Melbourne Porsche dealerships collect $47m
PM Group, formerly known as Preston Motors Group, has divested two Melbourne Porsche dealerships after selling the businesses associated with them in April.
In Bentleigh and Doncaster, the properties are collecting just under $47 million – a c5.7 per cent net passing yield – from Sydney Roosters chairman Nick Politis, also a veteran investor in this sector.
Each came with a 12 year lease to Penske Automotive Group – a Fortune 500 company, listed on the New York Stock Exchange.
The Bentleigh property trades as Porsche Centre Brighton.
The eastern suburb freehold meanwhile (pictured, top) is rented for Porsche Centre Doncaster.
PM Group also sold PAG an Essendon Fields Ducati dealership business in April.
That freehold, owned by Lindsay Fox and Max Beck via a long lease, is part of a motor trade precinct known as EF Auto (and briefly, Auto Alley), which recently attracted Dutton One and two Zagame brands: Audi and Cupra.
Bentleigh, Doncaster dealerships
A Forbes Rich Lister, Sydney-based octogenarian Mr Politis has an estimated personal wealth circling $2.3 billion, much held in over 30 car dealerships – businesses and investments.
The Greek-Australian also controls just over a quarter of Eagers Automotive, with a portfolio of over 200 national dealerships – more than a dozen which he sold to the group last October for $245m (story continues below).
Porsche Centre Brighton at 855-859 Nepean Highway, is his best new earner – collecting $1.43m per annum ex-GST.
Expanded and refurbished in 2019, with c2641 sqm of showroom, office and maintenance related space, on an acre, it is speculated to be trading for c$25m.
Porsche Centre Doncaster meanwhile at 839 Doncaster Road returns $1.31m per annum ex-GST.
The block is smaller – 1674 sqm – but zoned for residential development (the Bentleigh site by comparison could only be replaced with commercial product).
The showroom/office spreads 2717 sqm over two floors.
JLL’s Stuart Taylor, Tom Noonan, Jarrod Herscu and MingXuang Li were the agents.
Wizel Property Group’s Mark Wizel represented PM Group/Porsche.
The deal comes 18 months since we reported Neville Crichton outlaid over $18m for a Collingwood site expected to trade longer term as a Maserati dealership.
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