Olympic Park “Quad” buildings pushed towards developers

A pair of neighbouring three-storey office blocks within Sydney’s Olympic Park are to be sold together, as the owners look to take advantage of demand for development sites in the precinct.

The buildings at 6 Parkview Drive and 102 Bennelong Parkway form a huge 14,423sqm site that has potential as a mixed-use or apartment development, according to its selling agents.

The owners – Growthpoint Properties Australia – are hoping to reap more than $70 million from the sale.

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Interested is expected from development groups, who will enjoy a holding income of more than $3.8 million annually for the remainder of the building’s lease period.

Savills Australia’s Neil Cooke and Stuart Cox are marketing the properties – known as “Quad 2” and “Quad 3” – in conjunction with GJS Property’s Jason Wright and Chris Bailey.

The buildings have more than 10,000sqm of lettable area.

Cooke and Cox the buildings have plenty going for them both in the short-term and long-term.

“There are limited opportunities capable of providing a high-quality mixed-use development situated within such close proximity of all desired amenities,” Cooke says.

Cox says the combined 10,389sqm of of net lettable area across the two buildings will prove attractive as the future owners determine what to do with the site.

“This is a highly developable parcel of land benefitting from generous planning controls, the advantage of time, and a substantial passing income of $3,800,432 per annum,” he says.

“In their current state, the properties offer strong fixed rental growth, with all leases incorporating annual increases between 3.5% and 4.0%”.

The Olympic Park precinct has been a hive of development activity.

Action has been heated in the Olympic Park area in the last 12 months, with a number of key sites being put on the market and touted as development opportunities.

Wright says the precinct’s reputation as a commercial and residential hub continues to grow.

“With its close proximity to the Sydney and Parramatta CBDs, and its free-flowing connectivity with public transport, Sydney Olympic Park is one of the most sought-after suburbs for commercial investment and residential development in metropolitan Sydney,” he says.

“Following the Olympics, developers set their sights on the emerging suburb, and soon after high-quality commercial and residential buildings began materialising.”