This article is from the Australian Property Journal archive
A STRATA office at Cremorne has resold for $3.75 million after changing hands only eight months ago for $3.15 million.
An owner-occupier acquired the 159-161 Cremorne St property in a deal negotiated by Teska Carson’s Tom Maule, Matthew Feld and Michael Taylor.
The agents said the $600,000 or nearly 20% rise in value in such a short period of time reflected the significant demand for city fringe locations.
“The demand for strata office has been very strong recently and this has been underlined by a sale at a very good $5,357 a sqm,” Maule said. “The potential for subdivision provided the buyer with significant additional flexibility,”
The 704 sqm ground floor property includes 18 basement car spaces and 30 metres street frontage. It forms part of the Deal Corporation developed ERA building, which comprises three levels of office space, 155 residential units, a café, and 262 secure basement car spaces.
Maule said the property sold with vacant possession. He said the estimated fully-leased income was around $290,000 per annum.
Feld said the Cremorne/Richmond market had been very popular with a wide range of local and off-shore buyers including owner-occupiers, investors and developers.
“The demand for property in and around Cremorne in particular has been remarkable in terms of the number of properties transacted but understandable when you consider the first rate, virtual CBD doorstep, location.
“At the same time interest rates remain at record lows and property remains the investment of choice while investor ranks have also been swelled by an influx of SMSFs and that means some serious competition for properties in this price range,” Feld said.
Australian Property Journal
