Refurbished St Kilda Road offering set to attract owner occupiers and investors
A newly refurbished office tower in Melbourne’s St Kilda Road precinct has been listed for sale following a series of high-profile transactions along the Melbourne boulevard.
12 Sep 2019
CBRE’s Middle Markets team of Josh Rutman, Mark Wizel, Lewis Tong and Scott Orchard have been appointed as the exclusive sales agents for 1 Bowen Crescent, which was originally built by trucking magnate Lindsay Fox as offices for his Linfox company.
The seven-level building last changed hands in 2017, when it was sold on behalf of philanthropist and tech entrepreneur Malcolm Freake.
Mr Rutman said Expressions of Interest were being sought following a full refurbishment of the 2,868sqm* building, incorporating polished concrete floors and exposed ceilings.
“The building, which boasts two levels of basement car parking and light filled floor plates of 459sqm*, provides an opportunity to secure a St Kilda Road investment at a price point rarely available in this prestigious precinct,” Mr Rutman said.
“The recent refurbishment provides for a range of configurations suiting various occupier types, including education and medical uses, positioning the building to tap into St Kilda Road’s most active tenant market in the 200sqm* to 500sqm* size bracket.”
Bowen Crescent runs between St Kilda Road and Kings Way, within the Domain Precinct. It benefits from parklands at either end – the Botanic Gardens and Albert Park – as well as access to some of Melbourne’s most prestigious suburbs such as South Yarra, Albert Park, Brighton and Toorak.
In addition to the tram stop on its doorstep, Mr Rutman said the impending delivery of Anzac Station as part of the new Metro Rail network would provide direct connectivity into the Melbourne CBD and major universities as well as the south eastern suburbs via the Pakenham, Cranbourne and Frankston train lines.
“Whichever way you look at it, the new train station is game-changer for buildings like 1 Bowen Crescent, which will enjoy direct access to all parts of Melbourne and provide future occupants with the very best of transport and retail amenity” Mr Rutman said.
“We wouldn’t be surprised to see a business owner in the area look to acquire the building as future headquarters with prominent signage rights, either to occupy in its entirety or lease out various floors to other tenants and benefit from an additional income stream. We also anticipate strong interest from domestic and international investors given the recent performance of St Kilda Road, which has benefited from some of the strongest net effective rental growth market in the country, underpinned by a surge in tenant demand.”
Mr Rutman noted that there were less than five buildings of 1 Bowen Crescent’s size and price point in the St Kilda Road precinct.
“We’ve seen both vacant and fully leased offerings sell for new pricing benchmarks, including the sales of both 420 and 424 St Kilda Road, and we anticipate that these transactions will set a very strong foundation for investors seeking a more boutique offering in the area,” Mr Rutman said.
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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.