$4.1 million Redfern residential conversion sale

The fault line between Redfern and Chippendale continues to blur with the $4.1 million sale of a unique commercial and residential melange on the Redfern side of the tracks.

The two buildings at 146 and 148 Abercrombie Street have a combination of gallery space, upper-level studio and office space in 148 while next door has ground floor warehouse space and mid-level office area that is crowned by a New York-style loft apartment.

The package comes with two bedrooms, two bathrooms and parking for one. The land area is 316 square metres and the building area is 599 square metres.

The vendor was Associated Displays Pty Ltd – which is owned by a couple from the NSW Central Coast (she inherited it from her father along time ago). It is likely the buildings will be converted in a single residence.

The corner building at 146 is leased until November 2014 for $51,999 without an option creating an immediate opening for rental growth. The adjoining property is subject to a lease until August 2015 with a three-year option for $27,851 a year. It was sold by First National Spencer & Servi’s David Servi.

Based on these figures the current yield would be 1.9% in an area that attracts a residential yield of 3.8%