This modern freehold building in the heart of southern Alexandria features an impressive 12,530 sqm landholding within one of Australia’s most coveted precincts, with close proximity to key Sydney transport infrastructure, including the Sydney Kingsford Smith Airport, Port Botany and WestConnex Motorway, as well as the M1 and M5 Motorways.

The property is listed exclusively with the Colliers team of Michael Crombie, Trent Gallagher, Gavin Bishop and Sean Thomson, as well as the CBRE team of Jason Edge, Nathan Egan and Shaun Timbrell. Price expectations are north of $70 million.

“Rarely do we see an investment within prime Alexandria of such strength boasting occupiers being Telsa Motors and Seven Network, enormous underlying rent reversion, superior power supply, in an ever evolving precinct,” Mr Crombie said.

“Positioned on one of South Sydney’s main arterial roads, the location will continue to be a massive drawcard in attracting future tenants, allowing the purchaser to capture future rental uplift. The location and planning controls open up further potential to reposition the asset through refurbishment or redevelopment. Alexandria is in a continual phase of gentrification which allows for excellent capital growth potential,” Mr Gallagher said.

“118 Bourke Road offers purchasers a unique opportunity to secure an exceptionally located freehold property, underpinned with secure income from two blue-chip corporate tenants. Assets of this calibre and scale are rare in South Sydney,” Mr Edge added.

“Alexandria offers an unrivalled mix of amenity, lifestyle, and entertainment appealing to many creative and customer focussed industries. It’s a market that is always in extremely high demand from tenants looking to locate close to their main customer base and attract and retain employees,” Mr Egan added.

With a strategic WALE (by income) of 4.2 years, the property offers a promising opportunity for value enhancement through a variety of core plus and strategic re-leasing initiatives in the medium term, as well as multiple exit strategies in the future.

The location has heightened occupier demand within the Sydney industrial market, evidenced by Sydney’s vacancy rate of 2.4% at the end of Q2 2024, well below the market equilibrium of 4.0%.

South Sydney stands to benefit from the significant NSW transport infrastructure pipeline of $72.3 billion, including the Stage 1 M6 Motorway and the Sydney Gateway, both forecast to be completed in 2025.

118-124 Bourke Road, Alexandria, is offered for sale via an International Expressions of Interest (EOI) campaign, closing on 1st October 2024.