This article is from the Australian Property Journal archive
A PROMINENT retail corner building at 1 Queen St Melbourne's CBD has been snapped up by a Malaysia-based investor for $11 million.
Savills’ Clinton Baxter and Nick Peden, in conjunction with Colliers International’s Matt Stagg and Shane Dargue sold the property.
Baxter said expressions of interest sale campaign attracted widespread interest from local and off-shore buyers with the agents fielding in excess of 180 enquiries for the site, culminating in the receipt of 11 offers.
“Following a brief negotiation period the property was sold to a Malaysian-based investor on an unconditional basis. The property sold at a rate of $14,745 per sqm.
“This sale continues a growing trend of Malaysian buyers taking advantage of opportunities within the Melbourne market to secure prime properties. This is our third major sale of a prime CBD property to Malaysian investors in recent weeks, totaling $49 million,” he added.
Peden at close to $15,000 per sqm of land, the sale clearly demonstrates that despite slower market conditions generally, CBD land continues to grow in value.
Stagg said that the appetite from buyers for CBD properties offering residential or hotel development potential is as strong as ever, and with a shortage of high quality sites available, land values are escalating rapidly.
The property, at 1 Queen St Melbourne, on the corner of Flinders St comprises a two level retail showroom building on a site of 746 sqm and was sold with vacant possession. It was formerly the home of fashion label Fletcher Jones.
The property is zoned Capital City Zone 1 and offers tremendous scope for redevelopment for a wide range of potential uses.
Property Review