This article is from the Australian Property Journal archive
GLORY Star will partner up with Addenbrooke to develop a new 14-storey commercial tower at 333 Kent Street in the Sydney CBD.
The A-grade CBD building will span 14,242sqm of NLA, with the be design by WMK set to incorporated the existing heritage façade with a new structure.
The project will see the redevelopment of a B-grade office building on the site which boasts 10,000sqm of gross floor area, into a new A-grade office space, with floorplates will ranging from 882sqm to 1,170sqm.
“After looking for some time in the market for a suitable partner to deliver the project with, we are very happy with the result. Addenbrooke will bring good synergy to the existing team with their development track record,” said Moni Xinye An on behalf of Glory Star, which is majority owned by Super Ocean Group.
The joint venture agreement between the majority owner, Glory Star and Sydney based property developer, Addenbrooke, was negotiated by Scott Timbrell, Jesse O’Sullivan and Andrew Harford from Knight Frank.
“We are excited to have completed this transaction with our team and to be a part of this distinctive commercial project,” said Toby O’Neill, director at Addenbrooke.
“We have always been strong believers in this precinct and believe the timing of this development is perfect given our position in the current market cycle and the return to the CBD for office users.”
Addenbrooke themselves teamed up with Phoenix Property Investors (PPI) to acquire a stake in the site.
“We consider that well-located, distinctive, boutique office projects such as 333 Kent Street will remain an attractive proposition for both tenants and property investors and we look forward to delivering a world-class project which will be a prominent addition to the Sydney CBD’s western corridor precinct,” said Trent Winduss, head of PPI Australia.
The new tower will be built with a post-COVID workspace in mind, incorporating smart systems and touchless technology, as well as external breakout spaces, end-of-trip facilities and food and beverage offerings on the ground floor.
“Rather than seeing a move away from the CBD from tenants, we are actually seeing the opposite at the moment, but there is flight to quality, with office workers wanting COVID-safe A-grade buildings, but also to be close to amenity, including restaurants, cafes, shops and bars for after-work drinks as they enjoy socialising again,” said O’Sullivan.
At the time the development received concept approval to deliver a mixed-use hotel development at the site, though these plans fell through after IProsperity went into administration in July 2020.
A formal builder tender process for the new planned commercial building will take place in 2022 to determine the contractor.
The joint venture partnership will deliver the project with practical completion due for late 2023 or early 2024, while construction is set to commence in the second quarter of 2022.
“It was a fairly quick process involving two like-minded parties coming together and sharing the same vision. This deal, and the pending development, is a real vote of confidence in Sydney CBD,” added O’Sullivan.
