A local owner occupier has snapped up a rare opportunity to acquire a freehold warehouse and office asset owned by Growthpoint Properties Australia (Growthpoint) in Melbourne’s East for $22 million. 

The property has dual street frontages, a land area of 14,750 sqm and total building area of 8,089 sqm.

The off-market sale of the property at 3 Millenium Court, Knoxfield, was brokered in just 48 hours by CBRE’s David Aiello and Sasan Misaghian.

Mr Misaghian said the result represents a 13% premium on the book value of $19.4 million.

“We discretely soft sounded a small group of owner occupiers on our database to ascertain the potential for Growthpoint to achieve a price premium,” Mr Misaghian explained.

“Within 48 hours we had secured the unconditional offer from a local occupier who had been seeking a main road freehold opportunity in Melbourne’s East for more than five years.”

Growthpoint Chief Investment Officer, Michael Green said, “CBRE delivered an excellent result and we are pleased that this sale delivers a meaningful premium to our book value and an unlevered internal rate of return of 14.0%.”

The property is occupied by Opal Packaging with a weighted average lease expiry of 1.7 years (as of June 2024).