Record-breaking deal at $30 million quietly sets new benchmark in South Sydney

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Dec 19, 2024

Record-breaking deal at $30 million quietly sets new benchmark in South Sydney

The property, a meticulously designed warehouse conversion known as The Foundry at 39 Collins Street, Alexandria reportedly sold by X Commercial for a record-breaking $15,000 per square metre.

39 Collins Street, Alexandria sold
39 Collins Street, Alexandria sold

In a discreet transaction a premium commercial property in South Sydney has reportedly been sold for a record-breaking $15,000 per square metre.

The deal, rumoured to be brokered by Daniel O’Brien, CEO of X Commercial was completed recently and reached a staggering $30,000,000 — 50% above market expectations.

The property, a meticulously designed warehouse conversion known as The Foundry at 39 Collins Street, Alexandria, comprises 1,977 square metres of prime commercial space.

According to the Leasing advertisement online, the building offered a $4 million high-end fit-out, it has become a hallmark in the Alexandria precinct, celebrated for its creative character, premium amenities, and excellent connectivity to Green Square Train Station and surrounding hubs.

Originally transformed into an award-winning space in 2019, The Foundry has served as the flagship location for Caroma’s Experience Centre.

Featuring polished concrete floors, exposed services, and expansive street frontage, the building has attracted high-end showrooms and headquarters seeking a prestigious city-fringe address.

When contacted, Daniel O’Brien declined to comment on the specifics of the transaction, maintaining the confidentiality that defined this deal.

His only comment was “Anything in South Sydney and the City Fringe that is over 1,000sqm and currently vacant, I have several qualified buyers with $10-50M to spend right now. The trick is finding them stock to acquire.”

However, market insiders confirm that the sale was negotiated with an owner-occupier, reflecting the strong demand for top-tier commercial properties in Sydney.

The unprecedented price has set a new benchmark for South Sydney, poised to impact valuations and inspire confidence among commercial property owners in the area.

As the market recalibrates following this milestone transaction, all eyes will be on South Sydney and CBD Fringe for more possible trades to owner occupiers in 2025.