Stonebridge Property Group’s National Investment Sales team has unveiled its March Portfolio, being the first National Portfolio of 2023. Comprising 6 prime investments spanning the Eastern seaboard, each of the assets fall within popular sub-sectors including fast food, tyre & auto and convenience retail, underpinned by long term leases to sought after ASX listed and national tenant covenants including KFC, Bridgestone, 7-Eleven and Subway.
Anticipated to garner considerable interest from private investors is a freestanding KFC in Parkhurst, Rockhampton QLD. The brand new, freestanding offering holds a 10 year lease to ASX listed Collins Foods to 2032 plus options and is situated on a strategic 1,627 sqm ‘pad-site’ adjoining a strong performing Woolworths Shopping Centre.
In Victoria, a brand new 7-Eleven at Armstrong Creek headlines the convenience retail offerings. Situated within a booming growth corridor, the site is positioned on a major thoroughfare, exposed to 19,000+ vehicles each day. 7-Eleven are secured on a new 13 year net lease through to 2035 with attractive fixed 3% annual rent increases.
Further north in Australia’s premier tourist mecca, the Whitsundays, a newly constructed KFC and Metro Petroleum is being offered for sale. Boasting new 10 year leases and fixed 3% increases across both tenancies, the asset provides stable ‘set-and-forget’ income growth. The new improvements provide significant depreciation benefits and are well configured across a substantial 3,047 sqm corner site nearby the Bruce Highway M1.
Higher yielding opportunities within the portfolio include a longstanding highway truck stop in Victoria’s largest inland city of Bendigo. The truck stop occupies a huge 13,950 sqm site within a premier industrial hub and is leased to ASX listed Viva Energy to 2030 + options with favourable CPI annual rent increases – a valuable review structure in the currently high inflationary environment.
Rounding out the portfolio is a blue chip freestanding Bridgestone and a 7-Eleven & Subway fast food convenience retail asset at Pimpama on the Gold Coast. The individual offerings sit as neighbours, alongside McDonalds, Woolworths and a major retail precinct. Pimpama is one of Australia’s fastest growing suburbs, situated equidistant of Brisbane and the Gold Coast. The Bridgestone freehold offers a 10 year head company lease and uncapped CPI annual rent increases plus striking, modern improvements. Adjacent 7-Eleven & Subway is positioned on a high profile corner site comprising 3,130 sqm and carries a long term 15 year anchor lease to 7-Eleven’s head company, responsible for their 720+ store network across Australia.
Commenting on the Portfolio launch, Stonebridge Partner, Tom Moreland said “We expect the offerings to be highly sought after amongst the private investment community, as seasoned investors continue to be drawn to quality assets that bestow long term fundamentals, income protection and growth. The newly built nature of most offerings in the portfolio, enabling important tax depreciation benefits, and the security of long term leases to ASX listed and national tenants are key themes driving resilience in the standalone investment market.”
Rorey James, Stonebridge Partner, added: “We are proud to offer another portfolio of high quality, blue-chip investments to the market. Buyers are afforded comfort that each of the opportunities represent truly premium, investment-grade assets, resulting in our Stonebridge portfolios attracting significant interest from the high net worth private investment community. Accordingly, our Vendors have the luxury of having the best quality buyers in Australia and Asia Pacific bidding on their respective assets, each and every time. ”
Kevin Tong, Partner of Stonebridge’s Asia Practice team, added “ “We expect the portfolio to receive strong interest from Asian buyers, particularly those from China who are proving to be an aggressive capital source, with a spike of recent enquiry evident since the Chinese borders opened in December last year. Given the increased international student enrolment numbers, coupled with the increasing number of flights and tourism coming from China, we anticipate 2023 to be a huge year. Traditionally, the Asian investor profile has gravitated to newly built, trophy style assets in attractive locations. As such, we expect particularly keen interest from these buyers in the metropolitan Melbourne, Gold Coast and iconic Whitsundays locations.”
The six assets are for sale as part of Stonebridge’s March Portfolio, with a blend of Portfolio Auction and Expressions of Interest campaigns closing on Thursday 9th March at 11am and 5pm respectively.
For more information, please contact the agents below:
Tom Moreland | +61 408 072 822 | TMoreland@stonebridge.com.au
Michael Collins | + 61 404 023 204 | MCollins@stonebridge.com.au
Rorey James | + 61 439 400 018 | RJames@stonebridge.com.au
Kevin Tong | +61 422 848 818 | KTong@stonebrige.com.au
Thomas Proberts | +61 439 588 019 | TProberts@stonebrige.com.au
