Our Projects
16-18 Cato Street, Hawthorn East
Property Overview:
16-18 Cato Street, a high-quality commercial property in a prominent Hawthorn location, had been held by the vendor for 7 years, having been originally purchased for $24.7 million. During this time, approximately $5 million was invested in significant upgrades and enhancement works, further elevating the building’s appeal and functionality.
Engagement and Role:
Our client required a comprehensive acquisition service to locate a suitable property, complete rigorous due diligence, and secure a competitive purchase price. JACX Property’s role involved:
- Property Identification:
Through our extensive market intelligence and relationships, JACX Property identified 16-18 Cato Street as a strategic acquisition opportunity for our client. Leveraging our early access to off-market intelligence, we were able to proactively complete necessary due diligence before a broader sales campaign was launched. - Detailed Due Diligence and Value Assessment:
Recognising the property’s potential, we conducted exhaustive due diligence, focusing on building quality, compliance, and capital expenditure requirements. Our due diligence included:- Comprehensive analysis of outstanding capex to identify any remaining items of non-compliance or upgrades needed, providing our client with a complete understanding of the building’s condition and future investment needs;
- Reviewing all prior upgrade works to confirm quality and identify potential areas of enhancement;
- Working closely with building consultants to ensure a robust understanding of the asset’s replacement cost and long-term value potential.
- Price Negotiation and Strategic Acquisition:
Initially priced at $30 million by the vendor, JACX Property’s expertise in negotiation and valuation allowed us to secure the property for $26.5 million. This represented a significant saving for our client and an acquisition price well below the replacement cost of a similar quality asset. - Client Outcome and Value Creation:
JACX Property’s engagement delivered substantial value, securing an exceptional property that met all client requirements for long-term occupancy at an advantageous purchase price. The outcome provided the client with a high-quality asset suited to their business needs and a transaction with attractive long-term upside in a prime Melbourne location.
Throughout the process, our client benefited from JACX Property’s strategic guidance, detailed market knowledge, and our commitment to their best interests. The acquisition of 16-18 Cato Street highlights our tailored approach to Buyer Advocacy, providing clients with optimal property solutions while safeguarding transparency and value in every stage of the transaction.
