Prestige Swanston House sold under the hammer for $18.02 million

The prestige Swanston House, located at 163 Swanston Street in Melbourne’s CBD, has sold under the hammer for $18.02 million during an auction that attracted over 150 people in the crowd.

The Auction Company’s Paul Tzamalis slammed the hammer for the third and final call to a local investor’s winning bid of $18.02 million, representing a competitive land rate of over $95,000 sqm.

The sale was exclusively managed by Colliers’ selling agents Leon Ma, Daniel Wolman and Oliver Hay in conjunction with Alexander Robertson’s Kristian Peatling and Warwick Bramich on behalf of the Conos family, who has played a significant part in Melbourne’s food scene, having established one of the first Greek restaurants in the city over 70 years ago.

Having received over 80 enquires from various local and offshore investors during the campaign, Colliers’ agent Leon Ma said that the appetite for high-profile quality buildings remains.

“Despite current interest rate rises, we have witnessed a strong demand for quality commercial property across all asset classes in Melbourne. The recent sale of Swanston House demonstrates just that,” Mr Ma said.

Properties along Swanston Street, which acts as the retail spine that seamlessly connects various retailers in the CBD, have long been tightly held, with only four properties put to market during the past decade.

Built in 1922 by well-known architect Nahum Barnet, the property benefits from dual street frontage to Swanston Street and Masons Lane with over 17,000 daily bypassers. Its prime location makes it desirable for many potential tenants by also being surrounded by high-calibre retailers, including Myer, David Jones, H&M and Zara.

Alexander Robertson’s Warwick Bramich said Swanston House’s seven-storey, plus newly refurbished basement and potential rooftop terrace, are ideal for various uses, including office, hospitality, and retail spaces.

“Sold with vacant possession and a total net lettable area of 1.508sqm, Swanston House comes with endless value-add opportunities thanks to its great heritage and pristine location,” said Mr Bramich.