This article is from the Australian Property Journal archive
A FAST food retail centre in Sydney has sold for $9.15 million under the hammer as investors snapped food and beverage and childcare assets.
Yesterday’s Burgess Rawson auction in Sydney demonstrated that there are still buyers in the cooled-down market, while yields are continuing to soften.
The Campbelltown centre, on a large 7,449 sqm site, is fully leased to Oporto, Loan Star, Harry’s Café De Wheels and Big Fat Greek and traded on a 6.22% yield.
The site is located in a fast food epicentre that includes McDonald’s, JFC, Hungry Jack’s and Red Rooster with exposure to over 37,000 passing vehicles daily.
A 7-Eleven fuel and convenience station in western Sydney’s Jamistown on a 3,513 sqm corner site achieved the tightest yield of the day, selling for $6.2 million on a yield of 4.99%. 7-Eleven has a 15-year lease to 2029 plus options to 2044.
An investor paid $5.52 million for a brand-new childcare centre in Canberra, which has a 20-year lease to 2042 plus options. The centre traded on a 5.51% return.
The 80-place facility is operated by a provider with 12 centres across NSW and ACT.
Also selling was the Darlinghurst premises of inner-city restaurant Kissuu, founded by hospitality expert Paul Schulte, ex-Nobu Chef Adam Bourke and music curator, Rich Penny. Located on Oxford Street, the 200sqm three level building on 97 sqm of land sold for $2,960,000 on a 6.08% yield, with a five year lease to 2027 plus options.
A 122 sqm Newcastle office with a new 3 + 3-year lease to engineering consultancy Northrop sold for $700,000, at 7.24%.
