Deals of the week – 27 July 2020

Victoria

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HIGHETT - $90 million
A former laboratory in Melbourne’s south east has traded hands from the Commonwealth Scientific and Industrial Research Organisation (CSIRO) to the Wolf Group for $90 million.

The 9.34 hectare property, located at 37 Graham Road, will make way for a new housing estate, after the Department of Environment, Land, Water and Planning recently zoned it for the construction of more than 500 residences. Four hectares of the property will be reserved for public use.

Colliers International’s Trent Hobart, Peter Bremner and Hamish Burgess handled the sale.

HALLAM - $15 million +
TLC Healthcare has secured a three-hectare block neighbouring their 180-room Homewood aged care complex for a speculated $15 million plus; the price is yet-to-be-confirmed. The health care provider plans to expand its Homewood Residential Aged Care complex across its recent acquisition.

Located at 220-240 Princes Highway, the site was listed for sale with concept plans for a 93-lot townhouse subdivision.

Cameron’s John Guastella and Matthew French handled the deal.

GEELONG - $6 million +
Property developer BEKL has announced its acquisition of the Geelong Conference Centre, with redevelopment plans that will see the site transformed into Geelong’s first ‘retreat style’ boutique hotel.

The 1.6-hectare site currently boasts a building area of 4,500 square metres, including seven conference rooms, 46 accommodation suites inclusive of four two-bedroom suites, a restaurant, guest lounge and bar, multi-purpose mezzanine floor, full commercial kitchen and sprawling gardens. The site also features an in-ground swimming pool and spa, laying the foundations for a unique redevelopment like no other Geelong has seen.

Situated in the botanical gardens within the Eastern Park Precinct, the development will offer a destination hotel and conferencing facility that caters to city escapes, corporate retreats or events, exhibitions, birthdays and weddings, with wellness at its core.

Colliers agents Andrew Lewis, Guy Wells and Ben Young handled the sale back in March 2020.

MELBOURNE - $3.55 million
A local owner occupier has outbid a number of highly qualified buyers to secure a retail and office property at 526 La Trobe Street, Melbourne CBD for $3.55 million

The fully leased corner property provides 549sqm of Ground Floor retail space and light filled office space on Level 1, as well as a rooftop which provides valuable signage income. The property has a current net rental of $126,473 per annum.

Savills Australia’s Nick Peden and Tim Carr managed the sale.
 

New South Wales

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DUBBO - $12.5 million
Primewest has picked up a refurbished City Toyota and Lexus dealership and Servco service centre in Dubbo for $12.5 million with plans to add the assets to its Diversified Income Trust No 4.

Located at 2-12 Bourke Street, the 3,744sqm site was sold with a 20-year lease to the automobile operators. The asset is well positioned within a car yard hotspot in the town’s commercial centre.

BONDI BEACH- $10.6 million
A corner block in Bondi Beach’s Seven Ways village has sold for $10.6 million.

The property, located at 96 Glenayr Avenue, consists of four shops and seven two-bedroom apartments and has been held by the same family since construction in the 1930s. It was sold with approved plans for the development of five shops and six two-bedroom apartments.

Jason Pantzer of Phillips Pantzer Donnelly managed the sale.

PARRAMATTA - $8.5 million
A freestanding commercial investment with development upside has sold for $8.5 million under the hammer at 2-4 Palmer Street in Parramatta.

The property, that came with a 685sqm building area on a 600sqm landholding, was sold in excess of the reserve price and offers the new owners security of income flows and potential for future development.

The asset was marketed and sold by Ray White Commercial’s Samuel Hadgelias and Jeff Moxham, in conjunction with Khoury Partners’ Anthony Khoury and Jon Race.
 

Queensland

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PORTSMITH - ~$2 million
A major Cairns tourism company has sold a large industrial tourism site to a local investor. The Experience Co building, a large industrial tourism site located at 52-54 Fearnley Street in Portsmith in Cairns’ south, has been sold with a lease back deal totalling just under $2 million.

A local investor secured the asset which occupies a land area of just over an acre with frontage to Fearnley Street of 40m. Experience Co will stay on as tenants, having agreed to a 12-month lease, but have plans to move on at its conclusion.

Rob Macfarlane of Knight Frank handled the sale.
 

Western Australia

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LEEDERVILLE – Undisclosed
JLL has closed two major commercial deals over the past three months, with agents reporting solid conditions for buyers and sellers.

In Leederville, at 642 Newcastle Street, a 388sqm two-level boutique office building was sold at the height of COVID-19 market concerns. The sale marked the first time that the property had been put on the market in 22 years.

Interest in the property was considerable, with the deal being signed just two weeks after listing and despite occurring during the lockdown period.

Tom Nattrass and Sean Flynn managed the sale.

BIBRA LAKE – Undisclosed
The second property included a large workshop land holding at 41 Miguel Road in Bibra Lake, which was scooped up by an owner occupier.

The unique property featured 1,186sqm of office and workshop facility planted on a large 10,800sqm landholding. The asset was sold vacant and also offered value-add and development potential.

Agents Jeremy Parasiliti and Nick Goodridge handled the deal.
 

South Australia

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ADELAIDE - Undisclosed
The Lion Hotel, one of Adelaide’s most awarded and iconic hotels, has sold after being marketed for sale for the first time in over 20 years. The successful transaction also included an adjacent, three level office blocks at 183 Melbourne Street, presenting a combined footprint of nearly 5,000sqm.

The successful purchasers were high-profile South Australian hoteliers, Brett Matthews, Martin Palmer and Ed Peter under the banner of the newly established Duxton Pubs Group. The team will look to unlock medium to high density development in the future, whilst benefitting from current income streams.

The successful sale campaign was led by JLL’s Will Connolly and Roger Klem.