A Melbourne investor has trumped several rivals at auction to pay $3.86 million – more than 60 per cent over the reserve - for an office/warehouse at Ringwood in Melbourne’s eastern suburbs.

According to selling agent, Teska Carson Director George Takis, the 5 Pilgrim Court property drew a 50 strong crowd with five bidders pushing the price to more than $1.5 million over the vendor’s reserve, representing a tight 3 per cent yield.

“This was an extraordinary result for an asset which might have sold on a yield three times as high pre Covid, a reflection of today’s incredibly strong market for industrial properties. We took 69 enquiries and there were 76 bids on the day,’’ Mr Takis said.  

The property comprises a 1224 square metre building, including 993 square metres of clear span warehouse, on a 1449 square metre site with 18 metres frontage to Pilgrim Court and 10 on-site car spaces. It was sold subject to a short-term lease at an annual return of $116,643.

Mr Takis said the property offered a sought after industrial location close to all amenities and lifestyle facilities and within easy access of major arterials including Eastlink.

The vendor was a Melbourne based investor.

To request a sold analysis please contact the marketing agent Teska Carson Director George Takis via the contact details below.