A Trophy Investment Opportunity Not To Be Missed
Truly outstanding investment properties, those that tick all the boxes and more, are indeed a rarity in the market place. A blue chip single tenancy, prime position, high underlying land value, impressive modern improvements and a brand new lease, with outstanding cash flow fundamentals, are all sought after attributes to provide a long term hassle free investment.
It is readily apparent that Shell East Doncaster ticks all the boxes.
For full article download PDF.
Newts News – October 2014
Newtons are pleased to announce Shell Doncaster East VIC sold at Auction on Wednesday 29 October for one of the strongest yields seen in the last 12 months of 4.58%!. This was a hotly contested property with in excess of 100 bids at auction!
Underlying this outstanding result was a land mark corner position of 5,669sqm in a presitgious and affluent suburb, and a blue chip 15 year lease to Shell Australia plus options to 2049. This was a great investment opportunity with rent of approx. $415,000 pa. net paid in advance, with annual increases.
AFR Article – 31/7/14 – Sale: Newtons – 20 Lakeside Drive, East Burwood.
Pronto Software’s Melbourne head office has been sold for $7.14 million, at an approx. 7.9% yield, in an off market transaction brokered by Ben Galanos of Newtons Real Estate. The modern concrete and glass building features a single floor plate of approx. 1,550 sqm, with 118 at grade and under croft car parking spaces.
Featuring a land area of 5,316 sqm with commercial 1 zoning, the property is located within the Tally Ho Business Park in Melbourne’s eastern suburb of Burwood East. The current 8 year lease term runs to June 2019, with two further options, and passing rental of approx. $563,500 pa. Pronto also occupy part of an adjacent building.
Ben said that Newtons were experiencing strong demand from both local and foreign investors for well positioned suburban commercial and retail investments, particularly for properties with secure income flows and, or underpinning land values.
Managing Director, Ron Newton indicated that the strong yield, in this instance, recognised, the well established, strong Pronto Software tenancy covenant, with a single building whole floor plate, and potential for further building development. The eastern suburban office market has shown excellent form over many years, yet, for the moment, provides better yields than retail, or, in fact, than securely leased petrol stations which have been Newtons speciality for more than three decades.
Investment Opportunities not to be missed!
From our experience, savvy investors are seeking to achieve investment returns of at least 3% to 5% above the rate of inflation. Property and Equities have certainly provided such growth potential, while cash rates hardly provide any margin at all.
Record low interest rates have again highlighted the benefits of investment property, especially in the non-residential sector that Newtons have specialized in for over 30 years. Positive gearing is a clear benefit……… For full article download PDF.
Winter has arrived and the end of the Financial Year is near, but there is still time to buy or sell.
As indicated last December, demand for investment properties picked up from the middle of last year.
In fact, we sold well over $30 million in service stations in the last five months of last year alone.
Historically low interest rates have moved savvy investors out of cash and into property at a time when there are still excellent pickings and strongly positive returns……. For full article download PDF.
In the second half of 2012 savvy investors moved into the property investment market, capitalising on better returns than cash and equities, resulting in strong investment sales, including a greater number of petrol stations than would normally be offered to the market.
The AFR (Friday 21 December 2012) reports… “In 2013, investors may be best advised to seek richer pastures than local equities and fixed interest”, so even the newspaper experts have caught on………For full article download PDF.
PROPERTY REVIEW WEEKLY
[Friday, November 2, 2012]
Newtons are selling two modern petrol stations at 605 Boronia Road, Wantirna, and 343 Dorset Road, Croydon. Both are offered for private sale, with vacant possession, and are attracting strong interest from owner-operators, as well as from developers and investors. Previously leased to Mobil Oil Australia, both sites are being updated with underground tanks and lines to be replaced and any environmental impact remediated to allow for ongoing use.
The Wantirna site is strategically located on the homebound side of Boronia Road, just east of the EastLink interchange and the Mountain Highway intersection. The 6480 square-metre site offers a wide range of options and includes a large undeveloped land area. Improvements include a modern convenience store building, fibreglass underground tanks (currently being installed) and a substantial five-island starter gate canopy. The property is priced to sell with a $4.2 million asking price.
The Croydon site is ideally positioned on the southbound side of Dorset Road, just south of Mt Dandenong Road and adjoining the Dorset Gardens Hotel complex. The 5412 square-metre site’s improvements, which need a facelift, include a modern convenience store building, fibreglass underground tanks and a substantial four-island starter gate canopy. The freehold property sits within a vast residential area in Melbourne’s eastern suburbs and has an asking price of $2.75 million.
- For more information contact Newtons’ Ron Newton on 0418 322 138, or Ben Owen on 0488 050 169.
PROPERTY REVIEW WEEKLY
[Friday, September 21, 2012]
A development site offering plenty of exposure at 42 Bell Street, Torquay, is currently being marketed by Newtons South Yarra and Hayden’s Torquay. Due to be auctioned on-site on Saturday 6 October at 11.00am, the Business 1 zoned allotment has a wide 27.77-metre frontage to Bell Street, and a total size estimated at 1055 square metres. The selling agents say that its location between the Surf Coast Highway and The Esplanade will suit a wide range of potential developments (STCA) including a combination of commercial/ residential or other uses that complement the Mixed Use function of the locality. They expect a selling price between $1.2 and $1.3 million plus GST.
- For more particulars, contact selling agent Newton’s Ron Newton on 0418 322 138 or Hayden’s Bryan Hayden on 0417 613 250.
PROPERTY REVIEW WEEKLY
[Friday, September 28, 2012]
A modern petrol station complex on the corner of Princes Highway and Vesper Drive, Narre Warren, is currently being marketed by Newtons in conjunction with Facey, via an Expressions of Interest campaign closing Wednesday 17 October.
The property, at 43 Vesper Drive, opposite Westfield Fountain Gate and providing handy access to the Monash Freeway, is expected to be of interest to owner-operators, developers and investors. Well exposed within a vast residential area, the site is expected to sell in the mid-to-high $2 millions.
Zoned Industrial 3, the 5378-square-metre site includes a modern convenience store, a vacant showroom of 345 square metres, which is for lease for $52,000 per annum plus GST and out-goings, plus a 557-square-metre showroom tenanted by Beaurepaires, on a five year lease that commenced in August 2011, and provides two further five-year options.
The selling agents estimate a fully let rental of approximately $250,000 to $275,000 per annum plus GST and outgoings.
- For further particulars, contact Newtons’ Ron Newton on 0418 322 138 or Facey’s Mark Bond on 0409 357 352.
The Winter chill has passed (well almost in Melbourne) and the Spring selling season is upon us.
“Opportunity not to be missed” is a catch cry often used by real estate agents to emphasise quality property. “Blue chip investment” is another. What about “prime position”?
Sorting out the best investment to suit one’s own requirements is never easy. Considerable time and effort is required to investigate the market and the opportunities, otherwise the fear of making a mistake, buying the wrong property, or paying too much will override the desire to purchase. Investors should carefully build their property portfolios “a brick a day”. There is never any need to rush. Shakespeare reportedly stated that “he who will be rich in a day will be hanged in a year”!………….For full article download PDF.