‘No win, no charge’ legal eagles abandon their historic office after nearly 60 years

Capital Gain

Legal firm Galbally & O’Bryan will move out of its historic office mid-year after nearly 60 years serving an array of clients walking through the doors of its distinctive three-storey building.

The Victorian-era property is going to auction on March 4, nine years after Peter O’Bryan, the late Frank Galbally QC’s partner, bought the building outright in 2017, paying $3.2 million for his share.

The firm was established in 1935 by former Collingwood Football Club player John Galbally, who was joined by his brother Frank in 1948.

By 1965, Frank Galbally had joined forces with O’Bryan and in 1969, he bought the building at 259 William Street for $104,000.

At his peak, Galbally had a renowned acquittal rate and was considered one of Australia’s greatest barristers. Together, the pair also revolutionised personal injury claims, taking them on a “no win-no charge” basis, a practice which continues today.

Cushman & Wakefield agent Anthony Kirwan, who is handling the sale with Oliver Hay, Daniel Wolman and Leon Ma, is expecting more than $5 million in this market.

Galbally & O’Bryan Lawyers’ lease runs until June 30.

Also on the CBD auction list is 20 Russell Place, where the city’s first auction for the year will take place on February 26.

The 55-square-metre shop is leased to New York-based fashion label Knickerbocker on a five-year lease with a five-year option. The retailer pays $75,000 a year in rent.

The shop, located between Little Collins and Bourke streets, is expected to fetch around $1.5 million. Fitzroys’ Mark Talbot and James Lockwood are running the auction.

Severe haircut

An unlisted Lendlease fund is looking at a severe haircut, offloading a B-grade building it bought in 2022 from the Juilliard Group for $83 million.

That deal was done before the floor fell out of CBD values because 459 Little Collins Street is now expected to fetch around $50 million.

The refurbished 15-storey building sits on a large 1053 sq m island site in the midtown legal and financial precincts.

At the time, the Lendlease REP4 Asset fund also purchased the building at its rear, 440 Collins Street, for $194.5 million. Obviously, there was a development strategy in play.

The latest Property Council of Australia office report shows Melbourne’s CBD office vacancy rate is now running at 19 per cent, well up on the 12 per cent when the fund made its acquisitions.

Cushman & Wakefield agents Daniel Wolman, Oliver Hay and Leon Ma have the listing.

Around the corner, private investors are selling 93-95 Queen Street, an eight-level Art Deco building bought for $7 million in 2011.

Designed by A & K Henderson, the property was built in 1939 and is expected to sell for around $15 million. It’s all in the timing.

The 1720 sq m building is half empty and returns around $537,500 a year in rent. Colliers’ agents Ryan Milivojac, Matt Stagg and Yvonne Zhou are running expressions of interest.

Also hitting the market is the headquarters of developer Golden Age at 23 Coramandel Place.

Golden Age had completely revamped the three-storey warehouse office it bought in 2020 for $6.87 million. It’s understood the developer is moving into the penthouse office of its newly completed strata tower around the corner at 130 Little Collins Street. The Cushmans team has the listing.

St Kilda Road

The fast-growing Kokoda Property Group is set to put its stamp on St Kilda Road, buying an office building from the property arm of bookseller Dymocks.

Kokoda’s Mark Stevens confirmed the developer will pay more than $100 million for 441 St Kilda Road and redevelop it as an 18-storey luxury apartment project.

The deal brings some long-awaited good news for St Kilda Road landlords – a profit following a string of high-profile losses – but the site has advantages that others lack.

Ai Group House sits on a sprawling 6085 sq m site backing Fawkner Park in the block south of the Domain intersection where the new Anzac station has opened.

The 146-year-old Dymocks, owned privately by the Forsyth family, paid $82.1 million for the building in 2014, buying it from the Over Fifty Guardian Friendly Society.

The bookseller’s property “side-hussle” is cashed-up and poised for expansion. It has a $400 million portfolio and is “virtually debt-free,” Dymocks Properties chief Cathy Tiberio said.

“We continue to see opportunity in expanding and reshaping our property portfolio,” Tiberio said.

Records show the deal was done just before Christmas, shortly after Stevens put in the winning $8.4 million bid for the Saint Hotel in St Kilda.

The pub at 54 Fitzroy Street was sold by liquidators to Jon Adgemis’ Public Hospitality Group, a venture which collapsed last year under a staggering $1.8 billion of debt.

Stevens is putting the pub into Kokoda’s new hospitality arm. Its debut venue, The Angel of Malvern – the old Angel Tavern – is set to open in April 2026.

Southbank sites

There’s plenty happening in the St Kilda Road precinct where Macquarie-backed build-to-rent developer Local: Residential snapped up 15-37 Bank Street late last week.

Records show Local paid $46.54 million for the 3368 sq m site in a deal struck by CBRE’s Trent Hobart and David Minty.

Local bought the site from Canadian investor Hines and is planning 355 units at the site off St Kilda Road.

Down the road facing Albert Park Lake, fund manager Vantage has listed 11 Queens Road for sale.

The 12-storey 8501 sq m office building is currently 71.5 per cent leased – that’s better than average for the St Kilda Road precinct where the PCA office vacancy rate is running at around 31 per cent.

The property is on a large 2337 sq m landholding and expected to fetch around $35 million.

It last changed hands in 2014 for $27 million.

Cushman & Wakefield’s Oliver Hay, Daniel Wolman and Leon Ma have the listing.

Also on the market in Southbank is a 2070 sq m development site at 175-187 Sturt Street, where Sydney’s now collapsed Crown Group was planning its first Melbourne tower.

Records show Crown bought into the project in 2017 for $7.75 million and a twin-tower development was proposed.

Alas, it never made it out of the ground and a bitter feud between Crown’s co-owners bought the developer undone last year. Agents won’t provide a price guide, but it will be less than those mentioned above.

Stonebridge’s Julian White and Chao Zhang have the listing.

Trio Hotel

A Chinese hotel operator has snapped up the vacant Trio Hotel in Box Hill for $30.7 million.

The 128-room hotel was part of a 517-unit residential project at 845-851 Whitehorse Road undertaken by CBD Development Group with funding from MaxCap.

Last year, the tower’s childcare centre was leased to Hong Kong-based childcare chain, Cosmic Education Group.

The hotel still requires a fit-out, but that was not a problem for the buyer, according to Savills’ Benson Zhou who negotiated the deal with Mark Durran and Nick Lower.

“The buyer is a highly experienced hotel owner and operator in China, and the flexibility offered by the hotel was a key driver in this transaction,” Zhou said. Pomeroy Pacific’s Nick Grear represented the vendor.

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