New look office building in Tech Central lands $59.5m price tag
An artist’s impression of the rooftop area.
A completely refurbished office block situated near Central station has sold in an off-market transaction this week for $59.5m.
Situated in the core of Chippendale’s blue-chip investment strip, the four-storey office building at 55-59 Regent St had been highly sought after by tech companies and office investors alike.
The commercial asset was acquired by a private investor on a 3.1 per cent stabilised yield, and had previously been acquired by developer HB+B Property alongside AMP Capital in late 2020.
55 – 59 Regent St, Chippendale sold for $59.5m in an off-market transaction.
At the time of the 2020 acquisition, the companies were in the early stages of repositioning and planning to redevelop the entire office building.
The sale follows the announcement and approval of development plans for a $3bn transformation of Central Place Sydney within the Tech Central precinct – a joint venture between Dexus and Frasers Property.
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The commercial site is situated in the suburb’s blue-chip strip.
JLL’s Mitch Noonan and James Aroney brokered the off-market transaction, and said the building was currently being leased by the Institute of Creative Arts and Technology until it expires in seven years.
“The City Fringe has remained a resilient investment destination for both private and institutional capital, which is being supported by major infrastructure and strong occupier market with nearly 0 per cent vacancy across prime assets in the core City Fringe precincts,” Mr Noonan said.
An artist’s rendering of the lobby area.
And the rooftop area.
The property sits adjacent to Sydney’s Central Station and the proposed new Atlassian headquarters.
According to AMP Capital fund manager Tim Fallet, Tech Central is being dubbed Australia’s answer to Silicon Valley and is attracting investors to Sydney’s City Fringe accordingly.
An aerial highlight showing the property in 2020.
“While it’s been good to realise value following the recent refurb and release of the property, we continue to be big believers in the precinct and have recently acquired another office property in the area with significant redevelopment plans on behalf of the same capital partner.”
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