Weekly Wrap

Fitzroys Weekly Wrap - 20th September 2019

Posted on 20th September 2019

106 Gourlay Road, Caroline Springs
An investor paid $675,000 for the 100sqm retail property, which is leased to Indian restaurant Dal Roti Boti on a 5 5-year deal.

133 & 134 Station Street, Aspendale
Offered for the first time in 60 years, the adjoining 77sqm shops were sold to an investor for $1.23 million. One is leased to Sammy’s Pizza Boys, and the other vacant.

157-159 Nepean Highway, Mentone
A local investor bought the 2,362sqm site for $5.6 million, which has a 240sqm KFC restaurant leased for 12 years returning $262,836pa.

264-266 Stephensons Road, Mount Waverley
The two-level 690sqm building is leased to NAB, Woodards and Mount Waverley Orthodontics and sold for $5.101 million at a 3.96% yield. It is on a 460sqm site with 13m of frontage and 5 parking spaces.

129-131 Whitehorse Road, Blackburn
The 1,356sqm site sold for $4.685 million with a 10-year lease to Sparklers car wash with options, returning $236,541pa net plus GST.

5-7/107 Bridge Mall, Ballarat
The 350sqm building, occupied by Crazy Asian restaurant, sold to a Melbourne-based investor for $596,000 at a 7.7% yield.

110 Humffray Street South, Ballarat
The Caltex petrol station, on a 1,004sqm site, sold for $955,000 at a 5.24% yield with a 6 6-year lease.

315 Bay Street, Port Melbourne
An investor bought the vacant 111sqm shop for $950,000.

61 Glen Eira Road, Ripponlea
The 120sqm building will again be used as a lounge bar and live music venue after a new tenant signed a 5-year lease at $45,000pa net plus GST.

1 Champ Street, Coburg
Burger and fish bar Jacky Jones leased the 105sqm space within the Pentridge prison redevelopment for 8 years at $864/sqm.

175 Bromfield Street, Colac
An investor bought the 1,805sqm office building, on a 5,963sqm site and leased to accounting firm Findex, for $6.05 million at a 7.4% yield.

Suite 301, 546 Collins Street, Melbourne
An offshore investor bought the 129sqm suite for $1.7 million at a 4.5% yield.

115 Gardenvale Road, Gardenvale
Mortgage broker 1n2Financial signed a long-term lease over the 240sqm double-fronted building at $65,000pa.

164-172 Gaffney Street & 1 Louvain Street, North Coburg
Mario LoGiudice’s Bianco Group paid $7.1 million for the combined 4,698sqm site, which is zoned Industrial 3 and has warehouses that could re-fitted or redeveloped. Previous owner occupier Active Engineering was the vendor.

7/2 Satu Way, Mornington
The 400sqm warehouse sold for $900,000 with a 5-year lease returning $49,650pa.

41-51 Mills Road, Braeside
Online department store Klika leased the 17,922sqm warehouse, owned by ARA Australia, at $60/sqm.

88 Herbert Street, Northcote
Able Australia Services leased the former Silver Top Cabs office and warehouse of 720sqm for 5 years at $100,000pa.

53-55 Canterbury Road, Montrose
A developer paid $6.65 million for the 26,610sqm site, approved for a service station and industrial units.

4-12 Langridge Street, Collingwood
A developer bought the 368sqm Commercial 1-zoned site for $3.5 million. It has a 358sqm brick warehouse and is leased for 5 years.

3 Bleazby Avenue, Brighton
A local developer bought the 613qsm site, with a permit for 5 apartments, for $3.088 million.

688 Bellarine Highway, Leopold
The 2,392sqm childcare centre site sold for $4.79 million at a 6.17% yield. It has a 776sqm facility and a licence for 114 places, and is leased to Leopold Early Learning Centre for 15 years with options.

185-195 Torquay Road, Grovedale
The 3,023sqm site sold for $2.15 million and is leased to Evolve Early Learning and Kindergarten on a 10 5 5-year deal, with a licence for 95 places and returning $162,445pa net plus outgoings and GST.

Developers Active Across the Inner-East

Development momentum across Melbourne’s inner-eastern suburbs gathering pace, with a string of residential and commercial sites being picked up by developers.

The largest, a 4,805sqm site at 1 Cooloongatta Street in Camberwell, comprises a post-war style estate with 16 apartments across 5 buildings including a house, and sold to a developer with General Residential 1 zoning.

In Kew, nearby Victorian-era home sites sold to separate developers. The 920sqm property at 15 Hartington Street sold for $2.52 million with a permit for 5 townhouses, while two doors down, number 19 was bought by another developer for $2.4 million with approval for 6 apartments.

Near Swinburne University, the 604sqm corner site at 49-51 Henry Street, Hawthorn, zoned Commercial 1, sold for $4.5 million to a local developer with a height allowance of up to 8 levels. Pace Development Group paid $4,062,500 for the the 476sqm corner site at 9 Montrose Street in Hawthorn East, which was offered with a permit for a 9-level building 35 units that Pace intends to convert to office use.

Strong Interest in Melbourne’s West Industrial Market

Singaporean group Mapletree Logistics Trust has acquired a yet-to-be-constructed warehouse in Truganina for $18.4 million. The single-level logistics facility at 15 Boterro Pl in Truganina will measure 15,100sqm on a 25,650sqm site.

The region has seen several major deals recently as demand for logistics and ecommerce facilities continues to boom. Growthpoint Properties Australia paid Frasers Property $40 million for a 3.1-hectare office and warehouse property in Truganina, shortly after Frasers Property bought 43ha of land in neighbouring Tarneit for $27.5 million, which it will use for a 150,000sqm, $200 million warehouse development.

ISPT acquired an unzoned 40-hectare site in Truganina from the Mifsud family for $23.1 million that it will hold for development.

Woolworths’ new 4.5ha temperature-controlled distribution centre, on a 10ha site in Truganina, is under construction next door to its 27,000sqm meat storage facility.

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. Terms/Privacy © Copyright 2019 Fitzroys.