This article is from the Australian Property Journal archive
A KING ST corner office building in West Melbourne has been picked up by an owner occupier for $5.9 million, after the vendors had plans for a six-storey mixed-use development rejected by Melbourne City Council in May.
Knight Frank’s Andrew Hansen and George Burbury sold the 611-617 King St property in an off-market deal that reflected a passing yield of 2.03%.
The city fringe site, zoned General Residential, encompasses 429 sqm fronting King and Hawke streets, and looking across to the western end of Victoria and Errol streets. It has a two-storey commercial building of 820 sqm.
A proposal was submitted in March last year for the building to be knocked down and replaced with a 21-metre structure comprising 17 dwellings above two convenience shops, with an anticipated development cost of $6 million, according to City of Melbourne documents.
The sale price reflected a land rate of $13,753 per sqm and building rate of $7,195 per sqm.
Australian Property Journal
