04.06.21
MONTAGUE PRECINCT SOUTH MELBOURNE – TWO PRIME CITY FRINGE OFFERINGS TO TAP PENT UP INVESTOR AND OWNER OCCUPIER DEMAND
160-164 Montague Street, South Yarra & 132 Thistlethwaite Street, South Melbourne
Two properties in Melbourne’s prime city fringe Montague Precinct are set to tap pent up demand in the private investor and owner occupier market.
Emmetts managing Director Charles Emmett is expecting strong interest from investors, owner occupiers and value add investors / developers for both properties. “There really hasn’t been much offered to the market in this prized city fringe precinct in some time” Mr Emmett said.
“Demand for well located city fringe properties has been a strong theme through the start of 2021, with investors seeking properties with solid income profiles and significant potential uplift as city fringe locations continue to develop”
Emmetts Director Andrew Milligan noted that “the precinct immediately surrounding the properties has been in the midst of a 10 year long development phase following the rezone to a Capital City Zone in 2012 under the Fishermans Bend Urban Renewal plan, with a strong focus from developers in the Montague precinct given its excellent access to major freeways and arterials, lifestyle and retail amenity and a developing and connected community of residents and workers.
132 Thistlethwaite Street, currently a workshop, will appeal to both owner occupiers and investors, with short term income allowing for vacant possession and an underlying landholding of 507 sq m.
160- 164 Montague Street, a car wash, returning approximately $144,000 per annum, will suit longer term investors who can hold the property for the medium term to unlock the underlying land of approx. 663 square meters.
Both properties are zoned Capital City Zone 1 and have a preferred maximum height limit of 8 storeys under the Port Phillip Planning scheme.
Traditionally a city fringe industrial and commercial precinct, the precinct is undergoing a transformation into a well-connected mixed-use precinct which was spurred on by the rezone in 2012. By 2050 the broader Fishermans Bend Precinct is anticipated to accommodate 80,000 employees in enterprise, technology and advanced manufacturing sectors.
In addition the area is anticipated to evolve into a medium to high density mixed use residential precinct, with many high-rise projects having already been completed, with numerous others in planning.
Grey Star purchased a significant permitted landholding from CEL towards the end of 2020 nearby on Gladstone Street, which was permitted for 722 apartments to add to their Build to Rent pipeline. Beulah has recently completed their Habitus development – a connected row of 4 and 5 stories modern terrace houses. Samma Group has recently completed Lilix, a 96 residential apartment building over 7 levels. GURNER has received ministerial approval for their $1 billion mixed use precinct of 70 residences, commercial, hotel and retail.
Elsewhere in the precinct, the vertical South Melbourne Primary School is home to 450 students across 6 stories and a $100 million childcare centre under the direction of Little Lane Early Learning has been designed on a 9,500 sq m site at 6-78 Buckhurst Street, accommodating 380 children and 100 staff. The University of Melbourne has committed to a $2 billion seven-hectare campus with a focus on engineering and design in the Employment precinct of FIshermans Bend. The campus will eventually house over 1,000 students.
For further details regarding this market insight, contact:
Charles Emmett
M: +61 402 358 069
E: charles.emmett@emmettsrealestate.com.au
Andrew Milligan
M: +61 421 559 992
E: andrew.milligan@emmettsrealestate.com.au
