17 May 2017
A COASTAL supermarket holding has sold big with local investors driving the price.
IGA St Leonards at 1370-1372 Murradoc Rd sold for $5.625 million at a land rate of $4,374 per square metre and 5.06 per cent yield, Darcy Jarman Geelong West agent, Tim Darcy, said.
The supermarket was expected to sell for about $5 million.
“It certainly surpassed our expectations and produced a yield. It’s without doubt the strongest yield an IGA in a regional area has attained,” Mr Darcy said.
The building is five years old, with a lease in place for 15 years plus options.
“It’s already been trading vibrantly since its inception in 2012,” Mr Darcy said. “It led to a number of parties having a keep appetite.”
The property attracted a crowd of more than 50 people to the auction, in which bidding opened at $4 million.