Commercial property on the busy Gympie Road in Brisbane’s northside snapped up within a week

• The property, which is fully leased to Repco and GOA billboards, has 507sq m of net lettable area on a 1,677sq m site, with 10 car parks
• It was purchased by Tuncil Park Investments from a small syndicate of private investors in an off-market deal negotiated by Knight Frank
• The deal took place within a week after Knight Frank receiving the vendor’s instruction to sell
• The deal is evidence of the strong demand for quality investment properties in Brisbane, which are currently in limited supply

A commercial property situated on one of the busiest roads on Brisbane’s northside has been snapped up within a week of the vendor deciding to sell, demonstrating the strong demand for quality investment properties in the city.

The off-market sale of the property at 192 Gympie Road in Kedron, which is occupied by Repco and GOA billboards, saw the property purchased by Tuncil Park Investments for $3.35 million.

The deal was negotiated by Jacob Heinke and Hayden Ryan of Knight Frank on behalf of the vendor, a small syndicate of private investors.

The property has 507sq m of net lettable area on a 1,677sq m site, with 10 car parks.

Repco has a lease in place until 2027, with four five-year renewal options after that time.

Mr Heinke said the purchaser was drawn to the quality of the investment, including its location on one of Brisbane’s busiest arterial roads, the strength of the covenant and the property’s future development potential.

“This property has huge exposure to Gympie Road, upon which over 65,000 cars pass by every day, which is an extremely attractive location to tenants,” he said.

“The investment also had a very secure income stream with a strong lease to two quality national tenants, and being zoned low-to-medium residential it provides future potential to redevelop up to three storeys on the site, which further underpins the value of the land.

“Within one week of receiving the vendor’s instruction to sell, we swiftly secured a cash contract, subject to a 21-day due diligence period, for this asset, which demonstrates the strong demand for quality commercial investment properties in Brisbane.”

Mr Ryan added:

“We have plenty of other investors lining up for these opportunities, waiting for similar properties to become available.

“Given recent economic challenges, many investors have been waiting on the side lines however we feel as though when the right opportunities present themselves, investors are willing to pay a sharp price.”

“Similar assets in strong locations leased to national tenants continue to outperform the market, particularly at this price range.

“In this case we were able to match the right opportunity to the right buyer, which was instrumental in achieving a successful sale and an optimal outcome for the vendor.”