The home of landmark Wollongong watering hole Humber will go under the hammer next month in a surprise offload by owners GPT Group.
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The distinctive triangle-shaped property will go to market bearing the results of renovation works worth $1.5 million, according to agent Tim Jones.
Not included in the sale is Humber itself. Operators of the popular rooftop bar and cafe will retain a lease on the property until January, 2022, plus a five-year option.
Mr Jones, of MMJ Real Estate Wollongong, said the listing had attracted strong early interest from Illawarra, Sydney and Asian investors.
“A lot of people are priced out of Sydney and other markets and they’re looking regional,” he said.
“This represents a really nice ‘set and forget’ property that’s in a great spot as far as regional positions go.
“For me it’s the logical dead centre of Wollongong.
“You can’t get a better position than right at the entry to the new shopping centre. Foot traffic is extremely high.”
Aesthetics and the building’s ‘one-of-a-kind’ factor are also expected to fan investor interest.
“It’s a strangely shaped, awkward-looking little building and that in a lot of ways is one of the pluses,” Mr Jones said. “You don’t get a building with that much character very often.
“There’s been a lot of money spent renovating that building and it’s one of the nicest I’ve seen.”
The building, at 226-228 Crown Street, dates back to the 1930s, when it housed the Hillman Humber car dealership. Set on a 122 square metre parcel on the corner of Crown Lane, its 322 square metres of floor space are divided over three levels.
According to property records, the building changed hands in 2001 for $380,000. Details of the sale to GPT, in about 2005, are not recorded. The cost of its renovation was shared between GPT and the tenant. The sale comes 18 months after GPT unveiled its $200 million Wollongong Central expansion. Mr Jones said the time was right for the property group to sell.
“It’s surplus to their needs,” he said. “This was a derelict building some years ago. They’ve got it to the position where they can get good money for it.”
According to agent estimates, the property generates more than $105,000 in annual income. On that basis, it would need to sell for around $1.5 million to return a yield of seven per cent.
The auction is on May 4.
