A KFC investment in Adelaide’s Everard Park has changed hands at auction for $3,175,000, with a yield of 3.02%.
CBRE’s Metropolitan Investments team managed the sale of 16 Anzac Highway, which is leased to Festival State Foods Pty Ltd, trading as KFC.
The campaign saw high levels of enquiry from both South Australia and the eastern seaboard, translating to 10 registered bidders and a high level of competition on the day.
Throughout the course of the auction there were more than 25 bids for the property, with the successful bid coming from a private local investor.
CBRE’s Harry Einarson, Mitch Curnow and Alistair Laycock handled the sale on behalf of Dougary Pty Ltd.
“This result highlights the positivity we have seen in the South Australian commercial property sector over the past 18 months,” Mr Einarson said.
“With stamp duty concessions attracting interstate investors and a steady flow of positive economic stories, it looks like we are set for a big year in 2019.”
Mr Curnow added that the successful purchaser was drawn to the strength of the brand as well as the underlying long-term development potential.
“We hadn’t seen a fast food asset hit the market since the Marden KFC in 2015 and this was a big selling point for the purchaser,” Mr Curnow said.
“The lucky investor understood the long-term value of the location and the recent rezoning, allowing them to pay such a sharp yield.”
CBRE’s Metropolitan Investments team managed the sale of 16 Anzac Highway, which is leased to Festival State Foods Pty Ltd, trading as KFC.
The campaign saw high levels of enquiry from both South Australia and the eastern seaboard, translating to 10 registered bidders and a high level of competition on the day.
Throughout the course of the auction there were more than 25 bids for the property, with the successful bid coming from a private local investor.
CBRE’s Harry Einarson, Mitch Curnow and Alistair Laycock handled the sale on behalf of Dougary Pty Ltd.
“This result highlights the positivity we have seen in the South Australian commercial property sector over the past 18 months,” Mr Einarson said.
“With stamp duty concessions attracting interstate investors and a steady flow of positive economic stories, it looks like we are set for a big year in 2019.”
Mr Curnow added that the successful purchaser was drawn to the strength of the brand as well as the underlying long-term development potential.
“We hadn’t seen a fast food asset hit the market since the Marden KFC in 2015 and this was a big selling point for the purchaser,” Mr Curnow said.
“The lucky investor understood the long-term value of the location and the recent rezoning, allowing them to pay such a sharp yield.”
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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 2018 revenue). The company has more than 90,000 employees (excluding affiliates) and serves real estate investors and occupiers through more than 480 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: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 2018 revenue). The company has more than 90,000 employees (excluding affiliates) and serves real estate investors and occupiers through more than 480 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.
