After hitting the market for the first time in 20 years, 382-384 Warrigal Road, Ashburton, sold for more than $1 million above the reserve via online auction.
The 550sqm* retail building received keen interest with 76 enquiries prior to auction and 25 registered bidders on the day.
There were 10 bidders active during the 56 minute auction, with interest coming from interstate investors, the current tenant, and an investor from Singapore.
The bidding started at $1.9 million, with 182 bids placed throughout the auction.
Ray White Commercial Oakleigh agent Theo Karkanis said the tenant placed a bid $750,000 above his previous offer to the vendors.
“This goes to show that even if you have one interested person in your property, you should always invest in an agent to market and introduce multiple buyers to ensure that you receive maximum return for your asset,” Mr Karkanis said.
“In this instant the tenant wasn’t even the successful bidder, with three others pushing the price a further $150k above the tenant with the property selling for just over $3.2 million.”
The winning bid went to a local investor for $3.201 million.
Mr Karkanis said the fact the property was fully-tenanted made it an attractive opportunity for buyers.
“Given the uncertainty with lockdowns in Melbourne coupled by rent relief requests from tenants — I think the fact that this tenant is Covid-proof, deemed essential, and continues to operate throughout this period whilst never seeking rent relief, is what made the property all the more secure and attractive to investors,” Mr Karkanis said.
Ray White Commercial Oakleigh
0431 391 035
Ray White Group
0447 000 472