Clarence Property has snapped up a tightly held neighbourhood shopping centre in Brisbane’s fast-growing southwest, acquiring Metro Middle Park for $40.4 million in a strategic play through its flagship Clarence Property Diversified Fund.
The acquisition marks another major metro investment for the group, following its $119 million purchase of 120 Edward Street in Brisbane’s CBD last year, and underscores Clarence Property’s growing appetite for income-producing assets in resilient Southeast Queensland markets.
Metro Middle Park is a single-level neighbourhood shopping centre anchored by a strong-trading Coles supermarket, supported by 38 specialty tenancies across 6,411m2 of gross lettable area.
The asset sits on a prominent 2.1-hectare corner site zoned for District Centre (DC1), offering longer-term mixed-use development potential of up to four storeys.
Ben Somerville, Head of Capital Transactions at Clarence Property, said the group remains focused on identifying counter-cyclical opportunities in markets backed by strong fundamentals.
“In a climate where yields have softened and transaction volumes remain subdued, we’re seeing continued value in defensive, convenience-led assets with strong tenant covenants and embedded land value,” said Somerville.
“Metro Middle Park is a great example – a rare, tightly held metro Brisbane retail centre in an affluent family catchment, anchored by a national tenant trading above threshold and paying turnover rent.”
The centre boasts a weighted average lease expiry (WALE) of three years and benefits from direct access and 301 at-grade parking spaces, making it a highly convenient retail destination for the growing Centenary suburbs, including Jaboree Heights, Riverhills, Westlake and Mount Ommaney.
Simon Kennedy, CEO of Clarence Property, said the acquisition reinforces the group’s confidence in Brisbane’s growth trajectory and long-term fundamentals.
“Brisbane remains one of Australia’s most compelling real estate markets, supported by strong population growth, a deepening infrastructure pipeline, and the long runway of the 2032 Olympic Games,” said Kennedy.
“We’re continuing to pursue strategic additions to our over $800 million strong portfolio across retail, commercial, industrial and residential sectors – and Metro Middle Park fits that mandate perfectly.
“The centre is well positioned to deliver strong income performance in the short term, while offering future uplift via retail repositioning over time.”
The sale was negotiated by Peter Tyson, National Director at Savills. Tyson said Metro Middle Park attracted strong buyer interest in a market where high-quality neighbourhood centres remain tightly held.
“Metro Middle Park stands out as a rare metro Brisbane retail offering with secure income, high exposure, and embedded development upside,” said Tyson.
“Neighbourhood centres of this quality, with national anchors and strong local catchments, continue to draw significant interest in a low-supply environment.”
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