West Melbourne servos trade for $18m
Two modern service stations in Melbourne’s west sold this week.
The highest profile vendor was OTR founder the Shahin family which collected $11.001 million for 181-187 Pascoe Vale Road, on the south west corner of Buckley Street, Moonee Ponds.
The deal with an investor demonstrates a low 4.38 per cent net passing yield.
It also reflects a major windfall for the Shahin family which paid $5.6m for the ex-BP in mid-2020 then completely rebuilt.
Eight figure deal
On 1532 square metres, a petrol station and convenience store at 181-187 Pascoe Vale Road trades 24 hours.
The block also contains a car wash not on that schedule.
OTR started trading about 18 months ago.
The leaseback deal is for an initial 17 years.
With options the OTR business, which the family’s Peregrine Corporation sold to Viva Energy for $1.15 billion two years ago, can stay until 2076.
The Shahin family still controls brands including GiftBox, Krispy Kreme SA, Peregrine Property, Reliable Petroleum and Smokemart.
It also owns The Bend Motorsport Park at Tailem Bend, 96 kilometres south east of Adelaide’s CBD, past Murray Bridge.
Burgess & Rawson’s Raoul Holderhead, Jamier Perlinger and David Napoleone were the agents.
Moonee Ponds is six kilometres north west of town.
Altona North BP fetches $7.25m
Meanwhile, at Altona North, a BP-backed service station and an adjoining fast food restaurant occupied by café, New York Minute, traded for $7.25m – a 6.2pc yield.
The two businesses at 415 Grieve Parade are on separate leases, for 20 and 10 years respectively.
JLL’s agents Dominic McGrath and Tom Noonan said the property was recently upgraded.
Altona North is about 10 km south west of the CBD.
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