Lygon Street
Three-level building on Lygon Street sold well above reserve. Image supplied
  • 121 Nepean Highway under the hammer for $1.86 million, well above the reserve
  • 432 Centre Road sold for $2.165 million under the hammer, at a 3.3% yield
  • 124 Lygon Street sold on behalf of the Cohen family after generating more than 70 enquiries

Three recent sales of Melbourne commercial space continue to show that investors are keen for well-performing assets in popular neighbourhood shopping strips.

Investors and owner-occupiers have competed for a vacant property in a show of confidence in Seaford’s neighbourhood retail strip.

Fitzroys agents Tom Fisher and Mark Talbot sold 121 Nepean Highway under the hammer for $1.86 million, well above the reserve.

Zoned Commercial 1, the vacant 344sqm building is on a 323sqm site with an extensive frontage directly opposite Seaford pier, and with rear access from a public car park.

“The enquiry from both investors and owner-occupiers demonstrates confidence in the popular neighbourhood strip, and well-located Melbourne retail assets generally,” said Mr Fisher.

Bentleigh

Centre Road, Bentleigh has confirmed its status as one of Melbourne’s best-performing shopping strips, with Fitzroys delivering a second investment sale in a month in the sharp 3% yield range.

Tommy Tucker
432 Centre Road, Bentleigh

432 Centre Road sold for $2.165 million under the hammer, at a 3.3% yield. The property has a long 5+5+5-year lease to café Little Tommy Tucker, which has quickly become a local favourite.

Four bidders competed 432 Centre Road auction following a well-run, high-exposure campaign that generated more than 70 high-quality enquiries.

“Quality food and beverage operators have demonstrated a resilience during the COVID period, having been able to continue trading throughout periods of lockdown and other restriction measures.”

Mark Talbot, Fitzroys

“Well-located bricks and mortar assets with quality leases in Melbourne’s shopping strips continue be highly sought-after during the COVID period, as well as in the ultra-low interest rate environment.”

Lygon Street

Lygon Street sign
Lygon Street sign. Image – Canva

An investor has shown their faith in the recovery of iconic Lygon Street, Carlton, acquiring a three-level building in a rare auction on the famous hospitality and lifestyle strip for $1.675 million – $175,000 above the reserve, and at a tight 4.45% yield.

124 Lygon Street sold on behalf of the Cohen family after generating more than 70 enquiries during the campaign that saw multiple bidders competing at the auction.

“The property was purchased by an investor who has an affinity with Lygon Street, and sees the potential in the strip once tourists and international students return, and as Melburnians venture out in ever-growing numbers,” said Mr Talbot.

The strata-titled property comprises a 215sqm triple-storey storey building consisting of a two-level restaurant, with a third level dedicated to residential use. It has a 5+5+5-year lease to popular restaurant Thai City.

You May Also Like

Seashells to operate Middleton Beach Hotel

Seashells Hospitality Group have been announced as the operator for the 80 plus room facility…

Vicinity Centres value down $570M following six-month decline

Retail property posts lower valuation following tough pandemic lockdowns…

Quay Quarter reaches 85% pre-commitment rate a year prior to completion

Despite being a year out from completion, 85 per cent of AMP’s Quay Quarter has been pre-committed by tenants..