A strategic Fishermans Bend land holding has sold for $5.2 million, quelling fears that recent planning changes will affect prices in the area.
150 Montague Street is a 767sqm irregular shaped site with dual street frontage in South Melbourne, just 1.5 kms from the Melbourne CBD.
Mark Wizel, Julian White and Ed Wright of CBRE Victorian Development Sites sold the irregular shaped site with vacant possession. The site was previously home to The Car Brokers, famous for its Elvis impersonator and memorabilia.
The site is within an eight level height limit as part of the Fishermans Bend Urban Renewal Structure Plan, however recent planning amendments by the State Government have the potential to restrict height potential.
Mr White said “Recent planning amendments by the State Government have the potential to restrict development sites resulting in a number of owners in the area questioning what it will do to their land values.” Mr White said.
“However, this deal at nearly $7,000 per sqm is at comparable land rates to recent sales in the area that have sold with permit approvals in place.”
“This deal is evidence of the confidence developers have in the future of the Fishermans Bend market. We expect to see developers placing pressure on the government to reconsider current planning reform and to allow Fishermans Bend to reach its potential,” Mr Wizel said.
The deal is the latest in a string of sales by CBRE in the Fishermans Bend precinct including 179 Gladstone Street for $1.45 million, 112 Munro Street for $8.1 million, 253-273 Normanby Road for $33.05 million, 56-58 Boundary Street for $6.36 million and 280 Normanby Road for $14 million.
Content Courtesy: CBRE