Surfers Paradise retail centre Circle on Cavill has been snapped up by an offshore investor for $61.8 million.

Real estate fund manager EG Group announced had settled the sale of the site at 3184 Surfers Paradise Boulevard to Macau businessman Loi Keong Kuong, following an expression of interest campaign toward the end of 2019.

Comprising a mix of services and dining destinations on Cavill Avenue, Circle on Cavill is home to national retailers such as Woolworths, as well as specialist medical service providers such as Gold Coast Radiology and Amcal Chempro Pharmacy.

Source: JLL

At a glance: 

• The Circle on Cavill retail centre in Surfers Paradise has been sold to Macau businessman Loi Keong Kuong for $61.8 million at a passing yield of 8.82 per cent.
• The site was sold by real estate fund manager EG Group, which acquired the property in 2011.
• The transaction was brokered by JLL's retail investment team of Jacob Swan, Sam Hatcher and Nick Willis, in conjunction with McVay Real Estate’s Dan McVay and Sam McVay.

The site also boasts an outdoor piazza and underground parking for 420 cars.

Since EG acquired the site in 2011, the physical works have greatly transformed the shopping experience to a day and night destination with the centre now one of the Gold Coast’s pre-eminent CBD retail destinations.

Source: JLL

“We are very pleased with this result and also to see evidence that transactions of high-quality real estate are still completing in this cautionary environment,” said Fund Manager, Daniel Farley.

The transaction was brokered by JLL's National Retail Investments team of Sam Hatcher, Nick Willis and Jacob Swan, in conjunction with McVay Real Estate’s Dan McVay and Sam McVay.

Mr Hatcher told WILLIAMS MEDIA there was a "huge level" of pent-up offshore capital that would be deployed into Australia once COVID settles, with the recent changes to Foreign Investment Review Board (FIRB) just meaning that deals "take a bit longer".

"Our JLL national retail team has never been busier servicing our broad client base," he said.

"Our team model and deep research platform have been called upon by all owners in this cycle, and in Q1 alone, our team has concluded eight retail transactions and well advanced on a number of other key mandates.

"Despite many challenges ahead for Australia, we need to be careful not to get too bogged down with continued fear and hysteria.

"As a nation, we have an incredible record of overcoming whatever obstacles come our way - no valley goes on forever."

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