A private investor has paid $4,550,000 for an industrial property in Braybrook, reflecting a sharp 5.51% yield. 

The sale of 188 Duke Street and 62 Burke Street was handled by Burgess Rawson’s Jamie Perlinger and David Napoleone and attracted significant interest, generating 65 enquiries.

The property, occupied by AMA Group Limited, was offered as part of Auction Investment Portfolio 174. It benefits from a renewed five-year net lease to AMA Group Limited until October 2028, with an additional five-year option extending to 2033. The lease structure ensures AMA Group Limited is responsible for all outgoings, including single-holding land tax, while fixed annual rent increases of 3% provide built-in income growth.

AMA Group Limited (ASX: AMA) is a leader in the Australian automotive industry, specialising in collision repair services. Its subsidiary, AMA Collision, is a key operator in the sector, completing over 89,000 vehicle repairs annually across 150 sites nationwide.

The Braybrook location has been home to the business for more than 37 years, reflecting its long-term commitment to the site and the local market.

The asset comprises a substantial 1,965sqm smash repair centre across two buildings, including a large warehouse, office space, hardstand, and 38 on-site car spaces. 

It sits on a significant 3,451sqm Commercial 2 zoned (C2Z) landholding, featuring 58 metres of dual frontage to Duke and Burke Streets. The property’s highly specialised, capital-intensive internal fit-out is tailored to AMA Group’s operational requirements, further reinforcing the security of tenure.

Mr Perlinger said the sale highlights ongoing demand for industrial investments backed by strong tenants, with properties featuring long-term leases, strong rental growth, and strategic locations continuing to attract competitive bidding at auction.

”This result reinforces the resilience of Melbourne’s industrial market and the confidence investors place in assets with essential service operators.”