Weekly Wrap

Fitzroys Weekly Wrap - 16th November 2018

Posted on 16th November 2018

Chapel Street 15
0 Retail

Retail Sale, 129 Smith Street, Fitzroy
The 230sqm shop and dwelling, which includes eatery and bar Madras Bros. on the ground floor, sold for $2.010 million at a 3.5% yield. On a 207sqm site, it has a beer garden and alfresco dining area with a 5x3-year lease to the venue, and a first-floor apartment.
Retail Sale, 313-315 Whitehorse Road, Balwyn
An investor paid $7.3 million for the two-level building of 701sqm, on a 717sqm site zoned Commercial 1. It is leased to Back to Sleep on the ground floor and tech firm Websilk above, with a combined net return of $416,878pa plus outgoings and GST.
Retail Sale, 154 Rouse Street, Port Melbourne
The 83sqm premises of restaurant Spirit of Thai sold for $1 million, at a 5.3% yield with a new five-year net lease.
Retail Lease, Shop 1, 572 Swan Street, Burnley
The operators of nearby Common Café Bar signed a five-year lease over the 300sqm space with an outdoor seating area, located within the Botanicca Business Park, at $130,000pa for their new offering.
Retail Lease, 241B Flinders Lane, Melbourne
Lord of the Fries will open its new bakery, Weirdoughs, from the 24sqm space after signing a six-year lease at $121,000pa.
Retail Lease, 393 Swanston Street, Melbourne
Taiwan-based global teahouse Chatime leased the 29sqm space at the bottom of Scape’s new student accommodation development and will pay $7,000/sqm.
Retail Lease, 341 Glen Huntly Road, Elsternwick
Healthy food café Cocomamas is expanding to a new site within the suburb, signing a four-year lease with options over the 80sqm space at $55,000pa.

0 Offices

Office Sale, Level 2, 278 Collins Street, Melbourne
A local investor paid $2.85 million for the whole floor of 355sqm within Mering House, formerly Phileo House, at a 5.0% yield.

Office Sale, 10-12 Hill Street, Cremorne
The two-storey office and warehouse building of 280sqm is on a 181sqm site that sold for $2 million to a neighbouring owner. It has a 15m frontage to Hill Street and on-site parking.

Office Sale, 25 Howard Street, Richmond
Zoned Commercial 2, the vacant triple-fronted property of 222sqm sold for $2.61 million.

Office Lease, 35 Whitehorse Road, Balwyn

Dentist Proventure signed a nine-year lease over a 513sqm space within the building, while Balwyn Central Vet took 361sqm on a five-year deal and Jesse Ant Architects 133sqm over three years. The new tenants will pay in the vicinity of $285/sqm.

Office Lease, 22-28 Fitzroy Street, St Kilda
Star Health Group leased 304sqm across four strata offices on a five-year deal at $395/sqm.

Office Lease, 94-96 Main Street, Croydon
Fletchers Real Estate signed a three-year lease with options over the 111sqm corner building, and will pay $585/sqm net.

0 Development

Land/Development Sale, 151-153 Rosamond Road, Maribyrnong
A private investor acquired the vacant commercial building site of 1,116sqm, adjacent to Highpoint shopping centre, for $4.75 million. Zoned Mixed Use, it has a DD012 planning overlay and has potential for a development with serviced apartments, hotel, residential or office space.

0 Industrial

Industrial Sale,22-30 Northey Road, Lynbrook
The 15,410 sqm development site changed hands for circa $5 million.

Industrial Lease, 97 Lewis Road, Wantirna South

Joinery company Full Best Australia has inked a three-year lease over the 1,605sqm office and warehouse building a $93.45/sqm gross.

Industrial Sale, 39 Fairview Street, Springvale
Sak B3 Properties picked up the 800sqm property for $1 million.

0 Talking Points V2

Strata opportunities in historic Melbourne CBD rag-trade building: Two large and very flexible office floors in Manchester House have been listed at a time when supply of CBD strata properties has been limited.

The floors are rare and pre-eminent examples of the many rag-trade warehouses that dominated the area in the first half of the 20th century, with high ceilings, expansive Crittall windows and exposed brick walls which have undergone conversion to offices. They are being sold together with a Manchester Lane retail unit.

Manchester House, at 234 Flinders Lane and positioned on the corner of Manchester Lane, was constructed through 1911 and 1912 to a design by architects Bates Peebles and Smart, and marked the entry of the old Adelaide clothing manufacturers, G & R Wills and Company into Melbourne.

The floors, of approximately 630sqm each and the retail unit of approximately 35sqm, are being offered by Fitzroys agents Peter Weatherby, Rob Harrington and Alex Shum individually or in one line via Expressions of Interest closing Wednesday, November 28 at 2pm on behalf of a private investor.

Weatherby said the offering provides owner occupiers and investors a rare opportunity to purchase assets in the heart of this creative precinct which includes Degraves Street, Centre Place and Manchester Lane.

The property benefits from a sought-after Class 9b educational certificate enabling use by universities and colleges, many of which are already located in the locality including Victoria University, Centre for Adult Education, Box Hill Institute, Charles Darwin University and Monash College.

Fruit and Vegetable Market attracts juicy investment: Singapore-listed Frasers Property has acquired a 63.4-hectare development site in Epping for $40 million, and will develop a new $250 million industrial estate with up to 250,000sqm of built form following the property’s rezoning.

The 410 Cooper Street site is close to the new Melbourne Wholesale Fruit and Vegetable Market and abuts the Hume Freeway between two full diamond interchanges. Occupiers nearby include Coles, Visy, Chemist Warehouse, Mission Foods, Mainfreight, Linfox and Toll.

Disclosure: The weekly Fitzroys Property Wrap is for information only on transactions in the Melbourne property market. Fitzroys provides this information as a public service. We are not purporting that all sales and leases within this report were transacted by Fitzroys.