CAPITAL GAIN: INVESTOR SWOOPS ON IVANHOE SHOPPING CENTRE
Posted on 05 December 2015
A sizeable new retail asset in Ivanhoe, 10 kilometres north-east of Melbourne, sold to an investor for $16.5 million this week – two days before a scheduled auction.
The 3552 square metre building and 178-bay car park is fully leased to Woolworths, which trades a full-line supermarket and bottle shop from the site, within the Upper Heidelberg Road retail village, near the Ivanhoe train station.
Based on the annual rental return of $920,000, 72-84 Upper Heidelberg Road sold on a yield of 5.57 per cent.
Vinci Carbone director Joseph Carbone said the campaign generated more than 80 enquiries from local, interstate and offshore potential buyers. The successful purchaser, an Asian investor, was attracted to the location and long lease, he said.
The asset forms the lower levels of a new Quest-serviced apartment complex but was offloaded by private investors.
In October, Melbourne developer Caydon won approval to build a 14-level apartment tower at 443 Upper Heidelberg Road, currently an open-air car park, also at one of metropolitan Melbourne’s tallest points.
Also in Ivanhoe, in July an investor paid $10 million for 104 Mount Street, a site with a redevelopment permit for a seven-level, 120-plus unit apartment project.
Last year, the Courtney and Patterson car dealership in Bell Street – which like 443 Upper Heidelberg Road was rezoned mid-campaign from Heidelberg to the more valuable neighbourhood of Ivanhoe – sold to a residential developer, also for about $10 million.
The 3552 square metre building and 178-bay car park is fully leased to Woolworths, which trades a full-line supermarket and bottle shop from the site, within the Upper Heidelberg Road retail village, near the Ivanhoe train station.
Based on the annual rental return of $920,000, 72-84 Upper Heidelberg Road sold on a yield of 5.57 per cent.
Vinci Carbone director Joseph Carbone said the campaign generated more than 80 enquiries from local, interstate and offshore potential buyers. The successful purchaser, an Asian investor, was attracted to the location and long lease, he said.
The asset forms the lower levels of a new Quest-serviced apartment complex but was offloaded by private investors.
In October, Melbourne developer Caydon won approval to build a 14-level apartment tower at 443 Upper Heidelberg Road, currently an open-air car park, also at one of metropolitan Melbourne’s tallest points.
Also in Ivanhoe, in July an investor paid $10 million for 104 Mount Street, a site with a redevelopment permit for a seven-level, 120-plus unit apartment project.
Last year, the Courtney and Patterson car dealership in Bell Street – which like 443 Upper Heidelberg Road was rezoned mid-campaign from Heidelberg to the more valuable neighbourhood of Ivanhoe – sold to a residential developer, also for about $10 million.