Three neighbouring industrial properties in Melbourne’s bayside suburb of Cheltenham are being offered to the market.
The properties at 283 Bay Road & 2 Tibrockney Street and 285–287 Bay Road comprise a combined, side-by-side landholding with the ability to be acquired individually or in one line, appealing to a wide range of investors, owner-occupiers and developers.
The offering includes a high-profile, income-producing investment alongside a vacant freehold with immediate occupancy and future potential, creating a compelling mixed-use opportunity in a land-constrained industrial precinct.
283 Bay Road & 2 Tibrockney Street features a combined building area with office and warehouse space of up to approximately 1,910sq m across two buildings on a prominent corner site of 1,826sq m. The improvements comprise modern office and clearspan warehouse accommodation, solar power systems and onsite parking with strong exposure to Bay Road, making it a highly functional and efficient industrial facility.
The properties are leased to security services business Monjon under brand new five-year agreements with options, and generate a combined rental income of $277,284 per annum plus GST and outgoings, with fixed annual increases, providing secure and growing cash flow. They are available to be purchased together or in one line.
Adjoining this is 285–287 Bay Road, offered with vacant possession and set on a substantial 1,583sq m landholding. The property includes a functional warehouse and office/showroom of 515sq m, complemented by a large secure yard, multiple access points and extensive frontage to Bay Road.
The asset provides immediate usability for owner-occupiers, along with flexibility for value-add investors or those seeking longer-term development outcomes (STCA).
Both properties benefit from their strategic location within Cheltenham’s established industrial precinct, positioned approximately 1km from Westfield Southland and its integrated train station, and in close proximity to Nepean Highway and key arterial road networks.
The assets are being taken to the market via an Expressions of Interest campaign run by Knight Frank agents Stuart Gill and Steven Salopek, with McHarg Real Estate as transaction manager.
Mr Gill said the offering represented a rare opportunity to secure a large-scale foothold within one of Melbourne’s most tightly-held industrial markets.
“Opportunities to acquire adjoining properties of this scale in Bayside are limited, particularly with the flexibility to purchase individually or combine into a larger landholding,” he said.
“The ability to secure both income and vacant possession across the offering is highly compelling and will appeal to a broad buyer pool.
“This is a strategic location that continues to see strong demand from both occupiers and investors given its connectivity, amenity and proximity to key infrastructure.”
Mr Salopek said: “Cheltenham remains one of Melbourne’s most sought-after industrial locations, underpinned by a constrained land supply and increasing demand from a diverse range of users.
“These assets provide both immediate functionality and long-term optionality, whether that be through continued investment, occupation or future development.
“We expect strong buyer interest in the properties given their positioning and the current fundamentals of the industrial market.”
The Expressions of Interest campaign for the properties will close at 4pm (AEST) on Thursday, June 18.
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