Marina on the market

QUEENSCLIFF Harbour is up for sale in a deal that could surpass $30 million, as its developers aim to capitalise on a lucrative marina market.

Commercial property heavyweights JLL and LAWD launched their joint selling campaign this month for the premium Bellarine asset that they expect to command healthy interest.

Selling agents say the harbour brought in $2.24 million in the past financial year from revenues including its marina, 253 wet berths, 126 dry stack placements, and more than 4000 square metres of commercial and retail tenancies such as Parks Victoria offices.

Agents said the harbour’s connection to the newly redeveloped Queenscliff Ferry Terminal, which takes more than 1 million passengers to and from Sorrento each year, was also a key selling point.

JLL Hotels & Hospitality Group managing director Peter Harper said the scarcity of similar opportunities would drive demand for the local harbour.

“Trophy Marina assets of this nature are rarely offered for sale and are therefore regarded as being tightly held. When offered to the market, these assets are highly sought-after.

“The drivers associated with the marina asset class nationally are very positive at present, largely due to a change in consumer behavior stemming from COVID-19.

“Personally, I think the healthy state of this asset class is purely due to the consistent imbalance between the supply of marina facilities versus demand, as has been the case for well over one-and-a-half decades now, and COVID-19 may have had a role in accelerating this further.”

LAWD senior director Danny Thomas said Queenscliff Harbour said the well developed site had even more potential to grow for its next owners.

“Whilst the asset has been well managed by the existing owners, as soon as our firm analysed the opportunity and assessed key market drivers, it became very clear that an incoming purchaser would benefit greatly from a range of opportunities to add further value to the asset.

“There is often talk amongst the market from buyers wanting assets that are below replacement value, and if that is a driver here then someone will be buying the asset for 50 per cent of what it’s likely replacement value is.”

JLL and LAWD are managing an international expressions of interest process under instruction from Advise Transact to complete the sale. Interest closes on February 23.