This article is from the Australian Property Journal archive
A PRIVATE investor has snapped up a freehold building in Melbourne’s CBD for $9.8 million on a tight passing yield of 3.27%.
Colliers International’s Daniel Wolman and Oliver Hay handled the off-market transaction leading up to Christmas.
The 1,318 sqm building at 59-63 Bourke St is leased to three hospitality operators including Spaghetti Tree and Madame Brussells.
Situated on a 498 sqm site, the building offered a current net income of approximately $320,467 and was sold on a passing yield of 3.27%.
“The Melbourne CBD market is showing no signs of slowing down this year.
“With the exception of Christmas Day, the phones haven’t stopped ringing. Buyers from all over Asia as well as locally are still looking to transact, even in what has traditionally been a quiet period in years gone by,” Wolman said. “Everyone is looking to plant their money in property and secure assets before property values increase any further.”
“Savvy property owners are capitalising on the demand from investors to sell their assets while the Australian dollar is still cheap for offshore buyers and our interest rates remain at an all-time record low,” Hay said.
Australian Property Journal
