The selling agent for a high-profile commercial property in Shepparton says its sale price of more than $4 million reflects the growing interest of outside investors in the Goulburn Valley market.
The 5075 sq m freehold block at 82-88 Benalla Rd (Midland Hwy) consists of four retail showrooms, totalling 2183 sq m, on one title with 80m of highway frontage and a net income of $183,179 pa + GST.
Selling agent Rocky Gagliardi, of Gagliardi Scott Real Estate, said the property, which is currently home to T & M Batteries, Konnect Fastening Systems, Stihl and CA Group, was sold by tender through expressions of interest and came down to a competition between two investors, one local and one not.
He would not reveal who purchased the property or the exact sale price, but said there was a large amount of interest in it.
“We had over 120 inquiries,” Mr Gagliardi said.
“Two head-to-head for 24 hours where it was a local developer/investor versus a pretty big national company.
“The fact that it was on Benalla Rd fronting Bunnings is probably, arguably, the best site in Shepparton as far as to develop later on or to keep as an investment.”
Mr Gagliardi said he was seeing increasing interest from national and multinational companies considering investing in Greater Shepparton, particularly in what he described as the “golden mile” along Benalla Rd where a number of commercial developments were under way.
“Shepparton’s in a really good place, commercial-wise, it has been for a good five to seven years now,” he said.
“It struggled for a while after the GFC (global financial crisis), but it’s really bounced back in the last seven or eight years.
“We get a lot more investors from out of town now. It’s making it more difficult for locals to invest here, which is why this sale, it is good that a local got an opportunity to buy.”
Mr Gagliardi said research by national and multinational companies was showing an expected population spike in Greater Shepparton over the next decade, and they were moving to profit from a current under-servicing and future growth.
“A lot of these companies and multinationals, they do their research pretty well so they see Shepparton as a hot spot hugely,” Mr Gagliardi said.
“The amount of service stations I’ve sold, and inquiries for service station sites, is incredible because they do all their studies and they don’t take it lightly.
“It really just shows how strong Shepparton’s going at the moment, it’s really bouncing along pretty well considering the economic climate we’re going through.”
Meanwhile, negotiations continue over the sale of the next-door property on the corner of Benalla Rd and Fordyce St.
That property, which fronts Benalla Rd and Fordyce St, was passed in at auction on Friday, May 12, but agent Glenn Young, of Youngs and Co Real Estate, said negotiations were continuing over its sale.
That site has a total area of 7385 sq m, and is currently occupied by the Thompson Motor Group (Hyundai, Suzuki and Mitsubishi dealerships).