Club Lime Springfield sells for $5.35 million

21 May 2024

A private Sydney-based investor has purchased a near new freestanding Club Lime gym in Springfield for $5.35 million. 

Located at 11 Commercial Drive, the facility was developed by Enhance Property Investments in 2023 and is secured by a seven-year triple net lease to ASX-listed Viva Leisure, with options extending to 2040.

CBRE’s Nick Kennedy and Harrison Coburn brokered the deal with the sale price reflecting a yield of 6.37%.

This sale marks the third transaction in the vendor’s portfolio, bringing the total of sales to almost $16.5 million, following the previous successful deals of Hungry Jack’s Beenleigh, for $5.1 million (4.68% yield) and Taco Bell and Yiros Shop, Beenleigh, for $6 million (5.5% yield).

“This campaign fielded 113 inquiries and received five competitive offers, indicating strong demand from private investors for tenanted investments with A Grade covenants like Viva Leisure.” Mr. Kennedy said. 

“The purchaser, a first-time buyer in QLD, was attracted to the strategic location directly opposite the Coles anchored Springfield Fair, the strong tenant covenant and the depreciation benefits that the building offered.”

Mr. Coburn added, “We are continuing to see first time interstate investors come into the QLD market as ongoing commitments to the state such as the 2032 Olympic Games continue to provide a positive growth story.”