Big return on building

A COMMERCIAL building in the heart of Noosa Junction has sold for more than $4.5 million.
The commercial building features Westpac as the anchor tenant, who holds a long-term lease.
The property sits on a 992sq m site at 1 Arcadia Street, Noosa Heads, and was sold off-market to a local investor by Ray White Commercial Noosa and Sunshine Coast North’s Paul Butler and Paul Forrest for a passing yield of 6.6 per cent.
Mr Butler said the property was on the market for only the second time in its 30-year history and is currently returning net rental income of about $318,000 per annum.
“This deal was done off-market between two of our existing clients,” he said.
“Westpac is the anchor tenant in the 725sq m building and has a lease running until August 2022.”
Mr Butler said the buyer was a highly active local investor and the sale reflected the confidence in the Noosa Junction retail precinct.
Mr Forrest said the property included 10 tenancies ranging in size from 36sq m to 184sq m.
“Besides the Westpac bank branch, the tenancies include a mixture of food outlets, fashion and travel businesses,” he said.
“The property enjoys a good level of pedestrian traffic flow and will also benefit from the future redevelopment of the nearby former Noosa Heads Bowls Club site by Coles, which is situated directly opposite.”