Car Wash & Detailing
718-722 Parramatta Rd, Croydon NSW 2132
Lease Term: 3 Years (Expiring on 28th February 2023)
Option: Plus 3 Years
Total Current Rent: $162,000 Plus GST ($13,500 Plus GST / Per Month)
100% of Land Tax is paid by the landlord
Net Car Wash Rent After Sub-Lease of Cafe: $114,000 Plus GST (Approx.)
The Wi-Select Car Wash & Detailing business is located 718-722 Parramatta Road Croydon 2132, which is at the centre of inner-city Sydney surrounded by highly affluent suburbs such as Five Dock, Canada Bay, Russell Lea, Abbotsford, Lilyfield, Drummoyne, Haberfield, Burwood, Concord & Croydon where residents are fairly high net individuals who own fairly new model and prestige motor vehicles and take pride in ensuring their vehicles are maintained to look their best at all times.
The current owners have made some significant improvements to the car wash business which has resulted in year on year growth of 9% in volume and revenue. The current owners have extracted significant savings in rent which was achieved through some very difficult negotiations. Cost savings have also been achieved in wages through efficiency improvements and by streamlining some of the work processes.
The owners of Wi-Select take good care of their very loyal and committed band of workers. This has resulted in them producing outstanding results in the finish and quality of work on each and every customer's car.
The cafe is highly complementary to the car wash business since it takes on average around 30 to 45 minutes to complete a standard car wash during which time the customers can enjoy a coffee, a light meal, and free Wifi while they wait for their car to be finished. Although the current owners are well experienced at running an efficient car wash operation, however, they significantly lack experience in running a fully operational Cafe. Due to the lack of experience by the current owners have sub-leased the cafe to an experienced operator who will enhance the profile of the cafe and introduce an exciting new menu which will draw increased traffic to the site and benefit the car wash business. The Sub-lease of the cafe will generate an annual net income of approx $48k per annum plus a saving of wages of approx $12k from cafe staff who were previously employed 2 days a week to serve coffee and snacks to car wash customers.
The cafe within this car wash is a very large area which is very much underutilized with seating available for approx 50 guests, although this is not currently fully occupied. The owners of WiSelect car wash have recently invested significant capital to renovate the kitchen in the cafe to a fully functional commercial kitchen. With this upgrade of the kitchen and through the sub-lease of the cafe, the new management will expand the menu and generate increased traffic through the site. The owners of Wi-Select have also invested heavily in new signage and advertising which will also increase awareness of the business and result in increased traffic through the business.
The weekends are obviously the busiest days of the week from retail car wash customers. Therefore Wi-Select have secured the business from 7 car dealerships and panel beaters locally doing mainly car detailing. This enables to fill some of the low traffic days during the week. The owners at WiSelect have an excellent working relationship with these dealers who in return are very loyal and provide a consistent flow of vehicles for detailing. The current owners have also introduced promotions with some local clubs and schools where they get a modest discount if their members or staff patronize the car wash between Monday and Thursday.
The current owners have fairly advanced plans to establish an Auto workshop on this site which complements the existing car wash business. This workshop once setup could easily be subleased and generate a minimum net income of approx. $36k per annum. Ideally, if the owners could operate the workshop with a skilled mechanic the earnings could be very much higher.
There is a strong potential to open a dog wash. The residents around these suburbs have very high pet ownership and the option of a dog washing facility will be a very attractive option since customers can wash their dogs while they wait to get their cars washed.
The entire site is over 1,500 sqm with a large, wide high clearance covered area that lends itself to the opportunity to install an automated car washing tunnel. This would open up the market to a wider range of target customers by offering both hand and automated car washing facilities.
The hire of Utes on site is another additional income stream that has not been fully explored but is very viable due to the central location and the high visibility of this site with significant passing traffic and close proximity to Bunnings.
Click to Download an Expressions of Interest Form to Submit your Offer, Terms & Conditions for the Purchase of Proposed Car Wash