Melbourne asset manager flips car yard after six months
Melbourne asset manager Plantation Capital has banked an impressive capital gain flipping one of two car yard investments bought six months ago with leasebacks.
The 8699 square metre holding with a 2130 sqm showroom for three brands – Kia, Mitsubishi and Subaru – at 247-249 Morayfield Road, Morayfield, collected $18.5 million following an off-market campaign.
It paid $13.4m.
That seller, Inchcape, occupied since 2006.
The pair also traded a Rothwell car dealership – 731-737 Deception Bay Rd – for $13.2m.
Also this week we reported Charter Hall bought a sprawling large format automotive retail investment in Sydney, outlaying $55.85m.
Profitable flip
The result for 247-249 Morayfield Rd reflects a 4.7 per cent net passing return (continues below).
Plantation, led by Steve McKnight, acquired it at a 6.53pc yield.
“This sale underscores the continued demand and depth for blue-chip assets as investors are actively pursuing both income security and potential for future growth,” Colliers’ Hunter Higgins, who brokered the on-sale, said.
“While I recognise that the previous owners had envisioned a longer-term value-add strategy, the buyer acted swiftly to acquire the asset off-market, ultimately presenting an offer that was simply too compelling to refuse,” he added.
“I am pleased to know that both parties are very happy with the result,” according to the executive.
Morayfield is about 47 kilometres north of Brisbane’s CBD
Rothwell is about 34 km north of town.
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