Justin Hemmes buys council car park with redevelopment plan
Justin Hemmes’ Merivale has snapped up an eight level council car park in Melbourne’s Paris End with plans for a landmark hospitality venue.
Worth a speculated $55 million, against c$100m-plus expectations, the divestment of 34-60 Little Collins Street, on the north west corner of Meyers Place – mooted in December – was approved at a confidential Melbourne City Council meeting tonight.
The publican’s proposal for a hotel and restaurant precinct, with an end value potentially exceeding $250m, was also endorsed.
The CoM listed the asset last September.
Prior to any redevelopment, Merivale will have to pay Dexus out of a lease expiring in mid-2037; the improvement, with 940 bays, is a commercial car park (Dexus valued the leasehold last June at c$11.3m).
Swag of Merivale brands coming to Melbourne
Branded Parkade, the Merivale proposal at 34-60 Little Collins St will contain a hotel, day spa and gallery.
Several floors will also include retail including sisters to popular Sydney eateries, Mimi’s, MuMu and JAM Record Bar.
A Totti’s, which trades at the Lorne Hotel, is also expected to open at the redevelopment (story continues below)
The property is across the road from the Harry Norris designed Kantay House, presently containing the San Telmo bar, which Mr Hemmes bought for c$15m in August, 2023.
Both blocks are zoned Commercial 1 but limited to height restrictions of about 40 metres.
“Parkade offers such an incredible opportunity to do something so special for the people of Melbourne,” the publican said following the 34-60 Little Collins St endorsement.
“The revitalisation and repurposing of this underinvested yet wonderful site has the potential to be an incredible addition to the fabric of Melbourne, an iconic landmark destination precinct full of life and vitality,” according to the publican.
Lord mayor Nick Reece added the project was a huge vote of confidence in Melbourne from Merivale, which was selected as the preferred bidder.
“More than just a typical pub or hotel, Merivale’s ambitious vision showcases our love for culture, music, fine dining and fitness – offering an iconic experience for residents, workers and visitors day and night” he added.
JLL’s Josh Rutman and Piper Dedrick managed the sale.
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