$900k sale in CBD good news for Gympie commercial property

The building was recently brought to the market for the first time in nearly 30 years

The Sovereign Cinema fills as crowds make their way in.

THE Gympie Cinema complex has been sold for $900,000 after multiple bidders competed for the site at Monkland St, in the Gympie CBD.

It has been bought by a family based in Brisbane and regional Queensland, who were seeking an investment property.

An aerial photograph of the Gympie Cinemas complex in Monkland St. Picture: Contributed

The 2019sq m site with 608sq m tenancy was marketed by Ray White Commercial Noosa and Sunshine Coast North in conjunction with Ray White Rural Gympie.

It was recently brought to the market for the first time in nearly 30 years, and sold two days post auction at an 8.8% yield, described by the delighted agents as "an excellent result for the Gympie commercial market”.

Sovereign cinema building, Monkland Street, Gympie. Picture: Patrick Woods

"The Ray White auction process saw multiple bidders competing for the property, ultimately resulting in this strong sale,” the agents said. "The auction attracted strong interest from south east Queensland and further afield.”

Agent Louisa Blennerhassett said:

"Quality investments are highly sought after in the current market. Regional investments are improving in popularity due to the tight supply and compressing yields in metropolitan areas. Our interest came from Brisbane, Sunshine Coast and further afield.

"The price point represented a position that appeals to investors, especially in the self-managed super fund space.”

Ray White agents Richard Murray, Louisa Blennerhassett and Leanne Mitchell. Picture: Troy Jegers

Testament to the success of the business was a new five year lease plus five year option with a highly experienced operator. The lease has a current net return of $79,374 plus outgoings plus GST.

Agent Richard Murray said Gympie was showing strong growth as a region in itself, with continuing improving connectivity to the Sunshine Coast and beyond.

"It is rare to have the opportunity to purchase a cinema complex. This property certainly offers something outside the box to a typical commercial investment,” he said.