Surry Hills ‘iconic’ site with DA approval for 19-storey hotel has $100m price expectations
A huge “iconic” inner-city site — including a hotel shutdown by Covid — has hit the market with $100m price expectations.
The old Stellar Hotel with Soda Factory bar below and four neighbouring office buildings at 4-22 Wentworth Ave, Surry Hills — all owned by Nick Pongrass of Pongrass Properties — offers a significant 1,218 sqm landholding.
And best of all for the investors and developers expected to pounce on the huge opportunity, it comes with Stage 1 development approval by City of Sydney for a new 19-storey development by architect Ed Lippmann.
The five properties are being sold in one line in an expressions of interest campaign via James Nixon of Raine and Horne Projects, IB Property director Steffan Ippolito and James Aroney of JLL Capital Markets.
Ippolito described the combined site close by Hyde Park as “iconic”.
“The expanded hotel has concept plans for 202 luxury appointed rooms with a ground floor restaurant and bar offering,” Ippolito said.
He confirmed that the new 19-level hotel development would sit over the current hotel site and the neighbouring building.
Nixon said: “4-22 Wentworth Ave offers rare and exciting investment potential.
“Not only is this a premium site in an outstanding location, but there are also multiple value-add possibilities.”
Nixon noted that the planning approval prevented the adjoining property from overshadowing the future development.
He said the development of the nearby “Tech Central” precinct would enhance the Wentworth Ave site.
Property records show Pongrass bought the five properties over an eight-year period starting with the six-storey hotel at 4 Wentworth Ave in 1995, which cost $3.75m.
He paid $1.65m for No. 8 Wentworth Ave in 1997; $3,369,150 for No. 10-12 in 1998; $1.45m for No. 14 in 2003 and $3.9m for 16-22 the same year.