Investor buys McDonald’s from IP Generation “sight unseen”
Chris Lock’s IP Generation, since May owned by MA Financial, has sold a McDonald’s restaurant carved from the Glendale Shopping Centre, bought mid last year.
The asset manager banked $11.645 million at auction yesterday for 1 Stockland Drive.
A private investor based in Melbourne, like Mr Lock, bought it sight unseen.
The result reflects a 3.86 per cent yield – the tightest for an Australian McDonald’s priced over $9m, the agents said.
IP Generation paid $315m for Glendale Shopping Centre, then known as Stockland Glendale.
Anchored to Coles, Kmart, Target and Woolworths, it has about 4.8 million annual visits.
Glendale is about 15 kilometres west of Newcastle.
McDonald’s on long lease
On a 2227 square metre shopping centre pad site with 27 car parks, 1 Stockland Dve is exposed to about 26,843 cars daily, the marketing agents said.
McDonald’s recently renewed its lease until 2046 with fixed annual three per cent rent rises.
It is set to refurbish the building, at its cost.
Stonebridge’s Michael Collins, Tom Moreland, Rorey James, Kevin Tong and Rory Alexander were the agents.
The asset was one of six to sell at a bulk auction event.
Two were childcare centres, at Mitchelton, north west of Brisbane, and Orange, in New South Wales.
Investors spent a total $33.05m, the brokers said.
The blended yield was 3.9pc, they added.
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