Petrol powers $117m frenzy at investment auctions

Childcare centres and petrol stations were in investors’ crosshairs at the latest Burgess Rawson investment portfolio auctions, which saw $117 million worth of property change hands over two days.

Petrol retailer United Petroleum offloaded more of its assets at the auctions, little more than a month after selling six stations.

One station at Narre Warren in Victoria sold after Wednesday’s Melbourne auction for $4.26 million on a 6.1% yield, while a pair of Tasmanian stations at Newnham and Hobart North sold for $3.75 million and $3.751 million, respectively.

The previous day in Sydney, a station at Rydalmere traded for $5 million on a sharp 4.4% yield, while another at North Richmond in New South Wales was picked off for $5.52 million.

The United petrol station at Rydalmere sold at auction.

Meanwhile, six childcare centres found new owners at the Melbourne auction as investors came hard again for one of the commercial market’s most in-demand asset classes.

A centre leased to industry heavyweight G8 Education at Banyo in Queensland transacted for $2.34 million on a yield of 5.14%, while a larger centre at Werribee in Victoria sold for $4.75 million.

A Southport facility leased to Affinity Education went for $2.6 million on a sub-6% yield, as did a Sparrow Early Learning centre development site at Tarneit in Victoria, which reached $5.13 million.

Meanwhile, Victorian high country day spa the Onsen Retreat and Spa at Dinner Plain sold for $4.8 million on an almost unheard of yield of 17.26%, six weeks after being passed in when auctioned a first time.