A’Beckett Street Heats Up As Third Building Sold in Three Months

A third neighbouring building on Melbourne's A’Beckett Street has been snapped up by an Asian investor in as many months as local and offshore buyers battle for well located CBD assets.

Colliers International’s Daniel Wolman and Oliver Hay have sold 55-59 A’Beckett Street in Melbourne to a private Malaysian investor for $9.8 million following an Expressions of Interest campaign which attracted more than 80 enquiries.

“This is the third freestanding building that our Melbourne City Sales team has sold on A’Beckett Street in the past three months,” Mr Wolman said.

“The property attracted enormous interest from several local and offshore groups, particularly due to its significant development potential, however it was a private Malaysian buyer who managed to outbid the competition.”

The two-level commercial building was located on 323 sqm in the heart of the Melbourne CBD retail core with dual street frontage via A’Beckett Street and Literature Lane and exposure to high foot traffic assisted by its proximity to nearby RMIT University, Melbourne Central and Queen Victoria Market.

It follows the sale of 51-53 A’Beckett Street in June and 71-73 A’Beckett Street in May by Mr Wolman and Mr Hay.

The classical, two-level building at 71-73 A’Beckett Street changed hands for the first time in 55 years after outstanding buyer interest resulted in a sale before auction. It was sold for $3.4 million on behalf of the Victorian Spiritualist Union, an eventual sale price that was 21 per cent above asking price.

51-53 A’Beckett Street, a three-level office and retail building, was sold on behalf of two local private investors. The auction attracted a 100-strong crowd, with five bidders making 20 bids before the property was knocked down for $4.6 million.

“This section of Melbourne’s CBD is currently seeing, and has over recent years, seen incredible redevelopment and considerable uplift which has been driven by high rise residential living and low office vacancy levels,” Mr Wolman said.

“We are seeing a surge in activity as vendors move to take advantage of current market conditions, taking advantage of the fast-moving, strong CBD environment.”