Brian O’Halloran and Co auctioneer Brian Hancock calls for bids on the central business district block during yesterday’s auction at Warrnambool Bowls Club.ONE of Warrnambool’s most prominent CBD locations sold yesterday for more $2.3 million.
Nanjing Night Net

The central business district block on the corner of Lava and Liebig streets, which is home to the 154-year-old Victoria Hotel, was initially passed in at auction.

About 40 people gathered for the anticipated sale, which had been tipped to sell for between $2.5 million to $3 million.

Bidding kicked off at $1.7 million before hitting $2 million.

Auctioneer Brian Hancock, of Brian O’Halloran and Co, took incremental bids of $50,000 before the property was passed in at $2.2 million.

Mr Hancock said it was later sold to a Warrnambool businessman, with the purchase drawing nationwide interest.

“We embarked on a major marketing campaign and it’s pretty much where we thought we’d finish,” he said.

“It’s good to see confidence back in the market.

“It’s a straightforward investment property. There are three good leases.

“It’s prime, high-view area.

“The site has a high level of foot traffic.

“It’s a very prominent site. It’s an excellent result.

“Both the vendor and the purchaser are very happy.”

The sale had been compared with that of the former Wannon Water building on the corner of Fairy and Koroit streets, believed to have sold for $2.5 million.

Mr Hancock said the decision to sell was instigated by the vendor syndicate.

“The hotel has a 20-year lease and all the tenants are on new or existing leases,” he said.

Along with the Vic Hotel, the building houses the Optus store, Pola and Co. Chartered Accountants, Australian Unity Financial Planning and First 4 Finance.

The site, which includes 16 accommodation rooms above the Optus shop and a drive-through bottle shop, provides a rental return of about $208,000 a year.

This story Administrator ready to work first appeared on Nanjing Night Net.