Weekly Wrap

Fitzroys Weekly Wrap - 24th May 2019

Posted on 24th May 2019

000 Retail 05

218-222 Nicholson Street, Fitzroy
An investor purchased the 514sqm heritage building, on a 790sqm site, for $2.5 million at a 3.14% yield. The property has a new 5+5-year lease to suits and tailoring business Formal Red.

257 Canterbury Road, Canterbury
The 525sqm retail, showroom and office building sold to an owner-occupier for $2.225 million. The vacant Commercial 2-zoned 911sqm site is subject to a heritage overlay and has a 350sqm yard area and 38m frontage.

Shop 1, 1836 Malvern Road, Malvern East
A local investor paid $610,000 for the 100sqm shop, one of seven forming a corner retail complex, at a 5.1% yield.

1015 High Street, Armadale
Skincare brand Rationale leased the 100sqm ground floor space in a 5+5-year deal at $85,000pa net.

132 Victoria Street, Richmond
Bubble tea brand Sharetea signed a 7-year lease over the 45sqm space at $60,000pa.

000 Offices 05

376 Heidelberg Road, Fairfield
An investor paid $3.72 million for the 830sqm two-level building, which is on a 1,072sqm site with 18 on-site parking spaces. The property is 75% leased and currently returns $164,628pa net.

Suite 1, 33-37 Duerdin Street, Notting Hill
An investor purchased the office suite for $2 million, at a yield of just over 6%.

Suite 8, 100 Dover Street, Cremorne
An owner-occupier paid $1.34 million for the vacant 165sqm two-level strata office.

15-17 Queen Street, Melbourne
Ausbiotech is moving from South Yarra and leased 223sqm within the Lombard Building at $535/sqm gross.

177 Burnley Street, Richmond
Accounting firm BR Wellington Pty Ltd inked a 10-year lease over the 1970s office building at $320,000pa net plus GST.

132 Chestnut Street, Cremorne
Entertainment company Van Egmond Group leased the 300sqm office building for 4 years at $160,000pa net.

5 Claremont Street, South Yarra
New media company The Players’ Tribune leased the 151sqm space on a 2-year term at $637/sqm gross.

12-14 Cato Street, Hawthorn East
ASX-listed Think Childcare leased the 113sqm suite at $38,000pa for its new Melbourne head office.

000Industrial 05

49 Assembly Drive, Dandenong South
CBUS Property sold the 2,554sqm facility within Estate One for $4.25 million, at an initial yield of 6%. It is leased to International Food Distributors until 2022 with a 3-year option.

3B Cato Street, Hawthorn East
Vance Logistics leased the 980sqm office and warehouse at $150,000pa.

130-132 Freight Drive, Somerton
Camping group Thetford Australia Pty Ltd leased the 2,995sqm office and warehouse facility for 5 years at $210,000pa net.

000 Development 05

368 Lygon Street, Brunswick East
The 595sqm site sold for $2.4 million, with a permit for a seven-level apartment development including ground floor retail.

000 Talking Points 05

Pelligra takes on Ford sites:
Melbourne-based developer Pelligra Group has acquired the historic Ford manufacturing sites in Geelong and Broadmeadows, and will convert them into manufacturing and tech-focused industrial estates.

Combined, the sites cover more than 100 hectares, including around 60 hectares at Broadmeadows, and have existing buildings of more than 265,000sqm.

While Ford closed their manufacturing operations in 2016, their research, design and engineering facilities will remain at the Broadmeadows and Geelong sites, along with their car-testing grounds at Lara.

Including the sale price, Pelligra will spend $500 million on the first stage of development, refurbishing and re-leasing of the buildings on the sites, which are anticipated to accommodate as many as 5,000 jobs in future.

Pelligra is undertaking a similar project on the former Holden manufacturing facility in Adelaide’s Elizabeth, while the Victorian government acquired the 37-hectare Holden site in Fishermans Bend for $130 million in 2016 to redevelop into a design, research, engineering and technology hub.

Brisbane-based fund holds off competition in race for Cardinia Club:
Pakenham Racing club has sold the Cardinia Club to Stronghold Investment Management for $16 million.

On a 1.655-hectare site, the venue has 105 gaming machines, bistro, sports bar and function rooms.

Pakenham Racing Club has a 13-year lease over the venue, which was part of the Pakenham Racecourse before the Club moved to its track at Tynong North.

Disclosure:Fitzroys Property Wrapis 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. Terms/Privacy © Copyright 2019 Fitzroys.