{"id":239553,"date":"2019-07-12T15:41:15","date_gmt":"2019-07-12T05:41:15","guid":{"rendered":"https:\/\/southburnett.com.au\/news2\/?p=239553"},"modified":"2020-07-19T13:11:31","modified_gmt":"2020-07-19T03:11:31","slug":"bunnings-building-sold-for-14-55m","status":"publish","type":"post","link":"https:\/\/southburnett.com.au\/news2\/2019\/07\/12\/bunnings-building-sold-for-14-55m\/","title":{"rendered":"Bunnings Building Sold For $14.55m"},"content":{"rendered":"
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Kingaroy’s Bunnings building has been sold for $14.55 million to a private Victorian property syndicate, a little more than a month after Bunnings opened its doors<\/figcaption><\/figure>\n

July 12, 2019<\/strong><\/p>\n

The Kingaroy building occupied by Bunnings Hardware has been sold to a private Victorian property syndicate for $14.55 million.<\/p>\n

The building was recently put on the market by Queensland developer Nic De Luca, and sold by commercial real estate agents Burgess Rawson.<\/p>\n

The building was sold with the existing 10-year Bunnings lease.<\/p>\n

A Bunnings’ spokesperson previously told southburnett.com.au<\/strong> that any sale of the building would have no effect on their operations.<\/p>\n

Mr De Luca has constructed 24 Bunnings stores across Queensland and NSW for Bunnings’ owner Wesfarmers since 2007.<\/p>\n

Burgess Rawson director Billy Holderhead said what made the Kingaroy sale even more attractive was the 24,200sq m site at 2 Walter Road included a 3190sq m parcel of land that would allow the store to expand in future, if required.<\/p>\n

“It\u2019s difficult to find Bunnings investments including land for them to expand into as their store matures,” Mr Holderhead said.<\/p>\n

“Only two of the last 14 freestanding Bunnings freeholds brought to market have included vacant land on the title for future expansion.”<\/p>\n

The site was offered with a 10-year lease plus eight six-year options.<\/strong><\/p>\n

This meant Bunnings has the potential to remain a tenant in the property through to 2077.<\/p>\n

The lease currently generates an income of $800,000, with 2.5 per cent rent increases built into the deal.<\/p>\n

Mr Holderhead said the site attracted 192 inquiries and drew five formal offers above $14 million.<\/p>\n

The sale was made relatively quickly, with Expressions Of Interest closing on June 19, offer and acceptance occurring the following day and the exchange of contracts on June 27.<\/p>\n

Mr Holderhead said both parties were “very happy” with the sale, and Burgess Rawson would now be marketing Mr De Luca’s Bunnings site in Lawnton.<\/p>\n

He believed the high level of interest shown in the Kingaroy property indicated a bright future for “big box” retailing in the area.<\/p>\n