BIG SALE REVEALS DEMAND
A SUBURBAN retail precinct has sold to a southern investor for more than $ 4 million as out- of- town interest in Townsville’s commercial property market continues.
Neville Smith of Colliers International sold 109 Thuringowa Drive in Kirwan for a passing yield of 8.8 per cent.
It is the buyer’s first acquisition in Townsville.
Mr Smith said the investor liked the location on a major arterial road, the large population of residents living nearby and the retail mix at the centre.
“They liked the position, the mix of national tenants and the fact it’s in the biggest residential catchment in Townsville,” he said.
“We sell a lot more stock in those outer suburbs because in Townsville you’re usually only 10 minutes from anywhere.
“It’s all about being on the main thoroughfare as opposed to back streets.”
More than 20,000 cars drive past the Thuringowa Drive site each day.
It has high- profile tenants including Pizza Hut, Night Owl, Subway and Noodle Box.
The property has annual income of about $ 360,000.
Mr Smith said infrastructure and construction projects in North Queensland were helping to build confidence in the investor market.
“It’s remaining buoyant outside of Townsville and a lot of these southern investors see opportunity here and see it as more stable than a lot of other places,” he said. “The ongoing publicity around major projects are really becoming the stepping stone for many of these investors.”
The sale follows southern investors snapping up Liquorland in Railway Ave at auction for $ 930,000.
Earlier this year investors bought a Mount Louisa fuel and fast- food precinct on Bayswater Rd for $ 8 million.
In February, a commercial property at the Lakes Currajong, which houses Red Rooster and Troy Kebabs, sold for $ 2.9 million at an auction in Sydney.