Deals of the Week - 13th November 2023

New South Wales

BONDI - $30.8 million

New Zealand-based property investor Ben Cook sold a row of 14 Bondi Beach shops to local investors for a combined total price of $30.8 million, reflecting a 5.3% yield. 

The shops, whose tenants include Aesop, Genera Pants Co., Seafolly and Tuchuzy, hold leases ranging from less than 12 months to five years. Half of the shops were purchased individually, with one investor purchasing three for $10.5 million, another purchasing two for $5.4 million, with a family office also acquiring two for $5.9 million.

The deals were handled by Stonebridge's Michael Collins.

WETHERILL PARK - $25 million 

A Wetherill Park industrial site has sold for $25 million following a significant hike in land value rates for 2ha parcels in Sydney’s Metrowest region. 

Located at 23 Davis Road, the 2.028ha landholding is underpinned by a recent lease to InfraBuild Australia, Australia’s largest processor and distributor of steel long products. The deal follows a spike in the value of 2ha metro west region land parcels, from $350/sqm to $1,250/sqm over the past nine years.

CBRE’s Elijah Shakir and Jason Edge together with Bishop’s Barton Cottle and Brendan Ham managed the deal on behalf of the private vendors. 

MOSS VALE - $12.35 million 

Stonebridge's Michael Collins, Kevin Tong and Alex James-Elliot have transacted a freestanding Aldi supermarket in the NSW Southern Highlands, with the final price reflecting a sharp 5.09% yield. 

Holding a 15-year lease to Aldi, the asset has a rental income of over $600,000, with annual CPI rental increases capped at 4%. It is unclear who the vendor or purchaser of the property is.

Western Australia

PERTH - $21 million 

An office building at 10 William Street in the Perth CBD has sold for $21 million, becoming the first office asset to be exchanged and settled in Perth this year. 

The six-storey building has 4,248 sqm of net lettable area with 75.5% occupancy and holds a net income of over $1.35 million per annum. It was purchased by one of Australia’s largest educational institutions, Stanley College, following a campaign managed by Knight Frank's Greg McAlpine, Tony Delich and Zach Schreier.

South Australia

MARLESTON - Circa $5 million

A high-profile corporate office building in Marleston formerly occupied by SA Lotteries has sold for over $5 million, in a deal brokered by Knight Frank's Jack Dyson and Oliver Totani.  

The two-level building at 188-192 Richmond Road, 10 minutes west of Adelaide’s CBD, was purchased by the EDP Hotel Group and retirement village operator, Living Choice Australia.  

EDP Hotels and Living Choice, who own and operate 18 hotels in South Australia, will occupy the building, consolidating its operation and administration teams from several sites into one location.