This article is from the Australian Property Journal archive
ONE of the largest development opportunities in St Kilda in recent memory has entered the market.
The 1,370sqm 344-350 St Kilda Road site is zoned Commercial 1 and is being offered with an existing permit for a premium six-storey mixed-use development, with 4,743sqm of net saleable area.
Mark Talbot and Shawn Luo from Fitzroys, as well as Danny Clark and Michael Gross of Gross Waddell ICR have been appointed to market the property.
“This is an incredibly rare opportunity to acquire a city fringe development site of this size and positioning that would cater a range of segments of the residential market,” said Luo.
The property, which was acquired by the current owner over multiple transactions, is set for development that includes residences with downsizers and owner occupiers in mind.
“The growing sentiment in the residential sector is seeing investors beginning to return to the market, joining the heightened demand from owner occupiers,” added Luo.
The St Kilda Road site currently houses a single-level showroom and office, with tenants Tradelink and SMR advertising offering significant holding income.
Significantly, the site is positioned within close access of multiple hospitality and lifestyle precincts, such as the St Kilda Beach, Albert Park and prime strips such as Fitzroy, Acland, Carlisle and Chapel Street, with lifestyle becoming more crucial to office workers post-COVID.
“The increasing acceptance of flexible working arrangements has put Melbourne’s highly accessible inner suburbs with attractive lifestyle and hospitality amenity firmly in the spotlight for residents, businesses and workers,” said Talbot.
Its prime location also ensures easy accessibility, with a variety of tram routes, Balaclava Station and walking and cycling trails all within close proximity.
The site, with its Commercial 1 zoning, also offers commercial development prospects, including hotels or a build-to-rent project, the latter of which has been experiencing increasing levels of investor interest.
In Melbourne developer Assemble in the emerging sector, identified the build-to-rent model as having the protentional to answer the nation’s demand for secure-tenure affordable housing, while entering into a partnership with not-for-profit Housing Choices Australia.
While in the city’s northern suburb of Brunswick, developers Mirvac and Milieu have lodged a town planning application for a build-to-rent project with 500 apartments on a one hectare site, with Mirvac also receiving approval for a $1 billion build-to-rent and office development in the CBD.
344-360 St Kilda will sold via an expressions of interest campaign that will close on 10 June.
