The sale of a BP service station in Manly on Sydney's Northern Beaches for $7.2 million demonstrates the continued healthy investment fundamentals of the sector, according to JLL.

JLL NSW Metropolitan Sales and Investments Directors Dylan McEvoy, Gordon McFadyen and Peter Seeto brokered the deal located at 133-139 Pittwater Road, Manly at a sale rate of 4.1 per cent on behalf of Jasbe Petroleum. 

According to JLL Research, there has been a significant buyer contest with investors pouring more than $1.8 billion into Australian service stations since 2016.

At a glance: 

• BP Manly has been sold for $7.2 million at a sale rate of 4.1 per cent on behalf of Jasbe Petroleum. 
• The deal was brokered by JLL NSW Metropolitan Sales and Investments Directors Dylan McEvoy, Gordon McFadyen and Peter Seeto.
• The store is leased to Victorian-based fuel and convenience company Jasbe Petroleum and is under a new 12- year lease agreement attached with renewal options and fixed rental increases annually offering a year one net income of $295,000 + GST p.a.

Mr McEvoy said the marketing campaign for BP Manly generated more than 200 inquiries.

 “The significant interest indicates strong demand for secure and defensive assets within tightly held blue ribbon locations like Manly," he said. 

Having undergone a redevelopment last year, Manly BP now features new tanks, lines, canopy, convenience store, bowsers and forecourt which also offers as on-site parking for eight vehicles and one disabled space. 

The store is leased to Victorian-based fuel and convenience company Jasbe Petroleum and is under a new 12- year lease agreement attached with renewal options and fixed rental increases annually offering a year one net income of $295,000 + GST p.a.

Jasbe Petroleum own and manage more than 50 stores nationally under the BP brand.  

Mr McFadyen said the Manly precinct on Sydney’s exclusive Northern Beaches was tightly held and opportunities to acquire investment property in this area were limited. 

“The incoming owner has a secure income stream with long term development upside and future capital growth," he said.

BP Manly is a resilient investment given its prominent location and long-term lease agreement."

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