A private local developer has bought a warehouse at 35-39 Clifton Street in Prahran, reflecting the renewed appetite in the post-lockdown climate for inner-city development sites in Melbourne.
The high-clearance warehouse occupies a 470-square-metre site at and is currently home to local health food wholesaler, Emma & Tom’s, on a three-year lease term. It is currently zoned Activity Centre Zoning, allowing for conversion to high density housing.
Savills Australia’s Julian Heatherich and Benson Zhou brokered the deal via private sale on behalf of local private vendor.
Mr Heatherich saying the site represented “a rare opportunity to deliver a landmark project within the vibrant and highly desirable suburb of Prahran.”
“The site’s flexible zoning under the City of Stonnington Planning Scheme could support development of up to eight levels, subject to council approval,” he said.
“This area is firmly entrenched as one of the most affluent city-fringe precincts in Melbourne, underpinned by a thriving retail, café and dining culture that is driving strong demand for apartments in the immediate locale.
“The connectivity of the site, on the doorstep of Chapel Street and within close proximity of Prahran and Windsor’s tram and train lines, was equally appealing to the buyer.”
The sale represents a rate of $9,574 per square metre for the 470-square-metre site, and a yield of 1.50 per cent.
Emma & Tom’s delivers a short-term holding income of $67,496 net per annum.