Strengthening medical sector underpins 585m Trinity Gardens sale
Strengthening medical sector underpins $5.85m Trinity Gardens sale
| 18 August 2016
A private local investor has capitalised on Adelaide’s strengthening medical sector, after securing a premium grade asset in Trinity Gardens for $5.85 million.
The recently completed medical centre, located at 206 – 208 Portrush Road, was sold with a seven-year lease to Australia’s largest operator of medical centres – IPN – on a yield of 5.7%.
The secure lease, which is guaranteed by incoming tenant Sonic Healthcare Limited, offers an estimated net income of $335,000 per annum.
CBRE’s Metropolitan Investment team of Will Brown and Ben Heritage negotiated the sale of the property, which was successfully developed by Trilogy Property Partners (Briars) Pty Ltd.
Mr Brown said the premier medical investment opportunity attracted strong buyer interest during the sales process.
“With a secure lease in place to Australia’s largest operator of medical centres, this property represented an outstanding opportunity to acquire a presence in one of the fastest growing sectors,” Mr Brown said.
“The medical industry is positioned to be a major economic driver in not just South Australia but nationally – a factor that underpinned interest from a strong pool of investors including local and domestic groups.”
The property benefits from high exposure to the eastern side of Portrush Road, amongst major national retailers including Officeworks, Spotlight and Shell. The property also includes on-grade parking for 45 vehicles.
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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 2015 revenue). The Company has more than 70,000 employees (excluding affiliates), and serves real estate investors and occupiers through more than 400 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.