A property anchored by one of Adelaide’s most renowned bakeries has been snapped up for $1.7 million, highlighting strong competition for income-producing assets.

Savills Australia’s Steve Bobridge and Rob Williamson brokered the deal for 544-546 Port Road, Allenby Gardens, via a highly contested public auction, which saw the property sell well above original expectations and at a yield of 5.9 percent.

“The local buyer overcame two other bidders to secure the property, highlighting the significant value in corner sites with sturdy investment income,” Mr Bobridge said.

The property has been tenanted to Prices Fresh Pty Ltd since 2004, with a current rental return figure of $99,878 per annum.

Mr Bobridge said the 1,672sq m property is located on one of Adelaide’s busiest roads and placed in a highly visible position.

“The property is located on a corner allotment and presents an exceptional opportunity for buyers seeking assets that also hold solid future development upside.”

Port Road is the main connector between the city and north western suburbs of Adelaide, including Port Adelaide, which is undergoing an exciting transformation with the pending development opportunities in the pipeline.

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