Real Estate

Waverley Medical Centre strong sale evidence of a healthy market

Written by The ReReport
As seen in the Source link, written by on 2019-07-10 15:03:00

Locations don’t get much better for medical centres.

Strong interest in a well-known Monash medical centre has proved a welcome injection in the commercial property market.

Waverley Medical Centre at 242-244 Springvale Rd, Glen Waverley sold for an undisclosed sum believed to be substantially more than the advertised price range of $5-$5.5 million.

The facility is across the road from The Glen shopping centre, which has a $500 million upgrade due for completion early next year.

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The Waverley Medical Centre sold for much more than the price range of $5-$5.5 million.

The annual income from the centre was just shy of $300,000.

Ray White Commercial Glen Waverley director Ryan Trickey said the centre received more national inquiry from NSW, QLD and SA than the agency’s other listings over the past year.

“There was a huge amount of interest in this property, with more than 120 inquiries during the campaign, with 20 per cent coming from interstate and 10 per cent international,” Mr Trickey said.

“There’s a particular desire for medical precincts at the moment with the good ones offering great and stable cash flow.”

The medical centre’s dream location.

Eight out of 15 groups made competitive offers on the property, with three competing at the final stages of negotiation, Mr Trickey said.

“The more inquiry — generally speaking — you’ve got a better chance,” he said.

“But you never truly know off the back of a fairly uncertain market.”

Outbidding two interstate buyers was a Melburnian couple happy to hang on to the medical centre as a commercial investment, with the lease up for renewal in 2023, Mr Trickey said.

“It’s just nice to see that inquiry and activity — it shows there’s confidence returning to the commercial space,” he said.

“We’re not going to be shooting the lights out for the next 12 to 24 months, I just think stability is what’s required — business as usual would be good for everyone.”

The medical centre has been operational for 30 years.

Parking space added to the site’s attractiveness for sale.

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