UltraTune in Prahran, two metro Melbourne Orthodontic clinics, a Target store, multiple government-leased office complexes and a name synonymous with regional hardware will all be up in lights as part of Burgess Rawson’s latest Investment Portfolio campaign.
A high profile Prahran corner site – home to an UltraTune auto service centre – will be sold on-site on Thursday, May 16. The prime 623 sqm corner landholding is leased to the car servicing giant until 2023, with options, and comes with sought-after Commercial 1 zoning.
A Target Country store at Tumut in New South Wales could deliver an almost unheard of yield of more than 9% for a prized Wesfarmers-leased asset. The investment, positioned alongside a Coles supermarket, has a brand new three-year lease with an additional three-year option and attracts an estimated net rent of $225,000 annually.
Burgess Rawson director Raoul Holderhead said the store was riding a wave of positive sentiment amid the brand’s improved results nationwide, with a sale price of around $2.5 million predicted.
“The year on year sales for the Tumut store are up 7.4%, which is fantastic,” Holderhead said.
“We’re expecting a 9.5% yield. The store is only 10 years old, it’s in as-new condition and it’s just a neat little property. I think it’s a great bet.”
Two hardware properties leased to a family brand with more than 140 years of history in regional Australia will also be sold as part of the campaign.
The famed Dahlsens name, which launched its first store in Bairnsdale in 1877 and now operates one of its 20 stores as a major Mitre 10 store at 9-19 Dalmahoy St, will sell the significant 10,746 sqm site with a short-term leaseback to 2021, through expressions of interest.
Burgess Rawson is also selling the Dahlsens trade centre at Deniliquin in NSW at auction, with a high yield anticipated circa 10%. The property at 205-207 Barham Rd, which has been occupied by Dahlsens for more than 25 years, has a secure 10-year lease, plus options to 2033.
The attractiveness of government-leased properties will again be on show, with three to be auctioned at Burgess Rawson’s Melbourne event. A South Morang office building leased to the Department of Justice on a five-year lease with options to 2031 will be offered up, while a significant Tasmanian Government-leased site at Prospect in Launceston, offering huge rental returns of more than $460,000 per annum, is also to be sold. A government agency-anchored investment at Shepparton in regional Victoria is also to be auctioned.
Childcare will feature prominently at the auctions, with two Queensland centres at Port Douglas and Buderim set to be sold. Both offer new 15-year leases to major operators Petit Early Learning and Sanctuary Early Learning, while the Buderim property sits opposite two shopping centres.
Investors can also sink their teeth into two properties leased to an orthodontics chain in Melbourne’s north. The properties at Broadmeadows and Caroline Springs are securely leased to Clear Orthodontics, both with brand new 10 year leases. The Caroline Springs site is strategically positioned among two supermarkets, a McDonald’s a 7-Eleven and other specialty retailers.
And two shops leased as one to a veterinary clinic at Cranbourne North in Melbourne’s south-east could be one for investors to jump at. The property at 2-4 Maksi Way comes with a secure five-year lease and options to 2032, as well as fixed 3% rent increases on its current annual rate of $59,794 plus GST.
Burgess Rawson’s 128th Investment Portfolio Auction will be held across two days in Sydney and Melbourne, at 11am on Tuesday, May 14 and Wednesday, May 15.
To find out more about the properties in our portfolio, and how we can help you with sales, leasing and property management services, please contact us.