An investment consortium led by a local has paid $6.1 million for one of 17 freestanding properties on Surfers Paradise’s Cavill Avenue.
The six level building at #38 contains a 488 square metre ground floor arcade which connects the retail thoroughfare to Surfers Paradise RSL.
Five storeys of office space – a total of 2112 sqm – is above that, some of it contemporary and more than half of it vacant.
It also includes a 27 basement car park.
The site spreads 888 sqm.
Interest from day one of campaign launch: agents
Colliers International’s Steven King and James Crawford said almost half of more than 80 buyer enquiries came within 24 hours of 38 Cavill Avenue being advertised (story continues below).
Sixteen inspections were conducted throughout the campaign, which ran during COVID-19 conditions, they added.
Offers came from interstate investors, too.
“The building sold with an approximate net income of $300,000 per annum,” Mr King said, adding the deal therefore has been struck on an approximate 4.9 per cent initial yield.
“But with three levels of office available to lease, there is scope to increase the income profile with time”.
Mr Crawford said “as one of only 17 freestanding properties in Cavill Avenue, buyers were attracted to the possibility of owning real estate in one of Australia’s most famous streets”.
The transaction comes five months after EG sold the nearby Circle on Cavill retail component to Macau casino owner and businessman Loi Keong Kuong, for $61.8m.