THE Dandenong Family Law Court will test the market when it will go to auction this November.
The property at 55-53 Robinson St in Dandenong has been occupied by the Court since its construction in 1983 and is currently owned by a private vendor who will be represented by CBRE’s Scott Orchard, Scott Hawthorne and Jimmy Tat in conjunction with Gross Wadell’s Alex Ham and Michael Gross.
The Commonwealth of Australia has signed on to a five-year lease at the Court and is paying an annual rent of $782,413 plus all outgoings including land tax.
“The listing comes as government leased commercial properties continue to be hotly pursued by investors, for example the Newcastle Family Law Courts which transacted in September to Sydney-based fund Marprop for $35.3 million,” said Gross.
The 2,371sqm dual street frontage land holding is zoned Comprehensive Development, with the structure consisting of 2,729sqm NLA, including a basement and at-grade parking for up to 50 vehicles.
Though according to Orchard, the current three-level building is not fully utilising the site’s potential.
“The allure of a robust fundamental property, underpinned by a government tenant and income stream, will appeal to investors through all market cycles – particularly during times when other investment options are volatile” said Orchard.
“This strategic investment with reliable income also lends itself to a multitude of mixed-use opportunities, given its central location and proximity to the metropolitan activity centre which has had a lot of public and private infrastructure investment,” said Ham.
The Family Law Court provides services to not only Dandenong, but all areas outside the perimeters of the inner-city suburbs. These broader metropolitan and regional areas rely on the Court to settle a wide range of Family Law related matters.
“Dandenong has become a deeply entrenched commercial centre for both government, legal and financial services,” said Hawthorne.