Pub king Christopher Cheung lists York Street, Sydney CBD, office building with $20 million-plus hopes
Situated within Sydney’s fast-changing mid-town precinct, the 32 York Street office building has been listed by pub king Christopher Cheung with $20 million plus hopes.
The CBD property has been marketed with the potential for redevelopment, with several different scenarios already contemplated, including hotel and residential schemes.
It's been listed by Benjamin Azar from Savills Australia, whose marketing material stresses the precinct now includes premium brands Louis Vuitton, Apple and Burberry along with Telstra, CBA, IAG and Macquarie Bank.
The building is adjacent to Sydney’s most iconic and well-known commercial office and retail strips, just south of King Street. The precinct is under major transformation following the Sydney City Council’s proposed development of George Street, situated behind York Street.
It is understood Cheung is selling the property to focus on his pubs portfolio.
The 32 York Street building is on a block of 628 square metres.
The lower and upper ground floors comprise retail space with an area of 763 square metres.
The nine upper levels, which are for office accommodation, have an area of 4,111 square metres, bringing in total a 4,874 square metres of lettable area.
The total gross income for the property sits at $1.47 million, with $920,675 coming from office rental, with another $476,961 coming from retail rental.
Currently it has an occupancy rate of 76%. Its estimated fully leased net passing income is given as $1.35 million.
The building was constructed in 1964 with part refurbished in 1986 and more in 1995.
Cheung is the owner of Cheung Properties and made headlines in November 2010 when he purchased the landmark hotel The Bourbon in Kings Cross.
He also owns the Coogee Bay Hotel and in 2009 confirmed plans to transform it into a $150 million retail and entertainment hub.
The last reports regarding the redevelopment of Coogee Bay was in May 2011, when the $150 redevelopment plans before the NSW Labor government's planning department was sent back to the local council.
There has been no update since.
Expression of interest of 32 York Street closes October 18.
