Heritage building brings out the buyers

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Beller Commercial has sold a historical heritage listed property on St Kilda’s Wellington Street, which as originally built as a block of flats in 1920.

More recently used as office accommodation, 22 Wellington Street, features the period building of 425sqm and approx. 833sqm of Commercial 1 zoned land.

Listing agents said 65 enquiries and 17 inspections created spirited competition for the primely located asset, which has scope for modern renovations at the rear (STCA), with interest coming from medical practitioners, legal firms, call centre and hostel operators.

Beller Commercial agents said the sale highlighted the amount of owner/occupiers currently in the market for a quality property in a connected location.

Beller Commercial has also sold an impressive Childcare asset at 38-40 Dalmor Ave, Ormond, with 78 bidders sending the property more than $250,000 above the vendor’s expectations resulting in a tight yield of 4.9%.

Blooming prospects for roses among Thornbury

Investors and owner occupiers continue to seek retail properties in Melbourne’s inner north in big numbers, with another High Street shop and dwelling in Thornbury changing hands under the hammer.

Fitzroys agents Chris Kombi, Ervin Niyaz and Terence Yeh sold 917 High Street for $1.255 million, on behalf of a family that had held the asset for more than 50 years.

An owner occupier purchased the two-storey building of 240sqm, which has a ground floor shop with a short-term lease and first-floor, two-bedroom apartment, on a 224sqm site.

Kombi said the campaign, which attracted more than 120 enquiries, and fierce competition between five bidders at the auction reflected the ongoing demand for assets in the area.

“The building was offered in its original condition, presenting prospective buyers the chance to make their mark on one of inner Melbourne’s fastest-growing retail and lifestyle precincts, or refurbish and capitalise on rental uplifts.”

Shop and dwelling properties on High Street have been trading at healthy numbers.

Kombi, Niyaz and Yeh recently sold the 785 High Street corner site for $1.805 million at a 2.4% yield at auction, following a campaign that saw 150 enquiries; as well as 740 High Street for $1.385 million at a 2.9% yield, which netted more than 100 enquiries.

Yeh said ongoing gentrification of Melbourne’s inner north had brought multiple medium and high-density developments, bringing excellent rental growth potential as the immediate residential catchment grows, as well as creating heightened demand for retail services.

“Growth of the immediate catchment has also accentuated the extended trading cycles of these centres, adding to their vibrancy, and Thornbury has enhanced its reputation as a trendy and popular destination for eateries and bars,” he added.