EG Fuel Keysborough Sells for $2.5 Million+ Above Reserve via Boardroom Auction

A fuel station in Keysborough recently transacted via a boardroom auction, selling for a staggering $2.507m above reserve.

Located at 745-751 Springvale Road, Keysborough, the asset is currently leased to EG Group and a separate car wash operator, providing a short 1.3 year WALE.

Selling agents Rorey James and Kevin Tong of Stonebridge Property Group & Jonathan McCormack and Peter Bremner of Gorman Commercial handled the sale, which they said saw strong interest from fuel operators, developers and investors.

Rorey James, Partner at Stonebridge Property Group, commented on the sale, “12 offers were received at the close of the first round Expressions of Interest, with the top 6 groups invited to participate in a boardroom auction on Friday afternoon. This included a mix of operators and developers.”

At the boardroom auction, the property was announced on the market with the first bid at $8,500,000, before fierce competition from some of Melbourne’s strongest fuel operators pushed the eventual price to $11,070,000. The sale price reflected a strong 4.61% yield and a land rate of $2,434 per sqm, strong signs for the Victorian investment market.

“Generally speaking, the sentiment from the buyers continues to trend in a positive direction. Activity from all buyer types has increased over the recent months which has been buoyed by recent and further forecasted interest rate cuts.” James added.

Jonathan McCormack of Gorman Commercial said “For this Keysborough result specifically, the greatest attraction for groups was the existing goodwill and facilities with owner occupiers again proving how aggressive they can be for the right profile of asset.”

The appeal for freestanding investments remains positive for investors across Australia, with activity expected to trend upwards in the second half of 2025, further buoyed by the recent and further forecasted RBA interest rate cuts.