Dan Murphy's $22m sale sets new Victorian benchmark
The sale of a Dan Murphy’s in Alphington for $22.5 million set a new record in Victoria for a freestanding retail property, when it sold to an Italian family on a yield of 3.2 per cent.
The liquor outlet and Dan Murphy’s head office on Heidelberg Road in Melbourne’s inner north east, backed by a long-lease to Woolworths, sold for more than $6 million above the reserve as part of a CBRE portfolio auction of retail properties and childcare centres which generated more than $100 million in sales.
It was offloaded by a Melbourne family who paid just under $10 million for it in 2002 when they bought it from Fabcot, the property development arm of Woolworths.
Also selling at the auction was a freestanding Coles supermarket in the Warrnambool CBD (sold for $14 million at a 5.7 per cent yield), a freestanding Woolworths supermarket in Mackay (sold for $18.75 million at a 5.8 per cent yield) and four metropolitan Melbourne Nino childcare centres, each with 20-year leases.
“One investor, who recently sold a major parcel of land, secured multiple assets on the night and outbid a number of other aggressive local buyers as well as active buyers from Asia,” said CBRE national director of retail investments Mark Wizel.
Mr Wizel said the quality of the properties on offer had been fundamental to the auction’s success, with more than 300 people in attendance and 63 registered local, interstate and overseas bidders.
He also noted the diverse range of attendees and bidders on the night, with several groups flying in from China and Singapore.
