Summary
- Australian property trust Charter Hall Retail REIT (ASX: CQR) has acquired four Bunnings hardware-store properties for A$151 million.
- The outlets are located in regional centres: Goulburn (NSW), Toowoomba, Airlie Beach and Cairns in Queensland.
- Lease terms extend up to ten years, with fixed annual rent reviews of between 2.5 % and 3 %.
- The properties have low site coverage on large land footprints, making them difficult to replicate and strategically attractive.
- On average the passing rents are assessed to be 15-20 % below market levels, offering upside potential.
- CQR has boosted its FY26 earnings guidance (to a minimum 26.4 c per unit) and lifted its distribution per unit guidance to 25.5 c (yield ~6.1 %).
- The move signals CQR's intent to further grow its net-lease convenience retail and hardware property portfolio amid favourable market fundamentals (population growth, supply constraints).
SYDNEY — Australian listed property trust Charter Hall Retail REIT saw an opportunity in the hardware sector and acted — acquiring four standalone Bunnings outlets for A$151 million in a deal that underlines its broader strategy to strengthen its net-lease convenience-retail platform.
