Stonebridge National Investment Sales has launched its August Portfolio, following a successful 100% clearance rate at its most recent July Portfolio Auction. Comprising 11 quality investments, each of the assets fall within popular segments including supermarkets, childcare, fast food and freestanding retail, with long term leases to sought after tenant covenants such as Coles, Woolworths, BCF and Goodstart Early Learning.
Leading the portfolio are two rarely offered freestanding supermarket investments in metropolitan Melbourne. The Woolworths at St Albans, 15km north-west of the Melbourne CBD, is a strong performing trophy offering with Woolworths trading in excess of the percentage rent threshold. Set across a valuable 6,348 sqm* Commercial 1 zoned site, the property is leased until 2029 with outstanding future development and income growth potential. Across town in the affluent south-eastern suburb of Hampton, Stonebridge is offering the freestanding Coles Supermarket + Liquorland. The investment is underpinned by a 5 year net lease to Coles Group and a large 5,274 sqm corner landholding with 101 car parks.
Commenting on the rare offerings, Stonebridge Asia Practice Partner Kevin Tong said “Commercial 1 Zoned landholdings of this scale, underpinned by the security of high performing Coles and Woolworths supermarkets in inner Melbourne locations are extremely rare and sought after, providing investors and developers with the utmost flexibility for future outcomes. We expect significant interest in these assets from both domestic and offshore buyers throughout Asia”.
Also anticipated to garner considerable interest from private investors are two freestanding retail assets in Ulladulla, an NSW tourism hotspot situated equidistant of Sydney and Canberra. The properties comprise of a single-tenanted freestanding BCF with a new 8 year lease to a subsidiary of ASX Listed Super Retail Group and a fast food retail drive thru asset leased to Oporto and Australia’s largest Mexican chain, Zambrero. The high profile Princes Highway sites are positioned in a key retail precinct and are improved by brand new buildings which provide sought after depreciation benefits.
In Queensland, three premium childcare investments are being offered for sale by Stonebridge. Each of the Brisbane-based centres offer secure income growth via fixed 3% annual rent increases, long term 20 and 15 year net lease terms, modern improvements with excellent depreciation benefits, plus strategic positions near schools, key arterials, retail precincts and employment nodes.
Childcare owner-occupiers are also granted the opportunity to secure a freehold of their own. A purpose-built 99 place facility at Churchill, west of Brisbane, is being offered for sale and carries a lease to 2026 with no options. The strong performing centre is currently leased to Goodstart Early Learning and represents a prime repositioning opportunity for operators and investors.
South of Brisbane, a brand new fast food retail drive-thru asset at Logan Village is up for grabs. The property is anchored by Subway and Origin Kebabs with 63% of income derived from national tenants. Situated on a large 2,499sqm site, the property is strategically positioned adjacent to McDonald’s, KFC & 7-Eleven, with access via major arterial, Waterford Tamborine Road.
A higher yielding opportunity includes a long term leased education facility at Southport on Queensland’s Gold Coast. Mastery Schools Australia occupies a well-configured 1,276 sqm* premises on a 10 year lease to 2033.
Commenting on the portfolio, Stonebridge Partner Tom Moreland said “Private investors continue to seek secure freestanding commercial investments and are drawn to assets leased to ‘household name’ tenants they know and trust, or defensive sectors such as childcare which has the undeniable, bipartisan backing of the Federal Government. We expect this to drive strong national interest in our August Portfolio offerings, particularly given the long term lease security and attractive income growth provided across the board”.
Stonebridge’s August National Portfolio Auction is to be held at 11am on Tuesday 8th August 2023, with the Expressions of Interest campaigns closing Wednesday 9th August at 5pm.
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
James Freemantle | +61 421 140 876 | JFreemantle@stonebrige.com.au