549-harris-street-ultimo-sydney-feature
549 Harris ST Ultimo. Image: Supplied.
  • First time the property has hit the market in 20 years
  • The data centre is currently 'underutilised'
  • Located close to the Powerhouse Museum, casino, and the ABC

Two decades has elapsed since this Ultimo commercial building was last on the market, the Edge Data Centre is now for sale.

Located on 549 Harris Street, Ultimo, the four-storey building sits opposite the Powerhouse Museum, which has been earmarked for a $480 million transformation by the NSW Government and is within close proximity to the ABC building, Ian Thorpe Aquatic Centre and Star Casino.

The offering is substantial: 5,604 square metres of gross lettable area on a 1,341 square metre landholding.

549 Harris Street was originally a warehouse, with the data centre conversion made at the turn of the millennium. The current lease expires in 2024 with no further option term, providing purchasers with future optionality and significant rental reversion.

Whether continuing as a data centre or otherwise it is a tempting purchase, according to JLL’s James Aroney:

“The Pyrmont/Ultimo area has the highest concentration of educated workforce and offers an attractive value proposition when compared to other City Fringe precincts. A Grade rents in Ultimo are on average 38% below those in Surry Hills,”

Mr Aroney also noted the versatility of the rare offering: “The significant land holding, and prominent City Fringe location will appeal to both investors, developers and Data Centre operators. Given the flexible B1 Zoning, the investment provides compelling and genuine value add opportunities.

If continuing on as a data centre, there is still room for improving services, CBRE’s Harry George said:

“This Edge Data Centre has the potential to increase its capacity, as the site is currently underutilised by Optus and there may be additional power capacity that is available to an incoming operator.”

Expressions of interest for the property close Thursday 24 March 2022.

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