This article is from the Australian Property Journal archive
OWNER-occupiers made a mad dash for full-floor strata offices in Melbourne in the quarter of 2013, spending a total of $27 million, according to DTZ.
DTZ landlord & institutional investor services strata sales manager Danny Clark said while the first nine months of 2013 saw a significant lift in enquiry, the last quarter of the year saw a spike in sales.
This resulted in over 14 full floor sales totalling $26.97 million.
Recent full floor strata sales include:
Level 1, 20 Queen St – 390 sqm for $1,100,000
Level 4, 620 Bourke St – 567 sqm for $2,075,000 (Savills)
Levels 1 & 2, 420 Collins St – 780 sqm for $2,900,000
Level 5, 620 Bourke St – 567 sqm for $2,075,000 (Savills)
Level 6, 420 Collins St – 390 sqm for 1,575,000
Level 6, 620 Bourke St – 567 sqm for $1,950,000 (Savills)
Level 7, 420 Collins St – 390 sqm for $1,680,000
Level 10, 620 Bourke St – 567 sqm for $1,750,000
Level 10, 420 Collins St – 390 sqm for $1,900,000
Level 7, 140 Bourke St – 660 sqm for $2,800,000
Level 2, 620 Bourke St – 567 sqm for $2,101,300 (Savills)
Level 6, 256 Queen St – 288 sqm for $1,450,000
Level 4, 620 Bourke St – 567 sqm for $2,075,000 (Savills)
Level 6, 171 La Trobe St – 414 sqm for $1,539,300
Clark said the level of activity in the last quarter of 2013 is setting the scene for another cracking year for 2014, and DTZ has more sales under negotiation.
“We are being inundated with strata office enquiries, and 2014 is set to be a strong year for sales in the sector with growing business confidence and easier access to capital,” he added.
Although owner occupiers continued to dominate, as they have over the past 12-24 months, DTZ CBD strata sales and leasing executive Samuel Bell said the market is starting to see increased competition from both local and offshore investors.
“However, full floor investments are a rarity in the Melbourne market. This competition, coupled with a shortage of available stock, is leading to record sales per sqm.
“We recently concluded the sale of a vacant floor at level 1, 20 Queen St ($1.1 million – 390 sqm), which enjoyed fierce competition from both owner occupiers and investors, further highlighting the fact that investors are now prepared to carry the risk on vacant floors.” Bell said.
Property Review
