Melbourne, 15 December 2015 –A Heathmont property has demonstrated the strong market demand for metropolitan retail investments, after selling for $1,305,000 to a private offshore party – over $300,000 above reserve.
CBRE’s Melbourne Strip Retail Investments team of Sandro Peluso, Josh Twelftree and Rorey James negotiated the sale of the news agency occupied retail outlet, which is located at 150 Canterbury Road, Heathmont - 24km east of the Melbourne CBD.
The property was sold on behalf of a private local investor, who had deemed the current strong retail environment as the ideal time to sell.
The transaction was equivalent to a strong building rate of $8,312 per sqm and yield of just over 3% - a strong result Mr Twelftree linked to the current buyer appetite to secure income producing retail assets, regardless of location.
“The strong sales result is evidence of the confidence investors have in the Melbourne retail market, with the auction receiving over 50 bids from five interested parties, in front of a crowd in excess of 70 people.”
“The record low interest rate environment, together with a lack of supply of these single tenanted retail investment properties, continues to attract an array of local and offshore investors,” Mr Peluso added.
For Australian/international news or global stories, follow us on Twitter.
About CBRE Group, Inc.
CBRE Group, Inc. (NYSE:CBG), a Fortune 500 and S&P 500 company headquartered in Los Angeles, is the world’s largest commercial real estate services and investment firm (in terms of 2014 revenue). The Company has more than 70,000 employees (excluding affiliates), and serves real estate owners, investors and occupiers through more than 400 offices (excluding affiliates) worldwide. CBRE offers strategic advice and execution for property sales and leasing; corporate services; property, facilities and project management; mortgage banking; appraisal and valuation; development services; investment management; and research and consulting. Please visit our website at www.cbre.com.