- Located close to Paddy's Markets Flemington and DFO Homebush.
- Current lease expires in mid-2024.
- Purchaser intends to redevelop the site.
Properties located at 179-181 and 185 Parramatta Road and 29-31 Park Road in Homebush West have been sold in one line for $24.5 million.
The industrial sites currently comprise 8,095 square meters (sqm) of building area and 10,474 sqm of land.
Acquired by an owner-occupier with the intention to redevelop the site, the properties are currently leased in one line to a wholesale distribution company; the lease expires in mid-2024.
The deal was negotiated by Knight Frank‘s Angus Klem and Wally Scales, with the campaign fielding more than 120 enquiries.
“This transaction is typical of the current trend we are seeing, whereby buyers are looking for core-plus investments – that is, brownfield sites with dated facilities that have value-adding or redevelopment potential,” said Klem.
“For sellers, usually unlisted ‘mid cap’ corporates, who are sitting in accommodation that is obsolete for their needs, it gives them the opportunity to convert the capital into cash and then move into more palatable accommodation.”
Angus Klem, Knight Frank
Klem added that the current tenant has been at the site for over 20 years, and the purchaser will benefit from an income stream while they consider lodging a development approval or seek other regulatory approvals.
The property is also a strategic infill location, in Sydney’s inner west, according to Scales.
“After scouring the market for several years, the purchaser was attracted to this property because the site area, three street frontages and surrounding transport network was particularly suitable for their purposes,” said Scales.
“Industrial property is still in short supply across Sydney, and this offering was an outstanding opportunity for a buyer to secure a very sizeable piece of land in a strategic location.”
