This article is from the Australian Property Journal archive
A TWO level Victorian era terrace at Fitzroy in Melbourne’s fringe suburb has been sold to the Victims of Crime Counselling & Compensation Services for $1.2 million.
The property was privately by agents O’Callaghan Commercial.
Located at 163 Victoria Parade Fitzroy, the two level building has an area of approximately 195 sqm, a street frontage of 7.57 metres and a Business 2 zoning.
The building is tenanted at an annual rental of $35,000 plus outgoings. In addition there is minor additional income from a signage banner situated on the western wall of the building on its exposure to George Street.
Selling agent David O’Callaghan said the selling price the indicative yield is only 2.9%.
“I consider this a very bright result relative to other recent transactions for similar terrace office properties which adjoin. I sold the neighbour of this building at 165 Victoria Parade about eighteen months ago for $1.1 million. While another similar terrace at 167 Victoria Parade has failed to attract buyer’s interest.
“Although this strip of terrace properties along Victoria Parade is within easy walking distance of the major medical facilities including the Epworth Freemasons and St Vincent’s and St Vincent’s Private Hospitals, a relatively high number of these buildings have a high vacancy factor; in fact several have been vacant for up to two years,” he added.
“As a somewhat unloved area of inner Melbourne this has made sales difficult and confirms that the $1.2 million sale of 163 Victoria Parade is a strong result,” he concluded.
Australian Property Journal
