ISPT Brings Landmark Melbourne Midtown to Market

A landmark mixed-use asset in the heart of Melbourne’s CBD has come to market.

Midtown Melbourne, at the corner of Bourke and Swanston streets, is expected to fetch in the vicinity of $165 million.

Spanning about 2787sq m, the site comprises more than 15,000sq m of lettable area across nine storeys.

It includes four levels of super-prime retail space and upper-level office tenancies.

ISPT is the owner.

For sale through Oliver Hay, Daniel Wolman, Trent Weir and Leon Ma of Cushman & Wakefield, the asset has already received strong interest from a wide range of buyers, including private capital, syndicates, and offshore investors, according to the agents.

“We’re seeing significant demand from both domestic and international capital,” Hay said.

“Buyers are drawn to Midtown’s scale, its prime location, and the strength of its tenant mix. It’s a rare opportunity to secure a flagship position in the heart of Melbourne’s CBD.”

Midtown Melbourne’s strategic positioning and tenant profile presented multiple pathways to value creation, making it a compelling future-facing investment, the agents said.

With more than 108m of triple street frontage across Swanston, Bourke, and Little Bourke streets, the property occupies one of the most pedestrianised corners in Australia—experiencing foot traffic of more than four million people annually.

Its ultra-prime retail location and diverse tenancy mix, including flagship retail stores and creative office users, make Midtown Melbourne an exceptionally rare and attractive investment opportunity, according to the agents.

Anchored by a lineup of national and international retailers, the asset includes a new flagship MUJI superstore (replacing the existing Telstra store in 2027), HSBC Bank, Chemist Warehouse, Daiso, and W Cosmetics.

▲ Melbourne Midtown: a flagship MUJI superstore is to replace the Telstra store in 2027.

Agents said the fully leased net income of about $13 million, alongside strong rental uplift potential, underpinned the property’s robust retail offering.

Midtown Melbourne also benefitted from its position at the heart of a revitalised retail and cultural precinct, they said.

“Bourke Street Mall is experiencing a resurgence in foot traffic and leasing momentum, with global brands reaffirming their commitment to the area.

“The property stands at the gateway to Bourke Street Mall, which commands Australia’s second-highest retail rents and is home to some of the country’s most sought-after tenancies, offering unrivalled exposure and 24/7-foot traffic.”

Midtown Melbourne also included an office component with clear repositioning potential, they said.

“Midtown Melbourne is more than just a retail asset, it’s a cornerstone of the city’s evolving commercial and cultural landscape,” Weir said.

The surrounding precinct is undergoing significant transformation thanks to developments including Melbourne Walk and 299 Bourke Street that are reshaping the city’s retail core and elevating its shopping, dining, and lifestyle appeal.

A 100 per cent freehold interest in Midtown Melbourne is being offered for sale via an expression-of-interest campaign due to close on October 24.