Offshore investor buys art deco Sydney strata space for $1.535 million

A private offshore investor has paid $1.535 million - a yield of around 8% - for The Mezzanine at 65 York Street, Sydney.

The prime strata investment is on the corner of Barrack and York Streets in an iconic art deco heritage building. 

The Mezzanine comprises approximately a 231 square metre showroom/office plus storage.

The sale was negotiated by Savills’ executive, Ben Adler who said that with heavy restrictions in place on buying investment property in countries such as Singapore, China and Hong Kong savvy offshore investors are now switching their focus to places such as Australia.

Adler says this has become even more advantageous with the weakening of the Australian Dollar and falling interest rates. 

"The result is a dramatic influx of investors chasing well located CBD investments that offer solid lease covenants and strong yields. 

"In the sub $10m range there are still several opportunities to purchase on yields of 7.5% plus," he says.

Larry Schlesinger

Larry Schlesinger

Larry Schlesinger was a property writer at Property Observer

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