North Melbourne

Three shops in a row on one title have sold for a combined $2.44 million, at a land rate of $7746 per sq m in an auction conducted by Jamie Stuart and Andrew Waddell from Gross Waddell. Above the shops at 492-496 Victoria Street was a dwelling. The properties had been owned by the same vendor since 1920.

Williamstown

Fitzroys' James Gregson, Adam Lester and David Bourke have sold four prime shop investments, part of a modern mixed-use complex at 4-18 Ferguson Street. Shop 1, leased to Urban Collective on 3+3-year term returning $45,629 plus GST and outgoings, sold for $750,000. Shop 6 leased to fashion retailer Oxford on a three-year term sold for $1.2 million on a 5 per cent return. Shop 7, leased to Amyst on a 2+1-year lease returning $46,373 plus GST and outgoings sold on a 6 per cent yield. The last unoccupied Shop 8 sold for $305,000.

Preston

A rundown two-level concrete factory with significant development potential at 43 High Street has sold for $2.82 million. The property sold at a keenly contested auction run by Sutherland Farrelly's Paul and Grant Sutherland. The factory, about 10 kilometres north of Melbourne's CBD, was on a large 1720 sqm block.

Abbotsford

A flexible open-plan office warehouse at 398 Johnston Street has sold for $1.8 million in an off-market private sale negotiated by Gray Johnson's Matt Hoath. The property sold with vacant possession after being vacated by a Hyundai dealership. Mr Hoath said the purchaser would use the space to run a hospitality business.

Rye

Mornington Peninsula is experiencing some unseasonal heat. A small two-storey shop at 2379 Point Nepean Road sold for $165,000 over reserve after a spirited auction. Prominently positioned in one of Rye's busiest retail strips – the 194 sq m site is tenanted by the strong-performing Sushi Express cafe returning annual income of $56,784. It sold for $1.565 million after heavy bidding in a deal negotiated by CBRE's Sandro Peluso, Josh Twelftree, Benson Zhou and Rorey James.

North Melbourne

Another shop at 59 Errol Street has also performed strongly. Jamie Stuart and Andrew Waddell from Gross Waddell sold the 240 sq m two-storey building at auction for $1.81 million. The shop had rear access and established tenants providing a combined income of $63,430 a year net. In another deal, Mr Waddell and Andrew Thorburn sold 177 Auburn Road in Hawthorn to a local developer for $4.576 million, a significant 1184 sq m landholding in the heart of Hawthorn.

Heathmont

Investors showed similar enthusiasm for a 150 sq m shop at 172 Canterbury Road. It sold under the hammer for $1.06 million after being by the same landlord for more than 50 years. The tightly held property attracted strong bidding despite the tenant vacating in July 2016, Carter's Neil Rhodes said.

Collingwood

The inner city remains one of the hottest contested locations for investors who have snapped up no fewer than eight office suites over recent months. One investor paid $905,000 for a 180 square metre office occupied by Knowledge Space at 23-25 Gipps Street on a 6.5 per cent yield. A second paid $960,000 for two office suites at 26-30 Rokeby Street developed by Giancorp Property Group. The price represents a yield of 6.5 per cent. Knight Frank's Matt Romanin said the appetite for investment property close to Melbourne's CBD was at an all-time high.

South Yarra

A crowd of around 50 people watched five bidders battle for a Chapel Street shop which finally sold on an extremely strong yield of 3.8 per cent. Beller Commercial's Brendan Goss said the store at No. 364 sold for $2.88 million, showing there was still a strong appetite for investments in good locations.

An office suite next to Wheelers Hill shopping centre at 41E/190-200 Jells Road sold as an investment to a self-managed super fund for $382,500, said Ryan Amler from Ray White Commercial Oakleigh. Mr Amler said the marketing campaign for the 96 sq m office got 30 inquiries and there were two bidders at the auction.

LEASES

Melbourne

Pictureworks Group has leased a 161 square metre office at 3 Bowen Crescent paying $250 per square metre under a three-year lease. The annual rental income is $40,320 gross + GST. Knight Frank's Daniel Street brokered the deal for Pictureworks, who were seeking larger office space.

Derrimut

Industry Solutions specialist Bost Group has secured a new facility at 50-58 Castro Way. CBRE's Todd Grima and Harry Kalaitzis negotiated the three-year lease on the 3015 sq m high-clearance warehouse/workshop. Rent was undisclosed but other deals in the area range from $65-$75 per sq m net for office warehouses and $8-$12 per sq m for hardstand.

Dandenong

National automotive retailer Supercheap Auto will take on a new showroom at 55-67 Frankston/Dandenong Road. The car parts specialist will move into a 1061 sq m building in the Dandenong Home Quarter centre alongside The Good Guys, Amart Sports and Officeworks. Savills Australia's Keith Kooloos and CBRE's Chris Parry brokered the deal on a 10-year term. Rental was not disclosed but is believed to be in the high $100s a square metre net.

South Yarra

Toorak Road has seen a number of successful recent leases. Grosswaddell's Tamara Gross has leased level 1, 134 Toorak Road, Bravo Properties' newly refurbished Her Majesty's development, to real estate agents In2Property. This brand new 542 sq m office was leased at a rate of over $400 per square metre net. Further along Toorak Road at No. 433 a little shop in an elegant Tudor-style building was leased as a display suite for $39,000 pa net, which represented a rate of $928 per sq m. Nearby in Windsor an off-market deal resulted in a space once occupied by the Spud Bar being taken over by chicken restaurant. The two-level building of 277 sq m was leased for $118,000 pa, which averaged a net rent of $700 psm on the ground floor and $225 psm on the first floor, Ms Gross said.

MOVERS

Savills Australia has promoted a key staffer as part of a strategic new growth policy. Long-serving director David Norman will take a new position as Head of Division, Victorian Industrial, to be the contact for all industrial sales and leasing matters at Savills. Two new industrial operatives will join the south eastern division – David Kalb and Sasan Misaghian.

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