This article is from the Australian Property Journal archive
A PRIVATE investor has bought a freestanding Woolworths supermarket in Sydney’s south western suburbs for $25.75 million on a yield of 5.09%.
Located at 607-611 Hume Highway, 32km from the city, the supermarket is due for completion in November and will comprise 4,380 sqm of lettable area on a 10,908 sqm site, which includes on-grade car parking for 189 vehicles.
Upon completion, it has been leased to Woolworths on a 20-year term plus options, at a commencing rental of $1,400,000 p.a.
The net income is estimated to be $1,311,433 p.a.
The property was sold by Stonebridge Property Group’s Philip Gartland and Carl Molony, on behalf of Fabcot.
Gartland said the sale is another indication of the appetite for this type of investment.
“We received multiple offers with aggressive competition at the EOI close.
“It is extremely rare that brand new freestanding supermarkets in Sydney are made available for purchase. This fact, combined with outstanding investor appetite for secure investments and low interest rate environment, ensured a highly competitive campaign and sale outcome.” Gartland said.
Australian Property Journal
