Parramatta office price more than doubles in eight years
A half vacant commercial office block in Parramatta has sold to a local investor for nearly $40 million – some eight years after it sold fully leased for $18 million.
The property, 16-18 Wentworth St, was built in 1991 and is on a 1333 sqm site with a net lettable area of around 6408sqm.
Ray White Commercial agent Jai Sethi says Parramatta provides businesses and investors a strong alternative to Sydney’s CBD and North Sydney’s high prices.
“16-18 Wentworth Street is over 50% vacant, but buyers saw potential to add value, despite the COVID-19 overall blanket effect covering the market,” he says.
“Despite negative speculation of COVID-19 slowing down the market and the lending market being risk-averse and tight, we have historically low interest rates and quality assets with potential upside either in immediate uplift or future redevelopment, are extremely attractive.
“The Asian capital that’s locally-based is still looking for an opportunity and office assets seem to be a secure standout for these buyers right now, it’s a good balance of controlled risk, as well future opportunity to capitalise underlying value.”