The property at 577 King Street sits on almost 5500 square metres of land and has three street frontages including a 50 metre frontage to King Street and 71 metre frontage to Roden Street. It includes a vacant 4700 square metre car showroom and service centre which until recently traded as a Summit Holden and Saab dealerships.
A spokesman from Summit Investments, which sold the property, declined to comment when contacted by Capital Gain.
Zagame Automotive Group chief executive Bobby Zagame said the site will be redeveloped into an integrated showroom and servicing “one stop shop”, and replace four other inner-city showrooms.
Alfa Romeo, Fiat and Lotus car dealerships will relocate from showrooms in Richmond to the new premises.
“The West Melbourne pocket has been underdone in respect to values until recently,” said Mr Zagame. “With development along Spencer Street and better links with Docklands and the CBD, we believe the area will only get better and better.”
Vinci Partners director Frank Vinci, who represented Zagame, said “few properties of this magnitude exist within a stones throw of the CBD hence we were extremely pleased to secure the holding on behalf of our client.”
The property was marketed by CB Richard Ellis agents Andrew Dawkins and Walter Occhiuto.