The latest store, 3/450 – 460 Chapel Street South Yarra, between Bridie O’Reillys and the Jam Factory. Leased to women’s clothes store Jada for five years, with a five year option, the 93 square metre shop was returning $128,000 per annum with annual rental increases and sold on a yield of 4.82 per cent.
Teska Carson director Michael Ludski, who sold the property, said three investors made bids of over $2.5 million.
The sale follows the sale of the former Aveda store at 1/450 – 460 Chapel Street, which will soon reopen as a Diesel store, for $3 million.
Across the road, a store leased to shoe shop Zu, and returning $250,000 per annum sold for $6.25 million, reflecting a yield of 4 per cent.
Chapel Street’s biggest recent sale was the French Connection store at 543 – 545 Chapel Street. The property returned about $250,000 per anum – which was considered under market value – and sold for $7.75 million, reflecting a yield of 3.3 per cent.