Menzies Institute of Technology offers West Melbourne’s former Carron Tavern

EXCLUSIVE

Menzies Institute of Technology is selling the West Melbourne property which until 2015 accommodated the Carron Tavern.

The educator, headed by Korean born Dr Uck Han Chun, acquired 396-400 Spencer Street to owner-occupy.

High-rise construction has been rampant around the West Melbourne site (outlined) in recent years.

It was Menzies’ fifth Melbourne base since establishing nine years earlier.

The school is headquartered across the road at 355 Spencer Street.

Menzies refurbished the pub into a medical education facility with lecture theatres and spaces to replicate hospital wards.

The double storey complex contains 800 square metres of area which TCI Teneketzis director Jack Teneketzis expects will attract investors and other owner-occupiers.

The airspace is arguably the most valuable thing about 396-400 Spencer Street, following the recent application of a West Melbourne Precinct Structure Plan.

Given the introduction of the West Melbourne Structure Plan in 2018, which allows for the construction of major skyscrapers, Mr Teneketzis thinks developers will show an interest, too.

The broker describes the 458 sqm block as having “immense upside potential”.

Menzies refitted the former pub as lecture theatres and prac rooms,

Dr Chun is expected to reap more than $6.5 million from the sale.

West Melbourne

Opposite the old Carron Tavern, Deague Group is at 83-113 Batman Street completing construction of Melbourne Village – a residential complex with 33 townhouses and two 27-storey towers containing 496 apartments.

The Ermin Smrekar designed office next door, 115 Batman Street (pictured, below), sold to IOOF as an investment for $22 million last August.

The Ermin Smrekar designed office (outlined) at 115 Batman Street, West Melbourne. – which IOOF acquired for $22 million last year.

Victor Smorgon Group and Trenerry Property are replacing a former Australia Post site at 185 Rosslyn Street, West Melbourne, with West End, a mixed-use complex containing 377 flats, 92 hotel rooms and 4580 sqm of retail space.

Trenerry Property paid Australia Post $40 million in 2015 for the 9200 sqm plot which is making way for the project.

At the adjacent corner to 396-400 Spencer Street, quarry owner Paul Lofitis is seeking to build a 20-storey apartment building atop the historic Dalston Bakery building.

Last November, we reported that the Heritage Council of Victoria deemed the suburb’s Festival Hall worthy of protection.

This decision killed plans the owners had of replacing the 272-306 Dudley Road site with two 16-storey residential buildings.

In March, property group Oliver Hume sold the historic Briscoe & Company warehouse at 164-184 Roden Street, West Melbourne(pictured, below), for $17 million.

Oliver Hume paid $18 million for the 3642 sqm plot in 2015 before obtaining a permit which would see it refurbished and extended into a seven level building with 157 residences.

An artist’s impression of the completed residential conversion of 164-184 Roden Street, West Melbourne, .

For 26 years prior to 2015, the site, at the north-east corner of Adderley Street, and also with frontage to Hawke Street, was occupied by parts business Don Kyatt Automotive Services.

In planning news, the current North Melbourne train station is within a few years set to be renamed West Melbourne – the suburb it is actually located in.

A new North Melbourne train station is under construction opposite the Nick Theodossi Luxury Car showroom near the corner of Arden and Laurens streets. Coincidentally, Mr Theodossi is shopping his North Melbourne showroom and 11 neighbouring sites for sale as a high-density residential redevelopment opportunity . Any deal, it is speculated, could be worth about $150 million.

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Marc Pallisco

A former property analyst and journalist, Marc is the publisher of realestatesource.com.au.

Marc Pallisco