Fully-let North Shore asset sells for $60 million

28 June 2018

A significant landholding at 154 Pacific Highway, St Leonards, has sold for $60 million. The building, owned by Property Bank Australia and Security Capital Corporation, was sold by Knight Frank’s Tyler Talbot and Dominic Ong, in conjunction with CI’s Bevan Kenny and Chris Veitch. Acting for the purchaser was Damien Holliday and Alex Henderson from commercial buyers agency Prosper Group.

After a competitive EOI process 15 bids were received with the sale price equating to a passing yield of 5.86% and a rate psm of $9,557 a strong result for a B grade commercial asset within the precinct.  

According to Mr Tyler Talbot, Knight Frank’s Head of Sales, North Shore, the fully-let freehold asset attracted significant interest from local and offshore investors due to its strategic location and opportunity for future rental growth. 
 
“154 Pacific Highway is strategically situated on a large corner site of 3,080 square metres and is currently 100 per cent let, with tenants including Ramsay Health Care and Hyundai Merchant Marine. Significantly under-rented it provides an opportunity to capture strong rental growth upside”
 
The building features excellent natural light and outstanding panoramic harbour views, along with high ceilings and outstanding onsite facilities including a lobby café and generous parking. 

CI’s Bevan Kenny, Managing Director, North Sydney added, “A short walk from St Leonards station, it is well serviced by a direct connection to the Sydney CBD and an abundance of amenities on its doorstep. The surrounding area will be further enhanced as St Leonards continues to evolve into an exciting social, cultural, residential and commercial hub. The property falls within an area identified as a potential ‘high density mixed used corridor’, offers long term redevelopment potential through rezoning to ‘B4 Mixed Use’ (STCA)”. 
 
 
END
 
 
For further information, please contact:
 
Knight Frank
Tyler Talbot, Head of Sales, North Shore, NSW
 
Dominic Ong, Head of Asian Markets, NSW
 
Rebecca Sands, Director, PR & Communications, Australia
 
CI Australia
Bevan Kenny, Managing Director, North Sydney
 
Chris Veitch, Director, Investment Sales
 
Notes to Editors
Knight Frank LLP is the leading independent global property consultancy. Headquartered in London, Knight Frank has more than 15,000 people across 418 offices in 60 markets. These figures include Newmark Grubb Knight Frank in the Americas, and Douglas Elliman Fine Homes in the USA. The Group advises clients ranging from individual owners and buyers to major developers, investors and corporate tenants. www.knightfrank.com.