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News release

Sydney

7-Eleven, Blaxland sells under the hammer at auction in Sydney

Located at 137 Great Western Highway, Blaxland, the NSW 7-Eleven has sold for $3,315,000 with an estimated net yield of 6.1 per cent net to a Private Investor


​SYDNEY, 10 JUNE 2014 – A 7-Eleven convenience store and service station investment has sold under the hammer at auction in Sydney for $3,315,000 with an estimated net yield of 6.1 per cent. The buyer, a Private Investor, purchased the property with an existing 15-year lease plus three five-year options to 2041.

The property, located at 137 Great Western Highway, is situated in a prime location on the eastern side of the major arterial highway of the Blue Mountains in Blaxland, approximately 7.5 kilometres west of Penrith and 57 kilometres east of Sydney CBD. Blaxland is part of the Blue Mountains City Council, situated within Sydney’s outer west, and is a large residential area.

JLL’s Director of Sales and Investments for NSW, Michael Ajaka, said the auction was strong, with a number of bidders competing for the property. “It is clear from the results of today’s auction that service stations remain an attractive asset class, particularly when they feature secure long-term leases to ensure on-going return on investment for many years to come. 

“These types of assets are solid investments for mum and dad investors, who aren’t necessarily looking at following a specific industry too closely, but are looking for a positive return,” said Mr Ajaka.

The property will receive rent of $213,724 per annum as at 1 July 2014, excluding land tax, with Fixed Annual Increases of four per cent.

Featuring ancillary improvements including a high-bay awning, paved car parking and established landscaped gardens, the total building area is approximately 157sqm.

JLL’s Senior Negotiator for NSW Sales and Investments, Dylan McEvoy, said, “The property adjoins a very busy McDonald’s Restaurant – a well-matched retail counterpart – with driveway access over both outlets and direct access to a busy highway. The large 1,809 sqm site area features a huge frontage, providing optimum space for traffic flow in and out of the service station.

“There’s a shortage of stock of head-lease branded sites from Caltex, Shell and 7-Eleven on the market at present, yet it’s a sought-after asset class, which is a driver for demand,” concluded Mr McEvoy.​