MARKET WRAP
CBD
SGA Property Consulting has paid $1.529 million for a strata office suite at 171 La Trobe Street. The sale was negotiated by CBRE's Tom Tuxworth, Ed Wright and Chris Pharr. The vendor was Interact Australia.
ELSTERNWICK
An office showroom has sold at auction for $2.8 million, $500,000 above its reserve. The 625 sq m property at 484 Glen Huntly Road was previously occupied for two decades by Forty Winks but put to market with vacant possession. The auction was conducted by Rodney Morley of Rodney Morley Persichetti.
ESSENDON
A private investor has bought the prominent retail spot on the ground floor of the redeveloped Grand Hotel for $1.45 million. The 155 sq m shop is occupied by cafe Demazzi's, which is paying $105,391 a year in rent. The auction campaign for shop 4, 1142 Mount Alexander Road was handled by James Lockwood and Chris Kombi of Fitzroys.
FOOTSCRAY
A one-storey building leased to a long-time retail tenant has sold at auction for $980,000 to a local investor. The property at 15 Paisley Street hit its reserve price at $800,000, according to Kliger Wood's Lou Montalti. The fashion store has been trading in the spot for 20 years and the rent is $30,260 per annum net.
Leases
CBD
International jewellery brand So Good is opening its first Melbourne store in the heart of Swanston Street. The group has leased the 210 sq m, two-level building at 215 Swanston Street on a 10-year term. Fitzroys' Harry Curtis said the rent achieved was 20 per cent higher than the previous tenant paid. Rents on the strip range from $3500 to $4000 per sq m.
Vietnamese eatery Tweet Hut has taken an 80 sq m spot at 347 Little Collins Street, which is part of the city's popular Equitable Place foodie strip. The three-year term was negotiated on a rent of about $1500 per sq m, according to Michael Di Carlo and Jeremy Marmur of Savills.
BRAYBROOK
D & E Air Conditioning has leased a 4000 sq m industrial site at 6 Lacy Street for about $50 per sq m. The two-year deal was negotiated by Joel Davy of Knight Frank.
LAVERTON NORTH
Transport company Coalition Logistics is upsizing to a 1700 sq m office/warehouse building at 105 Boundary Road. Leased by Luke Jesson and Tim Casanelia of Savills, the property attracts a rent of $96,500 per annum. The rental term is three years.
SOUTH YARRA
Medical research firm Circadian Technologies is moving from Toorak to an office in the Como Centre. The group has taken a 200 sq m floor at 650 Chapel Street on a six-year term. The rent is estimated at $440 per sq m gross. The deal was negotiated by Damien Adkins of Colliers International.
Movers
Scott McGlone has joined the CBD office leasing team at Savills. Mr McGlone worked as a valuer.
Veteran project management executive Luke Thornton has opened a new boutique agency, aXceed, which will offer project management services to residential and commercial developers. Mr Thornton's experience includes work at Stockland, Nakheel, Brookfield Multiplex and Savills.
Submissions to sjohanson@fairfaxmedia.com.au, cvedelago@fairfaxmedia.com.au
Frequently Asked Questions about this Article…
Recent Melbourne commercial property sales include SGA Property Consulting paying $1.529 million for a strata office suite at 171 La Trobe Street (vendor Interact Australia), an office showroom at 484 Glen Huntly Road, Elsternwick selling at auction for $2.8 million (about $500,000 above reserve), and a ground-floor retail shop in the redeveloped Grand Hotel, Essendon, selling for $1.45 million.
Highlighted retail investments include the Essendon shop (155 sqm) occupied by cafe Demazzi’s, which pays $105,391 per year in rent, and a one-storey retail building at 15 Paisley Street, Footscray, leased to a long-time fashion tenant paying $30,260 per annum net.
International jewellery brand So Good has leased a 210 sqm, two-level building at 215 Swanston Street on a 10-year term, with rent achieved about 20% higher than the previous tenant and street rents ranging $3,500–$4,000 per sqm. Vietnamese eatery Tweet Hut leased an 80 sqm site at 347 Little Collins Street on a three-year term at roughly $1,500 per sqm.
D & E Air Conditioning leased a 4,000 sqm industrial site at 6 Lacy Street, Braybrook, for about $50 per sqm on a two-year deal. Transport company Coalition Logistics upsized to a 1,700 sqm office/warehouse at 105 Boundary Road, Laverton North, on a three-year lease with annual rent of $96,500.
Medical research firm Circadian Technologies moved from Toorak to a 200 sqm office in the Como Centre at 650 Chapel Street, South Yarra, on a six-year term with rent estimated at $440 per sqm gross, showing demand for well-located, specialist office space.
Key agents named in the report include CBRE’s Tom Tuxworth, Ed Wright and Chris Pharr (171 La Trobe St sale), Rodney Morley (Elsternwick auction), James Lockwood and Chris Kombi of Fitzroys (Essendon shop), Lou Montalti of Kliger Wood (Footscray), Joel Davy of Knight Frank (Braybrook industrial lease), Luke Jesson and Tim Casanelia of Savills (Laverton North), and Damien Adkins of Colliers International (South Yarra lease).
Auction activity showed strong outcomes: the Elsternwick office showroom sold for $2.8 million—about $500,000 above reserve—while the Footscray retail building hit its $800,000 reserve and sold for $980,000, indicating competitive bidding on well-located assets.
Yes. Scott McGlone joined Savills’ CBD office leasing team after working as a valuer, and veteran project manager Luke Thornton launched a new boutique agency called aXceed, bringing experience from Stockland, Nakheel, Brookfield Multiplex and Savills.
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