Weekly Wrap

Fitzroys Weekly Wrap - 23rd October 2020

Posted on 23rd October 2020

8 Railway Parade, Highett
The 182sqm building on a 347sqm site, home to the office and showroom of Hallmarc Development Group, sold for around $1.416 million, at a 4.8% yield. Hallmarc’s lease returns $68,000pa net.

107 Church Street, Brighton
A high-end green grocer leased the 186sqm shop at $110,000pa in a 7 7-year deal.

789 Burke Road, Camberwell
Local business Stephens & Miller Jewellery leased the ground floor 110sqm space, next to the entrance of the Camberwell Place Shopping Centre, at around $1,000/sqm.

345-347A Riversdale Road, Hawthorn East
An owner occupier bought the adjoining vacant properties on a combined 878sqm corner site for $4.45 million. The vendor was Nasser Mashni’s Jenin Developments, which acquired the respective properties in 2009 and then in 2017, and had run Yarra Consulting Group from the premises.

Units 9 & 10, 23 Gipps Street, Collingwood
The ground floor offices totalling 240sqm sold together for $1.05 million, with a lease returning $82,800 net plus outgoings and GST.

26-28 Prospect Street, Box Hill
Trans-Tasman timber business OneFortyOne signed a 5-year lease for the 265sqm office at $350/sqm net plus 17 parking spaces. Landlord Vantage Properties is fitting out premises out for the new tenant.

90 Foundation Road, Truganina
Zoned Industrial 2, the 2,005sqm office and warehouse, on a 9,600sqm site within the Drystone Industrial Estate, sold for $5.15 million. The rear portion of the site has subdivision potential.

34 Sarah Street, Campbellfield
A private purchaser paid $640,000 for the 1,727sqm site with initial plans for use as storage before redeveloping into an office and warehouse in the future.

2/80 Fairbank Road, Clayton South
Lexi Lighting signed a 2-year over the showroom and warehouse at $203,000pa, at a building rate of $74/sqm.

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

690-716 Greigs Road, Thornhill Park
Zoned Urban Growth and located within the future Rockbank South Precinct Structure Plan, the 12.14ha site sold for $11 million to a local developer.

48 Edgar Street, Glen Iris
The 1,007sqm site sold for $2.9 million with a permit for 11 apartments.

Inner-East Proves Commercial Real Estate Credentials
Melbourne’s inner-east continues to attract commercial property activity throughout the COVID period, with $9.5 million worth of freeholds selling along Camberwell Road in a matter of weeks.

In the latest deal, Chris Kombi and Chris James of Fitzroys sold a former restaurant premises close to the Camberwell Junction for $3.5 million to a local developer, during the Stage 4 lockdown period.

Zoned Commercial 1, the vacant 455sqm property at 169 Camberwell Road, Hawthorn East was offered with a fitted 430sqm restaurant building, and also offered potential to subdivide the building into 2 tenancies with a separate second entrance from Stanley Place.

The deal followed Fitzroys’ Paul Burns sale of the new Melbourne office headquarters of Epson Australia at 90 Camberwell Road for $6 million, at a tight 4.65% yield.

Kombi said 169 Camberwell Road’s 3 street frontages, quality existing improvements and location in the popular Camberwell Junction precinct led to enquiry from a broad range of buyer types, including investors, owner occupiers and developers.

Kombi said the purchaser is assessing options for a commercial development.

“COVID-19 has placed a higher premium on excellent local amenity from residents, businesses and employees, the Burke Road retail and lifestyle strip and Camberwell Junction precinct is the shopping and lifestyle heartbeat of Melbourne’s inner-east.”

“Accessibility and lifestyle amenity have become key drivers for owner occupiers and businesses looking for new locations, and there has been greater enquiry and activity within the CBD fringe and inner-suburban markets such Boroondara in recent months.”

The property is next door to Dan Murphy’s and close to a number of established eateries. At the rear is a large public car park with activation to Camberwell Place, which incorporates Coles Supermarket, JB Hi-Fi, Dymocks, Liquorland, Goodlife Health Club together with various specialty shops. The iconic Rivoli Cinemas is located opposite.

James said the property is strategically situated within the Camberwell Road growth corridor.

“The local lifestyle offering has attracted numerous medium and high-density commercial and residential projects that are soon to be completed, which in turn is adding to the strong immediate catchment and boosting retail and hospitality trade.”

Major projects close by include the $175 million mixed-use, dual tower Camberwell Village, and Chinese development giant Dahua Group’s Hawthorn Park.

“The inner-east has further enhanced status as one of Melbourne’s most highly-regarded locations for investors, developers and owner occupiers,” James said.

Box Hill Medical Centres Sell
Box Hill continues to attract development site sales. Local developer Jason Tenghui Zhang has now paid $18.3 million for 2 adjoining medical centres opposite Box Hill Hospital, at 21-23 and 25 Arnold Street.

He paid $9.5 million for 21-23 Arnold Street in the middle of the year, which had been owned by 16 doctors and medical professionals since 2004, and has now added the 25 Arnold Street site for $8.8 million. They cover a 2,883sqm combined site.


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.