Retail (Showroom)
The property is a marquee Mazda car dealership located in Berserker; North Rockhampton, and an adjoining parcel of land that is used as a holding yard / used car sales. The building has a gross lettable area of 1,546m² (ground floor 1,356m², first floor 190 m²) providing a main lot site coverage of 32%. The two-parcel site area is 4,940m².
The property is leased to Capricorn Motors PTY Ltd, trustee of a unit trust. Those units are owned by Autopact, (in who a majority stake was recently acquired by Optimus Group Co. Ltd); a ¥52.8b publicly listed company on the Tokyo Stock Exchange, headquartered in Tokyo. It has automotive business interests in Japan, Australia and New Zealand.
There is annual 3% fixed increases, with 5% cap/collar market reviews on exercise of options. There are two 5-year options.
A combination of a secure tenant, long-term lease, and net lease makes this an attractive purchase for the Fund.
Financial Information:
Disclaimer: Information provided about forecast annual net cash flow and cash on cash returns are derived from unaudited financial projections. Such forward-looking statements are not guarantees of future performance and involve known and unknown risks, uncertainties, assumptions and other important factors, many of which are beyond the control of the Responsible Entity. The Responsible Entity cannot and does not give any assurance that the results, performance or achievements expressed or implied by the forward-looking statements will actually occur and investors are cautioned not to place undue reliance on these forward-looking statements.
| Property type | Retail (Showroom) |
| Date acquired | 31 May 2024 |
| Land size | 4,940m² |
| Building size | 1,546m² |
| Purchase price | $7,200,000 |
| Independent valuation | $7,200,000 |
| Capitalisation rate used by Valuer | 6.57% |
| Valuation date | 12 April 2024 |
| Occupancy at purchase date | 100% |
| Financing | All cash purchase |
| WALE (Lease Expiry) | 8.84 years |
| WALE (Income) | 8.84 years |
| WALE (Lettable Area) | 8.84 years |
The weighted average lease expiry (WALE) is as at 31 May 2024 on the basis of the property as a stand alone acquisition, not its weighting in the Fund’s total portfolio. More recent information about the the Fund’s portfolio can be found here.