Savills has commenced an exciting international sales campaign, as the NSW Government divests the Sirius building, with funds raised used to invest in new social housing across NSW. The Sirius sale is part of the NSW Government’s strategy to fund new social housing close to jobs, education and transport through the sale of former social housing dwellings.

Source: Savills Australia

Managing Director of Savills Hotels Australia, Michael Simpson exclusively told The Hotel Conversation, "The successful investor can either keep the original iconic Sirius Building for adaptive reuse to hotel, or demolish the existing building and achieve up to 8,420 sqm of GFA."

"The Sirius Building is a once in a lifetime opportunity to acquire 3,664sqm of freehold land overlooking Sydney’s picturesque Harbour – a perfect site for a luxury hotel development."

"The opportunity is not encumbered by any hotel operator or brand, so appeals to owner-operators as well as investors who can choose their preferred operator."

Located on a 3,664.5sq m site at 2-60 Cumberland Street, The Rocks, the stepped Sirius building was completed in 1980 and currently comprises 11 storeys tapering down to the north and south. There are 79 units of varying configurations, approximately 70 basement car spaces and approximately 7,010sq m of Gross Floor Area (GFA).

Mr Simpson continued to report on the Sydney hotel market which is in 'uncharted territory'.  

"Since 2010, the market has experienced consistent high single digit or double digit annual RevPAR growth. In particular, the luxury market segment has continued to outperform and places Sydney well and truly on the global stage for market performance."

"For the year to date to 31 March 2018, the Sydney luxury hotel segment has achieved average daily rates of $391 at 91.4% occupancy (RevPAR of $358)."

"With very low new supply and consistently growing domestic (up 7%) and international (also up 7%) visitor numbers to Sydney, this stellar performance and growth prospects strongly support the introduction of new luxury hotel supply to Sydney."

Many of the apartments boast significant harbour and city views, with the rooftop by far Sydney’s most spectacular and uninterrupted vantage point with a 360-degree view of the glistening Harbour, Opera House, Harbour Bridge, Circular Quay, city skyscrapers, as well as expansive views towards Barangaroo, Milsons Point, North Sydney, Pyrmont and Balmain.

The site, located at the harbourside forefront of Australia’s gateway city is regarded as some of the most valuable land in the world and significant infrastructure projects will directly benefit residents, employees and visitors to the surrounding area.

The Sirius Building will be sold exclusively through Savills Australia by way of International Expressions of Interest (EOI) leading into a Tender.

All EOI’s are to be submitted no later than 4pm, Thursday, 28 June 2018. To discuss the sale in further detail and hotel potential of the site, phone or email Michael Simpson via the below contact details.

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