An Ipswich service station has sold in an off-market deal to a Toowoomba-based investor for $1.8 million.
The centre is one of two sold in recent months by the Ray White Invest Service Centre Trust.
In February, the trust sold a Toowoomba service station, which was leased to Freedom Fuels, for $3.5 million. Rick Bird of Ray White Transact negotiated both deals. He said the Ipswich service station at 126 Warwick Road was a particularly appealing investment because the yearly rent of $148, 632 had just been paid in advance and the tenant was a national company.
The sale reflected a yield of 8.26 per cent.
The property sold in an off-market transaction after Bird contacted a private investor he knew was looking for a property in that price bracket. He said the Toowoomba-based investor owned significant residential assets but this was his first non-residential property.
Mr Bird said the plan by the trust had always been to sell off a few of the service station assets, after they had been held for a number of years, to reduce debt. “It (the property) had been completely renovated late last year,” Mr Bird said.
It was rebranded from an Ampol to a Caltex service station at the same time. The property, on a 3033 sq m site with frontage to Warwick Rd, is leased to Caltex until April 2016 with two five year options in place.
Mr. Bird is marketing another service station at Withcott with an asking price reduced to $2.6 million.