Mulgrave office has Telstra lease and development upside

A modern Mulgrave office building, predominantly tenanted by Telstra subsidiary MTData and less than five minutes from the Monash Freeway, offers options for a range of buyers including owner-occupiers, investors and developers.

Constructed by Mirvac in 2009, the property at 18-20 Compark Circuit comprises a 3,484 sqm, three-level office building on an expansive 8,472 sqm site. Telstra-owned MTData currently occupies 66 per cent of the building and has occupied the building since 2010. The top floor is currently vacant, providing immediate value-add opportunities.

The popular and well-connected Mulgrave area incorporates the Monash employment and innovation hub, the recently constructed, state-of-the-art Victorian Heart Hospital, various other university and research centres including a healthcare hub, and an industrial/office precinct.

According to JLL’s Senior Executive – Office Investments, Tim Carr, who is managing the marketing campaign with Mark Stafford and MingXuan Li, the property would essentially suit buyers looking for existing improvements with income and upside.

“The quality existing improvements and the flexible zoning of the site present a very unique proposition for developers and potential occupiers who are looking to get a strong foothold in proximity to some of the country’s best education, technology and research organisations.”

Mr Carr said the property also offered investors a secure lease to MTData, nearly 1200 square metres of space for an owner-occupier to move in immediately and a large allotment that may present opportunities for developers, subject to council approval, given the comparatively low site coverage.

MTData, through innovative vehicle telematics and connected fleet management technology, has been helping businesses improve operational efficiency, reduce costs and meet safety compliance requirements for more than 20 years.

Mr Carr said the property’s sound long-term investment credentials would likely attract strong competition between rival purchaser cohorts including local, interstate and offshore interests.

The Victorian and Commonwealth governments are also providing ongoing investment into the precinct, which is home to 13,000 businesses and medical and research facilities including the CSIRO, BrainPark, Monash Health and the Australian Synchrotron. The Victorian Heart Hospital, at 631 Blackburn Road, is also scheduled to open this year. The Australian Government’s announcement of the Australian Precision Medicine Enterprise project will see $23 million in grant funding to develop medical manufacturing with the APME set to be located in the Monash precinct.

JLL’s Mark Stafford said, “The Monash Employment and Innovation Cluster is already becoming one of the global centres of innovation and research. We’ve seen international and national companies, such as Moderna, Pfizer, Revvity, Millennium Science and more establishing footholds in this precinct, due to its rare combination of existing infrastructure and market-leading operators in research, education and healthcare.”

“It’s rare to have such a high-profile landholding become available in the area, particularly one with direct access to the three primary stations that form part of the future Suburban Rail Loop project,” he added.

The Suburban Rail Loop, under construction, is planned to connect Monash University to Burwood and Box Hill, allowing a free flow of workers, students and visitors between three major education hubs. The new Monash underground station will have an entrance at the university end and another in the business and industrial precinct, all within close proximity to 18-20 Compark Circuit, Mulgrave.