A GROUP headed up by outspoken local business leader Paul Pierotti has snapped up the Gateway Centre at a "bargain basement price".
The Jondaryan Avenue centre, which is anchored by Harvey Norman and recently welcomed BCF as a tenant, was bought by the Caesar's Group for $4.66 million at auction in Sydney on Tuesday close to a million dollars under what market analysts had predicted.
Mr Pierotti, managing director of the group and local business chamber president, said the purchase was an investment in the future of Griffith.
"Now's the time to buy in Griffith and from a commercial perspective it was too good an opportunity to let go," Mr Pierotti said.
He said the group was actively scouting for a new tenant to fill the almost 2500 square metre space last vacated by Sam's Warehouse.
Selling agent Dean Venturato from Burgess Rawson said he had received close to 50 inquiries into the property from buyers across the country.
"A lot of people saw value in the property and it's been sold at a figure vastly below its replacement cost," Mr Venturato said.
"It was an attractive offer. It has three national public company tenants on lease terms of seven, seven and four years.
"And there's the upside of being able to increase returns even more by leasing the vacant area."
The property was owned by superannuation funds management firm Centuria Property Fund, which also owns the Homemakers' Centre adjacent to the Gateway Centre.
Mr Venturato said it was possible the Homemakers' Centre would be re-listed for sale in the near future.