This article is from the Australian Property Journal archive
A MALAYSIAN investor has picked up an office suite overlooking the intersection of Bourke St and King St in Melbourne’s CBD for $1.6 million.
Savills agents Benson Zhou, Tim Carr, Jesse Radisich and Glenn Ye sold the 179 sqm Suite 101 at 620 Bourke St.
Business management consultancy Kathy Jones & Associates occupies the suite on a three-year lease until early 2021 with a further three-year option that brings $79,915 per annum plus GST and outgoings, and with 4% annual increases.
The transaction yield came in a shade under 5%.
The agents said the floor rate of $8,939 per sqm was a record for the building.
“The sale demonstrates the tremendous growth in the CBD strata office market, reflecting a 42% increase in value since 2015,” they said.
A 252 sqm office on level three changed hands late last year for $2 million, at around $7,936 per sqm.
