Historical Toowoomba CBD property on the market after 17 years attracts heavy interstate investor interest

A historically significant building now used as a small business hub has caught the attention of interstate investors who could indulge in a seven-figure splurge for the property.

Interstate investors are eyeing off a historical Toowoomba CBD investment property featuring a diverse set of mainstay businesses, and is likely to sell for seven figures.

LJ Hooker Toowoomba has listed 217 Margaret Street on the market through an expressions of interest campaign, with the 750 sqm property situated close to trendy bars and restaurants.

Now a business hub, the property originally formed part of the Club Hotel in the early 1900s and was then later subdivided into smaller freehold properties.

217 Margaret Street features businesses such as Red Sand Sisters and Alliance Française. Picture: LJ Hooker Toowoomba

Red Sand Sisters, Joel’s Salon and Sushi Asakusa are among the six ground floor tenants which make up 83 per cent of the property’s current gross income, with small businesses occupying the top floor.

LJ Hooker Toowoomba agent Justin Eastwell said the property offered a unique opportunity for investors due to the short-term leases attached to it.

Expressions of interest close this month for 217 Margaret Street. Picture: LJ Hooker Toowoomba

“It’s more about upside potential, so the ability to go in and refurbish the upstairs, obviously increase that rental income off the back of that, there is a play there with that,” Mr Eastwell said.

“It’s not a typical investment property, it probably does require someone with capital input.”

Mr Eastwell said in the past week investor interest had exceeded expectations.

Small businesses are able to use the first floor space of 217 Margaret Street Picture: LJ Hooker Toowoomba

“There’s been some local but definitely some Sydney and Gold Coast-based investors, it’s been far and wide and most people say Toowoomba’s on their radar,” Mr Eastwell said.

A group of Brisbane-based investors have owned the property for 17 years, purchasing it for $1,510,000 in 2005 according to RP Data.

Expressions of interest close November 22.