This article is from the Australian Property Journal archive
A PURPOSE built Hungry Jacks fast food restaurant north of Adelaide has sold under the hammer for $3.5 million on a sharp yield of 5.4%.
The property was sold by Savills’ Peter Isaksson and Rino Carpinelli on behalf of Adelaide-based developer GIC Australia Pty Ltd.
The 184 sqm building and 21-space car park sits on a 1,971 sqm site and is located in the Playford Alive Town Centre, approximately 30km north of the Adelaide CBD. The 10-15 year project has a total value of more than $1 billion, encompasses 1,000ha of land and will eventually be home to a population of more than 40,000.
Hungry Jacks signed a 10-year lease from June 2014 with three, five-year options.
Isaksson said the strong sale result to a local private investor demonstrates the healthy appetite for food-based retail investments in high growth population areas such as Playford Alive.
“This property boasts all the ingredients sought by private investors in the retail property market. It is a brand new building with a modern design and high-profile corner position in an emerging town centre location in one of the fastest-growing areas in all of South Australia. It also provides the security of a long-term lease to one of the most well-known and popular food brands in Australia,” he added.
Carpinelli said the auction was hotly contested by a range of buyers attracted to the prominent location and strength of a multi-national food tenant.
“There is very strong demand for these type of properties which provide a perfect bite-sized and secure investment for private buyers and Self Managed Super Funds,” he concluded.
Property Review
