Apartment Project Likely for North Melbourne Site

A high-density apartment project is likely for a Melbourne CBD fringe site following a highly contested Expressions of Interest sale to a Melbourne based private developer.

The 199-217 Peel Street, North Melbourne property comprises a substantial 762 square metre site zoned Mixed Use with an extensive 42 metres frontage to Peel Street,  a second frontage to McInerney Lane, and an allowable development height of at least 24 metres.

Savills Australia Director, CBD & Metropolitan Sales, Nick Peden, who brokered the deal with colleague James Lockwood and CVA Property Consultants, said the price could not be disclosed due to a confidentiality agreement, however sources put the price at circa $7 million.

Mr Peden said the Expressions of Interest sale campaign had generated very strong interest, with over 120 enquiries and numerous on site meetings with potential purchasers.

“We received many expressions of interest to purchase the property from a range of buyers, including off-shore based developers and local developers, with five parties selected to compete in the final round of the process,” he said.  

Mr Peden said the vacant and fully-cleared site was well suited to an apartment development given its location just 400 metres from the CBD in a neighborhood including Melbourne and RMIT Universities, Queen Victoria Market and Melbourne's major hospital precinct.

“This was an astute purchase by a respected developer with a sound knowledge and understanding of the Melbourne market and its potential for successful apartment developments in the right location,” Mr Peden said.