Melbourne Officeworks sells for c$17m
The Harbig family, whose business interests include property and fashion, has divested a Melbourne Officeworks held for 27 years.
The Carnegie outlet at 1048-1054 Dandenong Road is speculated to have sold for close to $17 million – a c4.2 per cent yield.
The property last traded in March 1999, for $4.3m.
It was previously occupied by Dick Smith Powerhouse before Officeworks moved in, in 2009.
The Harbig family includes the late Richard (Dick) Harbig, a property investor who was married to Fella Hamilton, who founded the eponymous Australian womenswear label in 1969.
She died in November 2023, aged 97.
The deal comes about four months since realestatesource.com.au reported Time & Place bought the South Melbourne outlet on Kings Way from the De Lutis family.
16-level development upside
The Officeworks lease expires this month, although the tenant has a five-year option at a market-reviewed rate (continues below).
With a 2083 square metre showroom, the gross rent when it was listed in June was $697,873.
The site spans 5163 sqm, zoned Commercial 1 with 63 metres of frontage to Dandenong Rd.
Its eastern boundary abuts the railway line.
In the Carnegie Activity Precinct, it is near the former Glicks manufacturing plant, now a 10-level apartment tower.
Savills’ Steven Lerche, Stephen Bolton and Joseph Maloney marketed its potential to accommodate a 16-storey complex with more than 200 dwellings.
Carnegie is about 12 kilometres south-east of Melbourne’s CBD.
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