Sydney’s commercial property market is experiencing a significant shift, with electric vehicle (EV) brands rapidly expanding their footprint in the city’s prime showroom and warehouse spaces. Over the past four months, high-profile EV brands have secured major leases in Sydney’s Lower North Shore, signaling a sharp rise in demand for premium commercial properties catering to this fast-growing sector.
 
As the EV revolution accelerates, automakers are prioritising showroom locations that offer both visibility and logistical convenience. High-traffic commercial hubs such as the Pacific Highway and Military Road have become hotspots for EV dealerships looking to showcase their latest models while streamlining distribution networks.

Alex Bennett of X Commercial has been at the forefront of this market surge, successfully brokering two of Sydney’s largest EV showroom leases. “The demand for showroom spaces with integrated warehouse facilities is skyrocketing,” said Bennett. “We’re seeing a clear shift in how EV brands approach retail and logistics, leading to premium rental rates for property owners.”

 
Mr. Bennett was the exclusive leasing agent that secured landmark deals for Polestar and BYD, two leading EV brands:

Polestar at 291 Pacific Highway, Artarmon – A 6-year lease (with 3 x 5-year options) at a net rental of $1.5 million per annum, covering a net lettable area of approximately 5,500 sqm at a blended rate of $500/sqm (net).

BYD at 83 Dickson Avenue, Artarmon – A 5-year lease (with 3 x 5-year options) at a net rental of $850,000 per annum, across a multi-level 1,900 sqm (NLA) at a record-breaking blended rate $460/sqm (net).
 
Together, these deals account for a gross lettable area of 9,800 sqm, underscoring the scale of investment flowing into this market segment.

Why EV Tenants are Paying Premium Rents

Bennett attributes the above-market rental rates to the unique advantage of combining showroom and warehouse capabilities in a single location. “EV brands are prioritising efficiency,” he explained. “By housing both sales and distribution under one roof, they’re reducing operational costs while justifying premium rents for landlords.”

With demand showing no signs of slowing, Bennett is currently consulting on several properties that, with strategic renovations, could also cater to this high-growth sector. “Landlords who recognise this trend early stand to benefit significantly,” he added. “The opportunity to reposition properties for EV tenants is immense.”

 
A Golden Opportunity for Sydney’s Commercial Property Owners

For investors and landlords, the rise of EV brands presents a lucrative opportunity to attract high calibre tenants willing to commit to long-term leases at strong rental yields. As government incentives and consumer demand fuel the EV transition, showroom and warehouse spaces will only become more valuable.

Commercial property owners looking to capitalise on this trend should act swiftly to position their assets for the next wave of EV expansion. For expert guidance on leasing to EV brands, contact Alex Bennett at X Commercial.