The cafe at the base of the landmark Blocktagon development in South Yarra has been sold for $1.11 million.

Mister Zen rose to prominence during the 2015 series of The Block when it was created, designed and named by participating teams as part of a challenge for the show.

It forms part of the tower that came from the transformation of the 34-room Hotel Saville building. 

At a glance:

• Mister Zen cafe at 5 Commercial Road, South Yarra sold for $1.11 million, reflecting a yield of 4.3%
• Fitzroys agents James Lockwood and Chris Kombi negotiated the sale of the property, which was offered with a 4 x 4 x 4 lease in place.
• Cafe was created as part of the 2015 series of The Block.

Fitzroys agents James Lockwood and Chris Kombi negotiated the deal on behalf of a private investor, with the final sale price reflecting a yield of 4.3%.

Comprising of a square-metre ground floor, as well as a courtyard, the property at 5 Commercial Drive was offered with a 4 x 4 x 4 lease in place.

Mr Lockwood said the new buyer is already in the hospitality industry and intended to use to the property as a long-term investment.

"Interest came from local and offshore parties due to the quality of the tenant, which has been hugely successful in catering to the young and vibrant demographic of the area," he said.

"The chance to own part of an iconic Melbourne property was also a drawcard."

The location offers direct access to the Prahran Market, as well as Chapel Street, Commercial Road, and the Greville Street retail precinct, while also being close to public transport links, such as Prahran railway station.

Other nearby destinations include Punt Road, Alfred Hospital, and Fawkner Park.

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