Triple fronted corner in the heart of Richmond hits the market30 January 2023
A corner landholding in a coveted Richmond location has come to market, following an amalgamation of sites that has taken place over the past 16 years.
The site at 294-298 Swan Street & 196 Mary Street has frontages to Swan Street, Mary Street and Harvey Street with a combined 144m of frontages and providing 1,313 sqm of land.
With high-quality existing buildings on-site leased to national tenants including Red Rooster and Back in Motion Health Group (over 100 locations nationally), the combined properties provide approximately $304,000 in annual income.
The large site, on a prominent corner, is in one of Melbourne’s most popular retail and residential areas and has favourable planning parameters providing a Commercial 1 Zone and height potential of at least 28 metres, along with height precedent well in excess of this in the immediate vicinity.
JLL’s Josh Rutman, Jesse Radisich, Nick Peden and MingXuan Li have been appointed to sell the site via an Expressions-Of-Interest campaign, with Urbis acting as the transaction advisor on behalf of a local family who has amalgamated the site over many years.
Richmond is one of Melbourne’s most popular residential and business addresses and Swan Street offers a highly connected location with easy access to the CBD via Swan Street tram routes, as well as nearby East Richmond and Burnley Train Stations.
Mr Rutman said “The site is positioned within an established commercial precinct that has seen both significant investment from commercial developers and major corporates flocking to the area, but also ongoing high density apartment development given the nature of the lifestyle amenity on offer in the immediate area including the MCG, Barkly Gardens and one of Melbourne’s trendiest retail strips in Swan Street”.
Charter Hall is one such major player to stake their claim in the precinct, with a $460m commercial project currently under construction further down Swan Street, anchored by Australia Post.
Prominent private developer Fortis is also investing significantly in the immediate precinct, with recent planning approval obtained for a $300m mixed-use project across 11 and 12 levels in nearby Brighton Street and Wiltshire Street.
294-298 Swan Street & 196 Mary Street is subject to three short-term leases with no further options, creating a favourable dynamic for developers, investors and occupiers alike.
Mr Radisich said “We are seeing developers and land bankers continue to gravitate towards strategic landholdings that have the benefit of solid holding income, but with the flexibility to progress a planning application and commence works on-site within a couple of years”.