ASX-listed Seaford warehouse sells post-auction for $1.88M

AN industrial warehouse in the Melbourne suburb of Seaford has sold for $1,880,000 following successful post-auction negotiations at 19-21 Peninsula Boulevard.

The property, that came with a 1,050sq m* building size and 1,605sq m* land area, was securely leased to publicly listed company Paragon Care Group Australia Pty Ltd.

The asset was marketed and sold by Ray White Commercial Oakleigh Sales/Leasing Consultant George Kelepouris.

“We ran an online auction campaign that culminated in four registered bidders – and after the property initially passed in – it was then sold to a local investor,” Mr Kelepouris said.

“Buyers loved the fact the tenant is an ASX-listed company and we had 24 enquiries throughout the campaign. The $1,880,000 sale price reflected a yield of 7.1 per cent.

“The AAA investment was underpinned by one of Australia’s most prized ASX-listed lease covenants with the property offering a passive, long-term, secure income stream.

“The asset offered a new five-year lease that commenced in July 2020, with options to 2035, and produces a current rental return of $135,000 p.a. plus GST and outgoings.

“It consisted of a modern two-level reception/office, plus a separate medical-approved clean room site, both recently renovated in the heart of Seaford’s industrial precinct.

“It’s right next to the freeway and is part of a strong growth corridor. It also offers three street frontages, with the property having a substantial presence within the area, making it the ideal investment.”

*Approximately.