Key points

• An extremely rare Randwick petrol station owned by auto repair garage owners Steve and Carmen Davidson has sold for a phenomenal $8.75 million.
• The property that generates an annual net rent above $320,000 has sold under the hammer for $2.8 million above the reserve. 
• A local private investor has secured the property after multiple strong bids from numerous private investors. 

 Randwick, Sydney (7 December 2022) A rare neighbourhood petrol station that has been part of the fabric of Randwick, in Sydney’s Eastern Suburbs, for generations has achieved a mighty $8.75 million price under the hammer for vendors Steve and Carmen Davidson.

 The stellar sales price achieved a remarkable $2.8 million above the reserve for Mr and Mrs Davidson, who secured the iconic property in 2005. 

Scarcity of petrol stations drives auction result

According to selling agent James Nixon, Director of Raine & Horne Projects, the price for the 651 square metre block was achieved after a battle royal between several committed registered bidders.

“Leasehold petrol stations across the Eastern Suburbs are becoming increasingly scarce, and this factor attracted local and overseas investor attention and contributed to the fantastic sales price. 

“During COVID, the smart money realised that petrol stations and mechanics are essential services and won’t close during lockdowns as cars are still on the road. 

 “Throw in that the property has two secure and long-term tenants, a petrol station and a mechanic paying a combined net rent of $320,000 annually. 

“We expected a price between $5.5 - $6 million, and we had a reserve of $5.95 million on the property,” added Mr Nixon, who previously lived next door to the well-known petrol station.”

The property zoned R3 is also exceptionally located in the heart of Randwick and is positioned within a short stroll to Frenchman’s Road village shops.

“It’s also close to cafés, popular neighbourhood pubs, and public transport, and is just moments to another Eastern Suburbs icon, Clovelly Beach,” Mr Nixon added. 

“In the future, the property also has scope for numerous small business, creative, and commercial endeavours, which also drove some of the investor interest.”

For all your commercial property sales and leasing needs in Randwick, Clovelly, and surrounding suburbs, contact Raine & Horne Projects at 0415 889 284.