The property at 1 Electra Street, Bundaberg Central is a freestanding 2,370sqm large format hardware store leased to Sunshine Mitre 10, positioned on a 4,510sqm landholding with three-street frontage. Following 255 enquiries and six offers, the asset sold for $3,000,000 at a 7.98 per cent yield to a Victorian private investor
Oscar Little said the results demonstrate the strength of buyer demand where assets offer secure income, affordable rents and clear upside.
“We generated a high level of enquiry from day one, which led to a conditional offer being signed within just seven days,” Mr Little said. “However, Bundaberg was impacted by a major flooding event just days after, which led to the original buyer withdrawing. Fortunately, due to the depth of demand, we were able to present the owners two new contracts within 24 hours, one of which was unconditional despite knowing about the flooding.”
That result was followed by the sale of Post Office Centre Mareeba, a 1,830sqm shopping centre in Far North Queensland which has been anchored by Australia Post since 1997. Comprising 13 tenancies on a 2,662sqm landholding, the centre combined longstanding anchor tenants, strong regional fundamentals and rental uplift potential.
The property attracted 271 enquiries and five registered bidders before selling unconditionally for $4,600,000 at a 7.76 per cent yield to a Victorian private investor.
Michael Feltoe said regional shopping centres continue to attract strong buyer interest when they offer the right fundamentals.
“Where you have defensive income, affordable passing rents and clear upside, buyers are willing to compete,” Mr Feltoe said. “This campaign showed that well-leased regional centres with long-standing tenants continue to perform strongly in the current market.”
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