Savills Australia is marketing a fully leased, boutique style office building at South Melbourne, on Melbourne’s CBD fringe. The property will be sold by Expressions of Interest closing Wednesday, June 7 at 2pm and is expected to fetch around $4 million.

Designed by Hayball Architects, the 21 Yarra Place property comprises a state-of-the-art, four level building, with all round natural light, secure parking for eight vehicles and stunning CBD and Port Phillip Bay views.

Features include a timber façade, ultra-modern fit-out, the use of eco-friendly materials and an internal vertical garden.

According to Savills CBD & Metropolitan Sales agents, Clinton Baxter, Nick Peden, and Benson Zhou, the property is fully leased to Caramel Creative on a new five year term with two five year options at a current net annual rental of $168,000.

Mr Baxter said they expected a high level of interest from investors looking for a very well located property with strong growth prospects and rental upside.

“This property has all the credentials that attract serious investors. It is located in a blue chip suburb only a short distance from the CBD, the building is near new with generous depreciation benefits and is fully leased with strong rental growth potential.

“There are few, if any, opportunities like this on the market in Melbourne at the moment and for that reason we except a strong response from the market,” Mr Baxter said.

Mr Peden said the locational benefits included close proximity to Southbank and the Yarra River, Crown Casino Entertainment Complex, the new $1.5 billion Melbourne Square project and the CBD along with access to schools, hospitals, extensive shopping, parklands and public transport.

“The property really is in an ideal position providing both owners and tenants with exceptional long term benefits.”

Mr Zhou said the underlying value of the prime South Melbourne site was another strong point.

“Property in South Melbourne has exceptional potential simply by virtue of its proximity to the CBD and the benefits that proximity can offer especially to businesses and that has driven strong growth in the precinct over the last few years,” Mr Zhou said.

He said the property’s key attributes included:

• New state-of-the-art building
• Secure five year lease
• Potential rental upside
• Generous depreciation benefits
• Prime landholding
• Secure parking
• Close to all essential amenities including public transport
• Close to Melbourne CBD