A commercial property in Warrnambool's CBD is expected to fetch between $2.8 and $3.1 million.
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The Lava Street building, which is leased by Adairs, and a number of carparks at the rear, will go to auction on Thursday, November 11.
John Ryan Real Estate director John Ryan said there had been interest from buyers right across Australia.
Adairs has a six year lease at a cost of $180,000 per annum gross and the state government leases a number of carparks, Mr Ryan said.
"It's well located and if a building has a strong lease with a strong tenant, it becomes a very desirable investment," Mr Ryan said.
"People also look at the strength of the town where the property is located and Warrnambool is regarded as a very strong regional centre."
Mr Ryan said the building, which had been completely refurbished, offered 800-square-metres of space.
He said high demand for property was due to the low interest rates.
"The market has been driven by the low interest rates," Mr Ryan said.
"They are really driving prices up all over.
"People who have got nest eggs that go to their banks get a very modest return but property currently stands up very well in terms of return on investment."
Mr Ryan said demand for both commercial and residential property was higher than ever.
He has been working in the industry for 35 years and said he had not experience a period like it.
"We've never seen interest rates - in my time - so low, which is leading to people having an appetite for investing in the market," Mr Ryan said.
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