This article is from the Australian Property Journal archive
COMMERCIAL property investors have picked up another $25 million worth of assets at the Burgess Rawson portfolio auction in Melbourne yesterday, with the tightest yield going to a bakery occupied by Baker’s Delight that sold under the hammer on a 3.91% return.
Nine of the 16 listed properties at the event changed hands, including three prior to the event, following a 100% clearance rate at Tuesday’s Sydney event that saw $28 million of properties sold.
Among those selling before the event was a medical facility in the regional Victorian town of Echuca for $6 million. Located close to the Echuca Regional Hospital, the near-4,000 sqm site has renewed 10-year leases to general and health practice operator Rich River Health Group and a pharmacy, and also has two two-bedroom dwellings.
The Bakers Delight, located in the north-east Melbourne suburb of Rosanna, sold for $943,000. Bakers Delight has been at the site for circa 40 years and funded upgrades to the 154 sqm building in 2021.
One of the biggest sale prices of the day was the $4.75 million paid for a 2021-built Mobil X Convenience petrol station in Adelaide’s Northfield, reflecting a 6.66% yield. The high-profile corner site is subject to a 15-year lease with two further 10-year options.
Also selling was a Grill’d premises next to Subiaco station in inner Perth for $1.847 million, at 5.61%. The head office of the burger chain has a five-year lease to October 2028 plus options.
The Mill Park offices of Victoria’s Minister for Energy & Resources, Lily D’Ambrosio, sold for $940,000, at 6.60%. The Parliament of Victoria has occupied the property since it was built and has a renewed four-year option from January this year, plus an option to 2031.
The Burgess Rawson portfolio auction series moves to Brisbane today.
