A high-profile retail property, comprising a McDonald’s and 7-Eleven service station on the Gold Coast, has been sold for $8.525 million.
A high-profile retail property that fronts directly onto the Gold Coast Highway at Palm Beach on the Gold Coast, comprising a McDonald’s and 7-Eleven service station, has been sold for $8.525 million.
Set on a prime 3,011sq m corner site, the property is extremely well located on the busy Gold Coast Highway at the traffic light controlled intersection of 19th Avenue, the major east-west intersection at Palm Beach.
The property was sold by Jon Tyson and Michael Harcourt of Savills Retail Investments to a local private investor following an Expressions of Interest campaign that generated over 250 enquiries and eight offers. The sale reflects a sharp yield of 5.46%.
Jon Tyson said the Palm Beach property presented an extremely rare retail offering, 100% leased to dual national anchor tenants and with exposure to more than 34,000 passing vehicles daily.
He said both McDonald’s and 7-Eleven have both occupied the site since it was developed in 2001 and are secured on long-term net leases with fixed annual rental increases. The sale represents the first time the property has been offered to the market.
“Quality service station investments such as this are highly sought after by investors and this property also features a McDonald’s Drive-Thru Restaurant, which are very rarely offered for sale,” he said.
Palm Beach is located on the southern Gold Coast, approximately 14km south of Surfers Paradise and just 10km north of Coolangatta Airport.
Mr Harcourt said the sale of the Palm Beach McDonald’s/7-Eleven property continues the strong demand from investors for high-profile main road fuel and fast food sites.
He said the Palm Beach property is ideally positioned on the Gold Coast Highway to service the growing residential population and tourist trade on the southern Gold Coast.
“As well as the strong fundamentals of a large corner site, main road exposure and 100% lease profile to major national tenants, this property also provides for longer term future redevelopment potential,” he said.