Baptcare to sell Preston residential accommodation facility

25 July 2022

One of Victoria’s largest non-profit providers of supported accommodation, Baptcare has listed its former facility in Preston for sale.

The 2,637sqm site at 547-567 Bell Street occupies a corner landholding on Preston’s major east-west arterial, 9km north of the Melbourne CBD, and features additional access via Scotia Street and a rear laneway.

The 1,850sqm, two-level building features 48 rooms with their own ensuites, several communal areas and separate offices, and offers flexibility for incoming users from other asset classes.

CBRE’s Sandro Peluso, Marcello Caspani-Muto and Jimmy Tat are managing the Expressions of Interest sale campaign on behalf of Baptcare, with submissions closing on August 25.

“The size and scope of the existing improvements are substantial and Baptcare has maintained the premises to a high standard,” Mr Caspani-Muto said.

“We are expecting significant interest in the property, given its postcode and the strong competition we’ve witnessed for similar assets this year.”

The Bell Street site is the fourth vacant, supported accommodation facility the CBRE team has taken to market this year, as activity within the sector reaches record levels.

Recent sales include assets in Mount Eliza ($11m, $183,000/bed), Windsor ($9.75m, $162,000/bed) and Springvale South ($5.5m, $131,000/bed).

“Vacant, supported/residential accommodation is beginning to radically increase in popularity, especially compared with 24 months ago, due to factors including rising construction costs,” Mr Peluso added.

“Additional users are now starting to appreciate the conversion potential of these buildings, not just for supported accommodation but also healthcare, aged care and NDIS users.

“The cost of refurbishment and extension of these existing homes is dramatically less than new developments.”