Former Dairy Bell ice-cream factory on the market
A former ice-cream factory in inner-city Sydney – recently converted into warehouse-style office space – has hit the market.
The Dairy Bell factory, located at 44-50 Australia Street in Camperdown, is being marketed in a joint campaign conducted by CBRE’s Gemma Isgro, Nicholas Heaton and Matt Fenn alongside Colliers International’s Miron Solomons and Matt Pontey.
The site was purchased by developer and prominent Sydney businessman Theo Onisforou for $5.75 million in 2015 and has subsequently been transformed into a stripped-back warehouse office space with 1250 square metres of gross floor area.
Mr Onisforou offered the property for lease in late 2019 but has now opted to list the property due to increased buyer interest in the city fringe in the wake of the COVID-19 pandemic.
“Despite the building having received strong demand from tenants, we are confident there will be significant demand from the owner-occupier market, and therefore we believe it is best to leave the building open to both investors and occupiers,” Ms Isgro said.
“We are seeing increased buyer and tenant demand from companies looking to decentralise from the CBD as a direct effect of COVID-19. Buyers and tenants are seeking lower-density buildings with parking opportunities on the fringe suburbs around Sydney’s CBD. As companies have adapted to more flexible hours, office workers are seeking exclusive workspaces where they do not have to share a building, can have the option to drive, walk between levels and be close to smaller local strip-retail shops and villages,” she added.
Mr Solomons said that plans to establish a tech precinct around the Central Station area had also led to a heightened interest in the city fringe market.
“We have seen an influx of capital from multiple buyer profiles looking to secure land holdings in areas that have benefited from both public and private infrastructure projects, which has positively impacted the market, especially during the past 12 months,” Mr Solomons said.
The property, which includes onsite parking, could be used in its entirety by a single occupier or split into multiple tenancies, with any new occupier able to make the finishing touches to the property, according to Mr Pontey.
“The asset itself has had just the right amount of capital improvements allowing it to remain a blank canvass,” Mr Pontey said.
“All the hard stuff has been done, and the building is ready for your decorators’ input.”
The property’s R1 zoning also meant that there was potential to add a residential component to the property, subject to council approval.
The building served as a manufacturing plant for Dairy Bell ice cream until its closure in 2015.
The agents declined to name a price guide.
44-50 Australia Street, Camperdown will be auctioned on March 4, 2021.
Get a weekly roundup of the latest news from Commercial Real Estate, delivered straight to your inbox!
