Melbourne’s prime shopping strip market will head to Burke Road, Camberwell for its next test, with a dual-tenanted freehold occupied by Specsavers and Woodfrog Bakery going to auction later this month.
Fitzroys’ Chris James, David Bourke and Ben Liu are marketing 570-572 Burke Road, Camberwell which will go to auction on Thursday, 17 October at 11am on site.
The 2-level dual-fronted building of 403sqm is occupied by international brand Specsavers on a 10+5-year lease and the popular Woodfrog Bakery on a 5+5-year lease, returning a fully leased income of $283,359pa plus outgoings and GST.
Expectations are of circa $4.5 million.
The property is on a premium landholding in the absolute prime of Camberwell Junction, surrounded by national retailers including Country Road's new flagship store, Sportscraft, T2, Priceline, Kathmandu, Mecca, Mountfords Shoes and Frankie4. The property’s Market Place frontage is directly across from the Camberwell Fresh Food Market and a major car park, and forms part of a vibrant hospitality precinct that features Laurent, cafe My Other Brother (MOB Camberwell), and more.
“Prime Melbourne shopping strip assets with strong lease covenants represent excellent buying at a time of share market and residential market volatility.” James said.
“This is a rare opportunity to acquire a dual-fronted freehold investment with an excellent tenancy profile and secure income streams, located in the prime trading section of Camberwell Junction.
“Few assets in the heart of famous Burke Road, Camberwell come to the market, and when they do they are highly sought after.”
Liu said Burke Road, Camberwell has been the beneficiary of medium and high-density development, which has boosted the established, affluent catchment and underpinned trade.
He noted that Council activity is promoting further developments on and around Burke Road and Camberwell Junction.
A new 12-storey residential building has just been given the green light by the City of Boroondara at 699 Burke Road, which will bring 36 new apartments to the strip. The Council also has a plan allowing for more higher-density residential development around Camberwell Junction that would deliver 1,500 new apartments housing 3,500 new residents to 2051.
“Camberwell is seeing strong population growth and already has a broad demographic profile and robust house prices, underpinning high spending power. This ongoing generational renewal will provide further support for trade, activity and rental growth along Burke Road over the long-term,” Liu said.
Camberwell has also emerged as a premium inner suburban commercial office location, which is attracting workers throughout the day and further driving trade.
“Well-connected locations with thriving hospitality, shopping and lifestyle offerings as well as offices are attracting workers and new residents,” Bourke said.
“Camberwell Junction is well-serviced by trams along Burke Road and Riversdale Road, as well as Camberwell Station, providing easy access to the surrounding suburbs and Melbourne’s CBD,” Bourke said.