Two Hawthorn neighbours have paired up to sell their properties at auction for $3 million.
A local investor has purchased the two properties at 573 and 575-577 Burwood Road. The 443sqm site has quality existing improvements and potential for future boutique development in Melbourne’s premier ‘Inner East’.
CBRE’s Victorian Development Sites team of Scott Orchard, Sandro Peluso and David Minty sold the property at a rate of $6,772 per sqm. One property is tenanted, whilst one is vacant.
Mr Minty said the auction attracted around 65 people with a total of six bidders.
“The bidding kicked off at $1.8 million, moved quickly to $2.5 million and then the final three bidders took the property to $3 million where it was sold. The property was sold to a local investor who owns a number of retail properties around Melbourne and will be keeping the property as an investment. A number of off-shore investors were also interested,” Mr Minty said.
“There was a 15% premium in the end sale price with the two property owners combining to sell their property together over estimation of value if they were to sell individually,” he added.
“The sale highlighted the demand for good quality landholdings positioned within prominent activity strip locations with both investment and development potential,” Mr Orchard said.
“The City of Boroondara is an attractive location for offshore groups who quite often live in the area and want to buy real estate there for their families. In this instance, the off-shore groups were outbid by a local investor who held other properties along Burwood Road and saw the growth potential of this location particularly with the introduction of a number of new residential apartment buildings and further foot traffic,” Mr Peluso said.
Content Courtesy: CBRE