Queensland Bunnings sells on record low yield
The white-hot market for Bunnings Warehouses has been stoked again, with ten investors waging a heated auction battle for a Queensland Bunnings that pushed its price to $18.68 million, according to a realcommercial.com.au report.
Billed as a rare chance to secure a Bunnings-leased property for less than $20 million, intense bidding from investors in three states saw the Lawnton asset flirt with that mark at Burgess Rawson’s latest Investment Portfolio Auction.
At the agency’s 130th Portfolio Auction campaign, Burgess Rawson sold nine of 11 properties on offer at the event at Crown Casino for a combined $41.116 million, according to the report.
The price for the Bunnings represented a 4.69 per cent yield – the lowest ever for a Queensland Bunnings put to market.
The 6784 square metres store at 727 Gympie Rd, which was recently redeveloped and expanded by Bunnings and De Luca Constructions, featured a new 10-year lease to the home improvement market leader.
It was only the third Bunnings with a sub-$20 million price tag to sell Australia-wide in the past three years, and comes after a Bunnings at Glenorchy in Tasmania traded in December for $14.06 million on a record 3.13 per cent yield, according to the realcommercial.com.au report.