Weekly Wrap

Fitzroys Weekly Wrap - 20th April 2018

Posted on 20th April 2018


Retail sale, Shop 3, 240-246 Clyde Road, Berwick
The modern strata-titled property sold to a local investor under the hammer for $745,000, at a building rate of $9,300/sqm. It is leased to food and supplements operator Fit Burger on a new five-year deal.

Retail sale, 306 Toorak Road, South Yarra
Home to Zen Charcoal BBQ restaurant, the 280sqm site has a single-storey building and sold for $2.95 million at a 3.7% yield, with a new 5+5-year lease.

Retail sale, 81-83 Riversdale Road, Hawthorn
Facelab Skincare paid $902,500 for the 127sqm strata shell that had been repositioned from hospitality to medical centre use.

Retail sale, 408 Smith Street, Collingwood
The 161sqm Commercial 1-zoned site has a two-level 154sqm building with ground-floor retail space and a three-bedroom apartment above, and sold with vacant possession for $1.55 million.

Retail lease, 168 Exhibition Street, Melbourne
Starbucks has signed a seven-year lease for the 117sqm space at around $1,400/sqm gross.

Office lease, Level 1, 226 Swan Street
Reigning premiers the Richmond Football Club leased the 130sqm space on a 3+3-year deal at $35,000pa from a private landlord, for its expanding sports science training program.

Office sale, 87-91 Palmerston Crescent, South Melbourne
Ewert Leaf and Moda Corp sold the three-level 458sqm building on the 352sqm corner site for $3.9 million to a local investor, at a 5.33% yield. It is leased to a café on the ground floor on a 5x5-year deal, while the office space lease expires in October.

Office sale, 63 Walker Street, Dandenong
The three-level, 620sqm building is on a 260sqm site and sold for $1.695 million, at a yield of around 5.87% with a new 5+5-year lease to long-term tenant International Security Training Academy.

Land/development sale, 419-423 Nepean Highway, Frankston
The 872sqm corner site sold for $3.05 million, with its Commercial 1 zoning offering potential for a development of up to 38m in height. It traded with five shops offered in one line, with a passing income of $71,900pa and a fully leased income of $152,000pa. Sold at a land rate of $3,498/sqm.

Land/development sale, 2 Cole Street, Williamstown
Telstra sold the 886sqm triple-fronted site with future development potential to a Chinese buyer for $3.8 million, and will remain at the site until mid-2022 with a one-year option. Sold at a land rate of $4,290/sqm.

Industrial sale, 34-46 Evolution Drive, Dandenong
A private investor paid $8.45 million for the 7,036 sqm vacant office and warehouse facility.

Industrial sale, 2 Torteval Place, Clayton
The office and warehouse property of 1,305sqm sold at auction for $2.89 million at a 4.5% yield, with a 2x2-year lease.

Talking points

Clayton train station gives locals a lift: Clayton station started taking passengers this week for the first time since being rebuilt as part of the state government’s level crossing removal program in a bid to improve traffic flows.

The station is now elevated in the sky rail model used along several parts of the Cranbourne-Pakenham line, with Noble Park station the first to have re-opened in February following an overhaul. Carnegie, Murrumbeena and Hughesdale stations are currently under development.

The consecutive Frankston line stations at Ormond, McKinnon and Bentleigh were rebuilt below North, McKinnon and Centre Roads respectively as part of the program.

Developer doubles approval: Holder East has received approval for two major inner-city residential tower developments within a few days.

Planning Minister Richard Wynne has given the green light for its 48-level, 329-apartment glass tower at 56-62 Clarendon Street, behind the Melbourne Convention Centre. The developer updated liveability elements in its plans, incorporating larger rooms and more natural lighting.

The approval came just days after its $200 million project at 1-13 Cobden Street was approved, which will see a 231-apartment, 19-storey building constructed on the 2,001 sqm island site. The property is positioned next to Kings Way and just metres from Domain Interchange and Anzac station that is currently under construction as part of the Melbourne Metro project.

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.