Rare trio of Pakington St shops snapped up for $4.4m

McGrath, Geelong agent David Cortous calls the auction at 152-154 and 156 Pakington St, Geelong West.

A trio of adjoining retail shops smashed its auction reserve by $1.4m as local investors jostled to secure a premium Pakington St position.

Four bidders made a play for the rare commercial offering at 152-154 and 156 Pakington St, which sold for $4.4m.

The 694sq m site in the heart of the popular shopping strip is currently occupied by tenants the Village Door cafe and Mr Collins florist.

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McGrath, Geelong agent David Cortous the chance to purchase three shops in one transaction on the city’s best retail strip sparked a flood of interest.

He said the property had been held as a long-term interest by the same family for more than 50 years.

“I can’t recall any other time that three shops in a row on Pakington St have ever been offered,” Mr Cortous said.

“Moving forward you may never see three shops offered again so it’s a very rare opportunity.

“You have two quality long-term tenants and the opportunity with the land — it’s such a big parcel — it gives you the opportunity for future development if that’s what you want to do.”

The site offered a 14.6m frontage to Pakington St.

There are two long-term tenants in place.

Bidding opened at $2.7m and quickly raced past the $3m reserve before a latecomer entered the race at $4.3m to edge out the competition.

“There were quite a few big Geelong players there,” Mr Cortous said.

“There was a Melbourne buyer, but he didn’t get a chance to bid, so all four bidders were local.

“Pakington St has always gone from strength and it just continues to perform.

“There was a lot of people there that actually own shops in Pakington St.”

Inside the Village Door cafe.

He said buyer — like the vendors before him — intended to hold the site as a long-term investment.

The two shops at 152-154 Pakington St are currently leased to Mr Collins for $56,800 per annum plus GST and outgoings for a seven-year term, with a further option of seven years.

They offer a land area of 459sq m and a floor area of about 140sq m.

Next door, with a land area of 234sq m and floor space of 200sq m, is leased for $39,000 per annum.

The properties are zoned CZ1 and have two street frontages and rear access via a car park.