Fully Leased Investment to Established Fitness Facility
Dubbo property owned by Meehan brothers to be auctioned on April 2
A Canadian billionaire is among a throng of investors interested in a Dubbo property expected to sell for up to $3 million at an auction in Sydney on April 2.
Burgess Rawson and Transact Property Group launched a four-week campaign to sell 12 Jannali Road mid-February with about 50 people rushing to make inquiries.
The property is proving attractive to international, metropolitan and local buyers for reasons including Dubbo’s “leading regional economy”.
Transact Property Group associate director Daniel Cullinane reports that the “infrastructure and development spend” in Dubbo has investors watching the city.
“We’ve had a tonne of inquiry on the property so far,” he said.
“..you can see there’s real demand for investors to go to Dubbo and try to capitalise on such a leading regional economy.”
Jerome and Damian Meehan currently own 12 Jannali Road which has two long-term tenants in Fitness Focus and Superior Polish. The latter business is owned by Damian Meehan.
Mr Cullinane, a nephew of the owners, identified the “strength of the Australian investment market at the moment” as further reason why the property would “highly likely” be sold next month.
“We’re finding that there is a significant amount of activity for high-quality assets throughout NSW, Queensland and Victoria,” he said.
“So finding an asset (Fitness Focus) with a 12-year lease just captivates people. They just want to buy it.”
Fitness Focus’ 12-year lease to 2029 includes an option to extend it by 10 years.
Information being distributed to potential buyers reveals the property currently generates net income of about $214,000 a year.
The two businesses are housed in a 2460 square-metre concrete building constructed in 2007 on a 7360 square-metre site.
Mr Cullinane said his uncles had begun construction of 10 industrial warehouses at 12a Jannali Road, at the rear of the property they were selling.
“They will be coming on to the market in the short term,” he said.
International buyers have learned about 12 Jannali Road through the “extensive databases” of Burgess Rawson and Transact Property Group.
Mr Cullinane said the sale of the property to an international buyer was “certainly very possible”.
“I know we’ve had a little bit of interest from some Canadian buyers,” he said.
“I know that one of those is known as being a billionaire.”
