Commercial Property Group has sold three commercial properties in Sydney.
CPG’s principal Matthew McHardy has sold the former Campbelltown RSL site in the heart of the Campbelltown CBD to a private investor for 43.67million.
Construction of a two-storey retail/commercial building with 24 commercial offices, basement storages and secure parking will begin immediately on the 1,634 sqm site.
Negotiations are currently underway to secure an anchor tenant for more than 1500 sqm of office space.
The Campbelltown RSL Club operated out of the Lithgow Street site from 1960 until 2000 before moving to its current premises in Carberry Lane. A major refurbishment was carried out on the three-storey building in 1982.
McHardy has also sold a 2,000 sqm industrial site in Sydney’s south western suburb of Preston for $1.7 million to Oldfields Holding Group.
CPG also sold a block of shops at Georges Hall for $2.3 million, $72,000 above the asking price.
McHardy said 12 interested buyers battled for the property as soon as the Georges Crescent property was listed on the market.
“There are existing leases on all seven shops offering the new owner a guaranteed 6.7% return. Rents have been rising as prices have been softening, signalling to investors that its time to return to the commercial market,”
McHardy said the growth in leasing demand in Sydney’s south and south-west has been consistent for more than two years.
CPG data shows 52% of commercial transactions were for leasing in January-June 2004 (48% sales). This rose to 61% leases (39% sales) in January-June 2005.
And the growth in leasing activity continued this year, with 72% of commercial transactions for leasing in January-June 2006.
By Nelson Yap
