Hill Street Grocer and Mitre 10. No.108-114 Gilbert St, Latrobe and Lot 2 Weld St, Latrobe will be sold under the hammer in April. Picture: Supplied
Freehold supermarkets are premium assets that seldom change hands.
And this one in Tasmania is described as a “landmark investment opportunity”.
Elders Commercial Tasmania and CBRE have brought Latrobe’s Hill Street Grocer and Mitre 10 retail shopping complex to market.
It will be sold at auction in just a couple of weeks.
Located at No.110-114 Gilbert St and Lot 2 Weld St, Latrobe, the property occupies an 11,592sq m site in the heart of CBD.
This multi-tenanted retail hub is anchored by two of the region’s most resilient brands.
Hill Street Grocer is Tasmania’s largest independent grocer. It holds a long-term lease through 2035 with options extending as far as 2085.
Mitre 10 is a wholly owned subsidiary of the ASX-listed Metcash Limited, with a lease through to 2029 and further options.
Beyond the major anchors, the complex includes three specialty high-street tenancies — menswear, womenswear, and craft/haberdashery, all operated by Hill Street.
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Hill Street Grocer and Mitre 10.
Hill Street Grocer and Mitre 10.
Scott Newton, director at Elders Commercial Tasmania, said the property represents a rare opportunity to acquire a high-performing, minimal management retail asset in one of Tasmania’s fastest-growing local government areas.
“With a rich retail history dating back to the 1880s and major refurbishments completed in 2016, it combines heritage charm with modern investment security and long-term leases,” he said.
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Nicholas Bond, director at Elders Commercial said Latrobe is a vibrant commercial and residential hub, well-connected to major regional hospital infrastructure and key freight routes.
“The property’s General Business zoning provides for a wide range of future commercial and community uses, further enhancing its long-term value and appeal to investors who actively seek convenience based retail assets with key anchor tenants,” he said.
Hill Street Grocer and Mitre 10.
Hill Street Grocer and Mitre 10.
CBRE senior director Matthew Wright said: “Freehold supermarkets simply don’t come to market and when they do, everyone pays attention.
“Over the past six to 12 months, we’ve watched national and international capital flood into Tasmania as a safe haven, and this is exactly the opportunity they and the market have been waiting for,” Mr Wright said.
CBRE associate director George Wilkinson described Hill Street Grocer as one of Australia’s premier boutique supermarket brands, operating in a catchment with limited competition and options to 2085.
“You cannot manufacture that. This is a generational asset, and opportunities like this don’t wait,” he said.
Hill Street Grocer and Mitre 10.
Hill Street Grocer and Mitre 10.
The asset generates a net annual income of $596,986 plus GST, supported by “investor-friendly” net lease structures.
It boasts a Weighted Average Lease Expiry (WALE) of 7.3 years by income.
Situated on Latrobe’s primary commercial street, it has over 57m of frontage, and the site is just 10 minutes from Devonport and the Spirit of Tasmania terminal.
The site features a 100kW solar panel system providing power benefits to the grocer, and significant public parking with 96 spaces at the rear.
No.110-114 Gilbert St and Lot 2 Weld St, Latrobe will be featured in Investment Portfolio Auction 183 at Melbourne’s Crown Casino on April 1.