Shahin family’s Peregrine Corporation sells three petrol stations for close to $25m

The Shahin family has scored a $25m payday following the sale of three OTR petrol station sites across Adelaide.

The OTR site at Marryatville sold for $4.83m. Picture: Supplied by Burgess Rawson

The Shahin family has scored a $25m payday following the sale of three OTR petrol station sites across Adelaide.

The family’s Peregrine Corporation retained the freehold real estate as part of its $1.2bn sale of the OTR business in 2024, and late last year brought to market three sites with new long-term leases to the business’s acquirer Viva Energy.

After selling two of the sites – at Darlington and Marryatville – at auction in November, Peregrine has wrapped up the sell-off with a $13.8m deal to offload its West Croydon site on Port Rd. That site’s home to a large petrol station and convenience store, Subway eatery and Adelaide’s first Krispy Kreme store and factory.

With the Darlington and Marryatville sites fetching $6.015m and $4.83m respectively, the portfolio has brought in a total of $24.645m in total proceeds.

Peregrine chief financial officer Michael Dodd said the sale was in line with the company’s strategy to reallocate capital into new ventures.

Krispy Kreme at West Croydon. Picture: Supplied by Burgess Rawson

“South Australia’s commercial property market remains strong, bolstered by initiatives such as the removal of stamp duty, which continues to drive investor interest,” he said.

The sale was managed by Burgess Rawson’s Jamie Perlinger and Raoul Holderhead, who had initially expected offers of around $23m for the property portfolio, which generates a total annual income of close to $1.4m.

Mr Holderhead said the properties generated more than 320 enquiries, with the West Croydon site alone attracting nine offers during the sale campaign.

The three sites were each offered with new long-term leases to Viva, with renewal options extending out more than 50 years – a longer tenure than typically offered with petrol station properties.

Mr Perlinger said the average yield of 5.5 per cent – representing the annual return – on the sales reflected the strong demand for convenience retail investments.

“These assets offer a combination of strong tenancies, prime locations, and secure leases, making them highly sought after in today’s competitive market.”

Peregrine retains the freehold interest in the majority of the 170 OTR sites across SA, Western Australia, Victoria and NSW.

The Shahin family, one of Adelaide’s wealthiest families, rarely sell from their vast portfolio of property holdings, which also includes luxury homes, office towers in the city, vineyards, development interests and The Bend motorsport park at Tailem Bend.

Originally published as Shahin family’s Peregrine Corporation sells three petrol stations for close to $25m