28 O’Connell Street to hit the market.
The long awaited offering of one of the few ultra-prime corner Sydney CBD commercial properties has arrived.
28 O’Connell St is the headquarters of Chubb (formerly ACE Insurance) and is being sold as Chubb move from their seven floors later this year to more efficient layouts at Grosvenor Place and in North Sydney.
Mr John French, Chubb Country President, Australia & New Zealand commented: “Chubb is embarking on an exciting new growth phase, following the global integration of ACE and Chubb. Our Sydney relocation will mirror recent successful changes in Chubb offices in Singapore and Melbourne, bringing employees into a more dynamic, open and collaborative environment.”
The building, on the corner of Hunter St is a 14 level office and retail building of 6,116 sqm NLA and occupies a 754 sqm site and is home to the White Rabbit charcuterie, Mary’s Kindy and office tenants including Cerno Holdings, Perceptor Recruitment and BurnVoir Corporate Finance.
It is in the heart of Sydney’s premier “core” financial precinct and is surrounded by premium office towers and 5 star hotels.
Colliers International and JLL have been appointed to market the property by International Expressions of interest.
Vince Kernahan, National Director, Colliers International commented “The building will appeal to investors or owner occupiers seeking a prime located boutique office investment as well as those looking for a land banking opportunity.
“The building has a floorplate of 480sqm with ample natural light to both the Hunter and O’Connell St frontages and may suit a conversion or redevelopment to a hotel.
The leasing demand for secondary space in Sydney is expected to reach a record low of 3.2% by July 2018 and as a result we are already seeing rental levels increase.”
James Aroney, National Director, JLL commented “28 O’Connell Street is a rare offering being one of only thirteen sub $100M corner buildings within Sydney’s Financial Core and is located within 100 metres of the proposed Hunter Street Metro Station.”
Pricing expectations are circa $70M.