Box Hill Motel gets warm reception from travelling buyers
The Box Hill Motel is checking in to the commercial market, with no reservations placed on buyer demand.
Backing onto Gardiner’s Creek reserve, the 4041sq m motel at 177 Station St, Burwood is expected to attract offers in the range of $4-$4.4 million, with expressions of interest closing on September 25.
A sale in that range would vie with the $4.3 million paid for 358-360 Burwood Hwy in June as the highest sale in the suburb for the year.
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Savills Melbourne agent Nick Peden said there was “loads of interest” from investors and developers eager to take advantage of the thriving Box Hill hub.
“There’s loads of people that come to Box Hill that want to stay in that location with friends and relatives — there’s everything they need,” he said.
“I guess that’s evidenced by the new hotels that are going up in Box Hill — people don’t invest that amount of money unless there’s significant demand.”
Mr Peden said there had been a mixture of buyers already in contact about the property.
“There’s developers but also motel operators, looking to the future (someone) could run the motel for a period of time and develop down the track into townhouses, apartments, aged-care or student accommodation for Deakin University,” he said.
A lease with the current operator expires next May, with the tenants planning to retire after almost 20 years running the motel.
The vendors — a private local family — receive a net income of $175,534 per annum from the lease.
Local interest was being outmatched by parties from China, Malaysia, Singapore and Hong Kong, Mr Peden said.
“Obviously there’s some unrest (in Hong Kong) and Melbourne is certainly seen as a safe haven — we’ve seen an influx of buyers from Hong Kong,” he said.
“We’ve got a lot of interest and we expect to sell quite well.”
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