Realside acquires 170 Pacific Highway

Realside are pleased to announce the acquisition of the 170 Pacific Highway building in Greenwich. This property is held in the Realside 170 Pac Hwy Fund which is now fully subscribed.

170 Pacific Highway (Property) is a 100% leased, substantially refurbished, office building. The property has 116 car bays which is an unusually high car bay ratio of 1 bay per 38 sqm of office area.
Identified by the NSW State Government as a priority precinct, the area will undergo major gentrification over the coming years, underpinned by its new metro station in 2024. Currently supported by the existing St Leonards Train Station, the suburb boasts a highly accessible and central location between the commercial hubs of Chatswood, North Sydney and Sydney CBD. St Leonards is known for its thriving office market and world-class healthcare facilities.

The acquisition offers development potential with existing DA approval to add an additional two storeys of office space and strong tenant base. During the due diligence period, we were successful in extending the lease to the largest tenant (Mainbrace Construction) by 4 years taking the Weighted Average Lease Expiry to 5.2 years. Importantly, this ensures that there isn’t a lease expiry on the tenancy schedule until June 2024. As a result, the valuation increased to $43,500,000 (compared to the Purchase Price of $42,000,000).

The Realside Investment teams are focused on leveraging their expertise to source differentiated investment opportunities in Commercial Property and Private Debt. Both teams have a long track record of delivering consistent absolute returns for clients with a strong focus on capital preservation.

Realside combines over 100 years investment experience in origination and execution of Private Market investments on behalf of institutions, family offices and other sophisticated investors.