2-16 Spencer Street, Melbourne $50m
Two adjoining properties at the super-prominent south-west corner of Melbourne's Hoddle grid are the subject of speculation that they are selling to a high-rise builder for about $50 million.
The rundown buildings between 2 and 16 Spencer Street, on the corner of Flinders Street, cover 1960 square metres and are expected to be the subject of a skyscraper application, which, like several other proposals this year, will overshadow the Yarra's north bank.
The mooted sale includes the All Nations International Backpacker Hotel – formerly the Nomads All Nations – which last traded for $10.7 million in 2012. It also includes the neighbouring Pensione Hotel Melbourne, formerly the Explorers Hotel Melbourne, which is owned by a separate investor. The Pensione site last traded for $13.7 million in 2007.
Capital Gain reported a campaign to sell the sites together was underway in July. CBRE selling agents Josh Rutman and Mark Wizel were unavailable to comment about the off-market deal.
Last week, the City of Melbourne Council approved a 295-metre tower for 447 Collins Street despite concerns it would shade the Yarra River. Earlier this month, Singapore's Fragrance Group unveiled plans for a similar height (approximate 90-level) building which, like the nearby Rialto, would overshadow the north bank.
Also recently, the Malaysia-based owner of the former Fletcher Jones building at 1-5 Queen Street lodged plans for a 90-metre (26-level) building which would cast shade around the Banana Alley Vaults and Sandridge Bridge between 11am and 2pm.
On the riverside World Trade Centre block known as 7-23 Spencer Street, local developer Asset1 last month lodged plans for four towers, the tallest 23 levels. It is speculated the existing 13-level Crowne Plaza Hotel will be demolished as part of this development, providing the new compound a river setback.
$9m Pakenham industrial site sale
A private business is speculated to be paying about $9 million for a 35.4-hectare development site in the outer south-east suburb of Pakenham.
The Industrial 1 zoned property – currently a farm – was offered with an approved plan of subdivision, the first stage of which would see a portion sliced into 24 blocks. It is expected the new owner will retain a section for itself.
The land at 1110 Healesville-Koo Wee Rup Road is about 800 metres from an interchange to the Pakenham bypass. Dandenong is 30 kilometres away via the freeway; the CBD about 60 kilometres.
Facey Industrial Commercial's Josh Kendall and Mark Bond marketed the Pakenham parcel. It is near the SouthEast Business park – a joint venture between the McMullin Group and Shire of Casey council. High-profile occupant Car MegaMart earlier this week announced a move to SouthEast.
Emulation Hall, Canterbury, sells
Interests associated with the Freemasons Victoria Masonic Centre have quietly sold a community hall in one of Melbourne's most exclusive suburbs and streets.
Chatham Lodge – also known as Emulation Hall – is an imposing 87-year old Masonic Centre at the southern end of tree-lined Rochester Road, opposite the Canterbury train station, in Melbourne's ritzy east.
The distinctive building is Australia's last remaining example of Egyptian Revival architecture, according to selling agents Peter Batrouney and Campbell Ward of Jellis Craig, who were also marketing it to prestige residential buyers with price expectations of $1.5 million. The property is speculated to have sold to a developer who will reconfigure the building for commercial use.
Last August, Freemasons Victoria unveiled plans to replace its prominent Dallas Brooks Hall site, opposite the Fitzroy Gardens in East Melbourne, with two apartment buildings rising 17 and 11 levels and offering 275 flats. It would retain a 1000-square metre portion for function space.
Lot 1 Browns Road, Werribee
A Chinese billionaire has agreed to pay a Werribee farmer $4.4 million for a 54-hectare block before a scheduled October auction.
Formerly Green Wedge zoned land, the residential development site known as Lot 1, Browns Road, in Werribee, is on the north-east corner of Wests Road which is a service lane to the busy Geelong Road and Princes Highway.
Though not offered with a permit, it's expected the land, about 38 kilometres from town, will make way for a housing estate longer-term, being three kilometres from the Werribee retail and commercial centre.
Last year, the state government also announced plans for a major employment hub in East Werribee, which includes infrastructure improvements.
John H Castran director John Castran said the Browns Road sale price is a record for rural land in Werribee's Urban Growth Boundary.
Last May the 81.5-hectare neighbouring block at 15 Browns Road sold for just over $4 million.
Carlton looks up
Carlton may not be looking so low-rise in years to come with two applications for major apartment towers lodged this month – including one that will shut down a budget accommodation institution.
On the site of a former housing estate, Australian Unity has applied to Planning Minister Matthew Guy to build a nine-level, 91-unit aged care facility. With 106 car parks, 14 bike spaces and green spaces, the proposed building will replace sites known as 508 Rathdowne and 21 Reeves streets.
The government-owned block is one of several around Melbourne's inner-city being replaced with a mix of new public and private housing.
Meanwhile not far away at 66 Lygon Street, Zagame Corporation will shut the Downtowner Hotel and replace it with an apartment building more than four times the height. More details of the proposal are in Domain.
East Malvern ex-fire station sells to developer for $8m
A fire station near the busy T-intersection of Dandenong and Waverley roads, in Malvern East, has sold to a developer for about $8 million.
The 1376-square metre block was offered with a permit for a five-level complex with 64 flats, two shops and 66 car-park bays. The proposed complex is walking distance to the Monash University Caulfield campus, Caulfield train station and Caulfield Racecourse.
Gross Waddell's Michael Gross and Jonathan McCormack marketed 80-90 Waverley Road for an investor who bought it from the Metropolitan Fire Brigade a couple of years ago then leased it back while obtaining the permit.
Earlier this year the MFB listed two 1750-square metre development sites in Essendon and Coburg. The MFB will shortly relocate Waverley Road services to a new facility in Malvern Road, Glen Iris.
Email: marcpallisco@gmail.com
Twitter: @marcpallisco
