$1.11m buys ‘The Blocktagon’ cafe
A South Yarra cafe created as part of reality TV series The Block has sold – and for a fraction of what the upmarket apartments above fetched when the series wrapped up in 2015.
While “The Blocktagon’s” top-selling apartment – Dean and Shay’s penthouse – sold for 2013 in the season’s finale, the cafe, which was built on the ground floor of the building when five couples renovated it four years ago, sold for $1.11 million to an investor.
It is the second time the cafe has sold in just over 18 months, after it sold for $975,000 in the days before it was scheduled to go to auction in July 2017.
Leased as the Mister Zen cafe, the property at 5 Commercial Rd traded on a tight 4.3% yield, with a four-year lease in place, plus two additional four-year options.
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Mister Zen cafe has 133sqm of internal space, plus an outdoor courtyard.
The octagonal tower’s apartments were created during the transformation of the eight-level, 34-room Hotel Saville as part of the Channel 9 series.
The cafe was designed, fitted out and named by the participating teams as part of one of the season’s challenges.
Fitzroys agents James Lockwood and Chris Kombi brokered the deal, with Lockwood saying a local investor with links to the hospitality industry bought it with the intention of hanging onto it as a long-term investment.
The Mister Zen cafe has sold for $1.11 million.
“Interest came from local and offshore parties due to the quality of the tenant, which has been hugely successful in catering to the young and vibrant demographic of the area, while the incredibly rare chance to own part of an iconic Melbourne property was also a drawcard,” he says.
The property spans 133sqm of internal space, plus an outdoor courtyard.
