Lucky date brings in $8.2m auction success for Brighton Sportsgirl
The Brighton home of fashion giant Sportsgirl has sold under the hammer for $8.2 million - $3.2 million above reserve.
15 Aug 2018
Located in Brighton’s main retail precinct, the 89-91 Church Street property has been occupied by Sportsgirl for the past 25 years, and is situated nearby other prominent retailers, including Mimco, Witchery and Scanlon Theodore.
The property, privately owned by a Melbourne family for more than four decades, was auctioned on the auspicious date of August 8, 2018, attracting a crowd of more than 250 people. CBRE’s Rorey James, Mark Wizel and Bianca Butterworth managed the sale campaign on behalf of the vendor.
Mr James commented: “While initial expectations for the property were closer to $5 million, still reflecting a low yield of 3.4%, having in excess of 280 enquires throughout the campaign gave our team a lot of confidence in the appetite towards good quality properties like Sportsgirl Brighton.
“This became even more apparent at the auction, with more than 250 people attending, including 18 groups who indicated an intention to bid. The reserve of $5 million was quickly surpassed with the second bid, and from there only seven of the 18 groups had the chance to compete, with a local investor eventually pushing the price to $8.2 million.”
Ms Butterworth added: “Whilst the sale price reflected a sharp yield of 2%, we made it clear to enquiring groups that there was potential to add value in the future, along with growing the property’s income.”
The result comes off the back of other record Church Street transactions undertaken by CBRE, including:
- 123 Church Street, Brighton - $3,700,000, 3.2%, 2015
- 62-66 Church Street, Brighton - $11,250,000, 2.74%, 2017
- Woolworths, Brighton - $32,080,000, 3.77%, 2016
CBRE Research Analyst Verity Jenkins attributed historical low levels of vacancy experienced along Church Street to demographic factors.
“Church Street in Brighton is able to maintain consistently low vacancy rates due to the high disposable income of the surrounding catchment area. The strip has an above average proportion of quality women’s apparel and hospitality retailers, supported by higher levels of discretionary spending,” Ms Jenkins said.
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.
Neither CBRE nor its affiliated companies make any warranties or claims on the implied accuracy of the information contained herein.
About CBRE Group, Inc.
CBRE Group, Inc. (NYSE: CBRE), a Fortune 500 and S&P 500 company headquartered in Dallas, is the world’s largest commercial real estate services and investment firm (based on 2021 revenue). The company has more than 105,000 employees (excluding Turner & Townsend employees) serving clients in more than 100 countries. CBRE serves a diverse range of clients with an integrated suite of 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 https://www.cbre.com.