127 Main Street, Mornington
An investor bought the 135sqm shop for $2.1 million, at a building rate of $15,555/sqm. National retailer Taking Shape has a brand-new 5-year lease returning $100,775 pa.
184 High Street, Ashburton
A local investor bought the 160sqm shop on a 180sqm site for $1,902,500, on a 3.2% net yield. It has a recently renewed lease to longstanding tenant AB Party & Gifts returning $66,000 pa plus outgoings and GST.
15 Stanley Street, Wodonga
The dual-tenanted 425sqm building on a 625sqm corner site sold for $2.15 million, on a 5.83% yield. It is occupied by Snap Print & Design on a 5-year lease plus options and a 3 3-year lease to GJ Gardner homes.
9/125 Henry Street, Pakenham
An investor bought the 140sqm corner building home to Bottlemart for $1.375 million, on a 4.28% yield. The liquor store has a new 10-year lease with options to 2042.
6/1 Hunt Way, Pakenham
The 97sqm shop leased to Pizza Hunt on a new 7-year lease with options to 2042 sold for $940,000, on a 4.44% yield.
795 Plenty Road, South Morang
Weber leased the 702sqm showroom within the Axis Homemaker Centre at $147,420 pa plus GST.
281 Glenferrie Road, Malvern
National flooring and carpets company Flooring Extra leased the 697sqm showroom on a corner site on a 5 5-year term at $90,000 pa net.
Shop 2, 367-369 Clayton Road, Clayton
Taste Canton restaurant signed a 5-year lease over the 176sqm shop at $128,000 pa plus outgoings and GST.
150 Sybella Avenue, Koo Wee Rup
The 4.06ha site sold for $5.75 million. It is leased to Ameropa Australia, part of Switzerland-based international agribusiness conglomerate Ameropa AG, until April 2029 returning $354,695 pa plus outgoings and GST.
231-33 Sullivan Street, Moorabbin
The 1,375sqm office and warehouse on a 1,881sqm site sold for $3,008,888.
301-303 Main Street, Mornington
A Melbourne developer bought the Commercial 1-zoned 1,346sqm site in Mornington’s medical precinct for $3.25 million.
1087-1095 High Street, Armadale
A company associated with apartment builder Central Equity paid close to $18 million for the 1,174sqm site, at the corner of Huntingtower Road. It has a permit for a 5-storey building designed by Fender Katsalidis with 10 large apartments and 4 shops.
6-8 Govan Street, Seaford
The 2,368sqm childcare centre site sold for $6.15 million on a 5.01% yield. Sanctuary of Early Learning has a 10 10 10-year lease.
2-3 Malcolm Court, Narre Warren
The 409sqm property home to the Narre Warren Medical Centre sold for $3.55 million on a 5.85% yield. It has a 15-year lease plus options to 2062. The facility includes a Melbourne Pathology.
271 Thompsons Road, Templestowe Lower
An investor bought the 861sqm childcare facility site for $3.45 million, on a 5.01% yield. Journey Early Learning has a new 12-year net lease.
The Complete Brighton Package Sells For $8.38m, Smashes Reserve
An ultra-rare trophy investment opportunity in Brighton, close to the high- performing Church Street shopping strip, has smashed the reserve price at auction and reaffirmed the suburb’s blue-chip status.
Fitzroys’ Mark Talbot and Tom Fisher sold 28 Carpenter Street for $8.38 million under the hammer, on a very sharp 3.08% yield.
The property was offered for sale for the first time in 45 years.
After 80 enquiries were generated during the campaign, five bidders competed for the immaculately presented 504sqm double-storey building, on a large 589sqm landholding. It had a wide 15-metre frontage in the heart of Brighton’s major retail and lifestyle precinct - just metres from arguably Australia’s best-performing shopping strip, Church Street - and also presented as Bayside’s ultimate landbank opportunity.
Two bidders fought it out past the $7.5 million mark, before it sold at a massive $1.38 million above the reserve. The buyer is a passive investor who will keep the leases to 3 long- standing quality tenants in Dorevitch Pathology, Buxton Real Estate and dentist Lifestyle Smiles, who have leases with options through to October 2033, and maintain the strong income stream of more than $257,000 pa.
“This offered a secure, consistent cashflow from 3 excellent tenants at a time of sharemarket and residential market volatility,” Talbot said.
“This was hotly contested amongst locally-based buyers who were attracted to the secure income, large land area, proximity to Church Street, quality tenants, off-street parking and high-profile nature of the building,” Talbot said.
“Buyers clearly haven’t been put off by the rising rates and have plenty of cash in the bank to spend. We’re still seeing strong enquiry, competitive bidding and tight yields in this part of the market.
“Investors are showing huge faith in bricks and mortar assets.”
The site is zoned Commercial 1 and has a highly flexible Design and Development Overlay, providing a magnitude of future redevelopment outcomes.
Fisher said the site presented as Bayside’s ultimately landbank opportunity, an ultra-rare opportunity to acquire a sizeable landholding in the immediate proximity to arguably Australia’s best-performing shopping strip, which attracted a number of landbankers.
According to Fitzroys’ forthcoming Walk the Strip report, Church Street again retained the lowest vacancy rate of Melbourne’s iconic shopping strips in 2022. 28 Carpenter Street is 60 metres from some of Australia’s most popular fashion and lifestyle retailers, close to both Woolworths and the iconic Dendy cinema complex, and sits amongst leading retailers including Scanlan & Theodore, Mecca, Witchery, Kookai, and major banks.
Fitzroys recently negotiated the $16.2 million sale of 71-73 Church Street & 36 Carpenter Street, Brighton, which was fully-leased and home to global sportswear giant Nike, national footwear retailer Ecco, popular bakery Laurent, and office tenants White Fox and 2 Construct.
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.