Cbus sells off North Sydney site in $240m deal to ALAND
Andrew Hrsto, the owner of ALAND, is making a push into luxury development project with the purchase of a North Sydney site. Picture: Tim Hunter.
Super fund Cbus, Neil Werrett’s Galileo Group and Justin Brown’s Abadeen have abandoned their long-held plans to develop a $700m apartment tower near the Sydney Harbour Bridge, quietly unloading the site to private residential developer ALAND.
Sources estimated the sale of the East Walker Street site would have netted the $100bn Cbus super fund and its joint venture partners about $240m, having outlaid $180m for the site four years ago.
Cbus, which has several apartment projects in Sydney and Melbourne on its books, acknowledged the sale on Wednesday. The other vendors are high-profile developers, with Mr Werrett known for being racehorse Black Caviar’s managing owner, and Mr Brown involved in Abadeen’s luxury property empire.
The sale involves one of the largest development sites to trade this year, with ALAND expected to finetune the pre-existing approvals to build two residential towers on the site, including a 30-storey high-end luxury tower and a second tower accommodating essential workers including nurses, police and firefighters.
One of Australia’s larger private developers, the low-profile ALAND is presently building unit towers across Sydney in Gosford, Harris Park, Schofields and Edmondson. It has also picked up projects in Castle Hill and Parramatta out of the empire of fugitive developer Jean Nassif.
It is understood ALAND had been looking for a city site for some time, with the East Walker Street site purchased in an off-market deal. The transaction was negotiated by Ben Stewart of SRM and Ben Wicks of CBRE. Both agents declined to comment.
In a statement, ALAND said it would deliver a world-class luxury residential project following the acquisition of the site fronting 173-179 Walker Street and 11-17 Hampden Street.
ALAND plans 239 apartments across two towers, with the high amenity 30-storey main tower comprising 161 luxury apartments.
The main tower will also feature exclusive residents-only private club-style facilities such as a rooftop pool, sauna, private dining, cellar, lounge, gym, studio and work from home spaces.
About 70 per cent of the apartments in the 30-storey main tower will feature uninterrupted, never to be built out views of Sydney Harbour with outlooks towards the Harbour Bridge, and Sydney Opera House.
ALAND owner and founder Andrew Hrsto says that East Walker Street will be a once-in-a-lifetime opportunity for buyers including empty nesters, families and professionals.
“We have been searching across Sydney for at least 18 months, trying to find a dream site which would allow ALAND to create a stunning luxury offering for buyers reflecting our commitment to the highest-quality product featuring world-class finishes throughout,” he said.
The East Walker Street site is also situated only a block away from the newly opened Victoria Cross Metro Station.
ALAND chief executive George Tadrosse says construction will start as early as possible, with full construction scheduled to begin in January 2026.
Apartment pricing has not yet been fixed.
At one stage Cbus Property, Galileo and Mr Brown’s Abadeen were proposing to develop 263 apartments on the North Sydney site. But gaining development approval has been difficult for Cbus and its partners, which were forced back to the drawing board after a “top-heavy” apartment tower was proposed for the contentious site in 2022.
The co-developers lodged an appeal with NSW’s Land and Environment Court in 2023 but later withdrew it.
In mid-2021 when Cbus Property, Galileo and Abadeen bought the site from developer Avenor, the joint venture partners said they were attracted to the newly rezoned site because it gave them an opportunity to create a premium residential offering, ideally suited to downsizers, young families and professionals. They engaged FJC Studio, to create the 28-storey plans for the site the following year.
The newer Rothelowman-designed scheme has an estimated $256m development cost and was for two buildings, which addressed issues highlighted in the original “top heavy” design.
About 80,000 workers are expected in North Sydney by 2036 with plans to usher in a new generation of homeowners, businesses and visitors and transform it into a second CBD.
