A fast food investment in Sydney’s Dulwich Hill sold for $4.26 million on a low 3.17 per cent yield following an auction integrating private online bidding.
Cushman & Wakefield marketing agent Yosh Mendis said the virtual public sale of 498-500 New Canterbury Road “confirmed that investors have been quick to embrace new technologies and adapt to realities of the rapidly changing external environment”.
Suitors came from Melbourne and Brisbane, cities which since last week were banned from flying to Sydney as part of measures to curb the COVID-19 spread.
In the end the property traded to a local buyer.
Dulwich Hill is about 7.5 kilometres south west of the CBD.
KFC, which care of deliveries can still trade, pays annual rent of $135,000 exclusive of GST for the premises.
It also covers outgoings including land tax and maintenance and repairs.
The lease is backed by a four month bank guarantee.
Upon expiry in 2029, the restaurant has a 10 year option, Mr Mendis said.
Colleague Michael Collins marketed 498-500 New Canterbury Road, at the south west corner of Terrace Road.
The agents said 52 contract requests were distributed throughout the campaign which attracted 340 enquiries.
It sold at the broker’s National Investment Auction in Double Bay last Tuesday.
Last night, Prime Minister Scott Morrison updated social distancing measures temporarily banning public auctions and open for inspections.
Private inspections are allowed.
Auction streamed to investors who can , bid from home are expected to be considered this year by residential and commercial agencies, worldwide.