Hampton Park site provides a 20-Year triple-net-lease fixed rental increases and prime arterial road exposure
A freestanding McDonald’s in Melbourne’s fast-growing southeast has been listed for sale.
The property at 59 Hallam Road, Hampton Park occupies a 2056sqm Commercial 1 Zone site adjoining the Woolworths-anchored Hampton Park Shopping Centre precinct, approximately 36 kilometres from the Melbourne CBD.
JLL’s Dominic McGrath, Stuart Taylor, Tom Noonan and MingXuan Li have been exclusively appointed to manage the sale via an on-site public auction.
Mr McGrath said the asset class was one of the most tightly held in commercial real estate.
“McDonald’s investments are rarely offered to market. This will be just the second Victorian freehold McDonald’s offered for sale in a decade,” he said.
The investment is underpinned by a 20-year net lease to McDonald’s Australia Limited, expiring in September 2043 with two further 10-year options. The lease includes fixed annual rental increases of 2.5 per cent, with the tenant responsible for all outgoings including land tax and maintenance, providing an income of $131,328 per annum plus GST.
Mr McGrath said the lease structure and location would appeal strongly to investors.
“This is a chance to secure a freestanding McDonald’s in one of Melbourne’s fastest-growing corridors,”
he said.
“The property enjoys prime exposure to Hallam Road, a major arterial carrying high daily traffic, and sits within a thriving retail and community hub.
“This is a set-and-forget investment backed by one of the most secure covenants in the market. Combined with Hampton Park’s strong population growth and position within the City of Casey, Victoria’s largest and fastest-growing municipality, the fundamentals are exceptional.”
The City of Casey is forecast to record a 66 per cent population increase between 2021 and 2046, reinforcing long-term demand for retail amenity across the precinct.
“The fast-food sector continues to command premium pricing from investors prioritising income security and lease certainty, with 2025 delivering exceptional liquidity levels across Victoria,” Mr McGrath added.
“We’ve witnessed over $60 million in Victorian fast-food assets transact this year at an average yield of 4.15 per cent, underscoring the strong private investor appetite for this defensive asset class. Given the scarcity of McDonald’s freehold opportunities, we anticipate significant competitive interest from both local and offshore private investors”
McDonald’s Hampton Park is being offered for sale by Public On-site Auction on Thursday 25th September 2025 at 12.30pm (AEST).
Related Articles
