A classical, two-level building in the Melbourne CBD changed hands for the first time in 55 years after outstanding buyer interest resulted in a sale before auction.
Colliers International’s Daniel Wolman and Oliver Hay were scheduled to take 71-73 A’Beckett Street to auction on May 13 on behalf of the Victorian Spititualist Union, who have owned and occupied the property for 55 years.
“Excessive interest saw more than 150 enquiries and several offers received throughout the campaign,” Mr Wolman said.
“One of these offers, which was received less than 24 hours before the auction, was simply too good to refuse.
“The eventual sale price of $3.4 million was well above the reserve. In fact, it was 21% above the asking price.
“This was a classical, two-level boutique building with a beautiful sandstone façade and a laneway at the rear.
“With the Melbourne CBD evolving on the back of a development boom – particularly within the immediate vicinity – the church decided to make the most of an opportunity to sell this iconic building and relocate from the CBD.
“The sale of this building presented potential purchasers with a unique opportunity to add a true flagship asset to their investment stable."
The 258 square metre building is located within the heart of the CBD grid on A’Beckett Street, between Elizabeth and Swanston Streets. It is within close proximity to the Queen Victoria Market, Melbourne Central Station, RMIT University and is surrounded by a rapidly growing population spawned by an abundance of development in the area.
“This section of Melbourne’s CBD is currently seeing, and has over recent years, seen incredible redevelopment and considerable uplift which has been driven by high rise residential living and low office vacancy levels,” Mr Wolman said.
“The Melbourne CBD was once made up of classic, historic and boutique buildings. Today, many of these buildings have made way for high-rise modern towers and the streetscape of our city is constantly evolving. What we had here was an opportunity for a purchaser to get their hands on one of the last remaining sandstone freestanding buildings right in the centre of Melbourne’s traditional CBD grid."
Colliers International is seeing a surge in activity as vendors move to take advantage of current market conditions in the Melbourne CBD.
“Vendors are taking advantage of this fast-moving, strong CBD environment and active market,” Mr Hay said.
On the back of this sale at 71-71 A’Beckett Street, Colliers International has been appointed to sell nearby 53 A’Beckett Street by auction.
The property comprises a modern, three-level retail and office building, which was formerly a brick workshop. The building was substantially renovated in 2007 and currently provides for high quality boutique office accommodation on the upper levels and retail on the ground floor totalling 352sqm. The property also includes a beautiful, north facing rooftop terrace of approximately 27sqm.
It is leased to a popular Asian restaurant and Investor Wealth, a well-respected financial services group.