The sale, brokered by RWC Sydney City Fringe director Kamal Silwal, covers 4,000 sqm of shops at Princes Highway, Arncliffe, which includes a supermarket, smaller stores and a childcare centre.
The retail space in Sydney’s south sits beneath 806 apartments across four towers, all of which have sold.
Consistent with the vision of Billbergia of creating communities, the development also includes a 1,634sqm library and community centre, a 4,000sqm public park, new pedestrian links and customer parking.
The original strategy was to sell and lease the shops on an individual basis, however Mr Silwal identified an opportunity to offer the shops as a single package, securing a whole retail sales transaction with a professional fund who specialised in mixed use retail leasing and management.
“This was not simply about selling retail space; it was about presenting a long-term and sustainable vision for the precinct,” Mr Silwal said.
“Once the purchaser understood the opportunity to control the tenancy mix and create a coordinated shopping destination, the commercial rationale became very compelling.”
Mr Silwal said both sides were clear about their goals and the key terms early on, which helped talks move quickly.
“The inclusion of complementary uses such as childcare, together with the supermarket-anchored retail offering and significant residential catchment, reinforced the long-term investment fundamentals,” Mr Silwal said.
“Ultimately, the openness, trust and commercial understanding demonstrated by both parties were instrumental in achieving this outstanding result.”
The deal reflects growing interest from investors in local shopping centres in Sydney’s developing suburbs.