AUTOSPORTS Group’s property portfolio has hit almost $200 million after it agreed to buy the property that houses its central multi-franchise dealership in Brisbane’s Fortitude Valley for $98 million.

It deems the property, which it has occupied since 2016 through its subsidiary ASG Brisbane Pty Ltd, as strategically important.

The dealership has franchises for Audi, Bentley, Lamborghini and Maserati.

The property, at 586 Wickham Street on the corner of Light Street, covers 7793 square metres and is described as a purpose-built automotive dealership comprising showroom, service and parts facilities and has “operational synergies” with the brands represented at the site.

Autosports bought the property from its landlord, Dexus, after leasing it for the past eight years. The lease expires in 2026 and has two additional five-year options.

The company said by buying the property, it is expected to save its rental payments as well as tax surcharges that were passed onto the tenant as an outgoing.

“The acquisition of this property delivers on the group’s property strategy of controlling strategically important retail sites, improving capacity to actively manage retail locations, utilising OEM financiers to preserve capital, improving balance sheet strength and gradually reducing occupancy costs,” Autosports said in its notice to the Australian Securities Exchange (ASX).

It caps a busy year for the listed car retailer. Autosports last month opened its new Melbourne BMW showroom and workshop in the centre of Melbourne on Kings Way.

The showroom is the first in Australia – and one of only five BMW outlets in the world – to use the brand’s new corporate identity and create a world class retail site.

GoAutoNews Premium reported last month that Melbourne BMW, which is a complete overhaul of the previous BMW dealership and showroom, now groups BMW, Mini and Motorrad brands on the same large site, with the previous showroom being converted and substantially enlarged into the workshop.

In July Autosports diversified out of Australia with the $A63.6 million purchase of a three-dealership business in New Zealand.

It bought Auckland City BMW Ltd, a private business headed by Ian Gibson as managing director and dealer principal. The business comprises Auckland City BMW and Rolls-Royce Motor Cars Auckland; Auckland Mini Garage; and East Auckland BMW and Mini.

The three businesses represent about 37 per cent of BMW’s market share in NZ, about 50 per cent of Mini, and 100 per cent of Rolls-Royce market shares.

At the beginning of the year it bought from Suttons two dealerships – Suttons Subaru Rosebery and Suttons City Kia.

Autosports, which also occupies significant inner-city Sydney land for its prestige brand dealerships, announced its purchase in a report to the ASX, along with the John Newell Mazda site in Alexandria.

It also opened its flagship Audi Indooroopilly dealership, six months after opening its satellite service centre.

By Neil Dowling