Melbourne, 4 February 2014 – For the first time in 30 years, the Salvation Army Training College in Parkville has been listed for sale, unlocking a rare development opportunity in one of Melbourne’s most sought after inner city suburbs.
Located at 303-305 Royal Parade and 80-90 The Avenue, close to Melbourne University and surrounded by protected parklands, the two substantial holdings comprise approximately 4,500sqm of land. The Royal Parade parcel features an 11-storey building – formerly a motel – while the rear block includes several established townhouses fronting The Avenue, as well as a substantial car park with direct laneway access.
The Parkville properties, which are being offered for sale individually or on a one-line basis with vacant possession, are being brought to the market as the Salvation Army’s new training facility in Ringwood nears completion.
The Salvation Army’s Dr Bruce Redman said the sites’ sale would greatly assist in financing the organisation’s construction of, and relocation to, the new facility.
“As demand for the Salvation Army’s services increases, the centralisation of our training operations to a single facility in Ringwood signals our commitment to those in the wider Melbourne community,” Dr Redman explained.
CBRE City Sales agents Josh Rutman, Mark Wizel and Ed Wright are marketing the properties on behalf of the Salvation Army via an international Expressions of Interest campaign.
Mr Rutman said the properties were expected to attract strong interest from hospitality operators seeking to establish hotel-style accommodation, taking advantage of the high profile location and chronic lack of accommodation supply in the surrounding area.
“Developers and student accommodation operators, as well as surrounding colleges and universities, are also expected to show interest in the properties,” Mr Rutman said.
"Should a buyer secure both offerings, there is strong potential for a multi-staged development of each of the sites.”
Parkville has not seen a significant offering of this nature for some time, Mr Rutman said, adding that a number of properties in the area were owned by institutions and education providers.
He commented: “This particular precinct is extremely tightly held and we have a truly unique situation where the properties are surrounded by protected parklands, which will ensure unrestricted views towards the CBD.
“The 360 degree views from the existing building are simply breathtaking, and the successful buyers will benefit greatly from being able to sell potential end product into one of the most tightly held and limited supplied residential markets in the state.”
Mr Wizel said that value would be seen in the existing building due simply to the replacement cost, as well as the unique opportunity to refurbish and reposition.
“Given the prominence and reasonable condition of the current building, a number of groups have already signaled their intention to explore the possibility of retaining the structure and refurbishing the internal layout for either, hotel, educational, commercial office or residential uses,” Mr Wizel explained.
“Not only are these land holdings situated in a highly desirable location next to the University of Melbourne with views over parklands towards the CBD, but they are surrounded by public transport links, including a tram stop at its doorstep, as well as direct access to the Citylink freeway and future East West Link.”
The international Expressions of Interest campaign closes Wednesday, March 12 at 2pm.
For Australian/international news or global stories, follow us on Twitter.About CBRE Group, Inc.
