601 King Street Newtown for sale is the largest freehold asset to be delivered in King Street in 2021 marketed by Miron Solomons and Matt Pontey of Colliers with Ari Danas of Danas Property. 

This exceptional freehold building consists of 16 self-contained studios and ground floor shop leased to well-known local restaurant Pistou.

As Greater Sydney battles through an outbreak of COVID-19, now more than ever ‘a sense of community and belonging’ is important to young professionals. A building at 601 King Street, Newtown which is a 16 room modern accommodation asset in set to test the appetite from local investors recognising the potential for future uplift in rent especially once borders reopen domestically and internationally again.

321798b2-4df7-4106-8210-39941e7023df.jpeg

601 King Street is a modern freehold asset in close proximity to St Peters Train Station and Sydney Park providing exceptional amenity for the occupants of the building. The accommodation market has experienced fluctuating occupancy rates, however what has been demonstrated over the course of 2021 is that well located assets with the right demographic profiles and surrounded by good infrastructure have continued to attract demand from local investors seeking reliable and stable income streams.

With a net income of approximately $320,000 per annum and scope improved income, the asset is further underpinned restaurant Pistou, who were recently announced as a finalist for outstanding new business in the 2021 inner west local business awards. This provides the perfect income stream for investors in this low interest rate environment where the search for yield is so important and the opportunity to improve yield even better.

The property is being marketed by Miron Solomons and Matt Pontey of Colliers with Ari Danas of Danas Property and is set to go to Auction on 23 September 2021.

“We are witnessing continued demand for quality assets with strong fundamentals and expect that whilst there are limited opportunities in the market at present and we have a captive audience at home, we expect there to be strong demand for this asset” Said, Miron Solomons, National Director, Colliers International.

He continued, “Newtown is a special market, it is a melting pot of culture which has given rise to some of Sydney’s best restaurants and bars which has lured an eclectic demographic to this inner Sydney suburb”.

“Boutique blocks with good community facilities have been on the ascent over the last 5 years with a sense of community and belonging being incredibly attractive to tenants. With COVID restrictions imposed on at present, this has allowed this hypothesis to be fully tested by way of the occupancy rate of 601 King Street” Said, Matt Pontey, Director, Colliers International.

He continued, “This is a unique asset in that there exists the opportunity to secure a building with a steady income flow as well as providing the new owner flexibility to improve the overall return of each self-contained unit as they see fit. The asset has been reset with a secure income stream, so as to provide the right platform for the next owner to deploy their capital and have it actively working for them”.

With depreciation benefits on offer with the building being only three years old, this is an exciting opportunity in a market where rarely new built buildings are delivered as they are typically held by the same family for generations.

Ari Danas of Danas Property added “High street mixed-use investments over the course of the last 10 years have evolved to accommodate most business and residential uses. This asset type secures multiple affordable incomes coupled with it being situated in the most exciting everchanging suburb of inner Sydney. Versatile and affordable rents in assets is key to continuing to perform when the market tests them. 601 King Street Newtown asset setup is resilient to any market”.

601 King Street, Newtown will be the largest asset delivered on King Street for some time and is expected to attract interest from local and interstate buyers, with a flight to quality being front of mind.

601 King Street, Newtown will go to Auction on 23 September 2021 via Ari Danas of Danas Property and Miron Solomons and Matt Pontey of Colliers International.

To request a copy of the Information Memorandum please contact one of the marketing agents via the contact details below. 

7eaa778f-3871-436f-b697-ce32afa1fbdd.jpeg