The first freehold McDonalds to be offered for sale in Western Australia for more than a decade has been brought to market – unlocking a premium investment in one of the state’s top tourism spots, Broome.
Plantation Resort Management has appointed CBRE’s Richard Cash and Anthony Del Borrello to market the 2 Hamersley Street property – comprising a 3,632sqm site home to anchor tenant, McDonald’s, Domino’s and two office tenants.
The sale represents an outstanding opportunity in Western Australia’s retail investment market, given the rarity of McDonald’s tenanted properties coming to market.
“This is the first – and most likely one of the last – freehold McDonald’s sites to hit the market here in WA in over 10 years so the opportunity for a leased investment with an A-grade covenant will be strongly sought after,” Mr Cash said.
McDonald’s new five-year lease commenced in January 2018, while Domino’s recently exercised its first five-year option with a further five-year option available.
Mr Del Borrello said the property had strong investment appeal given its tenancy profile and location in the popular holiday destination.
“Located on the high profile Hamersley Street, McDonald’s has enjoyed a strong trading position at the property since 2005. With scheduled refurbishment of the site this year, in addition to the upgrade of the car park, there is ongoing confidence in this property that will be of interest to investors,” Mr Del Borrello.
Traditionally renowned for its pearl and tourism industries, Broome’s proximity to Asian markets has helped boost offshore interest in the growing city.
“The recent introduction of international flights from Broome to Singapore will help promote offshore tourism to the city and boost the economy – of which will be conducive to strengthening investment appetite in the coastal destination,” Mr Del Borrello added.
Public Expressions of Interest close May 3.
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 approximately 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.
