Two blocks of 1930’s art deco apartments in East Melbourne have sold under the hammer for a combined total of $6,660,000.
CBRE’s Melbourne City Sales and Development Sites team of Dylan Kilner, Julian White and Chao Zhang first steered the onsite auction of 6 Garden Avenue, achieving a price of $3,000,000 for the six, one-bedroom apartments, representing a yield of just 2.84%. The same buyer then purchased 12 Garden Avenue for $3,660,000, representing a yield of 3.22% for the nine studio apartments.
Built at the end of World War II, the two blocks of flats housed American Army officers during rest and relaxation periods in Australia and are considered prime examples of the art deco era.
“Buyers are motivated to act on assets just like this at present,” Mr Kilner said.
“With the residential market strengthening and a predicted undersupply of residential accommodation, blocks of flats are considered an excellent investment option, which is resulting in some extremely tight net returns.”
CBRE is auctioning another block of flats at 35 McArthur Street, Malvern on December 18. The property comprises six large two-bedroom apartments, plus a permit to add an additional townhouse at the rear.
CBRE’s Melbourne City Sales and Development Sites team of Dylan Kilner, Julian White and Chao Zhang first steered the onsite auction of 6 Garden Avenue, achieving a price of $3,000,000 for the six, one-bedroom apartments, representing a yield of just 2.84%. The same buyer then purchased 12 Garden Avenue for $3,660,000, representing a yield of 3.22% for the nine studio apartments.
Built at the end of World War II, the two blocks of flats housed American Army officers during rest and relaxation periods in Australia and are considered prime examples of the art deco era.
“Buyers are motivated to act on assets just like this at present,” Mr Kilner said.
“With the residential market strengthening and a predicted undersupply of residential accommodation, blocks of flats are considered an excellent investment option, which is resulting in some extremely tight net returns.”
CBRE is auctioning another block of flats at 35 McArthur Street, Malvern on December 18. The property comprises six large two-bedroom apartments, plus a permit to add an additional townhouse at the rear.
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About CBRE Group, Inc.
CBRE Group, Inc. (NYSE:CBRE), a Fortune 500 and S&P 500 company headquartered in Los Angeles, is the world’s largest commercial real estate services and investment firm (based on 2018 revenue). The company has more than 90,000 employees (excluding affiliates) and serves real estate investors and occupiers through more than 480 offices (excluding affiliates) worldwide. CBRE offers a broad range of integrated services, including facilities, transaction and project management; property management; investment management; appraisal and valuation; property leasing; strategic consulting; property sales; mortgage services and development services. Please visit our website at www.cbre.com.
About CBRE Group, Inc.
CBRE Group, Inc. (NYSE:CBRE), a Fortune 500 and S&P 500 company headquartered in Los Angeles, is the world’s largest commercial real estate services and investment firm (based on 2018 revenue). The company has more than 90,000 employees (excluding affiliates) and serves real estate investors and occupiers through more than 480 offices (excluding affiliates) worldwide. CBRE offers a broad range of integrated services, including facilities, transaction and project management; property management; investment management; appraisal and valuation; property leasing; strategic consulting; property sales; mortgage services and development services. Please visit our website at www.cbre.com.
