A HISTORIC West Melbourne building, once the headquarters of Mushroom Records, sold this week for $3.6 million.

Currently configured as a double storey, 650 square metre office, 27 -31 Dudley Street is on a 613 square metre block and sold to a developer who is said to be considering a residential redevelopment in the medium term.

Savills directors Clinton Baxter and Nick Peden marketed the vacant building.