road and being in close proximity
Carindale
Greenslopes
Yeerongpilly
Butcher and which adjoins the $ 400 million Grand Plaza Regional Shopping Centre.
Cannon Hill Wakerley
Coorparoo Woollonngabba St Lucia
Indooroopilly Brookfield
Norman Park
WestEnd
Wynnum
Hemmant
Bulimba
BRISBANE Toowong
The retail opportunities are located at the heart of the Browns Plains Town Centre. The Browns Plains Town Centre complex is a 56,067sqm major retail precinct anchored by Bunnings Hardware, Harvey Norman, Spotlight, JB Hi Fi, Rays Outdoors, The Good Guys, Super
Eagle Farm
Newmarket
Bardon
Amity
Pinkenba
Lutwyche
The Gap
Location
Brisbane Airport
Nundah
North Stradbroke Island
LOT 5 | 10-20 EASTERN ROAD, BROWNS PLAINS, QUEENSLAND
Carseldine
LOT 5 | 10-20 EASTERN ROAD, BROWNS PLAINS, QUEENSLAND
08
FOR SALE - $1,070,000
FOR SALE - $1,010,000
Lot 5103 10 - 20 Eastern Road, Browns Plains, Queensland
Lot 5109 10 - 20 Eastern Road, Browns Plains, Queensland
Sale Details
Tenant Profile
Sale Details
Tenant Profile
Property: Godfreys Premises
Godfreys
Property: National Dental Care Premises
National Dental Care
Size: 282 sqm
Godfreys is the largest vacuum cleaner retailer in the
Size: 170 sqm
National Dental Care (NDC) is building a national network
Net income: $ 74,664 p.a.
world and has established a strong and vibrant trade from
Net income: $75,534 p.a.
of corporatised dental practices, and along with it a
Asking Price: $1,070,000
their Village Square Browns Plains store. The brand was
Asking Price: $1,010,000
reputation in the dental industry as being a market leader.
established in 1931 and has grown to become an iconic
Financial Details
retailer. The brand now holds over 200 stores across all states $
Gross Income
$ 99,690
Centre Outgoings
-$ 23,437
Sinking Fund (Owners Cost)
-$ 1,589
Net Income
$
National Dental Care are currently operating 15 practices
Financial Details
in three states, Queensland, New South Wales and the
of Australia and New Zealand & the brand continues to lead the market through innovation and strong marketing endeavours.
-$ 25,026 $ 74,664
Comments Lot 5103 is a prominent 282sqm strata titled retail tenancy in the Village Square Browns Plains. Godfreys the iconic retailer has occupied their premises since May 2011 on a 5+5 year lease with fixed 4% annual rental reviews.
$ Gross Income
Northern Territory.
$ 91,082
Centre Outgoings
-$ 14,582
Sinking Fund (Owners Cost)
-$
Net Income
$
966
-$ 15,548 $
75,534
Comments Lot 5109 is a prominent 170 sqm strata titled retail tenancy in the Village Square Browns Plains. National Dental Care has recently committed to their Village Square Browns Plains practice on a 5+5 year lease with fixed 4% annual rental reviews .
LOT 5 | 10-20 EASTERN ROAD, BROWNS PLAINS, QUEENSLAND
10
FOR SALE - $980,000
FOR SALE - $920,000
Lot 5106 10 - 20 Eastern Road, Browns Plains, Queensland
Lot 5108 10 - 20 Eastern Road, Browns Plains, Queensland
Sale Details
Tenant Profile
Sale Details
Tenant Profile
Property: TAB Premises
TattsBet Limited
Property: EB Games Premises
EB Games
Size: 156sqm
TattsBet Limited is a subsidiary of TattsGroup Limited and is a
Size: 162 sqm
EB Games forms part of the listed American computer
Net income: $75,169
provider of diversified gambling services. The organisation has
Net income: $82,790 p.a.
giant Game Stop which is listed on the New York Stock
Asking Price: $980,000
operated successfully for over 125 years. TattsBet Limited, is a
Asking Price: $920,000
Exchange. The brand was established in 1977 in the USA
ASX listed organisation which has a monopoly over bricks and
Financial Details
mortar gambling throughout Australia. All of TattsBets operations $
Gross Income Centre Outgoings Sinking Fund (Owners Cost) Net Income
$ $ 88,838
were originally government owned however were privatised and listed in 1994. With an estimated annual revenue of approx. $3.3 billion TattsBet Limited will continue to dominate its industry.
-$ 12,793 -$ 876
and has now established itself as the prominent global
Financial Details $ Gross Income Centre Outgoings
-$ 13,669 $ 75,169
brand for video game retailing. The greater company has
Sinking Fund (Owners Cost) Net Income
$ $ 98,328
over approx. 6,500 stores across the USA, Australia, Europe, Canada and Central America.
-$ 14,623 -$
915
-$ 15,538 $ 82,790
Comments
Comments
Lot 5106 is a 156 sqm (approx.) strata titled retail investment. TAB commenced operating from the premises in June
Lot 5108 is a 162 sqm strata titled retail tenancy in the Village Square in Browns Plains. EB Games has occupied their
2010 and is secured on a 10+5 year lease. The Browns Plains TAB services Browns Plains and the surrounding
Browns Plains site since June 2009 on a 6+6 year lease with annual CPI +1% rental reviews.
suburbs.
LOT 5 | 10-20 EASTERN ROAD, BROWNS PLAINS, QUEENSLAND
12
FOR SALE - $690,000
FOR SALE - $650,000
Lot 5110 10 - 20 Eastern Road, Browns Plains, Queensland
Lot 5101 10 - 20 Eastern Road, Browns Plains, Queensland
Sale Details Property: Urban Burger Premises Size: 97 sqm Net income: $51,361 Asking Price: $690,000
Sale Details
Tenant Profile
Urban Burger
Property: Rugs a Million Premises
Rugs A Million
Urban Burger is an Australian Owned and operated gourmet
Size: 202 sqm
Rugs a million is an Australian owned and operated
burger chain which commenced operation in Melbourne,
Net income: $45,366
homewares retailer specialising in the sale of local and
Victoria in 2003. The company has grown to a chain of 10
Asking Price: $650,000
imported floor coverings. The company employs over 100
stores across Victoria and South East Queensland.
Financial Details $
$
Gross Income
$ 61,394
Centre Outgoings
-$ 9,477
Sinking Fund (Owners Cost)
-$
Net Income
Tenant Profile
556
-$ 10,033 $ 51,361
staff with the company growing to have 31 stores across
Financial Details
Queensland, South Australia and Western Australia. $
Gross Income
$ 63,483
Centre Outgoings
-$ 16,960
Sinking Fund (Owners Cost)
-$ 1,157
Net Income
$
-$ 18,117 $ 45,366
Comments
Comments
Lot 5110 is a 97 sqm strata titled retail tenancy. Urban Burger has occupied the Village Square Browns Plains site since May
Lot 5101 is a 202 sqm strata titled retail tenancy. Rugs a Million has occupied the Village Square Browns Plains site
2009 and has recently renewed on a new 7+5 year lease with fixed 4.0% annual rental reviews.
since May 2011 on a 5+5 year lease with fixed 4.0% annual rental reviews.
LOT 5 | 10-20 EASTERN ROAD, BROWNS PLAINS, QUEENSLAND
14
OWNER OCCUPIER OPPORTUNITIES FROM $690,000 - $810,000
UNDER OFFER - $1,937,500
Lots 5102 & 5107 10 - 20 Eastern Road, Browns Plains, Queensland
Lot 5104 & Lot 5105 10 - 20 Eastern Road, Browns Plains,
UNDER OFFER Sale Details
Sale Details
Property: Lot 5102
Property: Lot 5107
Size: 206 sqm
Size: 139 sqm
Size: 530 sqm
Proposed Net income: $60,638
Proposed Net income: $54,819
Net income: $155,000
Asking Price: $ 810,000
Asking Price: $690,000
Sale Price: $1,937,500
Financial Details
JD Lighting
Property: JD Lighting Premises and Lot 5105
JD Lighting is a locally owned and operated homewares retailer which commenced operation in the Browns Plains town centre in 2010. The company has recently renewed and expanded their store.
Financial Details $
Gross Income
$ $ 78,830
Centre Outgoings
-$ 17,030
Sinking Fund (Owners Cost)
-$ 1,162
Net Income
Tenant Profile
Sale Details
-$ 18,192 $ 60,638
$
$
Gross Income
$ 68,545
Centre Outgoings
-$ 12,945
Sinking Fund (Owners Cost)
-$
Net Income
Financial Details
781
$
$ 202,883
Gross Income -$ 13,725 $ 54,819
Centre Outgoings
-$ 44,884
Sinking Fund (Owners Cost)
-$ 2,999
Net Income
Comments
$
-$ 47,883 $ 155,000
Lot 5102 and 5107 are two separate retail/commercial owner occupier investments. The tenancies range in size from 206 sqm to 139
Comments
sqm and ideally would be suited to serviced based or homewares retailers.
JD Lighting occupy a 530 sqm strata titled retail tenancy. JD Lighting has occupied the Village Square Browns Plains site since March 2010 and recently expanded and renewed on a 5+5 year lease arrangement with fixed 4% annual reviews.
LOT 5 | 10-20 EASTERN ROAD, BROWNS PLAINS, QUEENSLAND
16
Sale Process INFORMATION TO BE PROVIDED Offers to Purchase must clearly indicate the following:▪▪ Name of the Interested Party, together with the Principals supporting the Interested Party and details of the holding company or entity if the Interested Party is a subsidiary or part of that group. ▪▪ Full details of the Interested Party’s capacity to complete the transaction in a timely manner. Details on how the purchaser intends to fund the acquisition, its funding sources, financial position and track record in completing relevant similar transactions together with an outline of any approvals and conditions relating to debt financing and/or equity raising.
DUE DILIGENCE Please contact the sales agent for access to the due diligence material.
CONTRACT FOR SALE A draft contract is available for review upon request for each of the assets.
CHANGES TO THE PROCESS The vendor reserves the right to withdraw the property from sale at any time and/or amend the offering at its discretion. The vendor is not responsible for any costs or expenses incurred by the Interested Party in preparing and lodging an Offer to Purchase or in taking part in the above process, whether or not the party is successful or whether or not the vendor terminates, varies or suspends that process or takes any actions available to the vendor.
Contact Chris Brinley - CBRE Negotiator - Retail Investments M 0401 322 668 E chris.brinley@cbre.com.au Michael Hedger - First Commercial Senior Negotiator - Sales & Leasing M 0414 888 659 E michaelh@firstcommercial.com.au Ben Bowen - First Commercial Negotiator - Sales & Leasing M 0414 888 978 E benb@firstcommercial.com.au
LOT 5 | 10-20 EASTERN ROAD, BROWNS PLAINS, QUEENSLAND
18
Information Memorandum
High Quality Fast Food Centre
For more information; Level 3, Waterfront Place 1 Eagle St Brisbane, Queensland 4000 Chris Brinley - CBRE Negotiator Retail Investments E: chris.brinley@cbre.com.au M: 61 401 322 668 Michael Hedger - First Commercial Senior Negotiator Retail Investments E: michaelh@firstcommercial.com.au M 61 414 888 659 Ben Bowen - First Commercial Negotiator Retail Investments
This information memorandum (“IM”) has been prepared by CBRE (C) Pty Ltd (“CBRE”) & First Commercial and is prepared on the basis of information provided to CBRE & First Commercial in connection with the relevant transaction. Any statement or opinion made by CBRE or First Commercial in connection with the transaction contemplated in the IM is not based on any actual or implied knowledge or consideration of the investment objectives, financial situation, legal or taxation position or any other particular needs or requirements of the recipients of this IM. All parties must make their own independent assessment and investigation including without limitation, seeking professional advice and must determine its interest in proceeding upon the basis of such independent assessment, investigation and appraisal. Any statement or opinion of CBRE or First Commercial whether express or implied is not, nor should be construed as a recommendation by CBRE or First Commercial or any of their respective officers, agents or employees to participate in the transaction and, to that extent, no reliance will be placed on CBRE, First Commercial or their respective associates. CBRE, First Commercial or their respective associates do not warrant (expressly or impliedly) that information contained in this IM is complete, true and correct and not misleading or not likely to be misleading or deceptive. CBRE, First Commercial or their respective associates are not responsible and will not under any circumstances be liable (whether at law, in equity, under statute or otherwise) for any statement made or anything contained in or arising out of the information including, without limitation, any errors, misrepresentation or omissions. CBRE & First Commercial disclaims all responsibility for any loss or damage caused by reliance by any person on this IM or any representation, warranty or statement made by or on behalf of CBRE, First Commercial and their respective associates. This IM is confidential and is for the sole use of persons directly provided with it by CBRE or First Commercial and is not to be reproduced, copied or sent to any other person without the prior written consent of CBRE or First Commercial. The use by, or reliance upon this document by any other person is not authorised by CBRE or First Commercial and without limitation to the above disclaimers, CBRE or First Commercial are not liable for any loss arising from such unauthorised use or reliance.