Hahndorf investment snapped up in just 11 days

A prominent commercial property in the heart of Hahndorf has sold just 11 days after hitting the market, after a strong early offer prompted the vendor to close the expressions of interest campaign almost two weeks ahead of schedule. 

The sale of 80-84 Mount Barker Road, Hahndorf achieved a result 25 per cent above initial pricing expectations, with three offers exceeding $3 million received during the short campaign. 

Cushman & Wakefield had initially scheduled the expressions of interest campaign to close on August 26 but brought the process forward following the strength of buyer interest. 

The 2,785 sqm* property occupies a substantial holding on Hahndorf's tightly held main street, with approximately 39.6 metres* of frontage and three standalone character buildings providing 624 sqm* of improvements.  

Sold through Jack Dascombe and Anton Williams of Cushman & Wakefield, the property is leased to five retail and commercial tenants and generates net annual income of approximately $159,836. 

Jack Dascombe of Cushman & Wakefield said the speed of the transaction demonstrated the depth of demand for well-located investment opportunities in the Adelaide Hills. 
"To receive three offers above $3 million and ultimately secure a result 25 per cent above our initial pricing expectations in just 11 days is a strong endorsement of both the property and the depth of capital looking for opportunities in Hahndorf. 

"We took a very targeted approach to the campaign, directly contacting 48 property owners along Hahndorf's main street in addition to engaging our broader investor and developer database. The strength of the offer ultimately gave the vendor the confidence to transact well ahead of the scheduled EOI close." 
The property offered buyers a combination of existing income and longer-term development potential, with its Township Main Street zoning allowing for a range of potential uses including tourist accommodation, residential, consulting, retail and office, subject to necessary consents. 

Its five tenancies include Your Estate Lawyer, FruChocs, Coco Marie, Ansell Real Estate and Fyre & Fury, with lease expiries staggered and redevelopment provisions incorporated into the leases. 

Anton Wiliams of Cushman & Wakefield said the property's combination of scale, income and location was particularly difficult to replicate in Hahndorf. 
"Large landholdings in the middle of Hahndorf's main street are exceptionally tightly held, and this property offered buyers the ability to secure immediate income while retaining considerable flexibility over the longer term. 

"Hahndorf attracts more than one million visitors annually and accounts for more than 60 per cent of tourism revenue across the Adelaide Hills, so there is a strong underlying economic and tourism story supporting investment in the town." 
The property comprises a mix of commercial and character buildings, including a heritage-listed cottage featuring 19th-century German half-timbered architecture.