PHOTO: FILE

Melbourne’s ‘Best Brothel’ Struggles to Sell Despite Prime Investment Potential

A once-award-winning brothel in Melbourne’s southeast is proving that even in the real estate market, sex doesn’t always sell. After more than two years on the market, Club 8, located at 8 Yiannis Court, Springvale, has yet to secure a buyer, despite a newly reduced price guide and an attractive rental return.

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The venue at Club 8, located at 8 Yiannis Court, Springvale is up for sale.

The venue at Club 8, located at 8 Yiannis Court, Springvale is up for sale.

🏡 The Property at a Glance:

  • Location: Industrial precinct of Springvale, Melbourne
  • Building Size: 500sqm on a 900sqm block
  • Amenities: 6 rooms, 3 spa baths, gated parking, security systems, and a 10kW solar power array
  • Lease: Signed 10-year lease in December 2024
  • Rental Income: $149,000 per year with annual 3.5% increases
  • Initial Asking Price: $2.2 million (June 2023)
  • Current Price Guide: Around $1.8 million (March 2025)

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🌐 A Brothel with a Legacy

Operating since 1997, Club 8 was crowned ‘Best Brothel in Australia’ in 2019 by the Australian Adult Entertainment Business Industry Awards at the X Awards Australia. Recognized for both customer satisfaction and sex worker support, the venue has built a name in Melbourne’s adult entertainment sector.

The venue has six rooms, three with spa baths.

The venue has six rooms, three with spa baths.

💼 Investor Appeal Despite Market Hesitation

While some investors might hesitate at purchasing a brothel, real estate analysts suggest such properties can present unique opportunities.

Vanessa Rader, Head of Research at Ray White Commercial, noted that unconventional properties—like brothels, cemeteries, and funeral homes—often hold lower valuations, making them a cost-effective option for investors.

Crabtrees Real Estate agents Saul Akoka and Chris McKenzie are marketing the property, highlighting its solid rental income and long-term tenant stability as major drawcards.

The long-time tenant has been using the premises since 1997.

The long-time tenant has been using the premises since 1997.

📈 Melbourne’s Hot Property Market & Commercial Trends

Despite challenges in selling this brothel, Melbourne’s commercial real estate sector remains strong. Recent reports indicate:

  • Melbourne home prices saw the largest jump in 2025 📈
  • Inner-city properties are attracting record-breaking bids
  • Investors are increasingly eyeing alternative property types
The building is located in the industrial district of Springvale.

The building is located in the industrial district of Springvale.

📋 Key Dates & Next Steps

Investors interested in this high-yield commercial property have until Wednesday, April 16 to submit expressions of interest.

SOURCE: NEWS.COM.AU