Special Interest Buyer Wins Out From Developers To Secure Prized St Kilda Road Site

Posted on 20th February 2024

A special interest buyer has won out from developers to secure a prized 1,300sqm St Kilda Road site in an off-market transaction negotiated by Fitzroys.

Mark Talbot and Tom Fisher of Fitzroys acted on behalf of a Melbourne-based family.

Public records show the site transacted for a large sum of $7,150,000.

The site was previously occupied by Tradelink Plumbing Supplies, and is expected to make way for a new flagship showroom and offices, Talbot said.

The occupier will imminently make a planning application to Port Phillip Council for the site.

Talbot said the purchaser came in over the top of a number of developers in the off-market process. The site has previously had a permit for a premium six-storey mixed-use development with 44 apartments.

“This was a strategic off-market process in which we canvassed developers as well as special interest buyers, creating a very competitive campaign that ended with a strong result for the vendor in what has been an otherwise relatively subdued market over the past 18 months.”

The sale price reflected a strong land rate of $5,218 per sqm for the Commercial-zoned land.

“Rising construction costs and increasing holding costs such as financing and land tax were making conditions increasingly challenging for developers and our off-market targeting needed to reflect this,” Talbot said.

“The purchaser’s new offices will have excellent exposure to a large number of people every day, and will offer an easily accessible and prominent flagship store location.”