A high-profile, architect-designed office icon in South Melbourne is anticipated to sell for around $30 million after being listed for sale through Burgess Rawson’s Shaun Venables and Romanor Falconer, and Kelly & Kelly’s  Anthony Kelly and Gordon Kelly. 

Constructed in 2016, the premium asset at 80 Market Street is currently home to Yamaha Music's head office and  successful coworking hub, The Commons. 

Anthony Kelly noted that the current vendor has owned the asset for nearly two decades. Originally a sawtooth  warehouse, the property was initially considered for apartment redevelopment but was ultimately transformed into  a state-of-the-art office building, which was fully leased before its completion. 

“The foresight in redeveloping the site into an office building has significantly enhanced its value and appeal,” he  said. 

Meticulously designed by Billard Leece in 2016, the five-level building boasts modern architectural flair and  features openable windows, a 4.5 star NABERS energy rating, exposed ceilings and a clever design created to  capture natural light. 

Situated in a tightly held CBD gateway location, neighbouring DFO South Wharf, Melbourne Exhibition Centre,  Crown Casino and just 1.5km from the Melbourne CBD, 80 Market Street is nestled in the vibrant heart of South  Melbourne's lifestyle and entertainment precinct, ensuring excellent accessibility and high desirability for  businesses. 

The asset spans 3,168 square metres of net lettable area, with a site area encompassing 1,022 square metres. It  features three garden terraces totalling 265 square metres, secure storage, and parking for 37 cars.  

Yamaha Music Australia’s lease runs from 1 April 2017 to 31 March 2027, with two additional five-year options  extending to 2037. The Commons South Melbourne lease extends from 1 September 2016 to 31 August 2028,  with one nine-year option to 2037, generating an estimated net income of $1,746,055 per annum plus GST. 

South Melbourne is home to the historic South Melbourne Market, established in 1867 and attracting over  100,000 visitors weekly. It plays a significant role in the Port Phillip Municipal Council, contributing over 30% of its  $30 billion output. Despite its age, South Melbourne continues to grow, with apartment prices increasing by 5% in  two years to $625,000. 

Mr Falconer said South Melbourne plays a significant role in the port Phillip Municipal Council, contributing over  30% of its $30 billion output and home to the historic South Melbourne Market, established in 1867 and  attracting over 100,000 visitors weekly. 

Mr Venables highlighted the exceptional investment opportunity, citing the quality tenants and strategic location  as key factors.  

“With over $1.5 billion in surrounding development completed, approved, and proposed, this sale represents a  unique chance to acquire a premium office building in a highly sought-after location, with secure long-term  tenancies and substantial income potential,” he said. 

The property is being sold via an Expressions of Interest campaign closing 3:00 PM (AEST) on Wednesday, 14  August 2024. 

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