westside petroleum north geelong vic 358-360 thompson road ... · melbourne sydney scott meighan...

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Westside Petroleum North Geelong VIC358-360 Thompson Road (cnr Naughton Avenue)

Information Memorandum

Private Treaty

Middy’s

BOC

Coates Hire

40m

37m

Geelong CBD 5km

Boundaries are indicative only

2 Information Memorandum - 358-360 Thompson Road, North Geelong VIC

Table of Contents

Introduction 4

Investment Features 6

Location 8

Location Maps 9

Property Details 10

Lease Details 11

Financial Summary 12

Tenant Profile 13

Sale Process 14

Contact 14

Property Management 15

Disclaimer 16

GST Disclaimer 16

Retail Leases Act 2003 – Tenant outgoings 16

Appendices

Appendix 1: Title Plan Appendix 2: Lease Schedule

Available Upon Request

• Environmental Report

• Full Lease

• Sale Documentation

Middy’s

BOC

Coates Hire

40m

Toll

Burgess Rawson 3

Introduction

Burgess Rawson are delighted to offer a Westside Leased Service Station Investment Property, located at 358-360 Thompson Road, North Geelong, Victoria, for sale by way of Private Treaty.

Burgess Rawson

Since being established in 1975, our Sales, Leasing, Property Management, Valuation and Advisory services fulfil the complete and ongoing needs of our clients. Burgess Rawson has a network of offices throughout Australia and extensive regional partnerships with local property specialists, giving unmatched depth and reach in all commercial property market sectors.

At every stage of ownership, our clients benefit from our specialist knowledge, experience, market insights and advice. Our strong market position, plus our targeted and effective marketing campaigns through a highly qualified database, generates maximum exposure for properties.

Based on our knowledge and experience, Burgess Rawson are confident in recommending this property as an outstanding investment opportunity.


Burgess Rawson 5

Site Area 1,668 sqm with combined frontage of 80 metres LeaseTerm: New 15 year lease to 2032 to Westside Petroleum Holdings Pty Ltd Options Further 5 + 10 + 10 + 10 year option periods extending until 2067 Outgoings: Tenant pays usual outgoings Estimated Net Income Year 1 - $239,565 pa + GST (excluding Land Tax) Method of Sale Private Treaty

Kieran Bourke 0417 418 007 [email protected]

Scott Meighan 0413 830 709 [email protected]

Raoul Holderhead 0413 860 304 [email protected]

Investment Features

• Brand new 15 year lease to 2032 plus options extending to 2067

• Modern service station includes convenience store and attached canopy covering four pump islands

• Significant refurbishment & upgrade including new underground fuel systems, tank refurbishment and air conditioning (total value circa $1,500,000)

• Lease to rapidly expanding Westside Petroleum Holdings Pty Ltd. 50+ outlets across the eastern seaboard - recent partnership with Caltex including Star Card program

• Strategic corner freehold site with high exposure to Thompson Road, a major four lane thoroughfare

• Greater Geelong: growing regional city of 220,000+ predicted to double by 2050 (G21 Region Growth Plan)

• Fixed guaranteed rental growth - 3% increases

• Tenant pays all usual outgoings

• Income: $240,000 pa


Burgess Rawson 7

Location

City of Greater Geelong

The City of Greater Geelong is Victoria’ largest regional city, with a population of over 234,000 residents. Located approximately 75 kilometres from the Melbourne CBD, the municipality covers 1,245 sqm, comprising country, coastal and suburban areas. The municipality is bounded by the Moorabool Shire in the north, Wyndham City and the Borough of Queenscliffe in the east, Surf Coast Shire and Golden Plains Shire in the west and Bass Strait in the south.

The region is characterised by the multi-award winning Waterfront overlooking Corio Bay, the picturesque Bellarine Pensinsula, the Barwon River, You Yangs Regional Park, wetlands, beautiful parklands and wildlife sanctuaries. Geelong is also the gateway to the world renowned coastline of south-west Victoria via the Great Ocean Road.

With the region experiencing a period of rapid growth, population in the next 20 years is expected to reach 320,791, a growth of 36%. A high proportion of this will come from new ‘greenfield’ growth areas identified for development, most notably Armstrong Creek, as well as other suburban expansions. The city is a major centre for investment with over 15,000 businesses and a highly skilled labour force of 91,930. Geelong’s proximity to Melbourne, its liveability and its price advantages continue to place it in an ideal position to attract new residents and investment.

Source: Burgess Rawson research and www.profil.id.com.au


Greater Geelong

Growing regional city one hour’s drive from Melbourne. Population of 220,000+ and predicted to double by 2050.

Burgess Rawson 9

Property Details

LocationThe subject property is located on the eastern side of Thompson Road at the corner of Naughton Avenue.

Thompson Road is a major, predominately four lane, north-south thorough fare which connects Geelong’s eastern suburbs.

Immediately surrounding the property is predominately industrial uses including logistics and manufacturing as well as auto retail services. Notable tenants along Thompson road include;

• Burson Auto Parts • BOC Gas

• Toll Ipec • Reece Plumbing

• Coates Hire • Beaurepaires Commercial

• Storage King • The Cotton On Group

• Middy’s • Autobarn

Further surrounding the property to the West, North and South are established residential dwellings whilst to the east, and on the parallel road of the Princes Highway, there is a large format retail precinct includes Bunnings, fast food retailers.

Site UpgradePrior to the tenant taking possession, the owners have significant upgraded the site with works including;

• Splitting the larger tanks to create new compartments

• New double wall fuel lines to the new 8 hose dispensers

• Addition of Ad Blue to hi-flow diesel dispenser

• Complete convenience store refurbishment including new air-conditioning and cool rooms

ImprovementsQuality improvement comprising a Caltex branded service station include:

• Convenience Store: 136sqm

• Attached rectangular canopy covering four pump islands

• Air & water station

• Above ground LPG tank

• Store front car parking and loading bay

• Landscaping, fencing, concreting etc.

Site DetailsAs per the Title Plan the sire is square in shape with the following dimensions

Eastern Boundary (Thompson Rd) 40.91 metres

Northern Boundary (Naughton Ave) 39.18 metres

Western Boundary 39.64 metres

Southern Boundary 42.19 metres

Address358-360 Thompson Road, North Geelong, Victoria

Title DetailsCertificate of Title Volume 09359 Folio 892 Plan CP109637

Land Area1,668 sqm

ZoningIndustrial 2 Zoning (IN2Z) under the city of Greater Geelong Planning Scheme


Lease Details

Lessee: Westside Petroleum Holdings Pty Ltd (ACN 155 293 600)

Trading as: Caltex Branded (will operate with Star Card Fuel Program)

Lease Term: 15 years

Lease Commencement: 8 August 2017

Option Periods: Further 5 + 10 + 10 + 10 year option period extending until 2067

Rent Reviews: Fixed annual 3% rent increases with market review at commencement of any further term

Outgoings: Tenant pays all usual outgoings, as per the Lease (excluding Land Tax)

Environmental Responsibilities: In relation to environmental responsibilities, the lessor and lessee must both comply with clauses 24A & 24B of the lease

Year 1 Net Income $239,565 pa

Please note that the above information is intended as a summary of the lease agreement supplied and has been represented as accurately as possible. We recommend prospective purchasers make their own enquiries to gain a thorough understanding of the provisions of the lease contained within the Sale Contract

Burgess Rawson 11

Financial Summary

Year 1 Income $240,000

Less Landlords yearly Outgoings

Land Tax (on single holding basis) $435

Estimated Year 1 Net Income $239,565

Fixed 3% Rent Increases

8 Aug 2017 - 7 Aug 2018 $240,000 p.a.

8 Aug 2018 - 7 Aug 2019 $247,200 p.a.

8 Aug 2019 - 7 Aug 2020 $254,616 p.a.

8 Aug 2020 - 7 Aug 2021 $262,254 p.a.

8 Aug 2021 - 7 Aug 2022 $270,122 p.a.

8 Aug 2022 - 7 Aug 2023 $278,225 p.a.

8 Aug 2023 - 7 Aug 2024 $286,572 p.a.

8 Aug 2024 - 7 Aug 2025 $295,169 p.a.

8 Aug 2025 - 7 Aug 2026 $304,025 p.a.

8 Aug 2026 - 7 Aug 2027 $313,145 p.a.

8 Aug 2027 - 7 Aug 2028 $322,540 p.a.

8 Aug 2028 - 7 Aug 2029 $332,216 p.a.

8 Aug 2029 - 7 Aug 2030 $342,182 p.a.

8 Aug 2030 - 7 Aug 2031 $352,448 p.a.

8 Aug 2031 - 7 Aug 2032 $363,021 p.a.

Please note: The above figures do not include single holding Land Tax deductions


Tenant Profile

Westside Petroleum is a key regional player in the NSW petroleum market and ranks No 3 in terms of market share. Westside operators over 50 service stations however most of these operate under the “Shell or Caltex” banners. There are 15 “westside” branded operations, all of which also have “Fast&Ezy” convenience stores attached and only use and recommend ShellTM oils and products.

Westside Petroleum is a proudly Australian owned company which operated underneath the Makhlouf Group banner.

Priding itself on quality and not quantity; Westside Petroleum maintains the highest standards, ensuring the customer’s needs are always met.

This is why customers time and again continue to choose Westside Petroleum for premium quality petroleum, competitive prices and a superior service that is second to none.

With a network of sites all over NSW, some of the regions include:

• Sydney (Metropolitan)

• Greater Sydney (incl. Macarthur Region)

• Central Coast

• The Hills Shire & District

• Illawarra

• Shoalhaven

• Wollondilly Shire

• The Rivernine

• Snowy Mountains

Further information www.westsidepetroleum.com.au

Burgess Rawson 13

Sale Process

InspectionsInspections can be arranged by prior appointment.

Terms of SaleDeposit of 10% payable upon exchange and the balance upon settlement. It is proposed the property will be offered as a ‘going concern’ and if the purchaser meets the provisions of the GST legislation the sale will not incur GST.

Burgess Rawson & Associates Burgess Rawson & Associates Level 7, 140 Bourke Street 18/15 Castereagh Street Melbourne Sydney

Scott Meighan Kieran Bourke 0413 830 709 0417 418 007 [email protected] [email protected] Raoul Holderhead 0413 860 304 [email protected]

Method of Sale

Private Treaty


Property Management

Burgess Rawson is not only a market leader in investment sales; we are also regarded as highly professional property managers. With an Australia-wide management portfolio of well in excess of $2billion, we are able to equally manage property whether it is CBD, metropolitan or regionally located.

• More than Rental Collection - care for your property and investment. Professional property management enhances and secures your tenant relationship, provides property accounting (including tax invoicing/GST/BAS) reports and maximises rental. We take the weight off your shoulders.

• Achieve $ savings - through our buying power and access to the best providers: insurance brokers, maintenance contractors etc. We have the contacts and long standing relationships to be at your disposal.

• Improve your cash flow - Apart from ensuring regular rental increases are enacted to maximum sustainable levels, a professional property manager reviews council rating values, as well as accessing the best taxation depreciation assessment to improve your after income tax bottom line. We aim to add more to your overall capital value.

• Not missing a beat - With our daily contact in the market, we hear about new developments, tenants on the move etc. Whether this information helps protect your investment or leads to further opportunities, we have our ears to the ground.

• Problem solvers Owning property has never been more complicated, and highly regulated. We are fully conversant with the Retail Tenancies Act, Town Planning and Occupational Health and Safety Regulations. We can anticipate and prevent problems.

• Experience and involvement - Our professional property managers offer a wide range of expertise. Time in the profession, and continuous improvement and involvement in the property sector is an intellectual pursuit. We can provide a pool of such experience to individual clients in a way we believe self-managed property owners cannot.

• Value for money - free yourself up to concentrate on the returns of your investments, rather than the daily issues which can arise from your property. The small cost involved in professional management is money well spent. We have the resources to service your needs.

To discuss your particular property management’s needs, please contact either your Burgess Rawson selling agent or Ingrid Filmer today.

Ingrid FilmerDirector, Property Management 0413 860 312 [email protected]

Burgess Rawson 15

Disclaimer

The information contained in the report/information memorandum has been prepared in good faith and due care by the Vendor and Burgess Rawson. Any projections contained in the report therefore, represent best estimates only and may be based on assumptions.

The information contained herein is supplied without any representation as to its truth or accuracy. All interested parties should make their own enquiries to satisfy themselves in all aspects and obtain their own independent advice in order to verify any of the information. All stated dimensions and areas are approximate.

The vendor does not represent or warrant the accuracy of any information contained in this document. Subject to any statutory limitation on its ability to do so, the vendor disclaims all liability under any cause of action, including negligence, for any loss arising from reliance on this document.

Specifically, we make the following disclosures:

• All areas, measurements, boundaries, car space numbers, rents are approximate only and subject to final confirmation;

• The indicative depreciation schedule has been provided by Napier & Blakeley and is an estimate only and cannot be used for tax purposes.

The information contained in this document is provided as a guide and an aid to further investigation by potential purchasers. Prospective purchasers should seek legal, financial and other appropriate expert advice in order the verify the accuracy of the information presented in this document

GST Disclaimer

Burgess Rawson advises that the financial information in this report relating to income, outgoings and the like is provided without reference to the possible impact of GST, if any. Purchasers should make their own assessment of the impact of GST on the investments and the returns derived there from after obtaining expert professional advice.

Retail Leases Act 2003 – Tenant outgoings

Prospective buyers should note that the recovery of outgoings from a tenant is subject to the application of and proper compliance with the Retail Leases Act 2003 (Vic). The Act applies to leases of retail premises in Victoria. If the Act applies, certain outgoings, such as land tax and some maintenance costs, cannot be recovered from the tenant. If the Act applies, other outgoings, such as management fees, can only be recovered from the tenant if the Act has been complied with.


Appendix 1: Title Plan

Information Memorandum- 358-360 Thompson Road, North Geelong VIC

Appendix 2: Lease Schedule

Burgess Rawson

Burgess Rawson

westside petroleum north geelong vic 358-360 thompson road ... · melbourne sydney scott meighan...

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