BACKED BY THE BEST.

Most net lease investors have to take a view on a tenant’s brand. At 804 Beaufort Street, that call has already been made - by two of the most sophisticated private capital investors in the world.

This gym site has a proven track record of over two decades. The lease isn’t a bet on that continuing - it’s proof it already has. Goodlife Operations Pty Ltd is majority-owned by Quadrant Private Equity and Oaktree Capital Management, backed by Brookfield Asset Management - institutional owners who don’t invest in sites that don’t perform. They’ve had this address under the microscope for years, and they’ve chosen to stay.

Quadrant is the same firm behind Canva, Bapcor and Kathmandu - $10 billion raised, 100+ investments, a track record most Australian investors know on sight. Oaktree manages US$223 billion globally. Between them, this isn’t a lease exposed to one operator’s fortunes - it’s a covenant backed by two blue-chip institutions who’ve already done the hard diligence on this exact site, and bet on it for the long haul.

This is not a single-operator lease exposed to the fortunes of one franchisee. It’s a covenant sitting inside a business built, funded and actively managed by two blue-chip private capital institutions with a combined track record spanning some of Australia’s and the world’s most recognised companies.

A LEASE STRUCTURED FOR THE LONG HOLD.

The lease fundamentals are just as strong as the ownership behind them:

• Goodlife Operations Pty Ltd committed to a 15-year term in 2022, with more than 11 years still to run before the first of two five-year options, extending potential income to 2047.
  
• Fully net lease - outgoings recovered from the lessee, insulating the landlord from rising costs.
  
• Six-month gross rental bank guarantee in place, an uncommon buffer even among premium net-leased assets.
  
• Net passing income currently $700,000+ p.a. plus GST, up from a commencing rent of $685,000.
  
• Annual reviews at the greater of CPI or 3%, with fixed market/CPI/3% reviews at the 15th and 20th anniversaries.
  
• A fixed increase applied to net rent on settlement, delivering an incoming purchaser an immediate uplift to day-one returns.
  

THE ASSET: BACK TO NEW, PURPOSE-BUILT, LOW MAINTENANCE.

• Comprehensively refurbished internally and externally in 2022 - a ~2,010m² two-level gymnasium, not an ageing shell.
  
• Plant and equipment - air conditioning, hot water plant, external disabled access lift - under warranty and classified as lessor’s fixtures, reducing early-ownership capex risk and supporting depreciation benefits.
  
• Open and undercover onsite parking, addressing a common constraint for retail-strip fitness operators.
  

a purpose built gym with over two decades OF PROVEN TRADING HISTORY.

• Major frontage to Beaufort Street, one of Perth’s most recognised inner-city retail strips, four kilometres from the CBD.
  
• Positioned within an established café, retail, medical and lifestyle precinct that supports strong tenant demand and lease renewal.
  
• The site has supported continuous gym use for more than 25 years - this is not a speculative location bet, it’s a proven trading address.
  
• Excellent public transport connectivity broadens the tenant and customer catchment.
  

THE OPERATOR ON THE GROUND: GOODLIFE / FLG.

Fitness & Lifestyle Group (FLG) is Asia Pacific’s largest group of corporately owned health and wellness clubs, spanning 330+ locations across Australia, New Zealand, Thailand and Singapore under the Goodlife, Fitness First, Jetts, Zap and Barry’s brands. FLG’s CEO and Managing Director, Greg Oliver, leads a multi-disciplined executive team drawn from fitness, operations, corporate strategy and finance.

DUE DILLEGENCE

To support a smooth and efficient transaction, the seller is can provide a structured due diligence package.

The following information can be provided at inspection:

• Information Memorandum
  
• Contract of Sale
  
• High Level Plans
  

The following additional information can be provided to prospective buyers who have inspected and are prepared to make an offer.

• Lease Documentation
  
• Detailed Plans
  
• Depreciation Schedule
  

WHO SHOULD BE LOOKING

This opportunity is best suited to local and national high net worth individuals, private syndicates and real estate investment trusts seeking:

• A secure, income-producing addition to a diversified portfolio.
  
• Exposure to a covenant backed by institutional-grade private capital, without the operational risk of running the business.
  
• A long-dated, low-maintenance, genuinely “set and forget” commercial holding in one of Perth’s premier retail strip.
  

THE OPPORTUNITY

804 Beaufort Street offers what few assets in the current market can: a purpose built health facility, a nationally recognised tenant locked in well beyond a decade, structured and growing rental income, and a position on one of Perth’s premier retail strips. For investors seeking long-dated, low-maintenance income backed by tangible asset quality, this is a rare chance to secure a genuinely set-and-forget commercial holding.

METHOD OF SALE

804 Beaufort Street is being offered For Sale by the way of ‘Private Treaty’.

For further information or to request the complete information memorandum, contact the exclusive marketing agents at Industrial & General.