Plumpton’s 7-Eleven petrol station is up for auction with a price expectation of between $6.5 million and $7 million.
The service station and convenience store, located at 291-293 Rooty Hill Rd, sits on a site sized 2022 sqm, returns a net income of $363,064 per annum and is securely leased to 2026 with an option to extend to 2036.
As per the existing agreement, the tenant pays all outgoings which include council and water rates, insurance, repairs and maintenance.
Burgess Rawson agent Dean Venturato says the property ticks all of the boxes for commercial investors, adding that a key strength of the listing is a 4% annual rent increase.
Due to the longevity of the tenancy agreement, the best use for the property is to keep it operating as a service service station, he says.
“Investor interest in petrol sites is always strong and coupled with the prime location, we anticipate this property will garner a great deal of interest and lively bidding come auction day.”
“Earlier this month we auctioned fifteen 7-Eleven petrol stations across NSW, Victoria and WA.”
The property will be auctioned off at the final Burgess Rawson Flagship Portfolio Auction for the year, taking place at Sydney’s Doltone House on Tuesday, December 10.
In August, service station operator Caltex announced their decision to sell 50 service stations across Australia due to their “higher value through alternative use,” a spokesman said, adding some sites are worth more as residential developments as they are service stations.
“They are ideal for low to medium rise apartment development, located in attractive, high demand areas with strong growth opportunities,” the spokesman says.