Weekly Wrap

Fitzroys Weekly Wrap - 12th March 2021

Posted on 12th March 2021

000 Retail 05

400 Glen Huntly Road, Elsternwick
Offered for the first time in 52 years, the vacant 2-level building with ground floor retail and a 3-bedroom residence above sold for $1.95 million. It is on a 277sqm site zoned Commercial 1.

172 High Street, Wodonga

A local investor paid $1.74 million for the 531sqm partially-leased building, which is on a 942sqm site with a 12m street frontage. The Commonwealth of Australia occupies Suite 1, returning $74,724pa net. Potential fully-leased income is $185,000pa.

1/34-42 Rooks Road, Nunawading

A local investor bought the 560sqm car sales showroom for $1.51 million, at a 4.9% yield.
It has a 5+5+5-year lease to Nunawading Car Sales returning $74,263pa net.

2/521 Hampton Street, Hampton

The 87sqm building sold for $820,000 on a yield of 4.63%, with a new 3-year lease to Philips Sleep Services returning $38,000pa plus outgoings and GST.

Shop 1, 215 Mont Albert Road, Surrey Hills

The home of Red Brick Café sold to a local private investor for $775,000 at a 3.6% yield. The 75sqm building is on a 103sqm site, and returns $27,686pa plus outgoings and GST.

40 Hall Street, Moonee Ponds

Tattoo removalists Removery leased the 145sqm space within Caydon Property Group’s Mason SQ development at around $370/sqm net. Removery operates in Australia, the US and Canada.

000 Offices 05

50 Market Street, Melbourne
Alcaston Gallery acquired another office within the strata building opposite Cbus Property’s Collins Arch project. It paid $820,000 for the 86sqm office, which has a short-term lease running until July. The gallery bought a 90sqm office for $850,000 as a new base for its staff late last year. It is vacating its current gallery space at 11 Brunswick Street, Fitzroy and will open a new gallery in the coming months.

Suite 110, 9-11 Claremont Street, South Yarra
An owner occupier bought the creative office suite for $630,000.

000Industrial 05

44 Metrolink Circuit, Campbellfield
An owner occupier bought the brand new 1,212sqm office and warehouse for $2.075 million.

14/35 Dunlop Road, Mulgrave

V5 Units Pty Ltd bought the vacant 500sqm showroom, warehouse and office unit with 8 on-site parking spaces for $1.25 million.

6/41-49 Norcal Road, Nunawading

Zstar Cleaning Pty Ltd bought the 350sqm unit with 5 on-site parking space for $935,000.

Unit 18, 46 Graingers Road, West Footscray

The 172sqm office and warehouse within the Citywest Business Park sold for $538,000. It includes 3 on-site parking spaces.

45-49 McNaughton Road, Clayton South

BWX, the manufacturer behind natural beauty brand Sukin, signed a 10-year pre-commitment for a purpose-built 18,000sqm office and warehouse within ESR’s Clayton Business Hub. The industrial estate is being developed on a 6.4ha site and will have 39,000sqm of total net lettable area.

935 Taylors Road, Dandenong South

Funtastic Group signed a 1.5-year lease over a 5,582sqm warehouse for a new distribution centre, at circa $90/sqm.

000 Development 05

235 Napier Street, Fitzroy
The 396sqm corner site sold for $4.56 million with short-term income. Zoned Mixed Use, it has a combined 43m frontage to Napier and David Streets plus rear lane access, and currently has a 320sqm office and warehouse building.

000 Specialised 05

341C Forsyth Road, Truganina
An investor bought the 356sqm medical centre building for $3.57 million, at a 5.84% yield. Built in 2019, it is on a 545sqm site within a new commercial complex and is leased to LiveWell Medical on a 20-year deal until to 2039, plus options, and returning $208,535pa net plus GST.

Suite 2, 33 Malmsbury Street, Hawthorn
A psychologist leased the 98sqm space with 3 on-site parking spaces for a 5+5-year term at $33,500pa plus GST.

000 Talking Points 05

Swiss Fund Manager Buys Swinburne Uni’s CBD Building
Swiss fund manager Fidinam has acquired the century-old CBD office building known as Invicta House from Swinburne University for $40 million as a value-add play.

The vacant 226-232 Flinders Lane property is close the corner of Swanston Street and the future Town Hall station that will form part of the Melbourne Metro Tunnel project.

Swinburne, which has its main campus in Hawthorn, planned to convert the building into a vertical campus when it acquired the property 2 years ago.

Fidinam made the purchase on behalf of ST Australia Real Estate. It also bought the 12-storey Art Deco 22 William Street building in the CBD 18 months ago for $52 million, also with scope to value-add.

Invicta House had been owned by the Lazarovits family since 1998 until Swinburne’s purchase, and was occupied by Melbourne East Police Station and Greenhouse Backpackers, part of the Lazarovits’ Friendly Backpackers business.

The 6,482sqm building is on a 741sqm site opposite the Nicholas Building and on the corner of Monaghan Place. It is also next door to the circa-1911 former rag-trade building Manchester House.

A number of CBD buildings have changed hands recently as the city has reopened. The Bank of China divested 266-270 Queen Street for around $15 million to Regis Capital Partners, whose local branch is linked with the owners of the 280 Queen Street sale next door. The purchase expanded their landholding on the corner of Queen and Little Lonsdale streets to 1,745sqm.

The 3,267sqm, 9-storey building home to the head offices of Chinese e-commerce giant Alibaba at 411 Collins Street sold for more than $40 million, and residential developer Burbank divested the historic 5-level building at 100 Franklin Street, which had been its headquarters for nearly 20 years, to developer Landream for almost $30 million. Burbank had obtained approval for 22-storey tower with 84 dwellings and almost 4,000sqm of commercial space on the site.

Stockland Adds Tarneit Site to Development Pipeline
Diversified developer Stockland has bought a 38ha site in Melbourne’s booming western corridor to build 493 new homes.

The parcel is an undeveloped portion of the Grand Central master planned community being built by Chinese company New Sky Group.

Grand Central is located within the Victorian Planning Authority’s Riverdale Precinct Structure Plan and will be eventually be serviced by the Riverdale train station, a town centre and a regional indoor recreation facility.

Developer Villawood bought 125ha of land in the suburb in August from Central Equity for $180 million, including a 77ha site that has recently been launched as a new 2,000-lot community.

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 2021 Fitzroys.