Five bidders have battled it out to deliver another exceptional sales result on Toorak Road, which continues to attract huge interest from investors.

In a truly generational offering, Fitzroys’ Lewis Waddell and Ben Liu sold 156 Toorak Road, South Yarra on behalf of a family that had held the property for more than 50 years.

A local investor with long-term hold intentions emerged victorious from the fiercely contested auction.

The strong sale price of $2.55 million reflected a sharp yield of 4.1% and high land rate of $18,000/sqm.

“Our campaign generated 104 enquiries from national and international investors attracted the booming Toorak Road, South Yarra location,” Waddell said.

“There’s so much hype about the precinct around South Yarra station. It’s the busiest station outside of the Melbourne CBD and creates so much activity.

“It’s also next to the high-density Forrest Hill precinct that has brought thousands of residents to the area and added to the worker population, boosting activity, and underpinning excellent trade prospects and security of rent income.”

Also very close by are the recently-completed Claremont Hotel mixed-use development and the upcoming overhaul of South Yarra Square, further guaranteeing higher activity levels.

Liu, Head of Asian Services at Fitzroys, said, “Blue-chip locations with surrounding development such as Toorak Road, South Yarra continue to perform well, attracting huge interest from investors and achieving tight sale yields.

“In this campaign we received particularly strong interest from local and overseas Asian investors.

“Asian capital is really actively seeking assets in blue-chip locations, and notably those leased to quality hospitality tenants.

“This cohort of the market is adding considerable depth to the interest and competitive tension in our campaigns.”

The location’s high accessibility has also proven a drawcard in recent campaigns, with South Yarra station providing train services to and from the CBD and throughout Melbourne, as well as the Route 58 tram along Toorak Road, and trams running along nearby Chapel Street.

According to Fitzroys’ latest edition of the Walk the Strip report, Toorak Road, South Yarra vacancies improved over the past year from 6.3% to 5.7%, well below the Melbourne-wide average.

Fitzroys has sold a number of properties across the length of Toorak Road recently, dominating the market in this investment hotspot.

Those sales include 6/300 Toorak Road, South Yarra, leased to medical operator MyClinic and which sold on a sharp yield for a strata-titled property of 5.5% and high building rate of $12,500/sqm; and record-breaking $4.55 million sale of 456-460 Toorak Road, Toorak, which reflected net yield of just 1.5%.

They also include of 416 Toorak Road, Toorak for a bumper price of $2.7 million, on a land rate of $13,500/sqm and sharp indicative yield of 2.5%, as well as the strata-titled 525 Toorak Road, Toorak for $1.070 million, on a very high building rate of around $15,000/sqm.