The properties, spread across Waterloo, Alexandria and Mascot, attracted strong interest from both local and interstate investors and owner-occupiers, with net yields ranging between 5 and 6 per cent, demonstrating continued appetite for well-leased, self-supporting retail assets.
Leading the sales campaign was experienced commercial agent Phillip Elmowy, who said the results were a clear sign that buyers remain confident in quality strata retail with strong tenancy profiles.
“We’re seeing serious demand for investment-grade retail strata, particularly where the tenants are established and well-known brands. That’s what sets these assets apart,” Mr Elmowy said.
“Every one of these deals was driven by the strength of the tenancy. That’s the core of a good investment, you want the businesses to be thriving.”
Among the highlight sales was 1–8 / 2 Danks Street, Waterloo, a collection of eight shops in a mixed-use building developed six years ago by the vendor, who built the entire corner block. The asset was sold for circa $7 million to a private investor. The shops are home to a collection of international and renowned tenants.
“This is a premium holding on one of Sydney’s most sought-after lifestyle strips. These are rare shops that don’t come up often,” Mr Elmowy said.
“We actually sold shop 9 in the same building just two months earlier for $515,000 to a super fund, that one was only 25sqm, which shows just how in demand these retail investments are.”
Also transacted were three shops at 620 Botany Road, Alexandria, in the modern Amara Building. Shops 1 and 2 were sold together to one investor, while Shop 3 was purchased separately by another investor.
“Alexandria continues to evolve into a strong mixed-use precinct, and assets like these with strong rental returns are particularly appealing,” Mr Elmowy said.
Meanwhile, Shop 1 / 674 Botany Road, Alexandria, was sold by RWC South Sydney Alex Santelli to an owner-occupier, demonstrating confidence from business operators in establishing a long-term foothold in the area.
Rounding out the series of transactions, Shop 12 / 1–3 Elizabeth Avenue, Mascot, was sold by an investor to another investor, again reflecting the robust nature of South Sydney’s strata retail market.
Mr Elmowy said the self-supporting nature of all the properties was a key drawcard.
“Returns of 5-6 per cent net in today’s market are incredibly strong,” he said.
“Each of these shops is leased, self-sustaining, and located in growing residential hubs. We expect demand for these kinds of investments to remain high well into 2025 and beyond.”
All properties were marketed and sold by the RWC South Sydney team.
