Cops and landlords: two active Melbourne police stations for sale

Mill Park police station at 151 Centenary Drive is being sold by super fund ISPT.

Forget cops and robbers, it’s cops and landlords after two active Melbourne police stations were listed for sale.

Investors and developers looking to collar the blue heelers as a tenant are expected to investigate a pair of cop shops a leading super fund has put up for early release due to good behaviour.

The two, mostly administrative buildings, are 1-7 Coventry St, Narre Warren, and 151 Centenary Drive, Mill Park.

RELATED: Former Williamstown police watch-house featured in Blue Heelers for sale

Case closed: former Carlton police station sells to couple who’ll turn it into a house

Degraves St: Listing a chance to evolve Melbourne’s laneway culture

And with $8.5m-$9m and $9m-$9.5m expected sales ranges respectively, the pair might just prove that for those on the right side of the law, crime really does pay.

Both properties are fully leased to Victoria Police and include a mix of office and meeting room space, mostly geared towards dispatch work, though they also feature on-site holding cells.

The 3619sq m Narre Warren address is returning $615,688 a year in net rent, while the 6173sq m Mill Park property returns $648,654 a year.

The police station at 1-7 Coventry Rd, Narre Warren, is also up for sale.

Industry super fund ISPT are selling the properties from a portfolio that includes Victorian law courts and police stations.

Fund manager Georgina Bishop said the decision to list the properties followed “the strong performance of the fund and some recent acquisitions”, as well as the appeal of government tenants at present.

CBRE agents Tom Ryan, Scott Orchard, Sandro Peluso and Jimmy Tat are handling inquiries in the sale.

Mr Ryan said it was rare to see active police stations hit the market.

But with the lease at the properties due to expire in August 2025, Mr Ryan said it was possible the police could be renewed as tenants into the future or that the sites could be developed.

The well-located Mill Park police station is on a 6173sq m allotment.

“They are office buildings and could easily be stripped out so they could be reconfigured,” Mr Ryan said.

“More than 90 per cent of the buildings would be administrative.

“And I’m sure that ISPT will ensure that they go to appropriate parties after appropriate due diligence. And the Department (of Justice) will very much want to know who the purchaser will be, I have no doubt of that.”

Despite most people usually looking to keep themselves out of police stations, strong interest in the buildings has come from local and interstate groups including a mix of developers, investors and owner occupiers.

“I think people are very keen because they are quite unique and they are buildings connected to really secure tenants and both are large land holdings with main road frontage, so there’s the option to develop long term,” Mr Ryan said.

The tenants enjoy (very) secure parking.

Mr Peluso added that with a range of desirable amenities nearby, both properties were also well located.

“There has been an investor gravitation towards social service and social infrastructure properties in recent years as investors seek to strengthen the ESG credentials of their portfolios, with the replacement costs and future possibilities of each asset making the investment case very compelling,” he said.

Expressions of interest for the two police stations close at noon June 22.

Sign up to the Herald Sun Weekly Real Estate Update. Click here to get the latest Victorian property market news delivered direct to your inbox.

MORE: Award-winning White Hart Hotel up for grabs after 20 years of ownership

Moorooduc horse stud with Robbie Griffiths links for sale

Donnybrook estate kicks off with big plans for sports fans

The post Cops and landlords: two active Melbourne police stations for sale appeared first on realestate.com.au.

Please follow and like us:
Cops and landlords: two active Melbourne police stations for sale

Leave a Reply

Your email address will not be published.

Scroll to top