A local developer has paid more than $11 million for a half acre development site in the heart of Richmond’s commercial/residential precinct which is likely to deliver a major apartment development.
According to Teska Carson Director, Larry Takis and Sales Executive, Matthew Feld who brokered the deal with MPC’s James Moss, the 150-152 Bridge Road and 1 & 3 Allowah Terrace property – the last half acre in the precinct – drew more than 70 enquiries, predominantly from developers, and 13 Expressions of Interest.
“This is a real one-off. The sort of rare opportunity that you just don’t see come to the market very often, indeed the vendor has held the property for 40 years.
“At half an acre, with two street frontages, it was arguably the last site of its kind in this part of town and that was not lost on those who made formal expressions of interest,” Mr Takis said.
Mr Moss said it had been a difficult decision for the vendor, a New South Wales family, to sell given it had been held for so long.
“It was not an easy decision for the family but they believed and I concurred, the timing was right to capitalise on what has been a remarkable market for apartment developments in Melbourne, and that decision was very much vindicated with the price achieved,” Mr Moss said.
Mr Feld said the 2040 square metre Commercial 1 zoned site, offered access from three streets, including Wustemenn Place on the western boundary, and provided 10 metres frontage to Bridge Road.
He said the elevated site offered numerous options for developers including apartments, a hotel and other types of accommodation.
“This is an elevated site which will provide users with superb, uninterrupted views of Melbourne’s CBD, whilst also providing a location offering an easy ten minute tram ride to the CBD or the MCG and Melbourne’s numerous other entertainment precincts. Perfect for an apartment developer,” Mr Feld said.
He said one of Melbourne’s most innovative architectural firms, Elenberg Fraser, had prepared a development scheme for the property comprising 97 one, two and three bedroom units.
Developer Little Projects recently received approval for a 13 level residential tower with up to 191 apartments and several shops virtually across the road at 153-177 Bridge Road.
Mr Moss said the property was sold subject to five separate tenancies at a current income of $191,000 per annum, delivering a 1.7 per cent return.
“This was another strong aspect of this property’s credentials, with current rental of $191,000 and the potential for additional income if fully let, providing the purchaser with an extremely handy income while plans are developed and permits approved,” Mr Moss said.