A rare industrial property at 6-10 Rich Street, Marrickville[i], has set a significant benchmark for Sydney’s highly popular inner west, achieving the highest transaction of 2024 for Marrickville at $24 million.

Sold by Expressions of Interest by the dynamic team of Mr Luke Smith and Mr Nick Smith of Raine & Horne Commercial Inner West/ South Sydney, the 3,654 sqm site with a 50 metre+ frontage to Rich & Chapel Streets attracted a whirlwind of interest from developers, owner-occupiers and investors.

Mr Luke Smith confirmed that the private investor, selling to rebalance their investment portfolio, received 124 buyer enquiries and multiple offers. The winning bid came from an owner-occupier.

“We also received offers from several buyers for this once-in-a-generation opportunity who had shown interest in a nearby high-clearance warehouse at 13 Barclay Street, Marrickville[ii], which we recently sold for $11 million,” Mr Smith confirmed. “Several businesses involved in the building supplies sector were in the running for this property.”

Mr Smith Continued, “The Rich Street transaction highlights the continuing strong demand for industrial property within the Inner West region.

“Marrickville has become the place to be, undergoing significant revitalisation. Known for its trendy amenities and excellent accessibility, the suburb has become a sought-after location for businesses.”

The property consists of two industrial tenancies, both of which provide high clearance warehousing (6-7.5 metres), ample onsite parking, and access from two streets.

The current leases expire on 31 August 2027. The first tenancy at 6A, consists of a 2,015 sqm warehouse and office space with a drive-through loading dock. Meanwhile 6B includes a 1,576 sqm warehouse and office space. Neither tenancy has a renewal option beyond the August 2027 deadline.

The 3,654m sqm property features substantial frontage of over 50 meters on both Rich and Chapel Streets and is zoned to accommodate a variety of future uses or developments, including business premises, light industries, warehouses, childcare facilities, hotel/motel, industrial, retail spaces, offices, educational facilities, specialised retail, and more, subject to approval.

Mr Smith explained, “Understanding Marrickville and the factors that set its value apart was crucial for this transaction. Ultimately, our top buyers grasped this, driving competition up to $24 million, while those who didn’t recognise its unique value dropped out.

“Our leading buyers were indeed owner-occupiers who recognised the strategic advantage of locating their business in Marrickville rather than moving further out to southwestern Sydney.

“Marrickville commands a premium due to its proximity to the airport and Port Botany, but there’s more to it than this. The area benefits from excellent public transport infrastructure and is just a stone’s throw from the Sydney CBD.”

Mr Chris Nicholl, Head of Commercial Network at Raine & Horne Commercial, stated, “This sale highlights the leadership of Luke and Nick Smith and the entire team at Raine & Horne Commercial Inner West/South Sydney in one of Sydney’s most sought-after industrial precincts.

“Achieving the highest transaction for Marrickville in 2024 showcases our ability to attract premier buyers and deliver exceptional results for our clients,” Mr Nicholl added.

For all your commercial sales and leasing needs in Sydney Inner West and South Sydney regions, contact Raine & Horne Commercial Inner West/South Sydney on 02 9572 8855.

[i] https://www.rhcommercial.com.au/innerwestsouthsydney/properties/6-10-rich-street-marrickville-2204-new-south-wales?utm_source=23587108&utm_medium=email&utm_campaign=23587108

[ii] https://www.rhcommercial.com.au/innerwestsouthsydney/properties/13-barclay-street-marrickville-2204-new-south-wales