Knight Frank Australia launches National Portfolio Investments campaign to the market

16 November 2022

Knight Frank’s newly created National Portfolio Investments division has launched to the market with a selection of tenanted assets.

The portfolio, worth around a collective $23 million, will be auctioned at 11am AEDT on December 8 at The Assembly, Angel Place at 123 Pitt Street in Sydney.

The properties include home improvement, industrial and large format retail, with price guides from $1.5m.

The properties are across Australia, in Queensland, New South Wales and Tasmania, and include:

  • The Boathouse Retail at 33 Port Drive in Airlie Beach, Queensland – A trophy waterfront investment consisting of high-end retail spaces fronting the passenger link between the Passenger Ferry Terminal and Airlie Beach Town Centre, anchored by long-term tenants The Coffee Club and Billabong. Agent: Paul Dury of Knight Frank.
  • 1 Railway Court, Cambridge, Hobart – A brand new warehouse facility with a nine-year net lease, which is a distribution centre and storage for Ashley Furniture. Agents: George Burbury and Tom Balcombe of Knight Frank.
  • 63 Arthur Street, Roma, Brisbane – A high-yielding multi-tenanted investment with Federal Government occupant, just 100 metres from the main street in Roma. Agent: Peter Uebergang of Knight Frank.
  • 594 Rode Road, Chermside, Brisbane – A prime industrial investment in Brisbane, with secure 10 and five-year leases to established tenants. Agents: Peter Uebergang and Michael Gilbert of Knight Frank.
  • 115 Beardy Street, Armidale, New South Wales – A property leased to a high-yielding discount retailer, Ten Tops, in a CBD location next to Coles. Agent: Michael Gilbert of Knight Frank.

Knight Frank CEO James Patterson said the new National Portfolio Investments offering at Knight Frank was exciting, with the division expected to expand over the coming months and into 2023.

“This is a significant step forward in the growth of our national business, being able to expand our client service offering to the complete spectrum of property investors,” he said.

Knight Frank Head of National Portfolio Investments Stephen Lovison said Knight Frank’s new Portfolio Investments division created an opportunity for vendors and investors to take advantage of Knight Frank’s established reach, with investment experts in 21 offices around the country and direct connections to Singapore, Kuala Lumpur, the UK and New Zealand.

“We are truly connected to our investment markets, from capital cities to major regional centres and further abroad in Asia-Pacific, creating a service for vendors to sell their assets to an extremely wide pool of buyers,” he said.

“The timing was right for Knight Frank to consolidate our offerings into a single platform, to drive enquiry and produce results no matter where the agent or the listing is located.”

The portfolio campaign launch for Knight Frank’s National Portfolio Investment’s division follows a soft launch last month, with all three properties in the industrial portfolio selling under auction conditions for an average yield of 5.24 per cent on the net income.

All three were sought-after logistics assets owned by GPT Group and leased to COPE Sensitive Freight, with the properties offering a long-term WALE of eight years, plus options.

Mr Lovison said that in the current market, national portfolio auctions worked to generate strong interest in assets.

“For our auction last month our campaign generated interest from nearly 100 parties, with industrial properties also in high demand at the moment, and we expect that to continue for the industrial properties in Hobart and Brisbane in this portfolio,” he said.

“In New South Wales we have a property leased to a discount store, which is a solid covenant in the current economic environment, and Ten Tops is one of the best discount operators around.

“The Airlie Beach property represents a fantastic opportunity to capitalise on the growing tourist sector with some outstanding tenants in a prestige development.

“Investors are always seeking diversification within their investment portfolio, and these properties provide a cross-section, including an asset in Roma, in western Queensland.

“This asset is underpinned by a Federal Government tenant and includes a combination of essential automotive businesses which has strong support from the local economy, making this a diversified and high yielding investment with secure tenants.”

Bidders for the current auction portfolio properties can bid in person or at any of Knight Frank’s live site offices around Australia, as well as online/via app