The Urban Developer
AdvertiseEventsWebinars
Urbanity
Awards
Sign In
Membership
Latest
Menu
Location
Sector
Category
Content
Type
Newsletters
URBAN LEADER AWARDS ARE BACK! START YOUR NOMINATIONS
URBAN LEADER AWARDS ARE BACK! START YOUR NOMINATIONS
LEARN MOREDETAILS
TheUrbanDeveloper
Follow
About
About Us
Membership
Awards
Events
Webinars
Listings
Resources
Terms & Conditions
Commenting Policy
Privacy Policy
Republishing Guidelines
Editorial Charter
Complaints Handling Policy
Contact
General Enquiries
Advertise
Contribution Enquiry
Project Submission
Membership Enquiry
Newsletter
Stay up to date and with the latest news, projects, deals and features.
Subscribe
ADVERTISEMENT
SHARE
print
Print
OfficeStaff WriterTue 29 Aug 17

Lane Cove Office Building Expected to Sell for $55 Million

18-Orion-Road-Lane-Cove_620x380

Private company Develco has taken advantage of tightening North Sydney office markets, listing an office building in Lane Cove with the expectation it will sell for more than $55 million.

With a combined site area of 16,860 square metres, the property includes a nine-level office building of around 9,250 square metres at 18-20 Orion Road, and a separate land holding of 7,922 square metres at 16-18 Orion Road.

The land holding has approved DA consent for a significant commercial development of 15,800 square metres of GFA. Almost fully leased (92.2%) with a 3-year WALE, the quality office building boasts high-profile tenants including Motorola, Netcomm Wireless and Dental Corporation (BUPA).

The sale of the property is being managed by Knight Frank’s Angus Klem, Arland Domingo and Dominic Ong.

“In the longer term, this property offers investors a chance to get in on the ground floor of Lane Cove’s fast-growing office market," Knight Frank North Sydney Managing Director Angus Klem said.

"With rising rents pushing tenants out of the CBD and North Sydney into the outer suburbs, the development potential offers investors the opportunity to capitalise on future demand.”

Knight Frank Senior Research Manager Alex Pham said the significant withdrawals across the North Shore and CBD market has resulted in tenant displacement and strong effective rental growth.

“The significant levels of stock withdrawals continue to benefit the Sydney suburban office market.

"Over the 12 months to July 2017, a total of 57,428 square metres of secondary stock has been withdrawn across the North Shore and Macquarie Park market.

"In conjunction with 126,907 square metres of secondary stock taken offline in the Sydney CBD, this has resulted in tenant demand cascading to the suburban markets and strong effective rental growth.

"The average net effective rent in the Suburban North market, including Lane Cove, has increased by 11.18% over the past 12 months."Klem predicted the property would transform into a mixed-use space for millennials, 10 or more years into the future.

The whole Lane Cove Business Park is set to benefit from the transformation of the North Shore with $73.4 billion being spent on infrastructure over the next three years.

OfficeInfrastructureAustraliado not useFinanceReal EstateSector
AUTHOR
Staff Writer
"TheUrbanDeveloper.com is committed to delivering the latest news, reviews, opinions and insights into the best of urban development from Australia and around the world. "
More articles by this author
ADVERTISEMENT
TOP STORIES
Exclusive

Robots Not a Miracle Cure for Housing Productivity Crisis

Vanessa Croll
6 Min
Exclusive

Where 600 Wealthy Families Are Putting Their Millions

Taryn Paris
6 Min
Brique Projects EDM
Exclusive

Brique Thrives in Cauldron of SE Queensland Development

Clare Burnett
7 Min
Henny Prime Henny Background
Exclusive

Why Henny and Prime Edition are Moving into Student Living

Leon Della Bosca
7 Min
Riverlee Seafarer's 1 Hotel HERO
Exclusive

Melbourne’s North Bank Awakens After Decades of Dormancy

Leon Della Bosca
8 Min
View All >
Markets

Turn of the Tide as Supercycles Track Upwards

Clare Burnett
Community

Urbanity Day One: Five Key Takeaways

Leon Della Bosca
Exclusive

The Urban Developer Awards for Industry Excellence Winners Revealed

Editorial Desk
The property sector’s best and brightest have been recognised at a gala dinner on the Gold Coast…
LATEST
Markets

Turn of the Tide as Supercycles Track Upwards

Clare Burnett
5 Min
Community

Urbanity Day One: Five Key Takeaways

Leon Della Bosca
17 Min
Exclusive

The Urban Developer Awards for Industry Excellence Winners Revealed

Editorial Desk
14 Min
Exclusive

Robots Not a Miracle Cure for Housing Productivity Crisis

Vanessa Croll
6 Min
View All >
ADVERTISEMENT
Article originally posted at: https://www.theurbandeveloper.com/articles/lane-cove-office-building-expected-sell-55-million