“As we expected, given the location and the quality of the tenants,” he 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.

“As we expected, given the location and the quality of the tenants,” he 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.

In 2018, the nearby site of the suburb’s post office sold for $930,000 at auction, eclipsing price hopes by $300,000.

CoreLogic records show the sale price was more than double the $1 million achieved three years ago for the property next door, which had been home to wine seller Randall’s The Wine Merchant until 2018, and eclipsed the $2.2 million price tag at 357 Pakington St.

Mr Jarman said recent interest rate cuts had lifted the profile of Geelong’s commercial property sector.

“Demand has increased for good investment properties that well located in such strips.

“In general, anything that is well located with good tenants and secure leases is now extremely well sought after.”