Interstate buyers craving for Rockhampton region’s prime fast-food property
Southern investors with an appetite for blue chip fast-food restaurants have forked out more than $10m for two prime outlets in the Rockhampton region.
Southern investors with an appetite for blue-chip fast-food restaurants in Central Queensland have forked out more than $10m for two prime outlets in the Rockhampton region.
Melbourne company Wakehurst Investments paid $6.4m for the Hungry Jacks in Gracemere while Sydney based Gesbell Pty Ltd paid $4.15m for the brand new Oporto eatery in George St, Rockhampton opposite Browne Park.
Oporto has 22 stores in Queensland, mostly in the southeast, and serves a variety of flame-grilled Portuguese chicken and other menu items, including burgers and chicken wraps.
Burgess Rawson agent Yosh Mendis said the Oporto property settled in October after selling at a national auction following strong interest from a number of bidders.
He said fast-food businesses in Central Queensland were tightly held and a much sought after asset.
“People that own them rarely sell them,” he said.
“This one has a national tenant, long lease, brand new drive-through with significant depreciation benefits.
“It’s all the makings of that perfect investment opportunity.”
The Oporto property is on a high profile 1,064sqm corner block with street frontage to Cambridge St and the Bruce Highway providing exposure to 110,166 vehicles passing weekly.
The net lease income is $189,178 pa for a yield of 4.56 per cent.
Oporto is part of Craveable Brands who operate over 600 stores including Oporto, Red Rooster, Chicken Treat & Chargrill Charlie’s and are a wholly owned subsidiary of PAG Asia Capital which is a leading alternative investment firm with USD$100 billion invested into Asia and beyond.
Mr Mendis said national investors recognised Rockhampton’s growth potential in its role as a “central hub” in Central Queensland.
“There is a lot of positivity coming from people investing in the region,” he said.
“People have a lot of confidence buying these types of assets.”
The 16-month-old Hungry Jacks outlet at Lawrie St, Gracemere comes with a net income of $307,180 providing a yield of 4.79 per cent.
It has a 13-year head lease with options to 2057.
