Swinburne University Hawthorn office on the market with asking price of $50m plus

One of Hawthorn’s “most significant” office buildings has gone on the market, with domestic and international investors set to show interest. Real estate agents say it’s a “rare” find, but does it justify the eye-watering asking price?

Swinburne University’s Hawthorn office is on the market for an eye-watering asking price of at least $50 million.

The huge 5660sq m Luton Lane site, owned by a small group of Sydney investors, was leased to Swinburne University last month (August) on a five-year $2.8 million annual lease.

CBRE director Scott Orchard said he expected interest to come from all areas of the market, including foreign buyers, but he stopped short of saying whether the sale could set a new price record for the area.

The office market was particularly strong across Melbourne and investment opportunities such as Luton Lane in Hawthorn were uncommon, he said.

“It’s right up there as one of Hawthorn’s most significant office buildings for sure,” he said.

“Hawthorn is incredibly tightly held. For offices to come up in Hawthorn it’s quite rare.”

He flagged the building’s large size and location near the Glenferrie Rd shops, public transport and its large floor plan would make it attractive to buyers.

He said there was long-term potential for the new owner to redevelop the site should they wish.

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“I think it’s a very bona fide, good quality office building as it is … but there is definitely expansion or redevelopment potential in the future,” he said.

The four-level building includes an atrium entrance, basement carpark and spacious open-plan floor plan with large common areas for meetings, socialising or work.

CBRE has teamed up with Gorman Commercial to handle international expressions of interest, which close September 25.

Visit: cbremelbourne.com.au/properties/melbourne-middle-markets-offices/2-luton-lane-hawthorn