Former Port Melbourne court house and restaurant hit the market as dining restrictions ease
The former Port Melbourne court house and the business it now houses – fine dining Italian restaurant Ciao Cielo – has hit the market just as Victorian Premier Daniel Andrews announced that Melburnians will be allowed to resume in-restaurant dining.
The sale includes the freehold ownership of the heritage-listed building, which was built about 1860 and sits on a 584-square-metre corner site at 115 Bay Street, as well as the Ciao Cielo restaurant business, which has been operating from the site since 2018.
The building, also known as the Sandridge Court House, was designed by Public Works Department architect John James Clark.
Before it ceased being used as a magistrates court in December 1989 it was the oldest metropolitan court still in use.
It is now configured with a restaurant and bar, two private dining rooms, a casual eating space and a marquee-covered beer garden.
Listing agent Will Connolly, of JLL Hotels, said that the property couldn’t have hit the market at a better time, with Mr Andrews having announced on Monday afternoon that in-person dining was allowed again, subject to limits of 20 diners inside and 50 people outdoors.
“The recent announcement of re-opening will be enormously positive for the sale campaign,” he said.
“It now provides a potential purchaser confidence that by the time they reached settlement, Melbourne will be well into a ‘COVID-normal’ in early 2021. It also now gives purchasers the opportunity to go to the venue within [restaurant] opening times and do their research on the property whilst it is open, which is a very common thing for a purchaser to do in our market.”
Mr Connolly, who is selling the property with colleagues Nick MacFie and MingXuan Li, declined to give a price guide, but an industry source speculated that it was likely to be about $7 million.
The property has had extensive renovations worth $1.5 million over the past few years, according to Mr Connolly, including the addition of a new commercial kitchen and an additional dining area.
Owner and operator Kate Dickens said she would be “sad to see it [the business] go”.
“We are convinced that the timing is right given Melbourne is now commencing its own re-opening. It will provide an incoming operator the chance to take the reins in early 2021, when 2020 will be but a distant memory,” Ms Dickens said.
Ms Dickens and partner Bryan Nelson previously operated the Ciao Cielo out of a smaller space at 171 Bay Street.
The business has been operating as takeaway only during Melbourne’s recent lockdown.
Mr Connolly said the easing of restrictions, combined with easy access to finance, should see strong demand for the property.
“With record low interest rates for the foreseeable future, 115 Bay Street comes to the market at a point where Victoria’s lockdown restrictions continue to ease and a renewed sense of positivity is starting to permeate through our market,” he said.
“These conditions should see properties such as 115 Bay Street attract strong interest, offering a beautifully restored property with no capex required in the near term as well as a high profile and well established hospitality business to further capitalise on,” he said.
