The office building known as Travel House, located at 210 Albert Road in South Melbourne, is now on the market following the sale of its owner’s travel businesses, including the well-known brands Contiki and Trafalgar. The Tollman family, who established their tour operation in South Africa in 1920, has decided to divest from this prime asset overlooking the F1 Grand Prix circuit.
The 1700-square metre building, which spans six levels and sits on a 700-square metre plot, has been offered with vacant possession after the departure of The Travel Corporation, a family business acquired last year by the US private equity firm Apollo for an undisclosed amount. Recent market estimates suggest that Travel House could fetch between $8 million and $10 million, a notable increase from its previous sale price of $7.2 million in 2011. The listing is being handled by agents from CBRE, including Nathan Mufale, Scott Hawthorne, Jing Jun Heng, and David Minty.
In addition to the sale of Travel House, other properties in the South Melbourne area are also changing hands. The building housing the Chef’s Hat restaurant and kitchen supplies retailer at 131 Cecil Street is up for sale after more than 45 years under the same ownership. This property, located on the corner of Coventry Street and opposite the South Melbourne Market, is anticipated to sell for over $15 million. The lease for Chef’s Hat is set to expire at the end of March next year, while co-tenant Bed Bath N’ Table is currently on a monthly lease.
Another property on the market is located at 168-174 Dorcas Street, a two-storey office building covering 1077 square metres. This site, leased to CDS Worldwide, is expected to attract bids exceeding $4.75 million. Recent sales in the area suggest a healthy demand for office spaces, with another property at 31-33 Park Street selling for $4.9 million just last week, despite previously being purchased for $6.075 million in 2017.
A significant transaction has also taken place in Armadale, where a local investor acquired an office building on High Street for more than $25 million. This deal, the largest recorded on the prestigious strip, was facilitated by agents from Cushman & Wakefield and attracted ten offers from a mix of developers and investors. The 2417-square metre property sits on a 1773-square metre site, featuring an average lease term of 5.12 years.
In an interesting development, CQUniversity has signed a 12-year lease for the former headquarters of Bendigo Bank, located at 120 Harbour Esplanade. The university, based in Rockhampton, plans to occupy the 8300-square metre building by early 2027 after undergoing necessary renovations. This move highlights the university’s commitment to expanding its presence in Melbourne.
In the nursery sector, two long-established suburban nurseries have also been sold, ensuring their continued operation. The Greenery in Heidelberg has been purchased by the Humphris family, renowned nursery owners, for over $3 million. Meanwhile, the beloved Acorn Nursery and Oaks Cafe in Surrey Hills have changed hands for more than $6 million. This property, which has been a community staple for 40 years, spans 3035 square metres of residential-zoned land.
As spring approaches, Beasley’s Nursery in Warrandyte, a pioneering establishment that incorporated a cafe, is now on the market. The property, covering 10,730 square metres, is being offered vacant as its original owners prepare for retirement. Expected to attract interest above $2.9 million, this listing is being managed by Gorman Commercial.
Finally, Box Hill’s commercial landscape is also shifting, with a property at 15 Market Street set to go to auction next month. Leased to Polar Express, this shop is strategically located next to Box Hill Central and across from the forthcoming Suburban Rail Loop station entrance. The auction is expected to reach between $7 million and $9 million. Additionally, a KFC outlet in Glen Waverley is on the market, anticipated to sell for between $8 million and $10 million.
These developments reflect a dynamic real estate market in Melbourne, where significant transactions continue to take place across various sectors, from office spaces to community-focused businesses.
