541 St Kilda Rd, Melbourne
Jan 2017 Purchase Price
Jan 2019 Disposal Price
541 St Kilda Road, Melbourne is an eight-level commercial office building in a prime St Kilda Road location, just south of the Commercial Road intersection and within immediate proximity of the Alfred Hospital.
Comprising secure basement and at-grade parking, ground level retail and office space, and six upper levels of A-Grade office accommodation, 541 St Kilda Road has a total net lettable area of 8,247m² with 126 car spaces.
(24-month project timeframe)
Transaction Analysis from Acquisition to Disposal
|Purchase Price||$47.75 million||$64.00 million|
|Net Income p.a.||$3,040,742||$3,289,755|
Past performance is not a reliable indicator of future performance.
Background and OpportunityBSC acquired 541 St Kilda Road in December 2016 and, within the Fund’s life, achieved several incremental gains including:
- Development of schemes and feasibility options for conversion to hospital and aged care uses.
- Negotiations for long term leases with several healthcare providers.
- Enhancement of car park income for an asset that was considered to be 100% leased.
- Maintenance of 100% occupancy throughout ownership providing for strong distributions.
- Re-positioning of the asset ensuring it was a flexible building that could support a multitude of different uses.