A portfolio of Bay Street, Brighton, shops accrued by late local real estate agent Tom Chapman, sold this week for $6.83 million.
At the prominent north east corner of Warleigh Grove, opposite North Brighton Station, #311 (pictured, top) – occupied for over 25 years by Brighton Carpets – Carpet Court – traded for $3.81 million.
On 408 square metres, zoned Commercial 1, the property was marketed for its potential to make way for a triple storey, mixed-use building – part-explaining the low 1.9 per cent yield.
Six bidders contested with the sale price $460,000 over reserve; the buyer was an investor.
It was this shop Mr Chapman acquired in 1956 to establish a Hodges agency he managed for 30 years.
“Corner sites in the heart of Brighton retail strips are ultra-rare,” Fitzroys’ Mark Talbot, who marketed the asset with Chris James, said.
“Investors also recognised the property’s excellent rental growth prospects, while land bankers and value-add players were attracted to the…zoning and Design and Development Overlay…at a time in which the suburb is seeing a plethora of medium-density residential developments,” he added.
Mr Chapman was considered a marketing innovator , according to the agent, initiatives including installing two-way radios in his agent’s cars, and being one of the first to introduce display advertising (story continues below).
Neighbouring shops collect $3m
Meanwhile, near the easternmost edge of the strip, opposite the Coles supermarket, two more shops forming part of Mr Chapman’s estate traded at auction.
Two investors contested for #407 which sold for $1.84m – $300,000 over reserve, reflecting a 2.9pc return.
Over two floors, and on 247 sqm, it is leased until 2025, with a five year option.
Next door – a vacant property, #409, on a 180 sqm block, found favour with an owner occupier for $1.18m.
Tom Fisher and Mark Talbot were the agents.
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