Lendlease sells distinctive Barangaroo building
A striking circular building with timber-clad balconies on the foreshore of Sydney’s Barangaroo precinct has been sold by developer Lendlease in a deal understood to be worth just shy of $40 million.
Lendlease listed Barangaroo House for sale in March through CBRE with a price guide of about $35 million. The property is understood to have sold for above that price to an offshore buyer.
The entire asset at 35 Barangaroo Avenue is currently leased by hospitality group Solotel, owned by celebrity chef Matt Moran and businessman Bruce Solomon, on a 10-year term that runs to the end of 2027, with a 10-year option.
The three-level building boasts a ground floor bar, a restaurant on the second floor and a rooftop bar with harbour views across a total area of 1491.5 square metres.
The building was designed by Australian architecture firm Collins and Turner in response to a competition by Lendlease and the Barangaroo Delivery Authority.
Lendlease would not comment on the sale.
The property giant developed the south end of Barangaroo after the precinct’s $6 billion urban development project across a 22-hectare site got the green light in 2011.
Having developed several buildings, Lendlease’s strategy has been to scale back its investment in the precinct. In the second half of 2018, Lendlease reduced its stake in Tower One, one of the Three International Towers on the foreshore, from 12.5 per cent to just 2.5 per cent.
Just down the road from Barangaroo House, on the doorstep of Barangaroo, two office buildings at 10 and 12 Shelley Street in King Street Wharf sold in a massive $804 million deal at the end of last year.
Leased to Suncorp and Amex, the only two freehold office buildings in the precinct were sold by Canadian giant Brookfield to commercial property fund manager Charter Hall.
In April this year Lendlease finished the last piece of the puzzle for Barangaroo South’s commercial precinct after construction finished on its second timber building in Barangaroo, at 1 Sussex Street.
Co-working giant WeWork announced in 2018 it would lease 10,000 square metres across all six floors of the commercial office building, known as Daramu House.
