A freestanding Woolworths Metro supermarket with significant underlying land value is being brought to market in Melbourne’s highly coveted inner-city suburb of Clifton Hill.
Woolworths Metro Clifton Hill recently underwent a $1.5 million renovation, completed in 2019 and is 100% leased to ASX top 10 covenant Woolworths Group, with options until 2056, on an attractive net lease with fixed annual 3% increases.
“Demand remains incredibly strong for prime freestanding retail investments, particularly those in strategic metropolitan locations that are trading exceptionally well,” Colliers Retail Middle Markets in Victoria director, Tim McIntosh said, who is exclusively selling the asset together with colleagues Matt Stagg and Yvonne Zhou via on-site public auction Friday 15th September 2023 at 11am (AEST).
“In current market conditions, investors are particularly attracted to the ultra-defensive and recession-proof characteristics coupled with attractive income growth that supermarkets provide.”
With a rare triple frontage site, the freestanding supermarket occupies a valuable 712 square metres, providing flexibility for development upside sitting on a Commercial 1 Zone with a height limit of 14 metres.
“The opportunity to acquire a trophy supermarket asset secured by Woolworths is exceptionally rare in a prime inner-city location. Woolworths Metro Clifton Hill sits within a catchment experiencing significant growth and will benefit from surrounding developments, including the Fitzroy Gasworks with an estimated value of $900 million,” McIntosh added.
Strategically positioned just 3km from Melbourne’s CBD, Woolworths Metro Clifton Hill benefits from a prominent corner position with frontages towards Queens Parade and Gold Street, exposed to over 11.68 million vehicles annually.