2603/220 Spencer Street, Melbourne VIC 3000

2603/220 Spencer | high owner-occupier building | heritage overlay HO737 | rental yield above 6% | strong comparables within building The buying case rests on a rare combination of above-average owner-occupier density in a high-rise CBD building, which typically supports capital stability and lower turnover risk. The oversized balcony and natural light are genuine differentiators in this market, and the listing sits below the building’s recent $605k sale and $780pw rent, implying a yield of over 6.3% at the low end of the range. This property suits a buyer seeking a solid rental performer with moderate growth prospects, or a downsizer who values building quality over flash. The heritage overlay HO737 introduces a constraint on external alterations and may affect future development potential, but it also limits supply in the immediate area, which can support long-term value. The carport is a practical advantage in the CBD, and the 5G coverage and FTTP are functional rather than decisive. Comparable sales within the building are the most reliable benchmark; the nearby $1.175m estimate is from a different building and should be disregarded. Hold for steady rental income or occupy for lifestyle, but do not expect rapid capital appreciation.