The scarcity of commercial property continues to drive premium results with X Commercial facilitating a large off-market sale of the DOMO headquarters in Willoughby Rd. North Shore. Alex Bennett, Managing Director of X Commercial Lower North Shore office, handled the off market sale for the Vendor.
"As Domo are relocating to South Sydney, it was through excellent teamwork of our agency team at X Commercial to identify that their current showroom may be redundant and we were able to offer them a clean deal at a price well in excess of what they wanted, which allowed the off-market deal to move smoothly to an exchange." Mr. Bennett stated.
The off market $6,185,000 transaction of 596-598 Willoughby Road, was for a showroom and office building with approximately 800sqm of net lettable area in a prominent corner position sitting on 556sqm of land.
Mr Bennett, Managing Director of X Commercial North Sydney, said these results continue the run of demand for quality assets in high exposure locations throughout the northern CBD fringe corridor.
“At Willoughby Road, the purchaser was a client we were actively hunting off market and add value type assets for them to reposition. The showroom aspect of the building was especially appealing to them. The purchaser moved quickly to make a competitive offer. The purchaser is a private investor who has been active in the Lower North Shore market for many years and recognises how tightly held the market is.” Mr Bennett stated.
The scarcity of stock in the Lower North Shore was also reflected in the robustly contested on market sale campaign of 53 Hume Street, Crows Nest on behalf of the Boating Industry Association which is also being handled by Alex Bennett of X Commercial in conjunction with Chris Hartigan of Hartigan Bolt.
The site, at 53 Hume Street, fielded more than 100 enquiries, with almost 90% of interest coming from add value developers and tenants looking to convert rental payments to mortgage payments.
Mr Bennett said “We received multiple strong offers at the close of the EOI showcasing the considerable private wealth in the Lower North Shore market. We are continuing to see tenants that are looking to take ownership that made offers on this occasion. Some tenants who are coming off 10-year leases are, in some instances, facing rent increases that are double what was contained in their original lease. “With interest rates still at record-lows, tenants are being very competitive in their bids to transition to ownership.”
About X Commercial
X Commercial is a consortium of the four most successful commercial agency businesses in their respective markets in Metropolitan Sydney who have joined together to create one of the largest sales and leasing business in Metropolitan Sydney. www.xcommercial.com.au
