Colliers and Savills are proud to present Union Quarter Village (UQV), Spotswood for sale. A 100% freehold Interest in this significant and recently completed Build To Rent (BTR) asset is being offered for sale via an International Expressions of Interest campaign.
Located only 15 minutes from Melbourne’s CBD, nestled between Yarraville and Williamstown, Spotswood has a real village sense of community that offers its residents the perfect balance between suburban tranquility and city convenience. It will be further enhanced with near-term completion of major infrastructure projects in both the neighbourhood and across the fast-transforming Inner West.
UQV is a core income-producing asset with significant value uplift potential from its integration of complementary residential, retail, health, wellness and community (include a future child care centre) facilities that are rarely found in a single asset.
UQV is comprised of four buildings across 2ha of true inner city real estate that incorporates 332 apartments across two buildings, as well as a thriving neighbourhood retail centre anchored by Woolworths and Dan Murphy’s and a Health & Wellness facility that completes its unique offering.
Colliers’ Retail Middle Markets Director, Tim McIntosh said: “Union Quarter Village brings together the right mix of retail for its undersupplied catchment with the added benefit of 600+ immediate customers in the apartments above. It is already redefining Spotswood with incorporation of the only full-line supermarket in its Primary Trade Area with plenty of easy at-grade carparking and exposure to 27,000 passing cars daily. The retail WALE of 13.2 years reflects that majors and mini majors account for 84% of floorspace – this underpins the long term value of this unique asset and makes it so appealing.”
UQV’s retail centre, comprising of more than 11,000m2 is anchored by long leases to Woolworths and Dan Murphy’s and supported by a range of mini majors, speciality shops and a variety of food and beverage outlets including a new generation brewhouse. Its sense of community is further enhanced by the
incorporation of a health & wellness centre, medical clinic and a future childcare centre (subject to approval).
The distinct composition of UQV will appeal to many domestic and international buyer groups with the asset’s value underpinned by the security, diversity and level of income it is already generating and the strong future rent growth outlook.
The significant change to FIRB policy just announced in the 2024 Budget will now facilitate international investors to directly own established residential property but only if it is a complying operating BTR asset like UQV. Previously, FIRB rules prohibited foreign entities from owning established dwellings unless they were to be redeveloped for additional housing.
Savills’ Head of Operational Capital Markets, Conal Newland, said: “What makes this asset so attractive to the many investors wanting exposure to the strength of Australia’s $10.3 trillion residential asset class fundamentals, it that investment in UQV does not require taking any development risk. UQV is the first completed asset of its kind to be brought to market for sale”.
Paul Savitz of Savills also highlighted that UQV has all the fundamental attributes of a core defensive asset with diversified and stable income streams. “With today’s challenging development and construction cost environment, a completed BTR asset of this scale, assuming a 2ha inner city site is available, has considerable inherent value,” he said.
With Melbourne’s vacancy rates remaining stuck at record lows of near 1%, UQV has already leased over 130 apartments since fully opening in January 2024.
