Kennards Self Storage has outmuscled investors and developers to snare a prominent office opposite Patterson Reserve and the Monash Freeway.
The Sydney-based business is paying a speculated $12 million for a Hawthorn East office that the non-profit vendor, Cabrini Health, bought for $2.5 million in 1996.
Kennards is expected to redevelop the existing buildings. They are configured with 9166 square metres of lettable area and a basement car park. The 5506-square-metre site at 453 Auburn Road also has access to Cato Street and Cato Lane.
Gross Waddell selling agents Andrew Waddell, Jonathon McCormack and Michael Gross declined to comment about the property, which came on the market last year.
Last October, Cabrini Health leased a high-tech 2167-square-metre headquarters at 45 Gilby Road, Mount Waverley, about 16 kilometres south-east of town.
The section of Patterson Reserve that the outgoing Cabrini office overlooks is also home to the popular Boroondara Farmers Market.
Melbourne Health gets $8 million shot in the arm
Melbourne Health is about $8 million richer after selling a 5272-square-metre site in inner north-west Flemington.
The former Weighbridge Aged Care Facility at 72 Ascot Vale Road abuts a train line, which separates the suburb from Ascot Vale, where development site land values are slightly lower.
Flats within buildings rising between four and six levels are expected to replace the site, about six kilometres from the CBD. The property has a second access point, to Crown Street, and is a short walk to both the Newmarket shopping centre and Flemington Racecourse.
Knight Frank's Ken Smirk and Michael Hede declined to comment about the "sold" sticker, which appeared on the "For Sale" board this month.
Not far from the Weighbridge property, developer Caydon is marketing apartments in a proposed high-rise building, Only Flemington, which will overlook the racecourse.
Caydon paid $16.5 million for the 3773-square-metre site at 1 Ascot Vale Road, formerly the Racecourse Hotel and a bottle shop. The developer bought the site with a permit for a 21-level, 387-unit complex, unsuccessfully marketed a few years ago as the Equinox tower.
Late last year, Caydon applied to replace that permit with a denser building rising 23 levels and with 409 flats. The group is confident of a VCAT win: recent advertisements for the Only promotie it as a 409-unit complex.
Historic Toorak Road shop ripe for redevelopment
Former BHP executive Ian Gunn is selling a retail asset in what is becoming a development hot spot around the corner of Toorak and Punt roads in South Yarra.
The historic double-storey shop at 27 Toorak Road sits on a 220-square-metre block and includes 241 square metres of internal area. Despite sounding small, inner-city blocks of this size have in recent years made way for medium-density "shop top" apartment-type projects. Redevelopment of Gunn's property would be easier because of its corner location.
John H. Castran agent John Castran is expecting the shop to exchange for more than $2 million.
Late last year, developer Sterling Global unveiled a six-level, 53-unit ultra-premium residential development, The Ralston, for a site at 22 Toorak Road. Another apartment proposal in Punt Road is being considered for a site behind shops on the northern side of Toorak Road, not far from Gunn's.
Sunshine sale for Centuria Property Funds
A residential development scheme that Centuria Property Funds applied to a central Sunshine office asset just before listing it for sale last year may have increased the site's value but won't be acted on.
The North Sydney-based investment house has sold 1 Devonshire Road to a Victorian investor for $8 million.
Prior to listing, Centuria employed architects to propose a residential vision for the site; a common practice to whet the appetite of developers for sites that have flexible zoning.
The Sunshine asset was marketed with the potential to make way for an eight-level residential building with 239 flats.
Instead, the office will be relet to corporate tenants after the federal government moves out at the end of the year. The high-profile corner site of 3815 square metres is near Victoria University, the train station and a major bus terminal. It returns more than $900,000 in annual rent.
Knight Frank's Ken Smirk and Langton McHarg, with DTZ Australia's Patrick O'Callaghan and Richard O'Callaghan, declined to comment about the Devonshire Road deal.
New role for Newton-Brown
Following his shock exit from politics after narrowly losing his seat at the recent state election, Clem Newton-Brown, a former planning barrister, has decided not to return to the Bar.
Instead, the former member for Prahran and parliamentary secretary for education has launched a new consultancy, returning his hand to another specialty: pushing through difficult planning applications.
Prior to crusading social issues in the marginal inner-city seat, Newton-Brown was well regarded in planning circles with a niche for working on complicated projects.
He said Whitemark Property and Planning would seek to maximise land owner's value at the start of the planning process, not after a failed verdict by the Victorian Civil and Administrative Tribunal.
"Planning does not need to be confrontational and much can be done to get sensible development permits through with community support and without the angst and uncertainty of VCAT appeals."
Newton-Brown developed the Ponyfish Island cafe on a flood-prone island under the Southgate footbridge. In 2008, he offloaded a development-sensitive site on the banks of the Yarra River in Toorak with a permit for a private or commercial boat mooring.
The popular politician has in recent years been touted as a Liberal leader. Late last year, Newtown-Brown declared his candidacy for the deputy leader role when the opposition leader role was being contested by former treasurer Michael O'Brien and former planning minister Matthew Guy.
Email: marcpallisco@gmail.com
Twitter: @marcpallisco
