This article is from the Australian Property Journal archive
ONE of the first major commercial property auction events of the year has netted over $43 million in sales from a 70% clearance rate as investors kicked into gear for 2024, snapping up assets leased to ASX-listed tenants.
Burgess Rawson’s first auction event for the year, held in Sydney, was headlined by the $14.2 million sale of a medical centre in Port Macquarie, on a 5.98% yield.
Sold through Yosh Mendis and Geoff Sinclair, 14 Highfields Circuit is a 1,084 sqm purpose-built medical, pathology and nuclear imaging facility constructed in 2019 on a substantial 3,527 sqm landholding. Lumus Imaging, a subsidiary of ASX-listed Healius Ltd, has a 15-year lease to 2034 with options.
Mendis, along with Rhys Parker, with PRD, also sold a landmark Reece outlet in Batt Street, Jamisontown, in Sydney’s outer west for an eight-figure sum. Offered with a brand-new 10-year lease to 2034, the 2,433 sqm showroom and warehouse building fetched $13.25 million, representing a 5.13% return.
The series’ first offering for the series was the Westpac in Newcastle’s Hamilton. The $4.325 million price showed a yield of 5.09%.
Another ASX-listed tenant occupied asset, a new warehouse by Australia Post and Maas Group Holdings subsidiary David Payne Constructions sold under the hammer for $5.1 million, on a 7.04% yield.. The 2,762 sqm facility is on 6,072 sqm of last and was completed last year.
Also selling was a Commonwealth-government leased office in the Hunter Region’s Kurri Kurri, for $2.78 million on a yield of 9.28%. The property has a four-year lease to 2026 to long-term tenant Centrelink and is on a 1,012 sqm parcel.
Burgess Rawson’s portfolio auction series today moves to Melbourne’s Crown Casino.
