In November 2007, a joint venture between State Development Corp and the Ray White Invest Keppel Bay Plaza Property Trust acquired a 2.5 hectare property in Yeppoon, central Queensland, that consists of a single level neighbourhood shopping centre Keppel Bay Plaza and the Railway Hotel.

The joint venture was of the view that the property presented a strong investment opportunity for the following reasons:

• It is well positioned, being contained within the growing catchment area of Yeppoon and is centrally located to the western end of the main retailing precinct, James Street, and the tourist hub of the Anzac Parade foreshore.
• The existing trading history of the shopping centre is strong with a strong consumer loyalty.
• The property has strong potential to improve its retail offering and shopping convenience to the Yeppoon market, via an extension to the existing Coles supermarket together with refurbishment of the remainder of the centre.
• The potential to add value to the properties adjoining the main centre, including the repositioning of the Railway Hotel.

Since settlement of the property, consultation has been undertaken with exiting retailers with a view to obtain their support for the refurbishment of the centre, based upon what the joint venture expects will be an improved retailing experience.

Re-development plans continue to be revised and worked-up, based on input from existing and prospective tenants and the builder.