This article is from the Australian Property Journal archive
A four-storey office building in the Parramatta CBD is set to sell for around $20 million, after being listed by a private investor.
The freestanding building at 144 Marsden Street comprises 2,497sqm of NLA on a 839.1sqm site, including 21 basement carparks and ground floor retail.
Wally Scales and Linda Zhu from Knight Frank, alongside Anthony Khoury and Jon Race from Khoury & Partners, have been appointed to sell the asset via an expressions of interest campaign.
“This is a scarce opportunity to acquire a freestanding commercial property of this size and price bracket on a prominent corner in the centre of the Parramatta CBD with ample onsite parking,” said Scales.
Parramatta has recently become Sydney’s second largest office market and is benefitting from significant levels of government infrastructure investment and commercial and residential development activity.
“The property is conveniently located between the town centre at Parramatta Square and the Parramatta Justice Precinct, which includes the major law courts servicing the Greater Western region of Sydney,” added Scales.
“The location benefits from increased street activation and retail amenity generated by surrounding residential high-rise development.”
The commercial property offers a WALE of 1.4-years and a 95.7% occupancy rate, with a diverse range of tenants including health, legal and financial services, with ground floor tenants including Multicare Medical Centre, AVIS printing and Edu Key.
“The current rental and parking rates in the building are amongst the lowest in the Parramatta CBD, so there is plenty of scope to significantly increase the building income in the near term in one of Australia’s fastest growing office markets,” said Khoury.
“Alternatively, the building could be subdivided into strata suites by a developer to exploit the limited supply of available stock in the local market. Further refurbishment works and active lease management will enable this asset to outperform in one of the most dynamic office markets in the country.”
Scales also noted the offered upside in the form of adding additional floor space to the existing building or redeveloping in the future.
“In the longer term, this prominent corner site, which has with flexible B4 Mixed Use zoning, could be redeveloped for new commercial, retail, or residential premises,” concluded Scales.
The expressions of interest campaign for 144 Marsden Street is set to close at 24 November 2022.
