Storm Financial Sells Melbourne Office at a Loss After Just 4 Months

The sale price reflects a sharp loss of more than 15 per cent for the North Melbourne building, which Storm bought just four months earlier, before collapsing.

Storm paid a reported $6.75 million for 552 Victoria Street, from the National Union of Workers, which in turn spent about $6.7 million on a new building at 833 Bourke Street, in Docklands.

It was speculated Storm might renovate and then move into the North Melbourne office. Instead it folded, forcing receiver and manager KordaMentha to sell its commercial property assets.

Employment service provider Wise Employment has purchased the building.

Knight Frank’s Michael Hede and Jones Lang LaSalle’s Steve Messina marketed the North Melbourne property.

Another Storm property asset, the former General Motors Holden power station at 610 Lorimer Street in Port Melbourne, is also believed to have sold for about $700,000, while a former wedding reception centre in Geelong, Sladen House, used by Storm as offices, was put up for sale recently for about $2 million.

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Marc Pallisco

A freelance property analyst and journalist, Marc is a co-founder of realestatesource.com.au.

Marc Pallisco

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