Homepage
PR Newswire
23-06-2015, 07:24 PM
(This post was last modified: 23-06-2015, 07:24 PM by greengiraffe.)
Jun 23 2015 at 5:27 PM Updated Jun 23 2015 at 6:06 PM
Mad scramble for government-tenanted assets at Sydney auction
A site with development potential at Hornsby, in Sydney's north shore, sold for nearly $6 million.
by Su-Lin Tan
Money was not the issue at a commercial property auction in Sydney on Tuesday; standing room was.
In a packed room at the Wentworth Sofitel Hotel, private investors, mostly from family trust funds and self-managed superannuation funds, snapped up 27 NSW government and privately tenanted commercial properties from property agent, Burgess Rawson's 97th NSW commercial portfolio.
"Today is testament of the strength of our market," Burgess Rawson director, Dean Venturato said.
"Many were buying for the underlying value of buildings and land, not yield. And government tenancies were also a big factor."
The auction raked in $49 million in sales, with $26 million of that in government-tenanted sales.
A mad scramble ensued for the opening sale of a 4590-square-metre, commercial property with residential development potential, in Hornsby in Sydney's north. It sold for $5.92 million at a yield of 1.89 per cent.
The frantic bids for Hornsby prompted the auctioneer, David Scholes, to call out to the back of the room at one point, "Do you know which property you are bidding on?"
The site which has a NSW government-tenanted 636-sq-m building, also achieved the highest price at the auction.
A private Asian family who missed out on the Hornsby sale fought back to buy a 5952-sq-m industrial property in Silverwater in the west for $5.85 million – the second most expensive property sold.
The Hayer Group, a family private company which has been investing in Coffs Harbour and Grafton since the 1970s, dismissed the buying frenzy as speculative.
They bought a Coffs Harbour, government-tenanted, 2020-sq-m site for $2.75 million.
"It might be boom time, but we bought it for strategic investment reasons. We don't look at whether it is the right time to get in, but if a property has value," director Harbans Hayer said.
At another commercial auction in Sydney, a Newtown commercial building in Sydney's inner-west was snapped up for $5 million and an approved development site in Drummoyne sold for $4.25 million.
Mad scramble for government-tenanted assets at Sydney auction
A site with development potential at Hornsby, in Sydney's north shore, sold for nearly $6 million.
by Su-Lin Tan
Money was not the issue at a commercial property auction in Sydney on Tuesday; standing room was.
In a packed room at the Wentworth Sofitel Hotel, private investors, mostly from family trust funds and self-managed superannuation funds, snapped up 27 NSW government and privately tenanted commercial properties from property agent, Burgess Rawson's 97th NSW commercial portfolio.
"Today is testament of the strength of our market," Burgess Rawson director, Dean Venturato said.
"Many were buying for the underlying value of buildings and land, not yield. And government tenancies were also a big factor."
The auction raked in $49 million in sales, with $26 million of that in government-tenanted sales.
A mad scramble ensued for the opening sale of a 4590-square-metre, commercial property with residential development potential, in Hornsby in Sydney's north. It sold for $5.92 million at a yield of 1.89 per cent.
The frantic bids for Hornsby prompted the auctioneer, David Scholes, to call out to the back of the room at one point, "Do you know which property you are bidding on?"
The site which has a NSW government-tenanted 636-sq-m building, also achieved the highest price at the auction.
A private Asian family who missed out on the Hornsby sale fought back to buy a 5952-sq-m industrial property in Silverwater in the west for $5.85 million – the second most expensive property sold.
The Hayer Group, a family private company which has been investing in Coffs Harbour and Grafton since the 1970s, dismissed the buying frenzy as speculative.
They bought a Coffs Harbour, government-tenanted, 2020-sq-m site for $2.75 million.
"It might be boom time, but we bought it for strategic investment reasons. We don't look at whether it is the right time to get in, but if a property has value," director Harbans Hayer said.
At another commercial auction in Sydney, a Newtown commercial building in Sydney's inner-west was snapped up for $5 million and an approved development site in Drummoyne sold for $4.25 million.