Deals: Mail Exchange building becomes co-working Hub

Melbourne’s iconic Mail Exchange building will be home to the city’s largest co-working space after Hub Australia inked a 10-year lease.

The co-working giant will lease 3900sqm at the heritage-listed building at 696 Bourke St, which was originally home to Melbourne’s GPO and was also the first home of the surveyor behind Melbourne’s CBD grid design, John Hoddle.

The building is set to celebrate its 100th anniversary next year. Hub Australia’s space will be spread over two levels, linked by a staircase.

We have seen this sector of the market really mature in the last 24 months and the Hub has been at the forefront, as this deal would suggest

Savills director of office leasing Phillip Cullity brokered the deal, and says the building’s history, recent refurbishment and soaring ceilings made it attractive as a co-working space.

“It’s totally unique on every level and when you take into account the superb location opposite Southern Cross station it’s going to be very attractive to companies looking to grow their business in Melbourne’s CBD and from that point of view it’s quite an astute leasing decision,” he says.

Cullity says the size of the property leased is evidence of the continued evolution of co-working.

“We have seen this sector of the market really mature in the last 24 months and the Hub has been at the forefront, as this deal would suggest.”

Melbourne: Chinese cosmetics giant makes Australian move

China’s third largest cosmetics retailer will create its first distribution centre in Australia after buying an Altona warehouse for $10.8 million.

UA Holdings snared the 24,000sqm site at 11-13 Chambers Rd, which features 10,632sqm of lettable floor space spread over two warehouses.

Savills’ Tim Casanelia and Gross Waddell’s Jamie Stuart negotiated the deal, which comes after UA Holdings acquired Australian-based MOR Cosmetics.

Chinese cosmetics company UA Holdings paid $10.8 million for this Altona factory.

UA Holdings CEO Jeff Nadelman says the purchase is a part of its expansion plans for the Australian market.

“This property is a key component of our overall vision to provide Australia, Asia and Europe with quality cosmetic products by investing in an asset that offers close proximity to major arterials and superior efficiencies,” Nadelman says.

NSW: Large Riverina vineyard on the market

One of New South Wales’ largest grape growing operations is up for grabs, with Dunvar Vineyard offered to the market for sale or lease.

The 902ha property in the state’s rich Riverina region has more than 600ha of planted vines, with 170ha planted to Shiraz, 236ha to Pinot Grigio and 202ha to Chardonnay, as well as having significant water entitlements.

The vineyard is to be sold via an expressions of interest campaign, managed by CBRE’s Col Medway and Richie Inglis.

Dunvar Vineyard is available to buy or lease.

Medway says Dunvar Vineyard is ready-made for an existing wine operator.

“Dunvar Vineyard is a commercial scale operation that offers a potential purchaser or tenant the ability to secure a significant quantity of fruit,” he says.

“The property is underpinned by high quality fit-for-purpose infrastructure and substantial water entitlements, and a further 120ha is also available for additional plantings.”

Sydney: Silverwater tastes right for almond milk maker

Growing non-dairy milk operation Inside Out Nutritious Goods has leased a new factory in Silverwater to meet demand for its almond and coconut milk.

Inside Out secured the 1521sqm property at 21 Slough Ave, within the Slough Business Park, at a rate of $120 per square metre.

CBRE’s Raj Chaudhry negotiated the lease on behalf of lessor Goodman and says the new facility will support Inside Out’s continued expansion.

Inside Out’s Vuong Nguyen, Ed Arthy and Anthony Tuong in their new Silverwater facility.

“Inside Out has experienced rapid growth in a short space of time amid gaining popularity of nondairy milks in Australia,” Chaudhry says.

“Securing this property was a great result for Inside Out, with Goodman able to accommodate them very quickly after their initial building fell through and were faced with nowhere to put their 30-tonne, high pressure processing machine.”

Melbourne: Private investor gobbles up La Porchetta

A private investor has paid $2.9 million for a Doreen restaurant leased to Italian food chain La Porchetta.

The deal, handled by Fitzroys’ Chris Kombi and Dean Alexander, came after the pizza purveyor signed a new 10-year lease on the property for more than $192,000 per year.

Competition was hot for a La Porchetta-leased restaurant in Doreen.

The sale price for the 455sqm retail premises represented a 6.6% yield.

Kombi says competition was strong for the property on Hazel Glen Drive, which has 45m of corner street frontage in Doreen’s Laurimar Town Centre and lies opposite a Woolworths supermarket.