A prominent waterfront restaurant in Docklands has been snapped up as a trophy purchase by a local Asian investor.
Colliers International’s Guy Wells, Daniel Wolman and Oliver Hay facilitated the sale of the Berth restaurant premises, Icon Building No. 1, at 45 Newquay Promenade.
The deal was negotiated at a sub-7 per cent yield.
Situated on the southern side of Newquay Promenade, the iconic 515sqm building is constructed over the waterfront within the Newquay precinct of Docklands.
ALSO SEE: Lend Lease to Make Towering Statement at Docklands
The property was constructed on Crown land and is subject to a long term Crown Lease to 2101. The Crown Lease commenced on 19 November 2002 and is for a 99-year term.
“Somewhat unique in the Melbourne property market, this allowed the construction of the building to be undertaken over the waterfront to create this exceptional offering,” Mr Wells said.
“While the Newquay area has had its challenges, iconic buildings with strong tenants are highly regarded and sought-after by investors. This is a shining example of this kind of property – a real trophy asset for an investor, with its secure, long term lease to a highly regarded and experienced restaurateur, Berth Restaurant Pty Ltd.
“Berth has been in operation for more than 10 years in Docklands, with a further 10-year lease plus options.
“The building itself was developed as an iconic draw card to the Docklands precinct, a state-of-the-art hospitality venue with floor-to-ceiling glass windows overhanging the waterfront. The property is one of only two such rare premises constructed within Melbourne, if not Australia, and has uninterrupted views across Melbourne and the Yarra River.”