The Smorgon family has sold a Melbourne CBD office for $16.35 million.
The Katherine Place complex at 517 – 537 Flinders Lane was developed in the 1980s by the Becton Group and includes two buildings, known as 517 – 525 Flinders Lane (rising four levels and with 5609 square metres) and 533 – 537 Flinders Lane (a smaller four-level 1556 square metre office).
Both assets are flanked with ground floor retail.
Private investor Brendan Sullivan has been reported as the buyer, purchasing the asset on a low yield of 6.2 per cent.
The assets were 94 per cent leased. On a fully leased basis it could return $1.22 million.
Mr Sullivan is expected to update the office space and up the rents, which are considered under market value.
Katherine Place is adjacent to the landmark Rialto Towers.