Strong demand for city fringe showroom and office property is likely to attract a healthy crowd of investors to the auction of a Church Street Richmond property with expectations of circa $12.5 million, according to marketing agents Teska Carson directors, Matthew Feld and Michael Taylor. 

Located at 577-579 Church Street, the property comprises a 900 square metre office and showroom building over two levels with a third, basement, level offering substantial parking space. The property is fully let to office tenant Maybach Property and furniture store Icon By Design, and currently returning $525,000 per annum with a WALE of 4.8 years.

The 498 square metre ground floor showroom features double height ceilings, while the first floor, 402 square metre office, has separate access via a private lift from Amsterdam Street along with exclusive access to a 97 square metre roof top deck providing views to the CBD.

The prominent 445 square metre corner site, zoned Commercial 2, has three street frontages totalling 43 metres. Commercial 2 zoning aims to encourage commercial areas for offices,

appropriate manufacturing and industries, bulky goods retailing, other retail uses, and associated business and commercial services.

Teska Carson directors, Matthew Feld and Michael Taylor, said the property presented an outstanding opportunity to acquire a trophy investment in one of Melbourne’s most sought after city fringe locations.

“There is no doubt that the Richmond, and Cremorne, areas have been the focus of a significant shift towards city fringe office space over recent years which has driven growth in both rents and values.

“This property offers an exceptional office and showroom building in the heart of that sought after precinct with a very secure lease profile and easy access to every essential amenity,’’ Mr Feld said.

Located within walking distance of Richmond and East Richmond railway stations, and within close proximity of key arterial roads, the central location also offers easy access to Richmond’s café and fashion precincts providing excellent staff amenity.

Mr Taylor said recent sales activity in the area revealed consistent yield compression which looked set to continue especially given the precinct’s emergence as Melbourne’s `tech hub’ and the likelihood that it would continue to experience significant tenant demand into the future.

He said the massive influx of office tenants had been growing side by side with a who’s who of Australian furniture designers and retailers.

“With neighbours such as Space, Poliform and King Furniture, any credible furniture brand must have a presence on Church Street,’’ Mr Taylor said.

The property will be auctioned on Thursday, August 19 at 1pm on site.

To request a copy of the Information Memorandum please contact one of the marketing agents Teska Carson directors, Matthew Feld and Michael Taylor via the contact details below.