Investment interest in Yarrawonga will be put to the test this quarter with the sale of a freestanding South Road property leased to ASX listed tenant, Elders Ltd.
CBRE’s Victoria Retail Investments team of Joseph Du Rieu and Thomas Mosca has been appointed to market the freehold premises at 1-9 South Road on behalf of a Melbourne based private investor.
Elders, a national provider of real estate, agricultural and financial services for rural businesses, recently secured the premises on a new five-year net lease following 10 years of occupancy.
The 829sqm building includes retail and office space as well as customer and employee parking. It is situated on a strategically positioned corner site totalling 8,092sqm.
The CBRE team was also engaged to sell the Bunnings development in east Yarrawonga last year and Mr Du Rieu told the Yarrawonga Chronicle he anticipated similar success for the South Road site.
“We had a lot of interest in the Bunnings site and even though this is a considerably different market, around the $1.5 to $2 million range for this and $11 million for the Bunnings site, we do expect to again have very good interest,” he said.
“A lot of people from Melbourne visit Yarrawonga regularly whether it’s for the river during the warmer months or the golf year round.
“Many take it as another suburb of Melbourne and they appreciate the investment potential.
“The Moira Shire is dominated by a booming agricultural and tourism industry, which will facilitate the need for local services such as Elders.
“The area is drawing an increasing number of retirees and tourists from Melbourne and therefore offers the purchaser a secure investment due to the demand for prime retail space from retailers.”
With a recent bumper year for grain farmers in the southern Riverina region and communities surrounding Yarrawonga, Mr Mosca said the purpose built facility is anticipated to attract a high level of interest from investors in the sub $2,000,000 market.
“It is not often an opportunity to secure a purpose built facility with an ASX listed tenant such as Elders Limited is offered to the market, particularly at such an accessible price point,” said Mr Mosca
Mr Mosca noted that the property was just 2.85km from Yarrawonga Airport and received high exposure due to its location on the township’s main thoroughfare.
The property is expected to be formally marketed from late April and will be sold via an International Expressions of Interest campaign.