A Kew retail investment once owned by George Calombaris and before that, the Commonwealth Bank, is for sale.
The double storey building on a 515 square metre Commercial 1 zoned plot at 26-28 Cotham Road is expected to trade for over $4.6 million.
The seller paid Mr Calombaris’ now defunct Made Establishment $4.2m – reflecting a 1.9 per cent return – in a leaseback deal 11 years ago; at the time it was occupied by St Katherine’s but previously traded as a Hellenic Republic.
After sitting vacant for two years it was rented last January to Ayhan Erkoc and Federico Perez, who operate two businesses out of it: Cotham Dining and Nazar Wine Bar.
Based on the annual rent as of November, 2023 – $196,266 – the vendor is chasing a sub 4.2pc return.
The listing comes two weeks since an investment grade office on an 1846 sqm Commercial 1 zoned block in the pocket – 85-87 High St – hit the market with a c$17m-plus guide.
26-28 Cotham Road
With 635 sqm, 26-28 Cotham Rd property is offered with five years left on a six year agreement (story continues below).
After 2027, Mr Erkoc and Mr Perez have two six year options.
The building can accommodate 150 on the ground floor and 100 upstairs.
The triple fronted parcel also offers six car parks from a laneway off Queen Street.
It has longer term development upside too – up to 18 metres or six floors.
“Cotham Dining brings together the former Panama Dining Room and Feast of Merit chefs with a seasonal menu heavy on charcoals and woodfires, drawing on the large family meals of [Mr Erkoc and Mr Perez’s] Turkish and Columbian heritages,” Fitzroys’ Chris Kombi, who is marketing the asset with Chris James and Ben Liu, said.
“The distinctive thatched ceilings have been maintained and the dining room has been refurbished with rustic elements and features exposed brick and greenery,” he added.
Elsewhere in the area, last November, interests associated with Chemist Warehouse outlaid $5.325m for adjoining shops covering 630 sqm at 129-135 High St, it is believed, for the pharmacy to occupy longer term.
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