131 Cecil Street & 304 Coventry Street, South Melbourne
The ultimate generational South Melbourne corner has hit the market, in one of Melbourne’s best commercial real estate offerings for 2025.
Fitzroys’ Mark Talbot, Tom Fisher and Lewis Waddell, in conjunction with CBRE’s Trent Hobart, Nick Peden and David Minty, are marketing 131 Cecil Street & 304 Coventry Street, South Melbourne via an international Expressions of Interest campaign closing Wednesday, 3 September at 3pm.
The agents are acting on behalf of a Melbourne family. The campaign marks the first time in 45 years the property has been offered for sale.
Expectations are of $15 million plus.
The property is on a substantial city-fringe landholding of 1,391sqm directly opposite the famous South Melbourne Market, and offers hugely favourable Commercial 1 zoning. Triple street frontage of approximately 115 metres includes frontage of 34.69m along Cecil Street and 40.23m to each of Coventry Street and Waterloo Place.
It comprises a two-level, 1,963sqm building that is fully leased to Australia’s largest family-owned and operated hospitality equipment and kitchen supply store, Chef’s Hat – in occupation for 27 years – and national homewares retailer Bed Bath N’ Table for a total net return of $748,040 per annum plus GST after land tax. The long-term Chef’s Hat lease runs until the end of March 2026 and Bed Bath N’ Table’s lease is now a monthly overhold.
“This is one of Melbourne’s best commercial real estate offerings for 2025,” Talbot said.
“It’s the perfect corner opportunity, ideally positioned in one of Melbourne’s most vibrant and fast-evolving inner-city precincts.”
“This retail hotspot is anchored by the South Melbourne Market, a beloved institution which attracts over 5.5 million visitors annually, while Coventry Street is one of the city’s most popular lunchtime strips. Close by are the popular Clarendon Street shopping and lifestyle strip – which includes Coles and Woolworths supermarkets – and Cecil Street, which together host a diverse mix of boutique retailers, cafés, and specialty stores, offering everything from designer homewares to artisanal French pastries.”
Nestled between Albert Park Lake and the Royal Botanic Gardens, the site enjoys proximity to Melbourne’s most iconic green spaces and cultural landmarks, including the Arts Centre, NGV, and Southbank’s entertainment precinct.
Fisher said interest in the property is expected to come from owner-occupiers, investors, land bankers and developers.
“Owner-occupiers can acquire a functional, prominent building in one of Melbourne’s most in-demand commercial and residential areas, surrounded by top-class hospitality and lifestyle amenity, and generate a holding income before operating from the property,” he said.
“Astute investors understand there is strong demand from tenants for offices in South Melbourne, which ticks all the boxes as a highly accessible and vibrant lifestyle location, and is in line to be Melbourne’s next Cremorne. Investors can renew the leases to the sitting tenants or reposition the building, and capture income uplift.
“Developers have the opportunity to create South Melbourne’s newest first-class residential, office and retail project,” Fisher said.
In a reflection of the broad appetite for residences and workplaces in South Melbourne, construction on major mixed-use projects including Hacer’s 162-180 Clarendon Street and 182-200 Clarendon by Lowe Living is currently underway, with both enjoying strong end sales rates.
“More people want to live, work and play in South Melbourne,” Fisher said.
Fisher added that there has been concurrent surge in the local residential and office worker populations.
The property is also surrounded by a number of key commercial developments, including Deague’s 101 Moray, 122 Moray Street and The Terraces by Fortis, Eastern Road by I&D Group, Hickory’s Market Lane, and BVIA on BANK.
Fisher added, “Each of these developments have seen strong take-up from tenants. There is clearly demand for new residential, office and retail product in South Melbourne.
“These developments have boosted the area’s worker population and further added to the vibrancy of the area.”
Meanwhile South Melbourne has a front-row seat to the evolution of the adjoining Fishermans Bend precinct – Australia’s largest urban renewal project.
“The huge population growth forecast for the area will enhance the local worker catchment and underpin demand for residences, office space and retail trade in South Melbourne for years to come,” Fisher said.
Fishermans Bend is forecast to be home to around 80,000 residents by 20551.
Waddell said that importantly to tenants, traders and residents, the are is very well-connected.
“Connectivity is key,” he said.
“Within walking distance are tram routes along Clarendon Street, Ferrars Street, Park Street and St Kilda Road, and there is easy vehicular access via Kings Way linking to Queens Road, St Kilda Road, and major arterials including CityLink, West Gate Freeway, the South Melbourne Light Rail and Monash Freeway.”
1 https://www.vic.gov.au/fishermans-bend
Related Articles
