This article is from the Australian Property Journal archive
CHILDCARE centres, fuel stations and takeaway food outlets have headlined the results in the one of first portfolio auctions held since the COVID-19 restrictions were introduced.
Ten of the 12 assets offered at Melbourne’s Crown Casino in the Burgess Rawson event held yesterday sold under the hammer, while three properties sold prior.
Opening yesterday’s proceedings were dual Hungry Jack’s investments, at 274 Mulgrave Rd in the Cairns suburb of Westcourt and 20 Ryley St in Wangaratta, selling for $5.21 million and $2,005,000 respectively.
The Cairns asset covers 3,188 sqm of corner land adjacent to a DFO outlet and is leased until 2030 with five year options and returns net annual income of $248,432 plus GST, while the 1,815 sqm Wangaratta property has a net ground lease and a five year option to 2027 bringing $113,676 annually plus GST from December this year.
Wallaby Childcare centre in Melbourne’s Epping landed the biggest price tag of the day, selling for $6.97 million. The tripled fronted 2 Shimmer St property is leased for 15 years with 10 year options and is licenced for 150 places. Net annual income is $417,575 plus GST and outgoings.
Also among the childcare centre sales were a brand new Imagine centre in Werribee, for $5.702 million with 112 places and a $334,320 net annual return plus GST and outgoings, and a 20 year triple net lease with options to 2060, and a Nido Early School in Perth’s Padbury for $4.605 million. The multi storey facility is also leased until 2060 including options, with a licence for 82 places and income of $298,287 plus GST and outgoings per annum.
Three petrol station investments in separate states sold under the hammer. A Shell site of 2,407 sqm in Langwarrin fetched an even $6 million, with a 15 year lease and yearly net return of $356,867 plus GST, as well as a 7-Eleven in Redbank Plains, Queensland for $5.55 million with a $330,000 net return and 12 year lease, and a Caltex station in Moama, New South Wales for $1,970,000 million, leased for 10 years to 2024 plus option. Net yearly income is $157,500.
Other properties to sell at the event were a 249 sqm VicRoads office building on 3,118 sqm of land in Hamilton for $725,000 – the government department pays $39,950 net each year plus GST in rent – and a vet clinic in Rye for $1,150,000 leased to 2024 with options, bringing net income of $59,555 each year plus GST.
Among the properties that sold ahead of the event were a commercial building in Aitkenvale leased to the Queensland government and a plastic and reconstructive surgery, a longstanding Commonwealth Bank branch and Natural Soy Creations retail outlet in Victoria’s Portland, and a Caltex service station in Harlin with 15 year tenancy plus option.
They followed a smaller Sydney event on Tuesday at which an upgraded Shell service station in Hatton Vale, Queensland traded for $6.8 million. The 10 year lease over the 7,474 sqm site brings net yearly income of $550,000 plus GST.
Another Shell station in Kurri Kurri traded for $3,055,000, bringing nearly $260,000 net annually plus GST with a lease until 2027 plus options.
A Centrelink and Medicare building in Nelson Bay sold for $2,015,000 with an annual net income of $118,240 plus GST, and a Cheesecake Shop in the ACT’s Wanniassa traded for $755,000. The retailer pays $38,546 each year net plus GST.
