Qualitas Convenience Retail Fund No. 1 and Greenpool Capital have divested North Adelaide Village to a local private investor at a time when demand for convenience anchored retail remains robust with $1.6 billion of neighbourhood transactions year to date.

The property was acquired following a sale campaign coordinated by CBRE's Simon Rooney, James Douglas and James Sherley.

The property's high-profile location, excellent demographic profile and significant value-add potential drove strong interest in the sale process.

Situated just 2.6 kilometres from the CBD, North Adelaide Village is in one of Adelaide's most affluent and tightly held catchments, in close vicinity to the redeveloped Adelaide Oval and revitalised Riverbank Precinct.

The 9,352 sqm centre occupies a high-profile and prominent corner site of 11,439 sqm within the heart of the premier O'Connell Street retail precinct.

With a diverse tenancy mix and a focus on convenience, lifestyle, service and fresh food, the centre is anchored by a Romeo's Foodland on a long-term lease until 2033 with a further 25-year option, alongside a Goodlife Gym, 32 specialty shops and kiosks, seven office tenancies and one car wash pad site.

Mr Douglas noted that the centre offers immediate value-add opportunities via strategic leasing to enhance the cashflow and tenant offer, while positioning the asset for a potential long-term major mixed-use retail and residential development scheme.

“The optionality to consider various value-add initiatives was underpinned by the secure underlying cash flow of Romeo's Foodland and all specialty leases featuring redevelopment clauses,” Mr Douglas added.

The corner site also offers future mixed-use development potential of up to six-storeys – subject to the relevant planning approvals – with the pending completion of the adjacent 88 O'Connell Street development showcasing the potential sale and demand for high density development.

Mr Sherley noted Neighbourhood Shopping Centres such as North Adelaide Village remain a hotly contested commodity, given the non-discretionary focus and secure anchor tenant profile being viewed as a defensive investment play.

The centre also benefits from an affluent and high-spending demographic, with primary trade area per capita income levels 34.4% above the benchmark.

There is also a significant worker market of 10,559 as well as a thriving tourist market (22.6 million visitor nights and 4.7 million domestic day trips) with 64.1% of centre visitation coming from outside the main trade area.

Population growth within the main trade area is projected to increase from 43,763 to 55,543 by 2046, representing robust average annual growth of 1.14%.

“North Adelaide is an attractive investment destination experiencing significant capital investment, including 88 O'Connell mixed-use residential development and redevelopment of the North Adelaide Golf Course, Adelaide Oval, Market Square, Keystone Tower and Festival Tower highlighting continued capital interest in the region and inflows into the state,” Mr Sherley added.

About CBRE Group, Inc.
CBRE Group, Inc. (NYSE:CBRE), a Fortune 500 and S&P 500 company headquartered in Dallas, is the world's largest commercial real estate services and investment firm (based on 2024 revenue). The company has more than 140,000 employees (including Turner & Townsend employees) serving clients in more than 100 countries. CBRE serves clients through four business segments: Advisory (leasing, sales, debt origination, mortgage servicing, valuations); Building Operations & Experience (facilities management, property management, flex space & experience, digital infrastructure services); Project Management (program management, project management, cost consulting); Real Estate Investments (investment management, development). Please visit our website at www.cbre.com.