This article is from the Australian Property Journal archive
DEVELOPER JDH Capital has forked out an eye watering $150 million for Sydney’s iconic Sirius building, exceeding initial expectations of $100 million.
The New South Wales government put property back on the market last year. The controversial decision sparked backlash because the building has been used as social housing since it opened in 1981.
But the social housing building was sitting on some of the most valuable land in the world, occupying one of the last freehold development opportunities in the harbour-side precinct of The Rocks.
Despite opposition from the public housing tenants, state opposition and Sydney Lord Mayor Clover Moore, the government controversially initiated the first stages of selling the 1980 Brutalist building, after rejecting the Heritage Council’s recommendation to add it to the heritage register.
The distinctive stepped Brutalist building was completed in 1980 and comprises 79 units and 70 basement parking spaces with around 7,010 sqm of gross floor area. The site has a proposed maximum gross floor area of 8,420 sqm and B4 Mixed Use zoning.
NSW Housing Minister Melinda Pavey said the building will be refurbished by JDH Capital, which is founded by former investment banker Jean-Dominique Huynh.
The government said the refurbishment would deliver 89 apartments, up from the current 79, along with retail and commercial spaces.
Protest group, Save Our Sirius Foundation’s chair Shaun Carter questioned by the JDH paid a significant premium from the building when other developers were willing to pay between $100-$120 million, only to have it refurbished.
He described the deal as “secret squirrel, done behind closed doors”.
“Someone’s paying a handsome price for this site,” he said.
Carter pointed to Barangaroo as an example of a development that was not true to the original intention.
“If we look at this government and their actions with Barangaroo, that started as a project that was less than half the size that it is today.
“If we use that as a measure, then we could be seeing Sirius demolished and towers on the site,” Carter said.
