A BIDDING war erupted yesterday for a Tweed Heads CBD property where Hungry Jacks currently stands.
About 50 people turned up to see 105-109 Wharf Street auctioned by PRD Coolan- gatta and Colliers International yesterday, and the realised price surpassed expectations.
The price started at $1 million, and after 24 bids a Brisbane private investor came out on top with an offer of $1.855 million.
PRD Coolangatta agent Tony Maher said the bidding was strong, which nudged the winning bid well above the reserve.
“The sale shows the confidence people have got in Tweed Heads and the redevelopment potential thereof,” Mr Maher said.
“It is a very good comment on how people are perceiving the real estate market on the Tweed ... particularly in the market we are working in at the moment.”
Any development on the land may have to wait, because Hungry Jacks has a lease signed until 2014.
Back in 2002, the 2109sq m property was bought by Westpac Funds Management for $840,000.
Mr Maher said the developers had received a 5.845 per cent return on their investment.
He said there were no more upcoming Tweed CBD land auctions coming up, as property in the area was “very tightly held”.
“They are very, very, very scarce,” he said.
The property is 'L' shaped and stretches across to 44 Beryl Street, which allows room for 38 car parks and 225sqm of building. It is comprised of four blocks of land with three street frontages.
The site has a current rent of $108,433 per annum.
The property is zoned 3b general business by the Tweed Shire Council and has an eight-storey height limit.