Planned Infrastructure Spurs Sales in Crows Nest

28 April 2017

A private investor has purchased a recently renovated, free standing two level retail and commercial building in Sydney’s Lower North Shore from a private investor, paying in excess of $16 million on a sub five percent yield.

The 1,712sq m building sits on a 1,019sq m site at 168 Willoughby Road in Crows Nest and occupies a prominent corner location on Willoughby Road and Chandos Street, with ground floor accommodation for two retail tenancies, currently occupied by Top 3 by Design and The Comfort Shop and an open plan office and creative space on the first floor, which is currently occupied by GuihenJones. There is also basement parking for 15 cars with a rear loading dock and storage area.

The property is zoned B4 Mixed Use and there is an opportunity to create a landmark mixed-use development (subject to Council’s approval).

According to Robert Lowe and Eddie Petro of Savills who negotiated the sale, the planned infrastructure spend in the area is driving investment demand as Crows Nest continues to attract strong enquiry from investors and developers seeking to capitalise on consolidating commercial stock.

“With large site amalgamations along the Pacific Highway, Christie Street, Chandos Street, Atchinson Street and surrounds, the resulting outcomes are becoming increasingly accommodative to residential/mixed use opportunities within the precinct” said Mr Lowe.

The Sydney Metro Rail Line’s first stage, Sydney Metro Northwest is the first stage of Australia’s first fully automated rail system. Due for completion in 2019, at a cost in excess of $8 billion it will deliver eight new railway stations to a region which will grow faster than any other part of the Sydney metropolitan area.

“In addition to the existing St Leonards train station, The Crows Nest/St Leonards market is further set to directly benefit from Stage One via the delivery of a train station along Pacific Highway and Clarke Street, just 380 metres from 168 Willoughby Road” continued Mr Lowe.

The property also provides close proximity to Sydney’s arterial road network including Pacific Highway and the M2 Motorway, which is undergoing a $550 million upgrade. 168 Willoughby road is diagonally opposite the proposed new Coles Supermarket on the corner of Willoughby Road and Atchinson Street and just five kilometres to the Sydney CBD.

Mr Petro said vacancy rates have been falling across Sydney’s main suburban markets and the North Shore office markets currently have a vacancy factor of 7.2 percent; Crows Nest/St Leonards a vacancy factor of 8.3 percent.

“Both of these reflect the lowest vacancy factors achieved in these markets since 2001” he said.

Click here to learn more about Savills Metropolitan & Regional Sales.

 
 

Key Contacts

Robert Lowe

Robert Lowe

Director
Metropolitan & Regional Sales

Savills Sydney

+61 (0) 2 8215 8841