PORT AUCTIONS ADD CONFIDENCE
THE marketing of three commercial properties at Port Douglas has been brought forward following the successful auction sale of four premises last week.
Colliers International Cairns sold about $6 million worth, including the Four Mile Plaza on Port Douglas Rd, a prominent freehold property on Wharf St, a tenanted office on Macrossan St and a corner retail strip on Grant and Warner streets.
Agent Jay Beattie said the firm decided to fast-track the marketing campaign for the other sites, comprising a mix of commercial tenancies on Macrossan St and a freehold commercial building on the corner of Davidson and Port streets.
“These opportunities are expected to achieve up to $2.5 million,” he said.
Mr Beattie said the two Macrossan St properties were being offered by expressions of interest – individually or together – and a Davidson St site by formal offer.
“Both are closing at the end of October, if not sold prior,” he said.
Last Thursday’s auctions surpassed the sellers’ expectations, he said.
“The prices were all generally in the area of expectation, however, above market feedback prior to the day,” he said.
Mr Beattie said there were 10 registered bidders on the day plus two phone bidders with some parties bidding on multiple properties.
“Four Mile Plaza was the standout property of the day with spirited bidding,” he said.
“It also endorsed Port Douglas’ position as both a desirable tourist destination and an emerging commercial hotspot. Record low interest rates, an appetite for secure leases and compressed yields in southern markets are drawing capital into regional areas.
“With the four properties providing net returns in the range of 7-8 per cent, these were high-quality investments with the results reflective of that fact.
“Sparked by the wave of interest seen in this flush of properties, Colliers International Cairns is bringing forward a further three properties to the market, each benefiting from high exposure locations, secure holding income and capital growth potential.”
Auctioneer and Colliers International Cairns managing director Stacey Quaid said the properties sold ranged from $900,000 to $2.52 million under the hammer after spirited bidding between southern and local bidders. Sold were:
• Four Mile Plaza (six shops) for $2.52 million to a Victorian investor.
• 24 Wharf St for $900,000 to a local investor.
At this stage Colliers is not releasing details of the other two properties – a tenanted office on Macrossan St and a corner retail strip on Grant and Warner streets.