Colliers agents Ben Baines and Matt Knox have contracted two off the plans strata office suites within Orchard Piper’s highly anticipated Toorak Village development, secured by local owner occupiers for in excess of $10 million.
50% of the development’s limited three-floor office offering has already been sold, as Colliers sets a new city fringe and suburban record with the latest sales reflecting a building rate of $17,021 per sqm. The highest previous rates were achieved in Orchad Piper’s East Melbourne project in May 2022 for in excess of $15,000 per sqm, also sold by Ben Baines of Colliers.
Colliers’ Director Ben Baines said the buyers are both local who were drawn to the sought-after city fringe location and the high-quality projects Orchard Piper is synonymous with delivering.
“There has been strong interest in the space throughout the campaign, with over 75 enquiries, highlighting the resurgence of demand in the city fringe space. The Toorak Village development is the first opportunity to buy brand-new strata offices in Toorak for decades, which has driven competition with all remaining office spaces expected to close in the coming weeks,” commented Mr. Baines.
Orchard Piper’s landmark development comprises ultra-luxurious residential apartments, commercial offices and ground-floor retail spaces, all designed by world-renowned and multi-awarding winning Kerry Hill Architects. Located on the corner of Toorak and Mathoura Road, 420 Toorak Road is just 5km from Melbourne CBD and within walking distance of Hawksburn and South Yarra train stations.
The development plays an important role in the redevelopment of Toorak Village as it returns to its former heights. An influx of new retail offerings has recently opened, and an upgrade of the streetscape between Wallace Avenue and Grange Road is underway, due for completion by the end of 2023.
The limited construction in 2020 and 2021 in the city fringe market has caused an undersupply of stock, which can be seen through decreasing vacancy rates from 12.7% in September 2022 to 12.3% in March 2023. It has increased the average land rate of city fringe commercial properties, currently sitting at an estimated $10,000 per sqm, significantly rising from $8,500 per sqm in 2020.
Colliers’ Executive Matt Knox said, “There is a push for quality and high amenity spaces, as owner occupiers and investors are attracted to brand-new premium grade strata offices outside the CBD. Along with Toorak Village, we have had strong demand for other developments, with Cremorne House and Yarraberg 50% sold by Colliers prior to completion.”
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