SALES
Moonee Ponds
Fitzroys has sold a key Puckle Street retail site for $8.3 million in a private sale. Agents Michael Ryan and Charles Emmett sold the property on behalf of a private family. Mr Ryan said the price for the 1900-square-metre site reflected a 3.9 per cent yield on its passing income. The two-storey retail arcade features 14 ground-floor shops and a first-floor gym, with rear access and 25 car spaces. It sold with several leases in place. The fully leased net income on an "as is" basis was $329,000 per annum with plenty of scope for rental growth. The property attracted interest from buyers looking to capitalise on opportunities to invest, land bank, reposition, value add, subdivide or develop. It sold to a private Melbourne-based investor.
Abbotsford
The home of a 1st Choice Liquor store has been snapped up for $6.5 million. Colliers International's Daniel Wolman and Oliver Hay sold 601 Victoria Street, a 1176-square-metre site at the base of a new apartment building developed by Salvo Property Group. Mr Wolman said the new 10-year lease (with options) to 1st Choice Liquor, a subsidiary of Wesfarmers, was a powerful drawcard for potential purchasers and created strong competition.
Huntingdale
A two-level building in an industrial precinct at 27 Shafton Street sold for $625,000. Fitzroys' Dean Alexander said the property sold at auction to an owner-occupier in the environmental testing and analysing industry. It features a substantial two-level building with 17.9-metre frontage to the street, office above and ground-floor wholesale showroom, meeting room, warehouse and storage.
Williamstown North
After 40 years of ownership, the Tivendale family has sold off an industrial subdivision, 33-39 Chelmsford Street, for a total of $2.3 million. The land had been used as a storage/second-hand sale yard by AC Tivendale Demolitions for items from the Templestowe Brickworks, Moores Stores in Prahran and some of the CBD's earliest buildings. Knight Frank's Matt Crofts and Joel Davy, who brokered the sales, said the last two sites of 1417 square metres were sold, realising $400 per square metre, a benchmark for the area. The buyers were all developers.
West Melbourne
A mixed-use freehold on the doorstep of Melbourne's CBD at 505-507 Spencer Street sold during a fiercely contested auction for $1.431 million, reflecting a remarkably tight yield of 2.3 per cent, Fitzroys' Andrew Hewett said. A local buyer outbid eight others to take the 200-square-metre two-storey building with ground-floor retail and first-floor residence. The property has 9.45-metre frontage near the intersection of Stanley and Spencer streets.
Broadmeadows
Ormiston Rubber has sold its 109-111 Northcorp Boulevard premises to relocate to Dandenong as part of a merger with Mills Rubber. Colliers International's Marco Sandrin and Brent Glassford sold the 3000-square-metre property to a local owner-occupier for $2.55 million.
LEASES
South Yarra
Colliers International's Vincent Tran and Ash Dean have facilitated three new leases in South Yarra. At Level 1, 6 Bond Street, 150 square metres was leased to Look Property Group. Nearby at 627 Chapel Street, 300 square metres was leased to Hamton Property and at 32 Garden Street, another 300 square metres was leased to Lewers Research. Rents were between $400 and $450 per square metre (gross). "All three properties were fitted out, which has been a real trend in the market as tenants continue to search for value for money," Mr Dean said.
South Yarra
Traditional baker Hometree has taken a lease at 166 Toorak Road in the former Mecca Cosmetica premises, which is a 140-square-metre space with excellent Toorak Road exposure. Savills Australia's Michael Di Carlo brokered the deal with colleague Jeremy Marmur and Grange Property Consultants' Joel Wald. The deal was negotiated on a seven-year term. Rental was not disclosed but rents in the area fetch between $900 and $1000 per square metre.
CBD
Australasian backpacker and student travel specialist Peterpans Adventure Travel has taken space in a former Pie Face store at 289 Flinders Lane in a deal negotiated by Savills Australia's Michael Di Carlo, Jeremy Marmur and Jock Thomson. Rent for the store, in one of the CBD's busiest fast food retail strips which includes KFC, McDonald's, South Melbourne Dim Sum and Walker's Doughnuts among others, was struck at $150,000 gross, plus GST.
Mount Waverley
Calvary Care has taken an 1800-square-metre five-year lease at 551 Blackburn Road at a gross rent of $320 per square metre. CBRE's Gianni Macdonald, who negotiated the lease, said Calvary was consolidating three different locations into the Mount Waverley building, which would serve as its Melbourne headquarters.
Fitzroy
A licensed cheese shop called The Crafted Edge has taken ground-floor retail space at 375 Brunswick Street, on the corner of Rose Street. Fitzroys' Adam Lester said the concept cafe and bar operator would pay net rental of $682 per square metre on a four-year deal with 4 per cent annual increases. There was strengthening demand from food and beverage operators to secure sites on the street north of Johnston Street, he said.
Mount Waverley
Five office suites at 1 Ricketts Road have been leased with rents fetching up to $340 per square metre. Knight Frank's Tristan Payne said Ernest Edmund Group leased Suite 1 on a 3+3-year basis at a net annual rental of $31,000. Across Group took Suite 4 on a 2+2+2-year basis at a rental of $14,545 per annum, while EP Risk Management leased Suite 22, a 75-square-metre office, agreeing to pay $24,000 a year.
Waurn Ponds
Specialist automotive retailer Autobarn has leased 1000 square metres in the Waurn Ponds Plaza precinct. CBRE's Ryan Arrowsmith and Chris Parry negotiated the off-market seven-year lease on behalf of Ashpark Nominees. The site was previously occupied by The Outdoor Furniture Specialists, which vacated in February.
MOVERS
Cam Taranto has moved to Colliers International's retail leasing team after more than five years' experience in commercial real estate working with CBRE and CVA. Will Dungey has joined CBRE's office services division, taking the role of negotiator. Dungey was previously a database analyst with the firm.
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