Care Park lists nine investments with leasebacks

The Melbourne CBD asset returns annual rent of $450,000.

Care Park has listed nine parking lots – just under 10 per cent of its portfolio – to acquire more offshore assets.

The investments, eight in Victoria with the other in New Zealand, are available individually.

They are expected to sell for a total of more than $25 million.

The Abbotsford car park, beneath the Eden complex, contains 121 bays.

CBRE’s Nathan Mufale, Scott Hawthorne, Jing Jun (JJ) Heng and Scott Orchard are closing an expressions of interest campaign next month.

Beneath the Royal Domain Plaza, the St Kilda Road property earns $100,000 per annum.

Established in the mid-1990s, Care Park also owns properties in Malaysia and Europe.

More than a million customers a day use its service.

Its major shareholder – holding 75pc – is Hong Kong listed Far East Consortium.

Varying values

The nine investments are being offered with seven year leasebacks.

Earning varying annual rents (between $50,000-$450,000), they are expected to attract interest from private investors, syndicates and institutions.

Two have medium-term development upside.

“The sites we’ve chosen to take to market are all strong performing businesses that will help us free up capital and underpin the next growth phase of the business,” Care Park managing director Robert Belteky said (story continues below).

The South Yarra investment rises five floors.

“We are looking to grow our portfolio globally given the industry has proven to be robust since we started 25 years ago,” he added.

The portfolio

Five of the car parks are in metropolitan Melbourne – at 360 St Kilda Road, Abbotsford (677 Victoria Street), Dandenong (Hub Arcade), South Yarra (9 Yarra St) and Toorak (521 Toorak Rd).

The priciest, with 200 bays, is in the CBD – at Flinders St’s Northbank Place.

The other Australian assets are in the Victorian towns of Shepparton (containing 326 spaces in a standalone building on 2700 sqm) and Bendigo (with 44 open-air parks).

The offshore property is in New Zealand’s capital, Wellington.

“Australia is one of the most motorised countries in the world with most households having at least two cars,” Mr Mufale said.

“The income security offered by this recognised, trusted and market leading operator is appealing to buyers looking for solid long-term and low-maintenance investments,” according to the agent.

“We are witnessing investors seeking more attractive returns than they can achieve in the bank and other comparable investments,” Mr Hawthorne added.

“Car parks are sound investments, they require such low levels of CAPEX and ongoing maintenance”.

The Bendigo asset (left, on 1360sqm) and Shepparton property (covering 2700 sqm) have medium term development upside.

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Marc Pallisco

A former property analyst and print journalist, Marc is the publisher of