The Puckle Street Collection

Posted on 26th April 2023

Investors and landbankers have a generational opportunity to buy into one of Melbourne’s best-performing shopping strips.

Fitzroys’ Ervin Niyaz and Chris Kombi, in conjunction with CBRE’s Alex Brierley and Nathan Mufale are marketing the three side-by-side freeholds at 42, 44 and 46 Puckle Street individually or in one line, on behalf of two private owners.

The Expressions of Interest campaign closes Thursday, 4 May at 3pm.

The three shops are all leased to experienced operators:

42 Puckle Street - 5-year lease to Smile Thai from 18th October 2019, returning $73,116 per annum

44 Puckle Street - 4+3+3-year lease to State of Grace Collective from 5th May 2021, $74,163 per annum

46 Puckle Street - 3+5-year lease to Body Catalyst from 1st May 2021, $53,045 per annum

The properties are on a substantial combined land area of 547sqm with over 15 metres of frontage to Puckle Street, offering great development upside, with surrounding projects of nine-plus levels, including the landmark Penny Lane development across the road comprising apartments, Palace Cinemas, Guzman y Gomez and more.

“We’re expecting investors and landbankers to compete for this property,” Kombi said.

“Puckle Street, Moonee Ponds has become one of the best performers among Melbourne’s famous shopping strips. Investors will be attracted to the excellent trading prospects and future rental growth potential due to the ongoing completion of new projects in the surrounds.”

According to Fitzroys' new Walk the Strip report, vacancies on Puckle Street, Moonee Ponds came down from 4.6% to 3.2% in 2022, among the lowest of Melbourne’s iconic shopping strips. The precinct also includes Moonee Ponds Central shopping centre, a Woolworths supermarket, and a number of local and national eateries and service retailers.

ìIt’s also a chance to invest in what is quickly becoming the lifestyle hub of Melbourne’s north-west with a proven track record for capital growth,” Kombi said.

“To have three adjoining investment opportunities in this tightly held, high-performing strip is remarkably rare.”

Niyaz said landbankers would take note of the generational development boom that is taking place in Moonee Ponds, which has seen the delivery of the Mason Square precinct and will be further supported by ongoing developments such as Penny Lane, and the future $2 billion residential and lifestyle overhaul of the Moonee Valley Racecourse nearby that will introduce 2,000 new dwellings as well as commercial space to the area.

“A huge number of Melburnians are looking to live in well-connected inner-suburban locations with high-quality and varied lifestyle and hospitality amenity, particularly at a time of flexible working arrangements. Moonee Ponds ticks all the boxes, with a high-performing shopping, hospitality and lifestyle precinct anchored by Puckle Street, and excellent public transport linkages by train, tram and bus,” Niyaz said.

“Landbankers can acquire a chunk of a high-performing Melbourne shopping strip and assess their options for the property while receiving a reliable cash flow.”