A historic building in Melbourne’s Lonsdale Street Greek precinct has been sold for a sum of $10.15 million.
Built in 1891, the three-storey Victorian-era building on a corner block, has long been known as the site of as one of the area’s Greek institutions International Cakes.
Owned by a Greek Australian, whose name has been withheld, the deal was brokered by Savills Australia’s Nick Peden, Clinton Baxter and Benson Zhou in conjunction with Burgess Rawson’s Jamie Perlinger on a tight 3.94 per cent yield, at a rate of $53,989 per square metre.
According to Mr Peden the strong sale result is large part due to the limited number of properties located centrally on the property on the market.
“As a result, there is significant pent-up demand, which is leading to strong sale results,” he said, adding that he expects the sale to set the precedent for the rest of the year.
The building was snapped up by a foreign investor based in China, for whom the location and long-term tenants appealed said Mr Zhou.
It’s not the first time the building has been put on the market however; in August 2016 it was up for sale with a price tag of $9.9 million and withdrawn.
This time around the property had over 100 expressions of interest, and received several offers said Mr Baxter.