JLL have transacted Woolworths Ballarat in what is the first regional freestanding Victorian supermarket to be sold in 2024.

The supermarket is located 5.5km from the Ballarat CBD, within the small suburb of Wendouree. The 2,169 sqm store occupies a strategic 6,394 parcel of land, zoned Commercial 1, and provides approximately 116 at-grade car spaces on title.

The sale was brokered by JLL’s Jarrod Herscu, Stuart Taylor, Tom Noonan and MingXuan Li via a public expression of interest campaign to a private investor for an undisclosed amount, however, the indication on price is mid 5%. 

Mr Herscu commented, “The campaign received over 10 bids and was one of the highest enquiry rates in the last 24 months. Considering the regional location and older state of the building this demonstrates the significant depth of capital for freestanding supermarkets. These investments have long been a highly coveted asset class in commercial real estate due to their highly defensive investment qualities.”

Mr Taylor commented, “As Victoria’s largest inland city, Ballarat continues to be on the radar of investors looking to capitalise on the strong population growth and 50% stamp duty savings”

“The sale of Woolworths Ballarat continues our strong track record in the town with approximately $200m worth of retail investments sold since 2021 including Delacombe Town Centre, Alfred Square and Bunnings Delacombe” 

The property was owned by a private syndicate for more than 30 years after being purchased for $1,375,000 in 1990.  

Mr Noonan commented, “Whilst transaction volumes remain subdued in the retail sector, there is significant demand from well capitalised private investors. These buyers are seeing this time in the cycle as an opportunity to secure prime assets which rarely become available for purchase from long-term holders”.

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