This article is from the Australian Property Journal archive
A BLOCK of apartments in Melbourne's inner city suburb of South Yarra has sold at auction for $4.4 million on a yield of 1.69% through Fitzroys.
Fitzroys agents Charles Emmett, David Tripoussis and Geoff Emmett sold the property at 11 Park St South Yarra, which changed hands for the first time in over 40 years.
A private local investor purchased the property in front of the large auction crowd.
The block comprises six art deco-style apartments over eight separate titles including two separate car park and storage units and occupies a land area of 398 sqm with a building area of 598 sqm.
The sale price reflected a rate of $733,000 per unit, and on the fully leased net income of $74,439 per annum the yield was a low 1.69%.
Emmett said the campaign recorded 189 enquiries, with a mix of interest from local and offshore developers and investors.
“The first bid was at the vendor’s reserve price of $3.5 million, and the auction saw the price escalate quickly to $4.4 million with a $400,000 bid taken at $3.6 million.
“Bidding was then taken mostly in $100,000 rises to the final sale price of $4.4 million,” Emmett said.
Tripoussis said the large volume of enquiry was generated by the property offering a number of options for purchasers; including to invest, develop (STPA), subdivide, combine, occupy, convert or value add, as well as its blue chip location.
“The property is located in an absolute prime residential location on Domain Hill, between Fawkner Park and the Royal Botanic Gardens,” he concluded.
Australian Property Journal
