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Vol 11. No.33

Economic Overview

	Current	+/-	Movement
$AUS/$US	90.12	+0.80
Cash Rate	3.75	Steady
90 Day Bill	4.18	+0.01
10 Year Bond	5.510	Steady
ASX 200	4667.9	+100.1

NSW Property

Harold Park Paceway update (AFR Pg.47)

• Harness Racing Australia is hoping to sell the 10.5 ha Harold Park Paceway at Forrest Lodge for a minimum $150 million in late 2010.
• The site is currently awaiting rezoning.
• A draft urban design study envisages up to 1,000 units and terraces, 9,000m² of retail and commercial space and 2.7 ha of public open space on the site.

Top Ryde City Shopping Centre update (AFR Pg.47)

• John Beville is set to sell a 50% share in the Top Ryde City Shopping Centre. The Beville Group will retain the remaining 50% and management rights.
• Upon completion the centre is estimated  to be worth $700 million.
• Tenants include Myer, Big W, Woolworths, Franklins and Aldi plus 280 specialty stores.
• Above the retail complex are development pads suitable for 11,500m² of commercial space and 450 units.
• The second stage of the centre is set to open in March with the final stage due in August.

Sydney suburban office vacancy update (AFR Pg.50)

• According to research, Sydney’s suburban office buildings have not been this empty in almost 15 years.
• 4 of the 10 most vacant markets in Australia being on Sydney’s North Shore.
• Chatswood’s office vacancy rate rose 4.8% to 17.8% due to Vodafone moving out of their 8,000m² tenancy.
• St Leonards office vacancy rate increased from 12.9% to 15.2% over the past 6 months.

179 Elizabeth Street, Sydney update (AFR Pg.51)

• Echo Capital Partners is in negotiations to purchase 179 Elizabeth Street, Sydney from the unlisted GPT Wholesale Office Fund for $95 million reflecting a yield of approximately 7.5%.
• The property may be suitable for a residential conversion in the future.

Sydney commercial sales (AFR Pg.57)

• Two commercial suites in The Stamford Residences, The Rocks have been purchased off-the-plan for approximately $1 million each (approximately $11,000/m²).
• The 92m² suite will be used as a medical centre and the 88m² suite will be utilised as an art gallery.

Parramatta retail sale (AFR Pg.57)

• A fully leased 375m² single storey building subdivided into 4 retail outlets at 71 – 73 George Street, Parramatta has been purchased for $2.3 million ($6,133/m²) on a yield of 6.9%.

Wyoming medical centre sale (AFR Pg.57)

• Orchard Funds Management has sold a medical centre on the corner of Kinarra Avenue and the Pacific Highway, Wyoming for $6.9 million.
• The 1 storey property with basement car parking is leased to Primary Health Care.

Victoria Property

XPress Park development update (AFR Pg.49)

• Leighton Properties Group has received approval for a 90 ha business park on farmland near Cranbourne West.
• XPress Park will yield 450,000m² of mixed-use space including office buildings, light industrial and retail premises and have the ability to supply sites larger than 5 ha.
• On completion the project will have a potential developed value of $500 million.
• Leighton purchased the 123 ha site which has a 1.5 kilometre frontage to the Western Port Highway in 2007 for $100 million ($813,008/ha).