A Frankston petrol station run by a Chinese state-owned oil and gas giant has sold for $6.415m.
An investor who’s splashed $18m on multiple Victorian petrol stations snapped up the Nepean Highway servo during a six-month buying spree.
The fuel stop is leased to the Beijing-based Sinopec which earned US$420.5bn in revenue (more than AUD$635bn) in 2024.
Sinopec regularly ranks alongside the likes of US mega-corporations Walmart and Amazon in the top 10 of the Fortune Global 500 list, an annual ranking of the top 500 global corporations measured by revenue that’s published annually by Fortune magazine.
Sinopec is also planning an ambitious roll out up to 400 petrol stations across Australia, in the next three years.
Cushman & Wakefield’s George Davies said there was strong interest in the 2948sq m Frankston site with about 113 buyer inquiries coming through during the expressions of interest process.
Five offers from local, interstate and international buyers were made for the petrol station, all from investors.
The servo has a 10-year lease with Sinopec with options to extend the agreement into the future.
Mr Davies said the Frankston servo buyer, who is based in Sydney, had recently cashed out of a New South Wales asset and used the proceeds to invest in Victorian petrol stations.
“The purchaser has now acquired $18m worth of petrol stations from our team in the past six months, underscoring sustained investor appetite for essential service assets,” said Mr Davies.
“They say Melbourne is being undervalued at the moment, and obviously saw an opportunity to get some good capital growth.”
He negotiated the sale along with colleagues Raphael Favas, Oliver Hay and Leon Ma.
Mr Davies said petrol stations were attractive to many investors as they were usually prominently positioned at locations with a lot of passing traffic, resulting in plenty of exposure among the public, and typically came with long-term leases which offered security for buyers.
Another Sinopec-leased gas station in Melbourne’s northern suburbs has been listed for sale without an advertised price range, which is standard for Victorian commercial listings.
The 2884sq m site at 50 Mahoneys Rd, Thomastown, featuring a convenience store and car wash is set to go under the hammer at 10.30am on December 10.
Listed with Burgess Rawson from CBRE, it has a 10-year lease with Sinopec which earns an estimated $330,752 per year.
Agents Jamie Perlinger, Zomart He, David Napoleone and Rick Jacobson have the listing.
Extracted in full from: https://www.realcommercial.com.au/news/frankston-servo-leased-by-chinese-oil-giant-sinopec-sold
