Nine Network to anchor North Sydney's tallest tower

The broadcaster will base its production, sales and digital operations in the new tower. This follows the sale last year of Channel Nine’s studios in nearby Willoughby for $147.5 million to Hong Kong-based property investor Euro Properties. Channel Nine has broadcast from its 2.9-hectare Willoughby site for more than 60 years.
The North Sydney tower being developed by Gary Rothwell’s Winten Property Group is due for completion in 2020.

The new North Sydney tower will incorporate two levels of luxury shopping and restaurants as well as about 60,000 square metres of upper-level office space. It is being developed on the site of the North Sydney Shopping World, which Winten paid $80 million for last year along with an adjoining office building at 77 Berry Street to be developed separately.

“The long-term lease to Nine, together with the new Metro station and North Sydney Council’s proposed road/pedestrian network upgrade, will entrench 1 Denison as a vibrant new hub for North Sydney and help spur the ongoing revitalisation of the North Sydney office market,” said Winten Property Group development director Stuart Vaughan.

CBRE represented Winten in the lease negotiations, but declined to comment on the rental terms.

According to a February 2017 report by Savills Australia, advertised A-grade rents in North Sydney range from $625 to $800 a square metre, which would value the Nine Network leasing deal at between $9.7 million and $12.4 million a year, before incentives.

“Nine’s support of 1 Denison Street and North Sydney in general is a fantastic result,” said CBRE regional director Mark Lacey.

“1 Denison Street will be developed at the new centre of the North Sydney CBD, adjacent to the new Metro train station. We are confident of attracting like-minded tenants to a fantastic new office development boasting large side core floor plates, state-of-the-art services and great amenity,” he said.

The two properties, which give Winten a 3750-square-metre site in the heart of North Sydney, were bought from the mortgagee in possession for Eastmark Holdings.

Winten, founded by architect Garry Rothwell in 1972, is a major private developer with more than $2.2 billion in projects under way.

The group is involved in housing and commercial development, and prides itself on identifying opportunities in both sectors early in the cycle.

Last year Winten sold two of its key residential development holdings, one in Sydney’s northwest to Stockland for $290 million and the other, at St Leonards on the lower north shore, to private developer Dyldam, for $175 million.

Winten is also developing the Macquarie Park Commerce Centre above the Macquarie Park train station on the corner of Lane Cove and Waterloo roads.

The centre has a concept plan approval for 83,368 square metres of commercial space with 834 cars.