This article is from the Australian Property Journal archive
AN INVESTOR has paid $10.6 million for two office floors in a Richmond office building from Deal Corporation.
The result reflected a yield of 8.58% on the net passing income.
Fitzroys agents Chris Kombi and Rob Harrington have sold Levels 1 & 2, 159-161 Cremorne St Richmond in Melbourne’s CBD fringe.
The two office levels are leased to NYSE listed global publisher John Wiley & Sons Australia Ltd for 10 years from September 2007 and returning a net rental of $911,093 per annum.
Both levels comprise approximately 2,444 sqm of space plus 56 basement car spaces.
The premises form part of the commercial component of the modern mixed use ERA development, located just 400 metres approx from Richmond Station.
Meanwhile Fitzroys will be auctioning a retail investment at Shop 4, 73-83 Douglas Parade, Williamstown in Melbourne’s inner western suburbs, on Thursday, 19th July at 1pm.
The modern single level shop covers a building area of 140 sqm approx plus two car parks. Zoned Business 1, it is leased to Sassi Café on a five-year deal from February 01 2008 with a further five-year term. The tenant has just exercised their option for the further term. Current rental is $70,191 per annum plus GST and outgoings.
Other tenants in the complex include the Bottle-O, Hocking Stuart, Crust Gourmet Pizza Bar, Endota Spa, Fitzgerald Optometry and Neo Skin.
Agent James Gregson said the property provided an outstanding opportunity to acquire a modern shop leased to an established tenant on a new lease.
“We are witnessing strong demand from high profile national and boutique retailers trying to secure a premises in this vibrant location.
“The strength of the location is evident by the multiple retail developments and recent growth in retail rentals letting in the area, which have been in the order of $500-$700 per square metre,” he concluded.
Property Review
