Weekly Wrap

Fitzroys Weekly Wrap - 28th July 2023

Posted on 28th July 2023

188 Bay Street, Port Melbourne
The 2-level 803sqm building on a 659sqm site sold for $6.4 million, on a 4.4% yield. It is leased to Telstra, Core Plus, and Mary Martin Bookshop and returns $286,328pa.

83 McKinnon Road, McKinnon

The 185sqm property sold for $1.65 million with a new 10-year lease to café Willim, operated by Julien Moussi’s Only Hospitality Group, that returns $90,000pa.

33 Sydney Road, Coburg

The vacant 2-storey 128sqm shop and dwelling sold for $940,000.

23 McKeon Road, Mitcham

Zoned Commercial 1, the 168sqm corner site with 35m of frontage and occupied by a milk bar sold for $745,000.

187 Ferrars Street, Southbank
The 3-level 375sqm office building on a 160sqm site sold for $2.56 million.

2/293 Bay Street, Brighton

The 56sqm office with 1 car park sold for $520,000. It has a lease returning $24,000pa plus outgoings.

104/46 Graingers Road, West Footscray

The 68sqm suite with 3 partitioned offices, and 2 car parks, sold for $415,000.

97 Triholm Avenue, Laverton
An owner-occupier of 30 years sold the 1,030sqm Industrial 3-zoned site with a 230sqm warehouse to a developer for $960,000.

2/20 Sussex Court, Sunbury

The 536sqm retail, office and warehouse property, which has been home to café Stringers Saba Bespoke Coffee, sold for $720,000.

77-81 Mark Street, North Melbourne

The 2,481sqm warehouse was leased to a local business looking to expand its operations for $350,000pa gross.

8 Duke Street, Abbotsford

A Persian rug retailer with a retail outlet nearby leased the 330sqm clear-span single-level building with 2 on-site car parks for 3 years, at $57,000pa.

874 Whitehorse Road, Box Hill
The 662sqm site adjoining Box Hill Central shopping centre sold for $8.6 million. Zoned Commercial 1, it has approval for a 28-level, 230-room hotel.

118 Mount Dandenong Road, Ringwood East
The 885sqm site with a medical clinic building sold for $1.03 million.

Once-In-A-Lifetime Opportunity East Melbourne Blank Canvas
A once-in-a-lifetime opportunity to acquire a true blank canvas in highly coveted East Melbourne is hitting the market.

Fitzroys’ Chris James, David Bourke and Ben Liu are managing the Expressions of Interest campaign for 179-183 Hotham Street on behalf of a private family that has held the site for half a century.

Located near the corner of Hotham and Clarendon Streets, the exceptionally rare 1,012sqm site is currently vacant and cleared site which is zoned General Residential. The site is well-configured and features rear access via George Street.

“This is a pure blank canvas, a truly once-in-a-lifetime opportunity for a developer or individual to build a landmark residence or residences in East Melbourne, on the edge of the CBD,” James said.

“It’s near-impossible to find vacant land in East Melbourne - most properties are encumbered with heritage buildings.

“This is one of the larger landholdings in East Melbourne, and for it to be presented as a blank canvas makes this a genuinely unique offering.”

Bourke said, “East Melbourne is incredibly tightly held. We’re expecting interest to predominantly come from developers and potential occupiers seeking to embrace the inner-city lifestyle and amenity of the location”.

“This site is moments from the Fitzroy Gardens, a short distance from the MCG and Melbourne’s world-renowned sports and events precinct, and at the doorstep of the CBD with its world-class bars, restaurants, cafés and entertainment offerings.”

Bourke said the attraction of East Melbourne had been demonstrated in recent times with the popularity of projects undertaken by Salta, Mirvac and Orchard Piper, all of which have been well received.

Liu said, “East Melbourne is a remarkable suburb, having retained its character and exclusivity, featuring historic homes and grand Victorian residences, Art Deco buildings, wide streets, and green spaces.

“It also offers plenty of transport options to the CBD and the suburbs, including multiple tram routes along Wellington Parade and Victoria Parade, and Jolimont train station.”

Expressions of Interest close Wednesday, 30 August.

Red Cross HQ Set For Build-to-Rent US company Sentinel Real Estate has bought the Australian Red Cross headquarters site in North Melbourne for around $65 million, with plans to develop a 350-apartment build-to-rent project.

The $300 million project, on the 6,526sqm site near Melbourne’s biomedical and education precinct, will be delivered as part of a $1.5 billion build-to-rent fund backed by Dutch pension fund manager PGGM.

Melbourne is home to the bulk of Australia’s existing build-to-rent units and of the country’s development pipeline. Among the latest projects to be announced include a build-to-rent component within the $1.7 billion Gurrowa Place precinct next to the Queen Victoria Market, to be developed by Lendlease in partnership with the City of Melbourne, while Lendlease has also just partnered with Japanese group Daiwa House for a $650 million, 797-apartment tower at 646-666 Flinders Street, within its mixed-use Melbourne Quarter precinct.

It also lodged plans in May for a Docklands tower with 500 apartments at 907-913 Collins Street, as part of its Collins Wharf development.

Also in Docklands, investment and advisory group AsheMorgan has just lodged an application to build more than 900 build-to-rent apartments as part of a $700 million development at 24 Little Docklands Drive, adjacent to the Costco supermarket and AsheMorgan’s existing mixed-use precinct The District Docklands.

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 2023 Fitzroys.