The Repco and Cash Converters in Goodna has been snapped up by a Melbourne based wealthy family at a 7.6 per cent yield.
Situated at 179 Brisbane Road, the centre is fully tenanted by Repco and Cash Converters on 5 year terms and has great exposure to the Ipswich Motorway.
Phil O’Dwyer and Richard Blanch of Colliers International were engaged by the vendor after a previous marketing campaign was unsuccessful in achieving a sale. They received a number of offers before contracting at $4.15m.
“The purchaser is cognisant of the growth the SEQ western corridor is experiencing and liked the blue chip tenants.” Mr O’Dwyer said.
“There is a lot interest from interstate and offshore investors in Queensland retail property. Bulky centres are a rare commodity and are pursued aggressively.”
According to Mr Blanch, there were a number of challenges with attracting offers of an acceptable level for the vendor, particularly the stigma around the 2011 flood.
“Everyone is acutely aware of the effect the flood had on Goodna, but what a cursory glance doesn’t show is the faith both tenants have in the location.
“The Goodna store is one of Cash Converters’ strongest performers and both tenants re-signed long term leases post the flood.
“Few sites in Goodna offer the same sort of branding exposure to the Ipswich Motorway. This along with the tenants’ faith in the catchment, it gave the purchaser comfort to transact,” Mr Blanch said.