The billionaire proprietors of Chemist Warehouse obtained permission to construct a mixed-use tower of seven levels on what many consider the most prominent suburban intersection in Melbourne.
A major expansion in South Yarra
The parcel comprises 600 Chapel Street, acquired in 2024 for $15 million by a partnership that includes Jack and Sam Gance together with Adriano, Marcello and Mario Verrocchi. Situated on the south-east side of Toorak Road, the lot measures 367 square metres and contains a heritage-listed 521-square-metre structure that has long housed the National Australia Bank.
Earlier in the year, the investors secured the adjacent property at 592 Chapel Street through a private transaction. That site, covering 201 square metres, was purchased for $4.8 million, with Aston Commercial’s Zak Lewski and Fred Nucara acting as the agents for both acquisitions.
Office, retail, and fitness space
The newly approved scheme adds four additional storeys atop the current commercial block, creating a seven-storey edifice. The basement is slated to become a gym operating around the clock. Retail outlets will continue on the ground and first floors, while the second level is planned for a food-and-beverage venue capable of serving 35 guests, open from 6 a.m. to 5 p.m.
The remaining floors will be devoted to office space, intended to house NRG Property—the real-estate investment division linked to the Chemist Warehouse owners and led by former JLL professional Michael Spektor. NRG Property moved into the upper tier of the existing building earlier this calendar year.
Stonnington City Council endorsed the plan, noting the opportunity for a denser utilization of a site positioned at one of the most visible crossroads beyond the central business district, where retail rents and land prices rank among the city’s highest. The parcel lies inside the Chapel Street North Commercial Precinct, an area that contains heritage-listed structures dating back to the late 1800s and early 1900s.
The National Australia Bank has been a tenant at the corner since 1951. The protected historic façade will be preserved and refurbished. A proposed 49-square-metre billboard spanning the fourth and fifth levels was omitted from the final design, whereas a 31-square-metre signage on the building’s north-west face received approval, with lighting allowed only between 6 a.m. and 11 p.m.
Developments across the suburb
In other South Yarra projects, developers Gurner and Quintessential are demolishing the Jam Factory to erect a high-end mixed-use complex comprising multiple towers, with a projected total value exceeding one billion dollars. Earlier this month, a penthouse within one of the new towers was reported to carry an asking price of $70 million.
