88 Cumberland Street, The Rocks, Sydney
The property is exceptionally well positioned and is instantly recogniseable globally being adjacent to the Sydney Harbour Bridge.
It has stunning panoramic views across Sydney Harbour to the Opera House and Circular Quay.
The investment comprises a modern commercial stratum office building, which is fully leased with the two (2) major tenants being Destination NSW and Siteminder occupying 90% of the office space with the balance being leased to five (5) smaller tenants.
88 Cumberland Street has an average lease expiry (WALE) of 3.94 years.
The property is a commercial leasehold estate under a long term ground lease from the Sydney Harbour Foreshore Authority (SHFA) and is comprised of 56 subdivided strata lots varying in size from 41 sqm to 287 sqm.
The investment has a dual focus:
• long term rental growth; and
• long term capital appreciation.
Purchased for $56 million in April 2018, the property provides a forecast average yield of 5.05% for the next five years commencing at 3.69% in 2018/19 rising to 6.27% in 2023/24.