09 Oct Top price for Pako property
THE biggest price ever paid for a commercial property on Newtown’s Pakington St has underlined the investment strength of the inner Geelong shopping strip.
A Geelong investor paid a strip-record $2.29 million at auction for the corner property containing Newtown’s pharmacy and a fashion boutique in the river end village.
The buyer was one of five bidders to raise a hand at the auction of the 411sq m property at 322 Pakington Street.
The rare opportunity arose as executors acting for the estate of the owners disposed of the asset, which had been held for about 50 years.
The sale generated a 3.45 per cent yield, calculating the high sale price and $79,000 annual rental income from long-term tenants Peak Pharmacy and clothing retailer Mayfield on secure leases expiring in 2028.
Darcy Jarman, Geelong West selling agent Simon Jarman said he had been quoting in the high $1 million range throughout the campaign, with buyers taking it further.
“It just goes to show the strength of the location, tenants, a corner — it had it all,” Mr Jarman said.
“It had extra land at the back that long term is going to become a terrific development site.”
Newtown’s river end shopping strip has a strong commercial property sector.