International Tenant | Melbourne Metro Asset | Brand Name Dealership
The property is located in Narre Warren – an established residential area situated approximately 40 radial kilometres south east of Melbourne’s CBD. The site comprises a two-storey purpose built car dealership (showroom and workshop) constructed circa 2006 that is leased to an Australian subsidiary of Inchcape Plc (which has a market cap of £2.66b is listed on the London Stock Exchange). Inchcape Australasia have the distribution rights to Subaru in Australia, and also control the retail Subaru sales network by owning most of the dealerships (especially in Victoria where they own all bar two small dealerships).
The Property comprises 4,062m² of land, and buildings of 1,331m² that comprise showroom/offices and a service area. There is parking for 106 outdoor display / parking places. The site is leased until 5 December 2026, with 2 × 5 year options.
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 | 15 April 2024 |
| Land size | 4,062m² |
| Building size | 1,331m² |
| Purchase price | $10,250,000 |
| Independent valuation | $10,250,000 |
| Capitalisation rate used by Valuer | 5.00% |
| Valuation date | 6 December 2023 |
| Occupancy at purchase date | 100% |
| Financing | All cash purchase |
| WALE (Lease Expiry) | 2.68 years |
| WALE (Income) | 2.68 years |
| WALE (Lettable Area) | 2.68 years |
The weighted average lease expiry (WALE) is as at purchase date 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.