Burgess Rawson from CBRE’s Sydney portfolio auction event 180 delivered another standout result with more than $51.475 million in transactions across healthcare, childcare, convenience retail and fast food retail assets.

Burgess Rawson from CBRE’s Sydney portfolio auction event delivered another standout result with more than $51.475 million in transactions across healthcare, childcare, convenience retail and fast food retail assets.

The Sydney event garnered a stellar success rate of 91.67 per cent, with yields as sharps as 3.79 per cent demonstrating strong private investor appetite across the asset classes. The blended yield was 5.37 per cent.

Burgess Rawson from CBRE Senior Director Yosh Mendis said the results demonstrated the exceptional strength in the commercial property sector with healthcare and early education in particular gaining significant momentum as investors aggressively pursue defensive, essential-service infrastructure with rock-solid covenants and robust income streams.

The three Goodstart Early Learning assets achieved the sharpest yields of the auction. First out of the gates was the Goodstart centre in Ormeau, Queensland, which sold for $3.92 million on a tight return of 3.79 per cent. The Albany Creek facility sold for $5.735 million reflecting a 4.19 per cent yield, while the Mornington (QLD) centre transacted for $2.375 million.

Healthcare proved a strong remedy for investors with three PRP Diagnostic Imaging assets selling. The flagship Hornsby investment was snapped up for $9.5 million on a 5.44 per cent yield, representing the highest sale price of the day. Additionally, PRP Adamstown in Newcastle saw spirited bidding selling for $5.85 million reflecting a yield 5.21% as well as PRP Erina selling for $3.225 million on the day. The properties were listed and sold through Yosh Mendis and Geoff Sinclair.

In the food retail category, the KFC at Narrabri in regional NSW sold for $3.295 million reflecting a return of 4.93 per cent.

“The results demonstrate that investors recognise the defensive qualities and long-term value proposition these essential service assets provide, particularly in the current market environment where  covenant strength and stable income streams are paramount.’

The event continues at Crown Casino in Melbourne on Wednesday 22nd October commencing 10.30 AEDT where a range of health, convenience retail and large format retail are on offer, to name a few.

COMMO