Weekly Wrap

Fitzroys Weekly Wrap - 2nd October 2020

Posted on 02nd October 2020

000 Retail 05

169 Camberwell Road, Hawthorn East
A developer bought the vacant 455sqm triple-fronted site in the Camberwell Junction precinct for $3.5 million, at a land rate of $7,700/sqm. Zoned Commercial 1, it has a combined 64m frontage and will be used for a commercial project.

120 Cotham Road, Kew
A compounding chemist signed a 5-year lease over the 75sqm shop at $31,000pa net, and will work with the pharmacy next door. The property was bought vacant earlier this year for $730,000.

243 Glenferrie Road, Malvern
Pasta bar and restaurant Etto is moving across the road, leasing the 186sqm corner building formerly home to Nando’s for 5 years with an option at $87,400pa plus outgoings and GST.

472 Toorak Road, Toorak
Hospitality identity Denis Hagger leased the 60sqm ground floor space with a commercial kitchen for a new French-style rotisserie, on a 3-year lease with options at $45,000pa. Hagger’s other ventures include 25 Toorak Road and Maison Maldon Gourmet Retreat

Shop 8, 167-179 Shaws Road, Werribee
Blue Hippo Laundry leased the 112sqm space within Werribee Village Shopping Centre for 10 years, at $40,000pa.

000 Offices 05

93A Heatherdale Road, Ringwood
A China-based investor bought the under-construction VicRoads customer service centre in Ringwood for $9.3 million, at a 5% yield. VicRoads will have a 12-year initial lease returning $469,850pa net over the strata-titled property, part of Sector Property Group’s Base Ringwood development.

43-57 Blazey Street, Richmond
Two strata suites within the MAB development sold to separate owner occupiers for a combined $1,211,500.

1228 Nepean Highway, Cheltenham
The Federal Government signed a 5-year lease over the 250sqm suite at $89,717pa gross.

000Industrial 05

3/132 Keys Road, Cheltenham
The 357sqm office and warehouse with 6 parking spaces sold for $1.385 million at a 5.1% yield. National security services firm Epsilon Security has a 5+5-year lease that brings $70,922pa net.

21 Howleys Road, Notting Hill
An owner occupier bought the 270sqm building for $800,000.

3/1 Bungaleen Court, Dandenong South
Brothers who run a plumbing and electrical business paid $435,000 for the 276sqm warehouse, which has a short-term tenancy returning $3,000pcm. The vendor had bought 2 brand new facilities in Keysborough.

Unit 4, 170-180 Rooks Road, Nunawading
Sheepskin products importer and distributor, Australian Natural Living leased the 2,309sqm building at $265,000pa on a 4+4-year term.

76 Carroll Road, Oakleigh South
Water infrastructure provider Civilcast leased the 1,300sqm warehouse and yard, owned by Pellicano, at $150,000pa gross.

134 & 136-138 Gaffney Street, Coburg North
Multinational company Clutch Industry signed a 5-year lease with options for the 1,170sqm office and warehouse at $120,000pa.

152b Gaffney Street, Coburg North
Metal manufacturers AWM Electrical signed a 5-year lease at $57,500pa for the 549sqm office and warehouse, on an 881sqm site with 6 parking spaces.

000 Development 05

25 Smith Street, Fitzroy
A residential developer bought the 844sqm corner site, home to Aesop’s headquarters, for around $8 million. Aesop will move into Grocon’s new Northumberland office building on Wellington Street when its lease expires in July next year.

84-88 Whittens Lane, Doncaster
The 2,272sqm site sold to a Hong Kong developer for $4.367 million. It sold with a permit for a 16-townhouse project that had already commenced, with the basement completed and building surveyor approved.

51-61 Station Street, Baxter
The Mornington Peninsula Shire sold the 4,041sqm site, zoned General Residential 1, to a local developer for $1.2 million.

000 Talking Points 05

New Lease of Life for Lygon Landmark
One of Lygon Street’s most recognisable landmarks, the magnificent Commercial Bank of Australia building, has been given a new lease of life as the heart of the famous strip undergoes a generational change.

National liquor store Vintage Cellars has transformed the ground floor of the National Trust-listed building at 259-261 Lygon Street, Carlton, into a flagship standalone retail site.

Fitzroys Associate Director, Chris James negotiated the 6-year lease with options at $130,000 per annum.

Most recently home to the Commonwealth Bank, the 2-storey building was constructed in 1873 in a Renaissance Revival style designed by renowned architect Lloyd Tayler.

The flagship features Vintage Cellars’ newest store design, and the former “strong-room”, or safe, has been thoughtfully transformed into “The Vault”, featuring prestige wines and whiskeys.

The distinctive arched windows previously blacked out for CBA’s ATMs have been reinstated with clear glazing.

“This revitalisation across the building’s wide 12.5m frontage has instantly activated this prime section of Lygon Street,” James said.

He said Vintage Cellars demonstrated their faith in one of Melbourne’s most famous locations by signing a long-term lease.

“The current COVID environment was not a deterrent. Discussions for this property have been ongoing for some time and the lease was finalised during the current Stage 4 lockdown,” James said.

“Operators are anticipating the return of inner-city activity. Lygon Street is a popular lifestyle destination for Melbourne’s densely-population inner-north, which will be given a further boost over time with the return of visitors from across Melbourne, tourists, and the local and international students that attend Melbourne University and RMIT nearby.”

Considered an essential service, Vintage Cellars has been able to trade throughout the COVID period since opening.

Late last year, James leased the next door property at 263 Lygon Street to modern Asian eatery Lagoon Dining, headed by former Ezard and Longsong chefs and which has continued trading to much acclaim throughout the lockdown period.

“Together, these leases have maintained a focal point of activity in the prime of Lygon Street.

“A new generation of bar, restaurant and food and beverage operators has brought a fresh twist to Lygon Street and Carlton, and demand for more distinct offerings has enhanced its unique character.”

Other recent entrants to the precinct include the re-opened King & Godfree building, Israeli-influenced vegetarian pub Green Man’s Arms, wine bar Lord Lygon, Hakata Gensuke, Leonardo’s Pizza Palace and Tooborac Pies & Beer, all of which are still operating in the COVID environment.


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 2020 Fitzroys.