19/03/2010 - Assets Sold For $8.5m - Commercial Auction
Courier Mail Prime Site - 19/03/2010
An auction of commercial properties has resulted in $8.5 million worth of assets selling either under the hammer or immediately before.
Of the seven properties offered for sale through the Raine & Horne Commercial program, five have now changed hands with negotiations continuing on the two outstanding assets.
The most popular property on the day proved to be a strip shopping centre at 159 Hamilton Road, Wavell Heights.
It sold for $2.85 million to a private investor.
It was marketed by Trent Bruce, who said the sale reflected a yield of about 7 percent net.
Mr Bruce said there were about 75 inquiries received for the property before the auction with 12 registered bidders on the day.
"The bidding started at $2 million and it went on for quite a bit," he said.
"In the end $2.85 million was the final result.
The centre has five tenancies with all but one leased.
Mr Bruce said potential buyers considered it a good quality asset which traded well with substantial tenants including Liquorland, Pizza Capers and Video 2000.
He also marketed a 8.4Ha industrial property in Rockhampton which sold prior to auction for $3.3 million.
The site, at 5 Corio Street, Rockhampton, houses a 1,648sqm building which was previously owned by DPSA and sold to a private investor.
Mr Bruce said the deal was a leaseback to the former owners.
The group was on a three year lease at about $360,000 which made it appealing to investors.
Two commercial units at Newmarket Road, Wilston, sold to owner occupiers under the hammer for $870,000 and $830,000 repectively.
A freestanding industrial shed at 258 Duffield Road, Clontarf, sold as a tenanted investment for $650,000 just before the auction.
For further information contact Marketing Agent Trent Bruce on 0423 591 528