In a clear indication of the excellent health of the commercial property market, Century Property Funds have announced the sale of their building, Swire House at 10 Spring Street, Sydney for $270.05 million. The sale was arranged by Simon Fenn, Ben Azar and Graeme Russell of Savills, together with Josh Cullen Rick Butler of Inc RE – Sydney.
Swire House, according to Sydney Cityscope, is a 17-level building which was completed in 1980. It comprises fourteen levels of office space, two retail levels and basement car parking for 47 vehicles; the building has a net lettable area of 13,800 sqm and a 4.5 star NABERS rating. On the ground floor are numerous retail tenants with major tenants on the upper levels including Cathy Pacific Airways, Swire Shipping Agencies and the Platinum Travel Group.
Century paid $91.64 million for the property in May 2013 and the recent record breaking price has seen the building’s value increase by almost 200% in four years, reflecting the current state of the market and the CBD’s low vacancy rate. Reflecting also, the fact that the building is now fully leased, and due to its large site area of 1,500 sqm, location and dual street frontage, has a future that could either see further refurbishment as a commercial building or becoming part of a complete mixed use re-development.