Two Melbourne shops with one tenant sold together after auction on 5.2pc yield

Two Noble Park shops leased to one tenant have been sold together for $1,045,000 by Ray White Commercial Oakleigh.

There were three bidders at the December 1 auction, held on site at 1264 and 1266 Heatherton Road.

Bids started at $850,000 and reached $1.01 million before the freehold retail properties were passed in.

Agent George Kelepouris says the two standalone buildings — one housing Bottlemart, the other TSG Tobacco Station — were sold to the highest bidder shortly after the auction.

“The purchaser is an investor who loved the flexibility of the two shops being available separate for future tenancies,” Mr Kelepouris says.

“The property is located on a main road in Melbourne’s south-east growth corridor and its Commercial 1 zoning allows for future development, subject to council approval.”

The shops have a combined total areas of 370sqm (building) and 438sqm (land).

The combined current rental income is $55,222 per annum, plus GST and outgoings. Both tenancies started five-year leases plus options in June 2015.

Mr Kelepouris says the sale price represents a yield of 5.2 per cent.