A local investor has paid $11 million – 32 per cent over guide – for two adjoining shops in Glenferrie Road, Malvern.
The double storey properties – both with upstairs offices – contain a total lettable area of 700 square metres.
The sale price values every sqm of land at $24,608.
It also reflects a 2.37pc initial passing yield; three of the eight tenancies are vacant.
180-182 Glenferrie Road
At the north east corner of Winter Street, the property has 70 metres of road frontage.
It is opposite a large car park and Coles supermarket – the strip’s anchor tenant.
Sushi Sushi recently signed a seven year lease paying starting annual rent of $1230 per sqm.
Winter Café, held by the Only Hospitality Group, occupies another tenancy, as does Here Yoga and About Sight Optometrists (story continues below).
The fully leased income is c$425,000.
Strips in demand
The Malvern deal comes three months since Oreana paid $13.15m – reflecting a 2.2pc initial net return – for a row of four South Yarra shops, next door to a major commercial building it acquired not long earlier.
In March, a soon-to-be-vacated Westpac branch in Glenferrie Rd, Hawthorn, traded for $11.5m – more than 10pc over guide.
Late last year 299-301 Chapel St, Prahran, found favour with an offshore investor who paid $12.5m – or $19,841 per sqm of land.
A similar rate ($19,035 per sqm) was achieved for the neighbouring shop – #291.
Coincidentally, Emmetts struck all these sales.
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