A freestanding medical property in the beachside suburb of Frankston has sold on a passing yield of 3.2% at $5.6 million.
374-378 Nepean Highway comprises 3,405sqm of land zoned Commercial 1 and sits on a corner site with a 1,281sqm building. The property is tenanted to national medical tenants Psoriasis Eczema Clinic Australia and CPAP. It is walking distance to the Port Philip Bay, Bayside Shopping Centre and Frankston train station
The CBRE Victorian Health, Aged & Child Care team of Josh Twelftree, Scott Orchard, Sandro Peluso and Kinson Wong sold the property to a local investor via an International Expressions of Interest campaign.
Mr Wong said the healthcare investment was hotly contested with 34% offshore enquiry and the strong price set a record land rate for the area of $1,644 per sqm.
“Until recently, Chinese groups have focused primarily on development or retail investment assets, however that interest is now widening to include health and child care assets,” Mr Kinson said.
“This aligns with rapid growth in China’s middle class, which is expected to account for 76% of the population by 2022. Historically China’s consumption has been centred on essential items such as food, beverages, clothing and footwear, however the rise of the country’s middle class is shifting the focus to lifestyle and health, where higher levels of spending are expected in addition to increased demand for health-related goods and services.”
“This heightened focus was also influencing offshore investment trends and creating increased interest in health and child care assets,” Mr Kinson concluded.
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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 (based on 2016 revenue). The company has more than 75,000 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.
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 (based on 2016 revenue). The company has more than 75,000 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.
