28 Buffalo Road in Gladesville to hit the market.
The industrial precinct in Sydney’s inner western suburb of Gladesville is diminishing due to the rise in bulky goods and mixed use developments. As local industrial users are having to compete to stay in this market, rents are travelling upwards due to the amount of stock being removed from the market, according to data from Colliers International.
An indicator of this trend is highlighted with the upcoming market campaign of a prime industrial asset comprising 20 industrial units totalling 4,181sqm of Gross Lettable Area with zero vacancy. 28 Buffalo Road, Gladesville is a rare offering. It is the only boutique multi-tenanted industrial estate in the Ryde area offered to the market in past decade. The vendor Kwikworth Pty Limited purchased this site in 2002 and is now looking to capitalise on the peak of this market. The land area is 6,570sqm approx. and split over two titles.
The property is fully leased to 21 tenants and reflects a generous passing income well over $500,000pa Net. Tenants’ lease terms range from one month to three years with the last lease expiring on 31/12/2020. There are no options which extend past this date. Providing flexibility that will capture the interest of an array of buyers including owner occupiers.
According to Kellie Tattersall, Director of Industrial at Colliers International, who is marketing the property alongside colleague John Carney, “Gladesville is gentrifying as a reaction to the numerous rezones and masterplans submitted to the local council in recent times. The small 23 hectare industrial area within Gladesville is down scaling.
“As a result, this site will receive strong interest by the local, domestic and international developers as well as the investor market. Industrial zoned land within the Sydney Metro area is a scarce commodity and highly sought after. Various buying groups want to take advantage of the potential improvement in capital value in the medium term future.
The south eastern boundary of the property bounds residential dwellings and there is already significant medium density mixed use developments occurring on Victoria Road, many of which have been rezoned after industrial users have been in occupancy for many years.
According to John Carney, Senior Executive of Industrial at Colliers International, “Residential developers within this region are working together to push for residential rezoning on industrial zoned land”.
“The property itself is walking distance to the local retail strip and is a short drive to major shopping centres making it a good candidate for residential redevelopment subject to council approval” he said.
The property is zoned IN2 light industrial under Ryde local environment plan 2014 and is underdeveloped with the zoning allowing for a 1:1 FSR and a 10m height limit, giving the site a potential GFA of 6,570sqm STCA.
Gladesville is situated in Sydney’s inner north western suburbs approximately 12 kilometres from the Sydney CBD, with the property being one kilometres west of the Gladesville town centre, and two kilometres east of the regional centre of Ryde. The property is walking distance Victoria Road, is accessed by Buffalo Road, and is easily accessible from Parramatta, Macquarie Park and Sydney CBD’s.
28 Buffalo Road in Gladesville is being exclusively marketed by Kellie Tattersall and John Carney of Colliers International and is to be sold by expressions of interest closing 10th November 2016 at 4:00pm.