Tweed sale nets $6.1m
A TWEED Heads South office complex has sold for $6.1 million to a Melbourne-based property trust.
Towers Francis Property’s Chris Towers, who marketed the property with colleague James Francis, said the sale of Tweed Office Park, at 24-28 Corporation Circuit, reflected a net yield of 7.9 per cent.
He said there had been a surge in demand from north- ern NSW companies seeking to move closer to the thriving central Gold Coast area.
Towers Francis, which manages the business park and is also a tenant, took over leasing for the property in February 2016.
The 14-tenancy complex has two double-storey buildings, and a net lettable area of 2064sq m. It has been fully leased since last October.
“When we moved into the park it was 60 per cent leased,” Mr Towers said. “We embarked on a strategy targeting businesses operating in the health, allied health, and professional services industries.”
Mr Towers said the strategy had proved successful with new tenants including Sunnyfield Disability Services, which moved in last July after signing a three-year lease for 400sq m.
National Hearing Care recently renewed its lease for three years for its 125sq m space.
Mr Towers said leasing rates ranged from $200sq m net for the first floor to between $250 and $270 for the lower level.
“Part of the reason we’re seeing growth is because it is good value compared to areas such as Surfers Paradise.”
The complex, which has a net annual income of $480,000, was sold by Tweed Office Park Pty Ltd, linked to Noel Holmes and Damien McKern.