Weekly Wrap

Fitzroys Weekly Wrap - 29th November 2019

Posted on 29th November 2019

000 Retail 05

Shop 1, 572 Church Street, Richmond
A self-managed super fund investor bought the ground-level café investment at the entrance of Botanicca Corporate Park for $1.701 million at a 6.4% net yield. The property has a modern fully-fitted café of 310sqm and 190sqm of outdoor seating. The Shed has a 5+5+5 year lease with fixed annual increases of 4%.

769-771 Burke Road, Camberwell
The 205sqm shop sold for $4.415 million, with a 5-year lease to Lululemon Athletica bringing $199,435pa plus outgoings and GST.

4 Shakespeare Grove, St Kilda
A local investor paid $2 million for the 149sqm building, at a 5.93% yield, with a 5+5+5-year lease to Bay City Burrito.

Shop 3, 308 Carlisle Street, Balaclava
An investor bought the 106sqm shop tenanted by Cold Rock Ice Creamery for $1.52 million, at a 4.28% yield. Cold Rock has a 5+4+4-year lease.

1160 Glen Huntly Road, Glen Huntly
The vacant 2-level, 330sqm former Commonwealth Bank building, on a 251sqm corner site, sold for $1.52 million.

284 Bay Street, Brighton
ASX-listed ReadCloud leased the 278sqm former restaurant space, within a heritage-listed former bank building, at $110,000pa net.

103 Church Street, Brighton
A local developer leased the 70sqm ground floor tenancy for a sales suite and office at $60,000pa net.

000 Offices 05

76-78 Jolimont Street, East Melbourne
Principles at B2B Lawyers sold the twin Victorian terraces, on a 312sqm site near the MCG, for $4.75 million to a private investor with a leaseback returning $198,568pa.

H404, 521 Toorak Road, Toorak
An owner occupier bought the vacant strata-titled 2-level, 150sqm office within the Toorak Place mixed-use development for $870,000.

Suite 4, 1175 Toorak Road, Camberwell
The ground-floor suite changed hands for $580,000, at a 6% yield with a 5+5-year lease.

359-361 City Road, South Melbourne
Digital payment company Vend leased the whole 850sqm converted warehouse building for 4 years at $500/sqm gross.

6-8 Compark Circuit, Mulgrave
After merging with Advanced Skin Technology, Device Technologies Australia will consolidate operations to 1,581sqm within the building and pay $280/sqm.

000Industrial 05

90 Willandra Drive, Epping
An owner occupier bought the 1,409sqm facility prior to completion for $2,381,210.

Units 1, 2 & 3, 109 Lewis Road, Wantirna South
A local investor bought the 3 tenanted warehouses in one line for $1.9 million at a 4.25% yield

8A and 14A James Street, Clayton South
Part of a row of 9 single-title warehouses, the 243sqm warehouse at 8A sold for $570,000, and the 327sqm unit at 14A sold for $672,000.

2/297 Ingles Street, Port Melbourne
Risk management solutions firm SureFact Australia leased the 560sqm office and warehouse with 8 parking spaces for 4+2 years at between $160 and $176/sqm.

15 Terra Cotta Drive, Blackburn
South Australian company Golden Renewable Energy signed a 3-year lease for the 858sqm office and warehouse at $104/sqm net.

000 Development 05

1-9 Gertrude Street, Fitzroy
A developer paid $9 million for the 899sqm site. Zoned Commercial 1, the triple-fronted property has a 1,147sqm office building and three street frontages.

1 Brighton Road, St Kilda
Formerly the site of the Greyhound Hotel, the triple-fronted 911sqm corner property sold for $6.55 million with an existing permit for a 7-level mixed-use building with 37 apartments and 3 retail spaces.

53-55 Vale Street, St Kilda
Zoned General Residential, the 692sqm corner site sold for $3,402,500. It currently has a 2-level 485sqm office building and 5 on-site parking spaces.

000 Talking Points 05

Confidence in City Fringe Commercial Boom
Developer Goldfields Group has added to its inner-city office pipeline, acquiring a Matt Blatt Furniture showroom site in Cremorne for around $19.2 million.

The 587-593 Church Street property has 2.5 years remaining on its lease with 3+3-year options. Goldfields is considering a mixed-use development with a 5-star hotel that would service the booming office market centred around Richmond, Cremorne and Burnley that is home to a growing number of major companies such as Disney, Uber, Tesla, REA Group and 7-Eleven, and numerous tech start-ups.

Goldfields is currently developing a $300 million, 24-level office tower at 627 Chapel Street, next to the Capitol Grand complex in South Yarra.

Bayley Stuart has just bought a 7-level office building at 1-11 Gordon St in Cremorne off-the-plan for $50 million from CostaFox without a pre-commitment.

Last year, the investment firm made a similar purchase, buying a $50 million tower from Icon at 600 Church Street and recently secured online property portal Domain as an anchor tenant

Scape Buys Serviced Apartments In CBD’s Tallest Residential Tower
Australia’s largest student accommodation provider, Scape, has acquired the serviced apartments in the Aurora Melbourne Central tower for $125 million from UEM Sunrise.

Reflecting the evolution of Melbourne’s sizeable international student population, Scape plans to utilise the 252 units as serviced apartments aimed at students and graduates, as well as travellers and professionals.

The units are within the soon-to-be-completed $800 million, 88-level tower at 224-252 La Trobe Street, in the northern end of the CBD which will also have 959 apartments.


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.