Archive for March 2021

Archive for March 2021

Why a two-storey office block in Geelong is better than a bank

A TWO-STOREY office building in central Geelong is better than a bank at the moment, given the current low savings interest rates.

The well-presented building with 761sq m of floor space is being offered at auction as a freehold investment opportunity.

Darcy Jarman, Newtown, agent Tim Darcy said the 600sq m property at 15 Little Ryrie Street, Geelong, offered buyers a set-and-forget opportunity for the short to medium term.

Mr Darcy said the freehold property was in an activity centre zone, which presented a long-term value opportunity.

Not-for-profit disability, ageing and community service provider GenU has recently signed a new five-year lease, with an option for an additional year, providing annual rent of $135,000, with fixed 3 per cent annual increases.

Mr Darcy expects the property will sell in the high $2m range.

The property is on the north side of Little Ryrie Street, next to Centrelink and the Australian Taxation Office, and close to St John of God Hospital.

Surrounding development comprises predominantly established commercial premises of mixed age and construction, and secure residential apartment complexes currently under construction.

“It’s about as good as it gets as a set-and-forget investment in the short to medium term,” he said.

Mr Darcy said interest was solid, with local and external buyers.

“They’re very much looking at a secure passive investment, with a secure recurring income,” he said.

“First and foremost, they’re looking for somewhere to park money and get a return on their capital.”

Mr Darcy said the freehold property was serviced by two street frontages to Little Ryrie Street and Cuzens Place.

The 604sq m land component has potential long-term redevelopment scope, which is enhanced by its freehold status.

The original part of the building is double brick, with a rear extension completed six years ago with a concrete tilt panel construction.

The building presents in excellent condition throughout and comprises open-plan office space, partitioned offices, meeting rooms, training rooms, a kitchenette and toilet/ bathroom facilities.

Undercroft carparking and a storage area at the rear includes eight car spaces.

The property goes to auction on March 31 at noon.

Period holdover is a historic opportunity

THE last remaining house on a Geelong CBD street has been listed for sale as a rare development opportunity.

The ornately decorated weatherboard period home at 88 Brougham Street is being sold by expressions of interest, closing March 25.

It is one of four properties on the block between Bellerine and Yarra streets that has so far outlasted several Geelong building booms.

The house has been dwarfed by development along the waterfront, with the La Cabine office building to its west, the City of Greater Geelong corporate office building and carpark appearing in the late 1980s and the Promenade Tower apartments later.

Darcy Jarman, Newtown listing agent Tim Darcy said the property had become available for the first time in more than 100 years as part of a deceased estate.

It is located within Geelong’s broad activity centre zone, offering both unparalleled views across Transvaal Square parkland to the waterfront and close access to the city’s main shopping precinct.

The activity zone provides buyers with enormous scope for redevelopment.

“Clearly there is a higher and better use for the site, given it’s included in an activity centre zone and it’s got uninterrupted access facing to the north,” Mr Darcy said.

“It’s a really interesting site. Nothing like that has come to the fore in this location for a substantial period of time.”

The property is likely to attract interest in excess of $2m, given the substantial upside that any future development would deliver on the site.

“It’s got an enormous amount of scope in regards to a redevelopment scheme,” Mr Darcy said.

“Whether it be commercial, residential or an integration of both, it’s clearly a fairly dynamic and versatile site.

“I suspect, by virtue of where it is and what it is, that it’s going to command a lot of deep interest.”

The 431sq m property has two street frontages, including a rear laneway entry off Yarra Street. The block is more than 34m deep.

The dwelling presents in a raw condition, retaining many of its original features and characteristics.

Louise Armit is the executor of the estate of her late aunt Elizabeth Backwell, who died last year.

Ms Armit said the house had been in the family for more than 100 years, back to great-grandparents Robert and Marion Williams.

Her grandmother Jessie Williams, who married Albert Backwell, also lived at the house.