Midland Gate Shopping Centre is being sold for more than $100 million less than the original asking price after being on and off the market since 2019.
On September 20 the Australian Financial Review reported the shopping complex had been sold for $465 million to international investment firm Hong Kong PAG and Melbourne-based Fawkner Property.
This is almost $200 million less than the $650 million the owners were originally asking for in 2019.
Midland Gate is currently jointly owned by Vicinity Retail Partnership, backed by the Future Fund and Canada Pension Plan Investment Board, and Commonwealth Bank Group Super, and draws 8.4 million annual visits in a trade area of just under 250,000 people.
Vicinity is yet to publicly confirm the sale of the shopping complex.
Colliers’ Lachlan MacGillivray and CBRE’s Simon Rooney were brought on by the owners to broker the sale back in 2019 when Midland Gate was first put on the market. A prospective purchase by Elanor Investors Group for a speculated $530m fell through last year, and now it’s looking like the owners may receive less than that.
The shopping centre was put on the market after completing a $100m redevelopment which introduced brands like Aldi, JB Hi-Fi and Rebel Sport, along with a new fresh food precinct, and an upgraded food court.