Ushering in a new era of industrial design, leading Sydney developer Hannas has received the green light for its $73 million vertical industrial estate in Sydney’s West, known as Stream Northmead.
The multi-level estate is one of the largest of its kind to come to market in the area and may be one of the last due to the scarcity of available land in Northmead.
Spanning three levels, Stream Northmead offers premium warehouses with mezzanine offices, as well as basement storage, architecturally designed to maximise natural light and space utilisation.
“Vertical industrial estates are the solution moving forward, with limited land leading more developers to go up,” said Charlie Martin, Chief Operating Officer of Hannas.
“Almost 40 per cent of the warehouses have been sold so far — a testament to the faith buyers have in Hannas to buy industrial off the plan.”
With Sydney’s industrial vacancy rate at a low 0.5 per cent and only 5 per cent of total industrial-zoned land undeveloped and serviced, according to CBRE, the demand for Stream Northmead has been driven by owner-occupiers planning for future lease expirations and investors attracted to one of Sydney’s tightest industrial markets.
Martin noted that the industrial sector is evolving away from traditional heavy manufacturing towards businesses requiring warehousing space for e-commerce and integrated operations.
“Industrial now needs to adapt to meet these demands, businesses now want to be co-located with their business’ full operation, which will see more warehouses integrate mezzanine offices and amenities.”
Additionally, there is a growing lifestyle element, with individuals purchasing storage units and warehouses as practical extensions of their homes for storing cars, wine, and other assets with potential for capital growth.
According to Parkside Commercial Real Estate, rents in Northmead have increased by 32 per cent over the past 18 months, and the value of strata warehouses has risen by 54 per cent over the past five years, making industrial a lucrative investment opportunity for owner-occupiers and investors.
Stream Northmead comprises 34 warehouses with mezzanine offices ranging from 105 square metres to 438 square metres and 50 strata storage units ranging from 11 square metres to 91 square metres.
The estate is located adjacent to the Westmead Health Precinct, Australia’s largest health and biomedical research precinct.
Hannas is leading the charge in Sydney’s industrial market, achieving record off-the-plan sales across its portfolio of projects and being one of only a handful of private developers to have industrial estates under construction in key growth areas, including Sydney’s Northern Beaches.
Construction on Stream Northmead is due to commence in Q3 of this year and will take approximately 14 months to build.
For more information, visit https://streamnorthmead.com.
