The prime Lakes Business Park in south Sydney has sold for $153.5 million, just over the expected amount of $150 million.
Dexus Property Group, who was
a strong forerunner in the sale has purchased the prestigious commercial precinct property.
The 43,000 square metre site close to Sydney airport and Port Botany is one of the largest offerings in the area's history.
Tenants include Telstra, Sunbeam, Mazda and Bosch among more than 50 companies.
Dexus chief executive Darren Steinberg said the investment was strategic in one of its core industrial markets.
"(There is) the potential for superior rental growth in the medium term due to the lack of greenfield land supply, combined with competing land use interests in the area," he told the Sydney Morning Herald.
The site was 95.9 per cent occupied, with a weighted average lease expiry of 3.2 years, said Dexus.
It has been a business park for nearly two decades, with the Mitchell Group having run it as a wool processing plant until 1987.
The park carries an approved masterplan that would allow development of the site to over 70,000 square metre of business park space.