Rosebud NABs another strong deal

A Rosebud beachside shop leased to National Australia Bank is the latest Mornington Peninsula property to sell on a skinny yield, proving that investor interest in the holiday hotspot is more than just a summer fling.

The NAB-leased branch at 1053-1055 Point Nepean Rd – part of a strip coined as Rosebud’s ‘golden mile’ – sold for $2.125 million, reflecting a 3.95% yield.

Positioned directly opposite Rosebud beach, the property property single-storey building includes the banking chamber, recently upgraded customer service area, partitioned offices, staff amenities, ATM and off-street secure parking.

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Currently returning $84,000 in annual rent, agents also say it offers future development potential.

The NAB sits on Rosebud’s busiest shopping strip.

The sale comes amid ongoing strong demand for shops on the peninsula’s most prominent retail strips.

A shop leased to Country Rd in Sorrento reached $7.125 million at auction, selling on a yield of less than 4%. And earlier this month another Sorrento store leased to Sportsgirl sold for $4.07 million, well above its $3 million reserve price.

MP Burke director Pat Burke says the Rosebud sale is another vote of confidence in the strength of the Mornington Peninsula market.

“The combination of a strong tenant and a prominent location, underpinned by regional growth and a competitive campaign resulted in an excellent sub-4% yield,” he says.

“Mornington Peninsula retail investments continue to perform strongly.”