THE Woolworths Torquay Central supermarket has sold to a private investor for $25.1 million.
Touted to investors as the town’s “most substantial and strategic commercial landholding” when listed in October last year sold yesterday for more than $5 million above Stonebridge Property Group’s initial expected price of $20 million.
Located on the corner of Bristol Road and Walker Street, the Commercial 1 zoned site of 7,331 sqm offers potential future development options, while the freestanding, 2,980 sqm building includes a BWS store and is let on a two-year term, expiring late in 2024 plus further options, with a passing net income of $916,029.
There are 127 car spaces on title and the benefit of additional car spaces on an adjacent council lot.
Stonebridge’s Kevin Tong said the property represented the most substantial and strategic commercial landholding in Torquay, providing significant scope for future mixed-use redevelopment given the central location opposite Taylor Park and only 300 metres from Torquay’s beaches.
“We are not simply talking about a recession-proof income stream from a blue chip tenant, but a property which also offers exceptional development prospects down the track at the gateway to the Great Ocean Road – one of Australia’s foremost tourist destinations.’’
He said the increasingly affluent locality was experiencing high levels of tourism and population growth, being an ideal location for sea-changers with the potential for significant acceleration as the working from home trend increased.
“Standalone supermarkets are rare and highly sought-after by investors and have been over a long period of time and in many instances have produced very strong
results,” Stonebridge partner Justin Dowers said.
“That has been due to some of the best investment credentials you will find in any commercial property asset including long leases, blue-chip tenants and high underlying land value.
“Daily needs tenants, like Woolworths, with an exceptional track record of performance, add another level of tenancy and rental income security which is particularly attractive in uncertain times.”