Whitsunday waterfront restaurant to be auctioned in Sydney

HAMMERTIME for hospitality investment in Australia's most recognisable town.

The property, at 115 Shingley Drive, Airlie Beach will be a part of a portfolio auction in Sydney. Picture: Contributed

SAVVY investors can carve out a piece of the hospitality industry in one of Australia's most recognisable towns - Airlie Beach.

Burgess Rawson agents are predicting heated competition for a 496sq m restaurant site at the Shingley Beach Resort, overlooking Abell Point Marina and the Whitsundays.

The property at 115 Shingley Drive provides a net income of $35,000 pa + GST, which increases annually over the five years to a net $70,000.

Burgess Rawson agent Glenn Conridge said the property's Airlie Beach location within a thriving international tourism destination secures its investment appeal, in addition to the asset's guaranteed significant annual rent increases.

"Investors are becoming increasingly interested in coastal and regional properties, compared with those in CBD locations, with properties situated within the highly sought after Whitsunday Coast region selling like hotcakes," Mr Conridge said.

"Airlie Beach in particular offers both a strong residential base and a booming tourism economy, with this coastal gem only made more attractive with annual rent rises increasing to $70,000 net by year five, cementing the asset's strength as a lucrative investment," he said.

He said strong returns are supported by a fixed four per cent annual rent increase for the second term of a further five years, and has potential for the recently renewed five year lease to extend to 2027.

"This investment really offers exceptional income growth for the astute investor," Mr Conridge said.

Mr Conridge said the property will go to auction at Burgess Rawson's June Portfolio Auction on Tuesday 19 June at Doltone House in Sydney.

Originally published as Whitsunday waterfront restaurant to be auctioned in Sydney