Sydney’s new Northconnex tunnel will result in an increasing number of industrial occupiers relocating to the Upper North shore.
Due to be fully operational in November, the tunnel will create a clear run free of traffic lights from Newcastle to Melbourne, allowing companies to pay the cheaper rates of further north, while still remaining close.
Colliers International have already seen a move from Shark Rack who relocated from Thornleigh to Mount Kuring-gai earlier in the year in order to get more space at a better rate.
“The new Northconnex tunnel will result in decreased transit time to other major Sydney hubs including the Hills district and Western Sydney,” said Toby Hardiman, Executive, Industrial at Colliers International.
“With the upper North Shore Market currently shielded by an ever-busy Pennant Hills Road, Northconnex will provide a cost-effective option for occupiers looking at reducing their costs, while maintaining a strong foothold in the Inner Sydney Markets.”
Toby said that typically, industrial rates in the Upper north Shore range from $130-$180 per square metre and this will represent great value against rates in Artarmon which can be up to $270psm.
“This tunnel particularly benefits the Mount-Kuring-gai industrial area, which will see a clear run from the M1 onto the new tunnel. Mount Kuring-gai is great location from occupiers looking at benefiting from both Sydney markets and the central coast/Newcastle markets,” he said.