Frasers Property, partner to sell retail assets in Sydney

Sale of last three retail assets in mixed-use Central Park project expected to fetch $164m

The final three retail assets in the mixed-use Central Park project developed by Frasers Property Australia and Japanese developer Sekisui House in central Sydney are up for sale.

The transaction is expected to fetch around A$170 million (S$164 million).

Central Park Mall, DUO Retail with its eight outlets, and Park Lane Retail with six will be sold as a single block.

The sale is the final component of the partnership's divestment strategy for the A$2 billion project.

Colliers International has been appointed to sell the assets via an international expressions of interest campaign starting early next month.

The project, known for its vertical gardens and heliostat, was formerly a brewery site that was converted into a mixed-use precinct with retail, commercial, hotel, student accommodation and residential uses integrated with lifestyle options.

One Central Park, a 33-storey residential building, is part of the mixed-use project known for its vertical gardens and heliostat. ST FILE PHOTO

Mr Mick Caddey, development director of Frasers Property Australia, said: "Central Park has redefined urban living in Sydney and Central Park Mall is the natural heart of this community. We are searching for the right buyer to keep the retail offer evolving.

"These retail assets serve a large and growing catchment from a highly prominent and easily accessible location, surrounded by Australia's leading universities and education precincts with over 115,000 students within walking distance of the centre."

He added that the Central railway station, which is undergoing an A$955 million upgrade, is less than 500m away.

Central Park Mall opened in late 2013. It is anchored by a Woolworths supermarket and the Palace Cinema complex, and includes an open green space ideal for events, the companies said.

Its 14,600 sq m of gross lettable area across five levels also comprises a mix of entertainment, fashion and experiential retailing, complemented by an alfresco dining precinct.

Colliers noted that the Central Park precinct continues to "grow from strength to strength", with customer traffic having increased 33 per cent since 2014 while sales rose 56 per cent.

A version of this article appeared in the print edition of The Straits Times on April 24, 2019, with the headline 'Frasers Property, partner to sell retail assets in Sydney'. Print Edition | Subscribe