WeWork to open new hub in North Sydney after new office lease
WeWork has spread its reach to the north of the Sydney CBD after leasing more space at Sumner Capital and Prime Super’s office building at 50 Miller Street in North Sydney.
The co-sharing giant has taken out the remaining 4100 square metres of commercial space in the building on a 12-year lease term.
While rent is confidential, the indicative net annual market rent in the building is around $700 a square metre.
The group also secured the naming rights to the building which it shares with the United States of America consulate, which also signed a new 12-year lease over 6100 square metres in April.
WeWork currently lists 15 locations across Sydney, Melbourne and Brisbane, including sites listed as “just announced” and “opening soon”. The 50 Miller Street site, not part of that list, is expected to open in April next year.
The owners of 50 Miller Street turned the 10-storey property into an A-grade asset after buying it in 2014, refurbishing the 10,500sq m building with upgrades to the entrance and foyer, and providing a new retail area and end-of-trip facilities.
“We are delighted to have the building reach full occupancy so quickly and to have attracted such high-profile tenants on long lease terms,” Sumner Capital director Kirby Parsonage said.
Sumner Capital was established in 2008 and manages over $300 million of Australian real estate. It is raising equity for a trust consisting of the heritage-listed 117 Harrington Street property in The Rocks in the CBD.
Cadigal’s Craig Dolman brokered the WeWork lease.
Mr Dolman said the North Sydney office leasing market was strengthening due to the suburb’s access to the future Sydney Metro at the Victoria Cross station.
The suburb’s office vacancy rate had fallen to 6.3 per cent from 7.9 per cent in the six months to July. Premium space was the least available.
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