CBRE’s Premium Property Portfolio Auction (PPPA) campaigns continue to achieve strong results, with the firm’s fifth auction event resulting in a 75% clearance rate.
Held at the Zagame Automotive Showroom in Richmond, Melbourne, three out of four properties offered sold under the hammer – totaling $16.695 million.
A healthcare investment leased to Sinclair Dermatology, at 339 Bell Street, Pascoe Vale, was the first property to sell on the night. It sold for $3.58 million on a 5.17% yield. This result was followed by the sale of two petrol station-anchored assets - a KFC & BP at 210 Ballan Road, Wyndham Vale, VIC for $7.665 million (6.48% yield) and a 7-Eleven at 296 Pinjarra Road, Mandurah, WA for $5.45 million (6.33% yield).
The fourth asset, which passed in, was the Nino Childcare Centre in Elsternwick and is now under negotiations. The sale is anticipated to be completed in coming days.
“The 75% clearance rate and active bidding on all properties reflects the strength of the PPPA offering, and we are committed to delivering on its core strategy. Despite resisting several invitations to handle secondary investment product through the platform, which may in turn mean auctioning less properties per campaign, our focus is on listing and offering the highest quality, premium properties to our investor database,” Joseph Du Rieu, CBRE Project Head, said.
“Our team is committed to providing a first-class experience, along with delivering premium prices to our clients – and during our latest campaign this was enhanced by our newest venue and partner, Zagame Ferrari Richmond”
“We are delighted with the results we have achieved for our vendors and are working hard to ensure the sale of the final property,” Mr Du Rieu concluded.
Since the PPPA’s inception in 2017, the platform has sold over 25 properties and has achieved a total sales figure of more than $247,950,000.
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About CBRE Group, Inc.
CBRE Group, Inc. (NYSE:CBRE), a Fortune 500 and S&P 500 company headquartered in Los Angeles, is the world’s largest commercial real estate services and investment firm (based on 2017 revenue). The company has more than 80,000 employees (excluding affiliates), and serves real estate investors and occupiers through more than 450 offices (excluding affiliates) worldwide. CBRE offers a broad range of integrated services, including facilities, transaction and project management; property management; investment management; appraisal and valuation; property leasing; strategic consulting; property sales; mortgage services and development services. Please visit our website at www.cbre.com.