Brisbane LFR and convenience centre Richlands Home & Life has sold for $33.85 million to a private Sydney investor, setting a benchmark yield of 5.8 per cent for the region.
The transaction followed a competitive two-stage expressions of interest campaign managed by Colliers retail middle markets experts Harry Dever and James Wilson on behalf of developer POD Developments.
The campaign generated 142 enquiries and 12 formal bids, which demonstrated more than $345 million in unsatisfied capital is available for quality commercial assets.
Occupying a 19,637sqm freehold site 21km south-west of the Brisbane CBD, the 5594sqm centre is fully leased to major national retailers including Supercheap Auto, Petbarn, Autobarn, Caltex, and Banjo’s Bakery.
The asset generates approximately $2.1 million in net annual income with a weighted average lease expiry of 8.6 years.
Dever said Queensland’s LFR sector recorded $409 million in transaction volumes over the 12 months to this month, a 53 per cent year-on-year increase and noted that capital remains directed toward newly built, well-located centres underpinned by national tenant covenants.
“Large format retail continues to appeal to a broad pool of buyers, particularly assets offering strong national covenants, strategic landholdings and clear rental reversion potential,” added Wilson.
“Nationally, LFR middle-market transaction volumes increased 40 per cent in FY2026, surpassing $1 billion, highlighting growing recognition of LFR as a mature asset class.”
“Strong rental growth is supporting long-term income growth for investors, while exposure to population growth and resilient sales activity provides further upside without the significant development risk associated with new supply.”
- Further reading: Pialba Place sold by Stonebridge for $40 million.
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