This article is from the Australian Property Journal archive
The Becton Office Property Trust has bought a retail and office building at 422 Little Collins Street in Melbourne for approximately $22 million from two private investors.
The vendors were 54 Shannon Avenue Pty Ltd and Stormyvale Pty Ltd, which had put the property on the market through an expressions of interest campaign. The private investors bought the property in August last year for $9.7 million as a vacant property.
The purchase price of $22 million reflects a yield 8.29%.
Paul Burns and Clinton Baxter of Knight Frank sold the property on behalf of the vendor and Nick Kerr of Project Acquisitions Corporation acted for BOPT.
The 10 level building comprises a net lettable area of 5,361 sqm and is currently 100% leased to a range of retail and office tenants, including Nashi, Kennys Bakery, Victorian Training and IT Solutions, Potter Farelly and Associates, Ambry and Armstrong Lawyers.
In addition, the property includes a basement car park for 17 vehicles.
Becton’s head of funds management Matthew Chun said the acquisition takes the number of properties in the BOPT to nine and total assets to $192.7 million.
The purchase follows a string acquisitions by BOPT, which last month bought an office building at 580 St Kilda Road in Melbourne for $25.7 million.
In July, BOPT bought 80 George Street in Parramatta for $33 million, 8 West Street North Sydney in New South Wales for $28.8 million and the Eastern Views Office Park in Keysborough Victoria for $4.1 million.
By Adam Parsons
