Jacky Mulani, who recently purchased a $20 million Perth mansion, is believed to have bought the 570 St Kilda Road office building from Queensland-based industry and union fund Sunsuper, an AMP Capital Investors-controlled fund.
The purchase would be Mr Mulani’s first foray into Melbourne’s commercial investment market. His other assets in Australia include an office building in the Perth CBD, and a share in the Araluen Golf Resort, about 40 kilometres south-west of the WA capital.
In June last year, Mr Mulani offered former property developer Warren Anderson $19.5 million for his luxury Lawton House mansion in Colin Street. Mr Mulani is planning to redevelop the site into offices and apartments, around a heritage-listed mansion.
A spokesperson for Mr Mulani did not return a call, while Colliers International selling agents John Marasco and Tim Bolton declined to elaborate on the details.
The speculated price of $28.5 million for the St Kilda Road site would translate to a market yield of about 7.9% and a rate per square metre of more than $3700.
The 10-level building includes 7688 sq m of office space and sits on a 2323 sq m block of land with a street frontage to St Kilda Road, and Queens Lane to the rear.
Sunsuper paid $21.3 million for the asset in July 1998.
Last week, it was reported an undisclosed private investor paid about $20 million for a nine-level office building near the corner of Albert Street and St Kilda Road.
The property is believed to have sold on a yield of about 7.75%.
Elsewhere, Dexus Property Group paid $65.5 million for 441 St Kilda Road, private investor Yong Quek paid $40.35 million for 420 St Kilda Road, and the Myer family paid about $50 million for 312 St Kilda Road.
Flight Centre paid $31.3 million for 436 St Kilda Road, which it plans to occupy.
The biggest St Kilda Road commercial property on the market now is 553 St Kilda Road, which is expected to fetch $40 million to $45 million.