photo: Brewery Yard
The commercial real estate landscape in Sydney is undergoing a notable transformation, driven not only by an increase in investor demand for office assets priced below $150 million, but also by a growing emphasis on sustainability and adaptive reuse.
Furthermore, a surge in demand for office spaces tailored to the needs of small to medium-sized enterprises, startups, and niche businesses is on the rise as these entities, increasingly cognisant of their environmental footprint and societal impact, are seeking office assets that offer proximity to key business hubs incorporating sustainability and adaptability.
IP Generation is set to do just that when The Brewery at 5 Central Park Avenue, Chippendale hits the market this month, with a price guide of $140 million and a WALE of 6.3 years. The iconic building has been revitalised to provide a mix of modern, heritage-inspired office and retail spaces.
For sale through Leigh Melbourne, Mark Hansen, Bridhe Woods and Josh Cullen of Cushman & Wakefield and Luke Billiau, James Barber and Kate Low of JLL, The Brewery is one of Sydney’s best heritage office assets and is anchored by Australia's largest fintech, Afterpay, which will underpin significant interest from domestic and international buyers.
Spearheaded by renowned architecture firm Tzannes, the adaptive reuse project at the Carlton and United Brewery Yard, situated at the heart of Central Park, exemplifies Tzannes' commitment to sustainability, innovation, and collaboration, having won multiple awards including a UNESCO award for New Design In Heritage Contexts Cultural Heritage Conservation. As the largest cluster of preserved heritage buildings within the site, it serves as a direct homage to the brewery's rich history, which thrived on the premises until 2005.
The 5,791sqm NLA development showcases the potential of highly efficient and forward-thinking power generation technologies, with its onsite Central Thermal Plant providing more sustainable electricity, heating and cooling at lower operating costs.
Positioned directly opposite UTS, the full base build refurbishment was completed in Q4 2023, fusing the best of modern technology with heritage character, along with energy-efficient and sustainable design targeting 5-Star Green Star and 5-Star NABERS rating and 30-basement car parks.
Cushman & Wakefield’s Leigh Melbourne said as Sydney gears up to become the largest technology precinct in Australia, The Brewery stands to benefit immensely.
“With commitments from both private and public sectors, including Atlassian and Dexus/Frasers Property's 'Central Place,' the stage is set for exponential growth. The NSW Government's ambitious plans to facilitate 250,000sqm of office space and create 25,000 new jobs by 2036 only add to the allure of this prime investment opportunity”.
Developed within the $2 billion master-plan precinct crafted by Frasers Property and Sekisui House, what sets The Brewery apart is its anchor tenant - Afterpay, whose fit-out is scheduled for completion mid-2024 and comprises 66% of NLA. Other tenants in the building include MIQ Digital and a leading Sydney hospitality group to open two new hospitality and dining concepts across the ground floor and licenced courtyard area.
Luke Billiau of JLL said Chippendale, alongside its neighbouring City Fringe areas, are driven by the best amenity in Australia, a younger and highly educated workforce, and a broad profile of tenants seeking fringe alternatives.
“The Fringe markets including Chippendale have been winning the war for talent as they capitalise on highly educated occupiers and the supply constraints will drive steady rental growth. Chippendale's transformation into a global technology and innovation hub seems inevitable, further bolstering the attractiveness of The Brewery as an investment destination, which has been resilient through even challenging cycles.”
A 100% Freehold Stratum Title interest in The Brewery Yard, Chippendale is being offered for sale by an International Expressions campaign.
