Prime pair of George St buildings to fetch $130m
A pair of buildings in Sydney’s CBD are to be sold for the first time in more than 30 years, in an offering that could be worth as much as $130 million.
The buildings at 458-472 George St sit along the new CBD and South East Light Rail and are being trumpeted for their mixed-use potential, with possible conversions to hotel, residential, office or retail uses.
458-466 George St is a two-storey building with major retail tenants including Platypus Shoes and 7-Eleven, while the adjoining 468-472 George St, named ‘Dudley House’ spans seven storeys, five of which are offices.
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Both buildings are almost fully occupied, with an average weighted lease expiry of 1.32 year, and sit on an 833sqm site with 920sqm of lettable retail space and 757sqm of office space. The buildings currently draw an income of $$2.75 million.
Knight Frank’s John Bowie Wilson, Jonathan Vaughan and Tim Holtsbaum are marketing the buildings, which are to be sold in one line, on behalf of their owner, a private family.
We are anticipating interest from both domestic and offshore developers, institutions, and private investors
“Almost fully occupied, the properties have short weighted average lease expiries with no options to renew and are currently being rented below market levels, prepped for immediate positive rental reversion,” Bowie Wilson says.
“This offering will receive significant interest due to its near-future redevelopment potential. The buildings are not heritage listed, so the site can be completely transformed, subject to approvals.”
“We are anticipating interest from both domestic and offshore developers, institutions, and private investors.”
The buildings sit adjacent to The Hilton hotel and opposite the Queen Victoria Building, and will be sold through an expressions of interest campaign that ends on Thursday, March 23.
