Victoria University's city campus on Flinders Street in Melbourne has hit the market, with the current owners looking to get more than $90 million for the property.
The mixed-used building at 300 Flinders has been occupied by Victoria University since 1993, with the entity leasing the basement, ground floor and levels nine to 18.
The University's lease is due to expire on 30 October 2022, at which time it will move to a new $400 million City West Campus designed by Jackson Architecture and developed by ISPT.
The building is located directly opposite the west entrance of Melbourne's Flinders Street Station - a major selling point according to Colliers' Matt Stagg.
Stagg, who was appointed with Daniel Wolman and Oliver Hay to sell the property, says publicity surrounding Melbourne Metro is beginning to attract a wave of international investment along Flinders Street and Flinders Lane.
"Flinders Street Station is the busiest train station in the Melbourne CBD," says Stagg.
"When the Metro Tunnel is completed, this location opposite Flinders Street Station will have the highest concentration of pedestrian foot traffic in the Melbourne CBD and potentially that of any capital city in Australia.
"300 Flinders Street is well positioned to capitalise on projected increased activity with an extensive 40 metre street frontage to Flinders Street and valuable interconnectivity via an undercover retail arcade throughfare providing pedestrian access through to Mill Place, Flinders Lane and Collins Street Financial Precinct."
Recent sales in the precinct include Riverside Plaza (452 Flinders Street) to German real estate giant Deka Immobilien in December 2020 for circa $440 million and Invicta House at 226 Flinders Lane to Swiss Fund Manager Fidinam in March 2021 for around $40 million.
"The pending lease expiry and holding income provides sophisticated and strategic investors the opportunity to reposition and add value to this dynamic investment opportunity," says Wolman.
"The upper commercial levels provide flexible floor plates ranging in size from 1,200sqm to 2,200sqm with abundant natural light from four sides and panoramic views of the City and Southbank skyline.
"Some floors feature interconnecting stairs between levels, outdoor balconies and terraces providing a unique point of difference to attract tenants. The building is a prominent fixture on the Melbourne CBD skyline with illuminated signage rights that may be leveraged to attract a new anchor tenant to the building."
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