Colliers has sold a seven-storey commercial building with more than 100 years of history at the heart of Flinders Lane during a competitive process in a demonstration of demand for CBD office buildings.

Appetite heats up as Colliers sells another freestanding CBD building. Colliers’ Daniel Wolman, Matthew Stagg, and Oliver Hay were exclusively appointed to sell Invicta House, at 226-232 Flinders Lane, late last year when the market picked back up after Melbourne’s COVID-19 Stage 4 lockdown.

Situated in the most exciting pocket of the CBD, directly next to the new Town Hall Station – CBD South Metro Tunnel, the property received significant interest with more than 300 enquiries and circa 10 offers.

Formerly home to Victoria Police and Greenhouse Backpackers, the stunning building with its art déco façade was offered subject to vacant possession by Swinburne University of Technology.

“The blank canvas opportunity sitting on a corner block in one of Melbourne’s most desired pockets saw interest from all types of buyers, which had the negotiations running deep into the New Year period,” Mr Wolman said.

“Invicta House has stood proudly in the heart of Flinders Lane for over 100 years and been part of Melbourne’s growth into a thriving international city. The purchaser has just secured a piece of Melbourne’s history and invested in its future and we are excited to see the next chapter for this magnificent building.”

In a competitive process that saw offers from investors, owner-occupiers and developers seeking to capitalise on the up-side flexibility of this unconquered CBD offering, the final buyer was Fidinam, on behalf of ST Australia Real Estate out of Switzerland.

This is the fifth CBD asset that Fidinam has purchased for ST Australia Real Estate with the most recent being Swann House at 22 William St which the group also purchased from Colliers in 2019 for $52million.

While the purchase price remains undisclosed, Fidinam Australia Managing Director, Matthew Burrows was bullish on the Melbourne market.

“This being our second value add purchase in the last 14 months in Melbourne we remain positive on the medium term outlook for the city and believe it remains one of the top investment destinations nationally if not globally at present,” Mr Burrows said. “We are excited to see what we can do with this blank canvass.”

Invicta House, situated on the corner of Flinders Lane and Monagham Place, features a stunning character façade and comprises a seven-storey commercial building plus basement and rooftop terrace.

The gross building area is approximately 6,482sqm with an underlying land area of 741sqm and an extensive 18.22m Flinders Lane street frontage. Fidinam will be looking at transforming the property into a refurbished office building with exciting hospitality vibrancy on the doorstep of Melbourne’s most convenient location.

“Flinders Lane is the epicentre of Melbourne’s renowned cosmopolitan culture and offers an abundance of hospitality and retail offerings,” Mr Wolman said. “It is a vibrant, 24/7 destination, popular with locals as well as interstate and international tourists.

“The property is also situated within 20m of Swanston Street, the Melbourne CBD’s busiest retail strip and the main pedestrian thoroughfare for commuters travelling to and from the CBD via Flinders Street Train Station.”

The precinct is the centre of the new Metro Tunnel infrastructure upgrade by the State Government of Victoria at an estimated cost of $11billion. This will include a new underground Town Hall Train Station with entry points within 150m of Invicta House.

Swinburne University of Technology had originally purchased the property to create a unique event space in Melbourne, however has decided to further invest in technological innovation at their Hawthorn campus. In addition, following a partnership agreement with ACMI to establish the Swinburne Studio in Federation Square, the university will be able to utilise in a different space in the Melbourne CBD. commodo magna eros quis urna.”

For a sold analysis please email either of the marketing agents Daniel Wolman Matthew Stagg and Oliver Hay via the contact forms below. 

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