This article is from the Australian Property Journal archive
FIVE strata office sales worth $7.2 million across four Sydney CBD buildings have seen records broken in each of the buildings, as demand for smaller spaces rises.
The sales took place in 183 Macquarie Street, 350 George Street, 84 Pitt Street and 65 York Street.
A 60 sqm office on level 13 of 183 Macquarie Street sold for $1.2 million, equating to a floor rate of $20,000 per sqm, while the 43 sqm for suite 402 on level four of 350 George Street traded for $1,150,000, at a high $26,744 per sqm.
Dual offices traded at 65 York Street. Suites 2.03 and 2.04 sold for a respective $1,479,751 and $992,000, at a blended rate of $14,980 per sqm, while at 84 Pitt Street, the 161 sqm Suite 801 sold for $2.39 million, at $14,845 per sqm.
350 George Street
The deals were all negotiated by Jessen O’Sullivan and Andrew Harford of Knight Frank.
O’Sullivan said the deals demonstrated that there was still a distinct appetite for quality positioned commercial strata assets in the CBD despite some market commentary to the contrary over the past 12 months.
“There is still strong demand for quality positioned commercial strata assets in the CBD due to the low interest rate environment and positivity flooding back into the market,” he said.
He said many employers encouraging their workers back into the office, at least for a few days per week.
“What we are seeing, however, is that in many instances occupiers are looking for smaller spaces, particularly under 100 square metres, as businesses shift from needing a larger footprint in the CBD, which is why strata space is commanding premium prices.”
