No.85 High St, Campbell Town. Picture: Supplied
Three Tasmanian Bonney Energy service stations will be sold under the hammer next month.
CBRE and Elders Commercial have listed an Epping Forest property and two Campbell Town properties for sale.
No.85 High St, Campbell Town is described as a “generational offering” that generates a net income of $330,000 per annum plus GST.
CBRE senior director Matthew Wright said Bonney Energy is an Australian-owned and operated fuel supplier with 54 locations across Tasmania and Victoria.
Bonney Energy is 50 per cent owned by fuel giant Ampol, Mr Wright said.
“All three properties have new 20-year triple-net leases, which is the most important factor for investors when assessing fuel assets,” he said.
“It means the tenant is fully responsible for the rates, building and structural maintenance, insurance, public liability, single holding land tax, alongside the tanks and lines as well.”
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No.85 High St, Campbell Town.
Elders Commercial property representative James Black said the 20-year leases were central to the investment case.
“The landlord receives complete passive income,” he said.
“Add fixed annual increases of 3.5 per cent and the rent effectively doubles over the 20-year lease term, with a 92 per cent cumulative uplift over that period.”
Mr Black said fuel assets of this quality rarely come to market in Tasmania.
“When you combine a genuine major highway location with an institutional-grade tenant and a 20-year triple net lease, these properties represent an amazing investment opportunity,” he said.
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No.184 High St, Campbell Town.
Mr Black said the Bonney Energy and Ampol Ltd ownership structure offers investors the operational security of having a major national fuel operative underpinning the lease, without exposure to the volatility of direct equity in that sector.
“Fuel infrastructure tends to be highly defensive, as people need to refuel regardless of economic conditions,” he said.
“And with these assets all located on the Midlands Hwy, the main arterial road for Tasmania connecting Hobart and Launceston, sales are generated from logistics operatives and tourists and locals.”
No.13490 Midland Hwy, Epping Forest.
Mr Wright said these three sites are critically important for people travelling between the north and south of the state.
“Given what we have seen in past auctions, we are expecting fierce competition to secure these assets,” he said.
“An investor might look at one or all three.
“Interest is building quickly.
“We received inquiries from investors in multiple states, some before the assets were launched to market.”
The properties at No.184 High St, Campbell Town, No.13490 Midland Hwy, Epping Forest, and No.85 High St, Campbell Town, will feature in the next Investment Portfolio Auction, to be held on May 13 at the Crown Casino, Melbourne.