ESR Australia has acquired a fully leased office and warehouse complex in Macquarie Park NSW. The announcement was made on 31 March, and according to ESR offers development potential for 46,000 sqm of gross floor area.
Located in Macquarie Park precinct, 44-50 Waterloo Road was purchased for A$71 million. The property is immediately adjacent to the Macquarie Park Train Station and comprises 7156 sqm of office and warehouse accommodation on a 1.5 ha site.
The property also falls within the Macquarie Park Incentive Precinct, which has been earmarked by the NSW Government to be boosted as a key economic and innovation precinct.
According to ESR, over the long term the site will be redeveloped into top-tier office buildings or adapted for data centre purposes.
“This landbank investment offers exponential opportunity as it provides holding income to allow a staged redevelopment,” says Phil Pearce, CEO of ESR Australia. “The area is well placed to capitalise on the changing office landscape with an increase in demand for decentralised office space since the COVID-19 pandemic.”
“We see business park assets as complementary to our core strategy of logistics and industrial property,” Phil added. “We’ve strong capability in the development and management of business park space and are pleased to add this strategic asset to our portfolio.”