Geelong CBD landmarks net $6m+ in Ryrie St deals
Murray House at 180-182 Ryrie St, sold for $2.81m recently to an owner occupier with vacant possession.
The framework plan shaping central Geelong’s future has yet to cause developers to reach deep into their pockets as another two landmark commercial buildings are traded in deals worth a combined $6.21m.
The Central Geelong Framework Plan sets a new 28m height limit for new construction along much of Ryrie St, yet buyers for the buildings on blocks between Yarra St and Gheringhap St were purchasing with other intentions.
Murray House, the former long-term home to Geelong Legacy at 180-182 Ryrie St, sold for $2.81m recently to an owner occupier with vacant possession.
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Colliers agents Ben Young and Chris Nanni handled the transaction of the 800 sqm two-storey brick building at 180-182 Ryrie St.
The vendor had offered a neighbouring building to expand the potential development window before the buyers struck, Mr Young said.
“The building last sold in May 2021 for $2.65m and has, in just two years, generated a price growth of 6 per cent,” Mr Young said.
“It’s a strong sign that Geelong is not slowing down and continues to have growth, year on year, despite current market conditions.
118-122 Ryrie St and 2-4 Wright Place, Geelong, sold for $3.4m.
“The asset sits on a land area of 710 sqm, providing an opportunity for significant upscale as it meets the recently released Central Geelong Framework Plan, which allows a new height limit of 28 metres, lending itself to an 8-storey redevelopment.”
The property is strategically positioned, with major businesses such as Village Cinemas, McDonalds, Telstra and the Sporting Globe providing high foot traffic, making it suitable for various commercial purposes, such as retail, office and residential, Mr Young said.
Meanwhile, a Melbourne investor landed a unique island site on the next block of Ryrie St in a transaction worth $3.4m.
Darcy Jarman selling agent Tim Darcy said a property group would look to reposition the asset at 118-122 Ryrie St and 2-4 Wright Place, which combines four titles and has four street frontages, including laneways off the Little Ryrie St car park.
While GMHBA Dental is the main tenant on Ryrie St, the other three buildings within the property were either vacant, or expected to be so by next year.
118-122 Ryrie St and 2-4 Wright Place, Geelong, was sold to a property group.
“We were either going to see that type of buyer or a developer, because it wasn’t encumbered with any overlays,” Mr Darcy said.
“But as it’s turned out the improvements have provided an add value opportunity for the buyers.”
The development segment was expected to be at the forefront of several recent sales in Geelong’s CBD, but other buyers saw better value.
“I think unless it’s very much a strategic element, the landscape for the development segment has changed a bit in profile,” Mr Darcy said.
“We’re still experiencing development activity on a number of different fronts, but it appears in the city centre that unless it’s got a strategic element to it then it’s more buyers looking to buy and reposition the assets and bed down with some income.”
Mr Darcy said properties upwards of 2000 sqm or on major street corners appear to be more the target for development.
