BUILDING 3, 621 WHITEHORSE RD, MITCHAM

A newly refurbished office warehouse recently completed by the Point Property Group at 621 Whitehorse Road, Mitcham, has been sold for $5.645 million to a private Melbourne based buyer. This represents a yield of 8.7 per cent, which the agents say is further evidence of the continued strength of the industrial investment market, where the demand that they are seeing is currently outweighing supply. The property that was sold (Building 3) comprises an impressive office and showroom with an attached warehouse of 5,212 square metres on land of 7,268 square metres with an Industrial 3 zoning. The property was specifically refurbished to the requirements of Spartan School Supplies, which holds a six year lease. 'This result is testament to the strength of the private investor market and in particular, the strong demand for premium quality property assets,' said Joseph Carbone, Director of Vinci Carbone Property, who organised the sale. 'Cashed up private investors are now beginning to factor in key attributes such as strength and quality of lease covenant, quality of construction, location and depreciation benefits into their decision making, rather than simply a yield based decision. Demand for these properties far outstrips supply, and we have noticed a significant improvement in yields for such properties in recent months.'