Colliers International's Nick Christensen expects strong investor interest for three properties they have set for auction this month.
Colliers are guiding around $1.75 million for a CBD fringe investment at 206 Hannell Street in Maryville that is leased to a covenant backed by AMP. It is set for auction on March 25.
It has a passing income of $105,000 per annum net plus GST and has a lease in place until 2025 with a further five-year option.
The property comprises a Torrens Titled, high-profile commercial building with stacked parking for up to six vehicles on site, accessed via Lott Street.
Internally, the premises has been renovated to a high standard to include a stylish reception and waiting area, large boardroom, two glass meeting rooms with interconnecting doors, four small breakout rooms, open plan work space, modern kitchenette and lunchroom plus amenities.
"There has been great interest," Mr Christensen said. "It has a great solid tenant who's been in occupation for more than 10 years, a high-end fit-out and great exposure along Hannell Street. It is a good, solid investment."
Colliers have also listed an investment opportunity in Maitland at 28 Church Street. The property is fully leased to Advisory Group and Bright Start Behaviour Support. It has a passing income of around $71,936 per annum net plus GST and a WALE of 2.41 years.
The building enjoys a prominent location within Maitland's CBD. The property comprises a Torrens-titled, fully leased two storey commercial building with four on-grade car spaces. Colliers are guiding around $950,000 for the property ahead of its March 25 auction.
They are guiding north of $2 million for units 1 and 2 at 50 Harrison Street in Cardiff. Star Discount Chemist have just signed a new 10-year lease with four five-year options and fixed rental increases. It has a passing income of $117,500 per annum net plus GST and is set for auction on March 30.
The Cardiff property is being jointly marketed with Burgess Rawson.
According to Burgess Rawson NSW director Dean Venturato, the Harrison Street medical site is proving "hot property".
"We have seen a doubling in demand for medical investments from buyers looking for the security and comfort afforded by these types of commercial uses," Mr Venturato said.
This sought-after asset is on a busy retail corner, opposite leading retailers Aldi and Woolworths and within easy walking distance to public transport.
"Star Pharmacy Group is well known and boasts 58 successful member locations across Australia," Mr Venturato said. "Its location within a concentrated medical hub in the Cardiff shopping centre underpins its strong investment value."
Significant city sale
A Sydney-based investor has purchased 978-980 Hunter Street, Newcastle West for $7.3 million. The property comprised a significant freehold retail building of around 3193 square metres and was sold through expressions of interest campaign.
The property is occupied by Fantastic Furniture on a new five-year lease with two five-year options. It was sold by Nick Lower, Ollie Ridley and Nick Peden, of Savills Australia.
"[The property] captured the attention of both investors and developers from NSW, Queensland and Victoria due to its strong covenant and location," Mr Lower, who is state director of NSW, Metro Regional Sales at Savills Australia, said.