Fremder and Lasorovits offer up $80m Melbourne office building
Interests associated with Melbourne businessmen Max Fremder and Ron Lasarovits have put a major office block in one of the busiest areas of the central business district on the block for about $80 million.
They are planning to sell the 10-level office building at 438 Elizabeth St, which boasts a large retail frontage that is expected to appeal to investors and developers.
Colliers International’s Daniel Wolman, Matt Stagg and John Marasco and Teska Carson’s Michael Ludski will sell the complex that last traded in 2005 when the Australian Manufacturing Workers Union sold it for $28 million.
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The building spans a net lettable area of about 13,812sqm and includes four prime retail tenancies. It is almost fully leased, anchored by RMIT University, and returns income of about $4.5 million per annum.
“This offering represents an opportunity to secure a commanding office and retail investment situated within one of the Melbourne CBD’s most dynamic and evolving precincts, the civic core,” Wolman says.
The precinct is also the epicentre of high-rise residential apartment tower development in the Melbourne CBD, and the property carries future development potential with a flexible Capital City 1 zoning.
Elsewhere in the city, a South Melbourne office building yesterday sold for $9.125m to a local private investor. Colliers International’s Andrew Ryan and CBRE’s Ed Wright handled the sale of 9-17 Raglan Street.
The 1696sqm building was offered for sale with vacant possession. It represented a capital value of $5380 per square metre on a building rate.
This article originally appeared on www.theaustralian.com.au/property.
