Melbourne

Largest Melbourne CBD strata office transaction for 2019

The Australian National Institute of Business and Technology (ANIBT) has sold its Melbourne CBD headquarters for $9,600,000, representing the city’s largest strata office transaction for 2019.

25 Nov 2019

The Australian National Institute of Business and Technology (ANIBT) has sold its Melbourne CBD headquarters for $9,600,000, representing the city’s largest strata office transaction for 2019.

CBRE Melbourne City Sales agents Julian White, Nathan Mufale, Alex Brierley and Chao Zhang transacted the 474 Flinders Street property on behalf of ANIBT via a public Expressions of Interest process.

Located on Levels 7 and 8, the floors comprise a total lettable area of 1,676 square metres (799sqm for Level 7 and 877sqm for Level 8). They were sold with vacant possession to a local investor seeking to capitalise on the current unprecedented demand for office space within the Melbourne CBD. 

Mr White noted that while the buyer was an investor, most of the interest was derived from owner occupiers.

“Rapidly rising rents, low vacancy rates and low interest rates have driven owner-occupier interest in strata office opportunities in 2019, particularly amongst small to medium businesses seeking to control their leasing expenses and build ownership wealth,” Mr White said.

Mr White added that rising demand from education and co-working occupiers had contributed to the Melbourne CBD recording a vacancy rate of 3.3% - the tightest in close to a decade - spurring strong interest in 474 Flinders Street throughout the campaign.

The next test of the Melbourne CBD strata market will be Level 4, 313 La Trobe Street.

The 470sqm suite is being offered with a short-term lease returning $175,000 per annum through the Melbourne City Sales team. 

“Given the flexible nature of the offering, we have received significant preliminary interest from both investors and occupiers” CBRE’s Mr Mufale said.

For Australian/international news or global stories, follow us on Twitter: @cbreaustralia

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.

Disclaimer:

Neither CBRE nor its affiliated companies make any warranties or claims on the implied accuracy of the information contained herein.

About CBRE Group, Inc.
CBRE Group, Inc. (NYSE: CBRE), a Fortune 500 and S&P 500 company headquartered in Dallas, is the world’s largest commercial real estate services and investment firm (based on 2021 revenue). The company has more than 105,000 employees (excluding Turner & Townsend employees) serving clients in more than 100 countries. CBRE serves a diverse range of clients with an integrated suite of 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 https://www.cbre.com.