News release

BP in Sydney’s famous beach-side suburb of Manly hits the market

JLL lists BP service station in Manly Beach

February 28, 2020

SYDNEY, February 28 2020 –Momentum in the service station sector continues to fuel significant buyer contest with investors pouring more than $1.8 billion into Australian service stations since 2016, according to JLL Research.

JLL’s Metropolitan Sales and Investments Director’s (NSW)- Dylan McEvoy, Gordon McFadyen and Peter Seeto have been appointed to sell BP site at 133-139 Pittwater Road, Manly.

Mr McEvoy said, “Yields have compressed on the back of increased investor demand for long term leased investments and a record low interest rate environment. This asset provides a strong opportunity for income focused investor looking for defensive assets with fixed income growth year on year.

According to JLL Research, national service station sales in 2019 totaled $303 million across 61 transactions, with 60% percent of that volume transacting in the second half of 2019.

Manly BP was completely redeveloped in 2019. The new service station features new tanks, lines, canopy, convenience store, bowsers and forecourt which also offers as on-site parking for eight vehicles and one disabled space.

The store is leased to Victorian-based fuel and convenience giant Jasbe Petroleum and is under a new 12- year lease agreement attached with renewal options and fixed rental increases annually offering a year one net income of $300,000.

Jasbe Petroleum own and manage more than 50 stores nationally under the BP brand.  

Mr McFadyen said, “Manly is located within Sydney’s exclusive northern beaches. The precinct is tightly held and the opportunity to acquire this investment on a premium landholding is unrivalled”

The corner service station is 180 metres from Manly beach and enjoys access from both Pittwater Road and Pine Street.

Last month the service station sector saw a big investment spike, with 33 7-Eleven outlets bought for a combined total of $156 million across New South Wales and Victoria. One asset that was transacted in Wahroonga, Sydney achieved a yield of just 2.5% after selling for $4.67 million. The average yield in 2019 for metropolitan service stations was at 5% across all capital cities.

JLL has highlighted private investors as the most active acquirers of the service station sector.

“This property provides private investors a secure income stream with long term development upside and future capital growth. BP Manly is an attractive and resilient investment opportunity given its prominent main road location and a long-term lease agreement,” Mr Seeto concluded.


About JLL

JLL (NYSE: JLL) is a leading professional services firm that specializes in real estate and investment management. JLL shapes the future of real estate for a better world by using the most advanced technology to create rewarding opportunities, amazing spaces and sustainable real estate solutions for our clients, our people and our communities. JLL is a Fortune 500 company with annual revenue of $18.0 billion, operations in over 80 countries and a global workforce of more than 93,000 as of December 31, 2019. JLL is the brand name, and a registered trademark, of Jones Lang LaSalle Incorporated. For further information, visit jll.com.