The Western Gateway Centre, at 318 Williamstown Road in Yarraville is fully leased to four bulky good retailers including Officeworks, Midas, Supercheap Auto and KFC. The 6326 square metre site also includes a large car park, and an income producing sky sign, which displays advertisements to Westgate Freeway travellers, as they pass Williamstown Road.
The property returns just over $773,450 per annum in rent.
TBM Commercial agent George Kiper, who negotiated the sale for a private investor, confirmed the property had sold, but declined to elaborate on any part of the deal when contacted by Capital Gain. However local selling agents say they expected the property to sell on a yield of between 7 and 7.5 per cent, which would equate to a price of between $10.3 million and $11.1 million.
Given its location at a prominent freeway onramp and exit, and on the cusp of Port Melbourne’s high-tech industrial precinct, the property has redevelopment potential. However, sources say, future plans would need to factor in chaotic local traffic conditions, which force exiting Western Gateway Centre visitors southbound into Spotswood, where they need to do a U-turn to travel north.
“It’s not regarded as the easiest complex to get in and out of,” said one undisclosed local agent.