Pelligra spends c$38m on sites in Carlton, Braybrook

The hotel (outlined) is less than a kilometre to the top of Melbourne’s CBD.

Pelligra Group is paying a speculated $35 million for the Rydges on Swanston hotel at the centre of the botched quarantine program, part responsible for Melbourne’s latest COVID-19 outbreak.

The 107-suite guesthouse at 701 Swanston Street, Carlton, will now be renovated as a 4.5-star inn with conference facilities, and re-let.

Vendor, Adelaide based hotelier David Horbelt paid $12m for the investment 20 years ago.

Colliers International’s Oliver Hay, Guy Wells and Trent Hobart with Jones Real Estate’s Paul Jones and Tim Spargo said 12 bids were received following an expressions of interest campaign which closed on August 20.

Investors, occupiers and other developers contested for the 1762 sqm holding at the north west corner of Lincoln Square North, overlooking Lincoln Square.

Rydges on Swanston is less than a kilometre from the CBD (story continues below).

Residential planned for Braybrook site

A residential project is set to replace a Gateway to Glory church offloaded by the state government at 13 Kent Street, Braybrook.

Meanwhile in Braybrook, 10 kms west of Melbourne, Pelligra with Citinova has paid the state government’s VicTrack $3.315m for a 4029 sqm site abutting Pritchard Reserve and Sunshine VRI Bowling Club.

Peter Kay of Douglas Real Estate closed an expressions of interest campaign for 13 Kent St in June.

The land was promoted for its potential to make way for a medium density residential project or a medical or childcare centre.

Elsewhere in the suburb, Pelligra owns two former tips and ex-ETA Peanut Butter factory. Two years ago it purchased the 39-hectare former Huntsman Chemical Corporation parcel at 454-460 Somerville Road, Brooklyn, about six kilometres south west of Braybrook, with the intention of replacing it with an industrial estate.

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Marc Pallisco

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

Marc Pallisco