This article is from the Australian Property Journal archive
A BWS bottle shop and drive-through in Hobart’s CBD and an inner Adelaide vet clinic were among the big-ticket items at a commercial portfolio auction yesterday held at Melbourne’s Crown Casino, which saw $45 million worth of property sold.
Yesterday’s edition of the Burgess Rawson property portfolio auction netted a clearance rate of 79% as 15 properties sold under the hammer.
The Hobart BWS sold for $6.501 million, on a yield of 6.05%. Endeavour Group, Australia’s largest hotelier and liquor retailer has a 10-year lease to 2031 with options to 2051 over the 934 sqm Davey Street site, which brings $393,398 per year plus GST.
Under offer is another Hobart bottle shop investment – a trophy 2,126 sqm Dan Murphy’s building on a 4,072 sqm site in Bellerive, with a brand-new 10-year lease that returns $500,721 per year plus GST.
Selling with a decent price tag was the home AdelaideVet clinic on Goodwood Road in the inner south suburb of Westbourne Park. It was knocked down to an investor for $5.855 million, on a 5.88% yield, with a 10-year lease to 2029 plus options. The 2,977 sqm landholding returns over $344,000 per year plus GST in rent.
Childcare centres were again a feature of the portfolio auction. A 4,004 sqm site in Melbourne’s Melton sold with a lease to 2036 to Little Stars Early Learning for $4.216 million, on a 5.8% yield. It has options to 2056 and is licenced for 100 places.
Another childcare centre, in the Fremantle suburb of Hilton, sold for $3.25 million at 6.2%. The strategic 1,500 sqm corner site is licenced for 63 places and has a new lease to Little Kindy until 2038 with a 10-year option.
A 498 sqm corner Bendigo site occupied by Brewhouse Café & Coffee Roasters on a lease until 2039 sold for $2.3 million at 4.77%, while a Wendouree, Ballarat dental clinic opened the day’s proceedings and sold with a five-year lease to 2027 with an option to Bupa for $1.785 million, at 4.54%.
Also among the day’s lowest yields was a Braeside warehouse occupied by Tokyo Stock Exchange-listed Fujitsu subsidiary Precise Air Group, for $1.585 million at 4.55%. It has a three-year lease to October 2025 with an option to 2028.
A retail shop and residence in Melbourne’s Prahran sold for $2.051 million, on a yield of 4.6%. The dual-level, 245 sqm building is occupied by wholesale textile importer and distributor Ascraft/Motivo.
