Investors Eye Off Cremorne Property

Bond Imaging has sold its Cremorne commercial facility for $9 million in a move that marks the end of a 45-year era for the imaging specialist.

Two individual private investors secured the 2-12 Gwynne Street property, which comprises three allotments covering a total area of 2,000sqm. The sale represented a record rate of $4,500 per square metre.

CBRE’s Jamus Campbell, Ed Wright and David Minty, in conjunction with co-agents Teska Carson, negotiated the sale on behalf of Bond Imaging, who has occupied the site for more than 45 years.

Mr Campbell said the property attracted strong interest from both developers and investors looking to gain a presence in the tightly held Cremorne market.

“The property represented an opportunity to acquire quality accommodation in an excellent location, which was further underpinned by limited land supply in a gentrifying suburb,” Mr Campbell said.

“Cremorne is a hugely popular suburb given its proximity to the CBD, Melbourne’s iconic sports & entertainment precinct and nearby Swan Street, which offers a plethora of retail, café and lifestyle amenities.”

[urbanRelatedPost][/urbanRelatedPost]Mr Wright added: “The East Richmond / Cremorne area has been identified as a future urban renewal area in Plan Melbourne and its rezoning potential to allow for residential development is a major drawcard attracting buyers to the area.”

Mr Minty said the area was likely to gain momentum depending on when key strategic objectives of Plan Melbourne would be implemented.

“CBD fringe suburbs such as Cremorne, Richmond and Collingwood have been identified as locations to accommodate future housing to ease population pressures on the CBD,” Mr Minty explained.

The market’s strength is set to be further tested with the sale of a development site at 4-6 Cubitt Street, Cremorne.

The 530sqm freehold property, which features a two level B-grade office building, benefits from prominent street exposure and multiple frontages to Cubitt and Stephenson streets. The property also includes a substantial amount of undeveloped land, which is currently used to store vehicles.

“This is a unique opportunity for a buyer to purchase a boutique CBD fringe asset with an investment or development profile in a highly sought after and very tightly held location,” Mr Campbell said.

The property is being offered via Public Expressions of Interest closing 5pm, June 3, 2015.