A fund controlled by BlackRock – the world’s largest asset manager – is paying $56.63 million for a Parramatta office with redevelopment potential.
The nine-storey complex with ground level retail space and parking for about 120 vehicles contains 6094 square metres of lettable area.
With the potential to earn annual rent of about $2.9 million, the building is trading on a market yield of 5.1 per cent.
The office sits on a 2193 square metre corner block zoned B3 Commercial 3 which was marketed for its potential to be replaced with something more substantial (artist’s impressions of a possible proposal, left).
Charter Hall, Dexus, GPT, Mirvac and Walker Corporation are amongst the other property giants developing in Parramatta, often dubbed Sydney’s second city. The suburb is about 23 kilometres west of the CBD.
Earlier this month, the boutique fund manager paid $32.35 million for a 15-storey office at Brisbane’s 110 Eagle Street.