Riverlee development caters to ‘new-age businesses’

Riverlee development caters to ‘new-age businesses’

31 May 2019

Joint venture development partners Riverlee and Bamfa are moving ahead with a $190 million, 13-storey commercial tower in Richmond, launching a leasing campaign this week.

The building, designed by Techne, will feature floorplates averaging 1300 square metres, sustainable design, bookable co-working spaces and 1500 square metres of terraces and green spaces.

Tenants, confronted with record low CBD vacancies and falling incentives, are looking beyond the city to hip, inner-city suburbs soaked with amenity and public transport options, notes The Sydney Morning Herald.

The fringe office revival will see a dozen new projects deliver more than 130,000 square metres of space in a sweeping arc from North Melbourne to Port Melbourne, if they are all successfully developed. Recent deals and developments, include Bayley Stuart, Alfasi Property, the Deague family and Hickory Group.

The 2,334sq m site was originally owned by Hawthorn football club president and former premier Jeff Kennett.

The development’s location at 484-486 Swan Street, is located midway between Melbourne University’s Burnley Campus and the popular Cremorne tech-focused office precinct.

Riverlee also owns 389-393 Swan Street Richmond, with development plans for a mid-rise office building on the site.

Riverlee development director David Lee said the Techne-designed scheme will cater to tenants moving to Melbourne’s fringe office market.

“The [project] is designed to cater to the influx of new-age businesses scheduled to relocate to the area over the next two years as more companies seek to relocate from the CBD to the amenity and lifestyle suburbs of Richmond and Cremorne,” Lee said.

Office rent in the area have soared to more than $550sq m, as growth in the once-industrial Richmond and Cremorne markets outpaces South Yarra and South Melbourne.

The development at 484-486 Swan Street is being leased in conjunction by Cushman & Wakefield and Savills.