Barangaroo effect in Sydney office lease deals

Credit Corp Group, an Australian listed company, has committed to a new lease of circa 3,000 square metres at 201 Kent Street, Sydney.

Savills Australia national leasing director Rob Dickins says the deal highlights the Barangaroo effect which has firmly taken hold as corporate users are seeing this now as a firmly established precinct.

"If not moving into Barangaroo they are setting their sights on premium buildings within very close proximity."

201 Kent Street, which forms part of the Maritime Trade Towers Complex, is a 40,000 square metre A-Grade building strategically located within the western CBD fringe bordering the new Barangaroo precinct.

According to Savills National Leasing Director Rob Dickins who brokered the deal, Credit Corp Group have taken the whole of levels 15 & 24 of 201 Kent Street. 

Credit Corp Group’s current HQ are over four floors at 10 Barrack Street and this new move will amalgamate the Group over two whole floors with a brand new fit out.

The 3000 square metre lease was signed for an initial period of five years with a further five year option. Although the rent has not been disclosed rents in 201 Kent Street have been in the order of $675 per square metre net.  

Mr Dickins said that demand for office space at 201 Kent Street had been significant. 

“As at November of last year there was circa 7,000 square metres of vacant space at 201 Kent Street and within less than six months we have leased all available space.”

In three separate leasing deals in May, Savills leased approximately 2,300 square metres of space at 201 Kent Street, tenants included an education provider, a childcare facilities group and a property consulting group.

“The Barangaroo effect has firmly taken hold as corporate users are seeing this as a firmly established precinct and, if not moving into Barangaroo, are setting their sights on premium buildings within very close proximity,” added Mr Dickins.

201 Kent Street, which forms part of the Maritime Trade Towers Complex, is a 40,000sqm A-Grade building jointly owned by Investa Property Group.  It is strategically located within the CBD and the new Barangaroo precinct.

Rob Dickins advised Credit Corp Group have taken the whole of levels 15 & 24 of 201 Kent Street. 

"Credit Corp Group’s current HQ are over four floors at 10 Barrack Street and this new move will amalgamate the Group over two whole floors with a brand new fit out.

The 3000 square metre lease was signed for an initial period of five years with a further five year option.

Although the rent has not been disclosed rents in 201 Kent Street have been in the order of $675 per square metre net.  

Mr Dickins said that demand for office space at 201 Kent Street had been significant. 

“As at November of last year there was circa 7,000 square metres of vacant space at 201 Kent Street and within less than six months we have leased all available space.”

In three separate leasing deals in May, Savills leased approximately 2,300 square metres of space at 201 Kent Street, tenants included an education provider, a childcare facilities group and a property consulting group.