A PRIME piece of commercial real estate at Blakehurst sold for nearly $1.4 million recently.Five bidders battled it out at the auction to secure the prominent 1021-square-metre Princes Highway block, settling at a price 10 per cent above the reserve.Bob Jane T-Marts has occupied the position for the past 14 years.The tyres and auto company now has less than one year remaining on its lease.Selling agent Lindsay Sturrock of Cushman and Wakefield said that despite the limited lease remaining, there was good investor confidence in the business and the property’s prime location.”Commercial properties under the $2 million mark is a bracket that appeals to families looking for a solid investment,” Mr Sturrock said.
“Bob Jane T-Marts is an established tenant, and most investors are happy to pay a higher price if [they know] there are better returns.”
Mr Sturrock said that the market had shifted in recent weeks and that momentum was increasing.
“The number of properties being offered at auction is now double the same time last year,” he said.
“The private investor market has been the most resilient in recent times, but the challenge has been the lack of available stock.”
Mr Sturrock said that the vendor was a deceased estate.