Acting for that investor now, Mr Byrne says the Naughton’s offering gives an operator the opportunity to reposition the building as a high end gastro-style restaurant, to cater for the area’s growing number of well-heeled residents.
Though largely occupied by the University, the Melbourne Zoo, stadiums and parkland, Parkville has in recent years attracted a growing number of new residents in various major apartment projects around The Avenue, and the Citylink motorway, and the site of the 2006 Commonwealth Games Olympic Village.
Royal Parade, like St Kilda Road, has a higher-density culture relative to other parts of Melbourne, but no substantial, or memorable diverse ground-floor retail base.
The value and potential rent of homes have increased substantially in the last 25 years, and despite the recent economic downturn, and boost in apartment supply.
The Naughton’s Hotel building is being offered at a starting annual rent of $250,000.
Pre-dating Young & Jacksons and the Windsor Hotel, Naughton’s was a popular watering hole for university students and Carlton Football Club supporters, when that Club’s home games were played in Princes Park.