A high-profile High Street, Armadale property has sold well above reserve in another demonstration of the strong demand for assets in blue-chip locations throughout Melbourne’s best shopping strips.
Fitzroys’ Chris Kombi and Chris James negotiated the sale of 1147-1151 High Street for $6.15 million, at a very sharp 2.7% yield and high land rate of $14,500 per sqm.
A developer acquired the commanding 425sqm site in the heart of the popular strip. Zoned Commercial 1, it offers an expansive retail frontage of almost 14 metres and is occupied by longstanding tenant Armadale Antique Centre.
“The property sold well above reserve after we received 14 registered Expressions of Interest within the selling range from local and interstate investors, land-bankers, developers and owner-occupiers,” Kombi said.
“Buyers across all profiles recognised the rare opportunity this site presented to buy in the heart of High Street, Armadale.”
He said highly accessible sites near quality retail, hospitality and lifestyle amenity continue to be heavily favoured by developers, particularly during a period of more flexible working arrangements.
“High-end boutiques, discretionary retailers and specialist food purveyors have been attracted to the High Street’s affluent and established catchment, and new developments are serving to further activate the strip, attracting commercial and retail tenants, as well as downsizers wanting to stay in the locale,” Kombi said.
The strip has seen famed Sydney butcher Victor Churchill make its long-awaited Melbourne debut within the Alara development in the circa-1910 State Savings Bank building, which will introduce 19 high-end apartments in the immediate vicinity.
Further developments such as Chronicle, The Carlile, and at 969-975 High Street will also be built on High Street itself.
According to Fitzroys’ Walk the Strip report, High Street, Armadale retained single-digit retail vacancies in 2021.
“High Street, Armadale is widely recognised as one of Melbourne’s most successful retail strips, boasting some of Melbourne’s best shopping boutiques, a growing specialist food offering and quality cafés, wine bars and restaurants, and located within one of the city’s most prized catchments,” James said.
“High Street’s quality mix of local and national traders, cafés and restaurants has throughout the COVID period attracted visitors looking to break up the working day and have a coffee or something to eat, catch-up with friends, or go shopping.”
“The area’s popularity with families, students and professionals has seen demand significantly increase for more commercial and retail space and high-density housing, prompting investment from local council and developers trying to keep up with the demand.”
The strip benefits further from its highly accessible location via public transport and major roads, and the site is directly in front of a tram stop and close to Armadale train station.