A Christchurch property investor has purchased the Prebbleton Village shopping centre for $13.8 million, marking the city’s largest suburban convenience retail sale since the 2021 market peak.

The centre, located on Springs Road, was developed by local firm Mon Group in 2022. It features 15 tenancies spread across three buildings and has become a busy commercial hub for the growing Selwyn community.

Colliers Director of Investment Sales Courtney Doig said there was strong interest in the retail complex.

“While most of the enquiry came from local parties, there was also a noticeable uptick from North Island investors. We’re encouraged by the renewed interest in retail assets, particularly given the sector’s challenges in recent years,” she said.

The sale was completed with a 6.4 percent yield, which Doig said reflected a sharp improvement in investor sentiment.

“It’s nearly a full basis point sharper than where the market was 18 months ago for like assets in comparable locations.”

She said the centre was sold as a single freehold parcel, even though the vendors had a subdivision plan prepared that would have allowed individual sales of the buildings.

“The purchase of the entire complex shows real confidence in the market and in Selwyn District, which is continuing to boom.”

Prebbleton has seen consistent population growth since 2000, averaging 3.4 percent annually over the past five years, well above the national average of 1.4 percent.

The township has undergone major expansion over the past decade, with numerous residential subdivisions and more in the pipeline. Proposed development plans could see the area nearly double in size.

Mon Group is now preparing to begin a similar development in Rolleston, which will include a mix of service and community-based retail offerings.