Oreana has sold Kallo Town Centre in Kalkallo, northern Melbourne to Region Group for $64.5 million.
The shopping centre spans over 7000sqm and has a 12-year lease agreement with Woolworths. It also leases to 19 specialty retailers, medical/pharmacy, a gym, childcare centre and fuel station.
The sale represents a 5.98 per cent yield for Oreana. Recently, the company acquired land sites in Morayfield in Queensland and North Ellenbrook in WA.
“Neighbourhood shopping centres have shown remarkable resilience and growth in demand post-Covid, and Kallo Town Centre’s strategic location in Melbourne’s growth corridor makes it an excellent investment,” said Tony Sass, Oreana MD.
Meanwhile, Oreana has already started construction works at the $18 million Farm Gate Local shopping centre in Clyde, the $75 million Botanic Village town centre in Mickleham and the $32 million Linfield Place shopping centre in Wollert.