International developer Brookfield has undertaken extensive upgrades of its neighbouring office buildings, within its $2 billion Brookfield Place Sydney precinct in preparation to sell as buyers’ circle CBD investment opportunities.
The adjoining towers at 32-36 Carrington Street in the core of the CBD have a combined value of between $130 million to $150 million and have been refurbished to offer state of the art space to cater for the new hybrid work practices.
Brookfield’s 32 Carrington Street tower in Sydney’s CBD.Credit:
These include high-quality end-of-trip facilities and bike storage – for tenants who don’t want to use public transport – open and bright shared kitchens, and wide spaces between desks. There are also staircases to avoid crowded lifts.
Brookfield has appointed CBRE’s Harry George, Danny Shi and Hugh Thompson, together with CI Australia’s Mike Stokes, John Bowie Wilson and Shirley Fan, to market the buildings directly adjoining the $2 billion Brookfield Place.
The buildings are being offered together or individually, with the sale campaign expected to generate significant interest from high-net-worth investors (HNWIs), both locally and offshore.
It comes as investors are circling key assets to get a foothold into high-yielding bricks and mortar buildings before interest rates begin their ascent. Overseas-based buyers are also coming back to Australia for its stable economy and the reopening of the city which has seen workers return.
CBRE’s George said more than $26 million has been invested in substantial building upgrades, delivering workspaces typically associated with premium-grade buildings.
“This has been reflected in tenant take-up, with 44 per cent of 36 Carrington Street leased in recent months, taking the building’s office occupancy to 100 per cent,” George said.
The agents said the buildings also offer strong environmental, social, and governance credentials and line up against HNWI wish list requirements for fully upgraded, freehold assets with attractive weighted average lease expiry (WALE) profiles and a strong market presence.
