Iconic CBD property sells before auction for a Giddy price

Wednesday 6 March 2019

East St’s long-established hotel, restaurant and nightclub The Giddy Goat has been sold before a scheduled auction in Melbourne last week

The two-storey property spent 997 days on the market, but was sold to a Sydney-based private investor within five weeks of a decision to go to auction.

The sale price of $3.175million is almost $1.8million more than the property sold for in April 2013. Extensive renovations were completed in January 2016.

The 1915sqm floor area, over two levels, sits on a 899sqm site which was valued at $455,000 in June 2017.

Burgess Rawson sales director Glenn Conridge said the buyer made an unconditional cash offer once he became aware the property was going to auction.

The current tenants have a 10-year lease until 2026 with a further option to 2036.

Burgess Rawson conducted the marketing campaign in joint agency with Neil Crowe from Knight Frank Rockhampton.

Mr Crowe said the sale price, coupled with other recent CBD sales, was a good indication that things were picking up.

“Once it was decided to go to auction at the beginning of the year there were a lot of new inquiries,” he said.

“Auction tells the market ‘we are here to sell’ and the market responded to that.

“We advertised the potential for 10 per cent yield and the vendor met the market.”

Mr Crowe said regional markets were seeing an influx of southern buyers, and good quality assets “in town” with good tenancies were attracting out-of-town as well as local investors.

“Infrastructure projects are bringing a lot more confidence in the region for people to invest,” he said.

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Written by Christine McKee, The Morning Bulletin

View the original article here.