SALES
Mount Waverley
A Chinese investor has bid on a shop sight unseen purely because of position and potential and bought it on a 4 per cent yield for $2.065 million. 10 Hamilton Place sold solely on the basis of its location and not on income, Stephen Gorman, of Gorman Commercial, said.
Prahran
A group of three shops on the corner at 693-699 High Street sold for the first time in 25 years for $7.55 million. GormanKelly's Robert Kelly said the result was 30 per cent above the reserve and reflected a low 3.9 per cent yield and a strong $7300 per square metre land rate. The three shops returned $296,000 annually and included a prominent corner 7-Eleven store.
South Yarra
A prime corner property at 383-387 Chapel Street sold under the hammer for $6.765 million, a massive $1.5 million above the reserve in a campaign handled by Fitzroys' Chris Kombi and Rob Harrington. The strong sale of the large, triple-fronted former Westpac branch building close to Aldi with three street frontages was sold with vacant possession.
Brighton
Knight Frank's Ken Smirk negotiated the off-market sale of a two-level office building at 40 The Esplanade for $5.2 million. Leased to long-time tenant Club Marine (part of Allianz Insurance Group), the property returned net income of $320,000 per annum, reflecting a yield of 6.15 per cent. Bonning Property acted for the buyer.
Lynbrook
West Australia-based MAIR Property Funds is fuelling its hunt for Victorian assets, acquiring its second property this year – an office/showroom and warehouse at 42 Northey Road it bought for $6 million. Savills Australia's Chris Jones and Ben Hegerty said the property sold on an 8.2 per cent yield with 10-year leases to Austral Bricks and One Steel returning a combined $491,876 per annum net, with options to extend to 2023.
Coolaroo
A recently developed 7-Eleven convenience retail store with fuel outlet at 1350 Pascoe Vale Road in Melbourne's strongly growing north sold by expressions of interest for $5.35 million. Gray Johnson's Matt Hoath said the lease was with parent 7-Eleven Australia corporate group paying annual rent of $274,407 net plus outgoings excluding land tax with fixed annual 3.5 per cent increases.
Fairfield
Northern suburbs property prices are going mobile. An office, showroom and warehouse fell under the hammer for $430,000 above reserve at 40-42 Montefiore Street. Fitzroys' Dean Alexander and David Bourke said it was on the market at $1.6 million and sold for $2.03 million with a three-year lease to wheelchair manufacturer Mobility Plus, returning $136,485 per annum plus outgoings.
Hawthorn
A small 70-square-metre strata shop has sold on a sharp 4.5 per cent yield. The property, part of the boutique strata development on the corner of Glenferrie and Burwood Roads at 636A Glenferrie Road, went for $1.336 million. Fierce bidding from seven buyers saw the property sell well in excess of reserve and represents a rate of almost $20,000 per square metre, according to selling agents Gorman Commercial. The group also sold a stand-alone retail office at 1358 Malvern Road in Malvern at auction for $1.25 million.
Braeside
A speculatively built industrial unit development has sold out in quick time mainly to owner-occupiers. The six units developed by Ballantyne Builders at 20 Canterbury Road all sold before completion for a combined $1.84 million and at an average of $2200 a square metre, Savills Australia's Chris Telley said.
Dandenong
A developer has splashed out $1.82 million for a large 5443-square-metre block of land in the Logis Estate in a deal negotiated by Angus Clark and Al Armstrong, of Cameron Industrial. The land came with permits for a 3000-square-metre high-end warehouse and office.
Armadale
It looks antique and fragile but 781 High Street fetched a strong price. The quaint 247-square-metre store formerly used as an antique shop sold with vacant possession in front of a 20-plus crowd for $1.35 million, Gross Waddell's Tamara Gross said.
Collingwood
Collingwood is emerging as one of Melbourne's most in-demand development areas with an industrial site selling for $3.3 million, a land rate of $3919 per square metre. CBRE's Mark Wizel, Julian White, Jamus Campbell and Lewis Tong marketed the 842-square-metre warehouse at 18 Down Street as both a commercial development site and an industrial investment opportunity.
Hawthorn East
Two vendors who combined to put 5 and 7 Redfern Road on the market have sold their properties immediately after auction to a developer for $1.77 million who intends to develop the site into a boutique residential apartment, Ian Angelico and Jarrod Moran, of CVA Property Consultants said.
Wantirna South
A private investor has bought a 284-square-metre office showroom at 400 Burwood Highway for $1.625 million. The property has an income of $108,700 with a secure five-year lease, Knight Frank's James Treloar and Tim Grant said.
LEASES
South Yarra
A corner shop formerly leased to fashion outlet Politix has been taken over by government education agency Polytechnic. CBRE's Zelman Ainsworth and Samantha Hunt said the 152-square-metre space was leased at $200,000 per year.
CBD
The Melbourne branch of residential real estate agency IronFish is expanding with the addition of a new office at 326 William Street. It has taken a five-year lease over 503 square metres on undisclosed rent at Level 1, 326 William Street, Colliers International's Nick Serafini said. Meanwhile, Cam Taranto and Ben Tremellen have leased a shop at 190 Queen Street for $330,000 per annum on a 10-year lease to City Convenience. The agency's Stephen Ryan and Ashley McIntyre helped Oz Design Furniture take a new premises in Truganina for warehousing and distribution on a three-year lease at $75 per square metre for 1216 square metres of space. In another deal Mike Crittenden has leased Tenancy 2 at 150 Clarendon Street in East Melbourne on a seven-year term.
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