Outer Eastern Suburban Retail Market Heats Up
The Ringwood East branch of the Bendigo Bank has sold at auction for $1,512,000 representing a 3.9% yield. The property offered with a new 5 + 5 + 5 year lease returning $60,000 was well received by buyers with over 130 inquiries over the 5 week campaign. Gorman Commercial’s Associate Director, Stephen Speck, who marketed the property, said, “the trend for buyers looking for stand-alone retail investments in outer suburbs was becoming increasingly more popular. Buyers are seeing better value in these areas where rental rates are still relatively cheap and should see growth and therefore significant capital appreciation as these suburbs become more densely populated.” The sale is the third property sold by Stephen Speck in as many months in the outer Eastern suburbs with buyers all coming from inner city locations.