Brunei property baron misses out on Maroochydore op shop

A jetsetting international investor has gone home empty-handed after being outbid by a local real estate syndicate on the Sunshine Coast.

The wealthy day-tripper from Brunei – one of the smallest but wealthiest countries in the world – was among several buyers vying for the popular $3.55 million site at 134-136 Aerodrome Rd, Maroochydore.

However, the savvy Sunshine Coast group apparently had the home-ground advantage, beating the offshore high-flyer and the 10 competitive offers on the table.

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The 2312sqm site holds a commanding position on the eastern boundary of the new Maroochydore City Centre, with an existing single-level building with a net lettable area of 1200sqm and 30 car spaces.

It is currently tenanted by a Salvation Army op shop but has an approved height limit of 40m.

CBRE selling agent Tony Justo says there were 45 inquiries from local and interstate buyers before the property changed hands on a yield of more than 5%.

The property sits among Maroochydore’s rapidly developing inner city.

“Many of the interested parties were looking at it as a passive investment, but it was really a redevelopment play with solid holding income,” Justo says.

“It really shows if you have freehold premises with secure income plus redevelopment upside

then there’s a huge amount of appetite out there in the market place.”

At $1500 per sqm, Justo says the deal should now serve as a benchmark to the local council for the sale of lots within stage one of the Maroochydore City – the new CBD being developed in the area

The location of the property, adjacent to the redevelopment of the Horton Park Golf Course, which is being transformed into an integrated “smart city” centre, was also considered a key factor in ramping up buyer interest.

The Salvation Army will lease the premise until 2022, with a five-year option, generating $215,017 gross rental income per year.