Buyers Feasting on Fast-food Opportunity
Investors had a feast at Burgess Rawson’s Brisbane Portfolio Auction with the event boasting a 100 per cent success rate and fast-food and medical assets proving a healthy option on the menu.
In total, more than $18.5m was transacted in Queensland, with seven properties – four fast food and three medical – finding new owners and an average of 33 bids per property.
Burgess Rawson partner Andrew Havig said it was “seven out of seven”.
“It was a case of having good stock, the right product for the market. Fast-food and medical are very hot at the moment,” Mr Havig said.
Highlights include Domino’s in Berserker in Rockhampton, which sold for $1.39m (4.5 per cent yield). A Guzman y Gomez at Ripley transacted for $4.015m (4.66 per cent) and an adjoining Red Rooster found a new owner for $2.765m (4.95 per cent).
Elsewhere, a Red Rooster in Mount Pleasant in Mackay went for $2.867m (6 per cent).
Medical properties – which are in the GSI category – also made a splash, with Royal Rehab Lifeworks at Parramatta Park in Cairns selling for $3.655m (5.75 per cent). Two medical centres in Childers and Gatton also sold Overall, the Australia-wide event had a total of $63.218m in transactions, with a blended yield of 5.1 per cent and a success rate of 85.2 per cent.
Burgess Rawson chief executive Ingrid Filmer highlighted the GSI assets’ exceptional performance, with almost $27m exchanged over the three-day event, achieving yields as low as 3.96 per cent.
Ms Filmer said the surging demand for recession-proof GSI assets was driven by their “sticky” tenant base, which ensured long-term tenancies.