This article is from the Australian Property Journal archive
AN A-grade North Sydney tower that is home to the United States Consulate General has hit the market, offering buyers access to a long-leased high-quality tenanted asset.
50 Miller Street spans 10,427sqm underwent extensive upgrades finished in 2019, which included more than $15 million in base building capital works, and has since secured leases to the United States Consulate General (USCG) and WeWork.
James Parry and Kenny Duncanson from CBRE, alongside James Barber, Luke Billiau and Simon Storry from JLL have been appointed to manage the sale of the building via an expressions of interest campaign on behalf of Sumner Capital.
“Having completed a major repositioning of the asset, we’ve identified that now is the right time to recycle the capital to invest in new opportunities amid ongoing demand for high quality North Sydney investment opportunities,” said Kirby Parsonage, head of property at Sumner Capital.
According to Parry, the tower is also only of only four buildings in the North Sydney CBD with a WALE exceeding seven years, with no asset with such a WALE and a sub-$200 million lot size in North Sydney being offered to the market in the past five years.
“The ability to secure this style of asset will be highly attractive to a wide range of buyer groups, particularly in light of the AA+ rated USCG tenancy covenant. This is a first-generation, 12-year lease, which offers extremely strong retention potential due to the consulate’s specialised $119 million fit-out,” added Parry.
The asset also benefits from its prime location, sitting within close proximity of the upcoming Victoria Cross Metro Station, which is due for completion in 2023 and will see travel times of five minutes to Martin Place and three to Barangaroo.
The expressions of interest campaign for 50 Miller Street is scheduled to close on 17 August, 2022.
