Future expansion potential underpins Corio Medical Clinic site

The substantial Corio Medical Clinic site has been listed for sale.

Future development opportunities are expected the boost the value of a high-profile Corio medical clinic offered to market with three adjoining houses.

The listing of the stand-alone Corio Medical Clinic on the corner of Bacchus Marsh and Cox roads will again test commercial investors’ appetite for the medical sector.

Stonebridge Property Group has listed the 6727sq m site at 1-9 & 11 Bacchus Marsh Rd and 41 and 45 Georgia Grove, Corio, that opens to door to potential future expansion.

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The property includes 1324sq m of purpose-built medical buildings and 74 car spaces.

A new seven-year lease signed in December delivers annual rent of $430,000, while the three adjoining residential houses provide additional income.

Stonebridge’s Rorey James said the property represented the most substantial and strategic commercial landholding in Corio.

He said this was boosted further by its position opposite the future Northern Aquatic and Community Hub, to which the City of Greater Geelong has already committed more than $40 million.

The high-profile site is at the gateway to Geelong.

“We are not simple talking about a recession-proof income stream from a blue-chip tenant, but a property which also offers exceptional development prospects down the track at the gateway to the Geelong CBD,” Mr James said.

The medical sector has long been an investor favourite based on the non-discretionary spend profile of tenants

Stonebridge director Kevin Tong said the new lease highlighted the tenants’ confidence in the location.

A seven-year lease has recently been signed.

“Daily needs tenants like medical centres with an exceptional track record of performance add another level of tenancy and income security which is particularly attractive in uncertain times,” he said.

The recent sale of the long-time home of Corio Dental Surgery proved Geelong’s medical sector is a honey pot for property investors.

That nearby surgery at 112 Bacchus Marsh Rd, Corio sold for $950,000 in June.

Another blue-chip tenanted investment at 1,2 & 6/122 Burdoo Drive, Grovedale sold above $1.8m to $1.875m expectations after attracting five offers in July.