Leading independent commercial real estate agency Sterling Property has successfully brokered the sale of a prime investment property at 3 Glenelg Place, Connolly for $2.4 million.

The property, currently operating as short-stay accommodation, was sold as a going concern, achieving an impressive yield of 7.7%.

Situated on a generous 2,052 sqm site, the property features 416sqm of buildings, comprising nine short-stay accommodation units ranging from one to three bedrooms.

Sterling Property Principal Brian Neo said the property’s versatility and strong income potential had been key drawcards for the buyer.

“This sale demonstrates the robust demand for high-yield investment properties in Perth’s northern suburbs,” Mr Neo said.

“The buyer recognised the opportunity to capitalise on Western Australia’s record-low rental vacancy rates and the potential to further increase the already significant rental income.”

Mr Neo noted that the property’s previous owner had implemented a successful value-add strategy.

“The vendor purchased the property less than two years ago, improved it, and implemented professional management,” Mr Neo said.

“This strategy paid off, resulting in a significant increase in net rental income over a relatively short period.”

The property benefits from a Mixed Use R80 zoning, offering flexibility for future use. It also has an expired development approval for a four-story residential complex featuring 27 apartments.

“While the current short-stay accommodation model is performing well, the new owner has multiple options for future use or development, which adds another layer of value to the investment,” Mr Neo added.

Located adjacent to Connolly Shopping Centre and Connolly Community Centre, the property offers excellent amenities for its current use. It also features parking for up to 26 cars onsite, NBN readiness, and a gated secure complex.

Mr Neo said the sale reflected broader trends in Perth’s property market.

“We’re seeing growing interest in suburban commercial and mixed-use properties that offer strong yields and development potential,” said Mr Neo.

“Investors are recognising the value in well-located suburban assets, particularly those that can adapt to changing market needs.”