The operators of Ringwood Mazda have paid $15 million for the dealership and service centre they have occupied for two decades.
With the purchase, the owners can stop paying c$54,125 in monthly rent (given record low interest rates, any mortgage repayment is likely to come in at much less than that).
The 8878 square metre property at 391 Maroondah Highway is at the centre of the suburb’s ‘golden mile’ – a row of car yards which includes Car City and a Mercedes Benz outlet.
The vendor, Coppersmith Group, controls seven hectares in the pocket including investments occupied by Etheridge Ford, Ringwood Nissan and Ringwood Volkswagen.
It is building another showroom, a multi-storey BMW dealership, which will be leased to Autosports Group.
Prior to Coppersmith paying $400,000 for 391 Maroondah Hwy in 1981, the property – then a paddock – was held by Patterson Cheney Holden.
Before Mazda moved in, the site was occupied by nursery businesses (story continues below).
The latest sale reflects a 4.33 per cent yield.
“Over the course of four decades, Coppersmith Group has built a landmark and growing hub of car dealerships in Melbourne’s east,” CBRE’s David Aiello, who brokered the off-market Ringwood deal said.
Last December, we reported Eagers Automotive paid Charter Hall $181.25m for nine yards it occupied including, in Melbourne, South Morang Toyota.
Two months ago, prestige used vehicle dealer Nick Theodossi, in a partnership, outlaid $50.5m for Docklands’ Subaru Interactive, with plans to part-occupy.
On 1.8 hectares, that asset was sold by London’s Inchscape, the world’s largest independent car retailer.
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