This article is from the Australian Property Journal archive
A COMMERCIAL investment at Frankston in Melbourne's outer south-east has sold for $5.375 million on a 6.2% yield.
Fitzroys’ Charles Emmett said sold the property at 50-52 Wells St and 1 Shannon Mall via auction.
He said four bidders fought it out for the property.
The property was sold subject to two secure leases to Westpac, at 50-52 Wells St, and Xtreme Clothing Pty Ltd, at 1 Shannon Mall.
50-52 Wells St consists of a ground floor banking chamber and first floor office for a total area of around 667 sqm. The Westpac lease is returning $286,973.42 per annum plus outgoings, with a lease term of seven years until 2017 and two further terms of five years each.
The retail premises at 1 Shannon Mall are 90 sqm approx. Xtreme Clothing’s lease is a new five-year deal with two terms of three years each, returning $52,000 per annum plus outgoings. Total rent is $338,973.42.
The total building area is 736 sqm and is set on a land area of 465 sqm.
“The strong price and competition generated on the day reflected the depth of the market and the strong demand out there for high quality retail investment property priced in the $1 million to $15 million price bracket,” Emmett said.
Property Review
