Two major commercial tenanted investments sold at auction for a total of $13 million. Both were handled by Harry Bui, Head of Asia Markets | Australia at Colliers.

161 Boat Harbour Drive, Hervey Bay is a highly prized freehold asset anchored by a KFC Drive-thru restaurant and adjoining freestanding Pizza Hut, which was sold for $7.9 million on behalf of vendor GIA HOA Australia to a private investor based in Melbourne.

The property received a total of 19 bids and achieved a record yield set in Hervey Bay of 4.47 per cent. It was sold by Harry Bui, Nick Dowling and Mark Wollin of Colliers.

With a 3,392 sqm land area and 472 sqm building area, this impressive property is situated in a prime position on Hervey Bay’s busiest road and adjacent to McDonald’s and Stockland’s Hervey Bay Shopping Centre. 

Located in the heart of Hervey Bay, this investment provides income certainty and future growth potential, with its income secured by long term leases offering strong annual increases of 3.5 per cent and 4 per cent.

The idyllic lifestyle location of Hervey Bay is located 2.5 hours from Sunshine Coast, 1 hour from Fraser Island and 3.5 hours from Brisbane CBD. Hervey Bay is an eco rich environment offering a vast array of natural attractions that attract lifestyle oriented people of all ages and demographics.

“The sale demonsrates the underlying demand for high profile, fast food assets in regions  experiencing strong population growth. Enquiries were received from all over Australia with the ultimate buyer hailing from Melbourne,” said Nick Dowling, Managing Director at Colliers Sunshine Coast.

Meanwhile in Ashfield, New South Wales, another major commercially tenanted property went under the hammer on the same day for $5.015 million and was sold on behalf of a private vendor to one of the property’s current tenants.

267 Liverpool Rd, Ashfield is a prime double-storey mixed use investment comprising of 3 combined strata lots which are fully leased to New Shanghai Night and Forza Jiu Jitsu within the heart of lively and tightly held Ashfield retail Asian precinct.

The asset sits in Liverpool Road’s arguably best position being directly opposite Ashfield Mall. It is surrounded by well-known restaurants in the area, including New Shanghai and Shanghai Night, 150 metres to Ashfield Railway Station and only 8 kilometres from Sydney CBD.

Ashfield is an established and highly sought after Sydney Inner West suburb and is located 8 kilometres west of the Sydney CBD known for its rich cultural diversity.

The sizeable asset with 511 sqm building area and 269 sqm land area received a signficant total of 57 bids and a rent yield of 3.23%. It was sold by Harry and Andrew Bui of Colliers.

Colliers’ Head of Asia Markets, Harry Bui, said, “Over the past 12 months, these areas have prospered from inter and intra-state migration of buyers chasing affordable quality retail investments. This growth has had a big impact on retail in the area with essential food and beverage sectors playing a crucial role in daily life.”

“These sorts of assets are more resilient to economic conditions, making them a less risky investment with a reliable income source and capital growth potential - and making them a popular choice among investors. There is a resurgence of capital from Asian investors who are looking to take advantage of the strong performing, both in the Sydney and Hervey Bay retail markets.”

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