Warehouses by Adam Gardner
While the numbers of new public listings is starting to slow down somewhat in the Inner Melbourne areas as Christmas approaches, there are still a number of properties that should garner some interest when they go under the hammer. In fact, the number of warehouse conversions on the market is significant at the moment, and these types of properties can often evoke some fairly strong emotions in buyers. What makes them different? A good part of this equation is the fact that each one is essentially bespoke – they have been done to suite the shell and spaces they have available to work with – some more effective than others. Let’s look at a few on the market now:
We have mentioned 9a Clifton Street, Richmond (Chris Byrne, Collins Simms) previously as an example of a special property that will appeal to a lot of buyers , but just how many are there at the suspected price range this property sits in will be a critical question in terms of how to approach buying this home. Visit this one and you will understand what I mean here.
20-22 Trades Hall Place, Carlton (Luke Chisholm, Nelson Alexander) is a fairly unique property, and is about as close to being in the CBD as you can get without actually being there. It is nestled away down a lane and has a has a style that is distinctive. The upstairs living area is a great space, and he inclusion of a motorised shade really improves the useability and privacy of this area. Entertainers and buyers looking for a city retreat should see this property. The floorplan for this one won’t suit everyone however, so buyers must balance emotion with functionality to make sure it suits them, and a very good understanding of price should be employed to understand value here. What does this compare to?
Like the above property, 14A Wilson Street, Carlton (Glen Bartlett, Woodards) is something of a hidden gem as well. Recently completed, it has a great feel inside and has been designed with zoned living in mind as the first and second floors are basically fully separate living areas with kitchens and bathrooms. This property has flexibility for professionals and older families who value their space. How many of these properties have sold in Princes Hill?
Finally, another larger sized conversion has hit the market in 24 Abinger Street, Richmond (Andrew Crotty, Biggin and Scott). Again – a unique property – just look at the pool in the living room. Yes – that’s right, it has a pool in the living room. How do you value this property? Land plus building? Direct comparables?
Today I watched Tom Roberts from Nelson Alexander auction 15 Little George Street, Fitzroy. Architecturally redone, this conversion was stylish but featured a lot of stairs so buyers needed to be comfortable with that. How many buyers were comfortable? Well, 4 bidders took it to over $2,100,000 today when it sold under the hammer. It opened on a $1,600,000 vendor bid….
If you are in the market for a high end warehouse conversion the concept of value and pricing need to be considered carefully as these properties have very different characteristics and very different capital growth, rental and demand profiles. Once you find one that is right for you, ask yourself why are you buying it? How many other buyers will want this now and in 10 years? How do you beat your competition when many may have the same money as you do?
We hope you have found our thoughts helpful and if you wish to speak to us about how our experience can help you or if you just want to offer you feedback, we would love to hear from you.
Gina and Adam G