Canadian developer wins rights to build Pitt Street Metro tower
Canada’s Oxford Properties has emerged as the biggest winner in the race to build towers above Metro stations in Sydney.
As its prize it will develop a build-to-rent apartment tower and an office block above the new Pitt Street Metro station.
The move will bring build-to-rent to the heart of Sydney and potentially change the game for the concept in Australia, where few large facilities have been built.
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Mirvac is building at Sydney Olympic Park and near Melbourne’s Queen Victoria market but is yet to open a facility. A UBS/Grocon venture have the Parklands precinct in the Gold Coast but this will be one of the first purpose-built facilities nationally.
Oxford won the right to build above the station after beating Lendlease to the finishing line. The Canadian group and CPB Contractors, which will deliver the station, were part of a consortium assembled by Grocon that became favourite to get the project last month.
Oxford has taken on the primary role in the group, saying it will develop the 65,000sqm mixed-use project above the new Metro station. The development will comprise two 39-storey office and residential buildings designed by renowned architects Foster+Partners and Bates Smart.
Oxford is a top global real estate investor and last year took the $4.5 billion Investa Office Fund private. It was also backing a $1.4 billion office tower at Barangaroo Central before that consortium was rearranged.
The NSW government awarded the $463 million contract to the consortium and as part of a value capture agreement the government will receive $369m from the consortium for the air rights to develop the buildings.
CPB Contractors will also work with Oxford on the design and construction of the high-rises. The project is intended to create a vibrant new commercial and residential hub around Pitt St and Bathurst St.
The 39-storey premium office tower and retail plaza at 252 Pitt St will be designed by Foster+Partners in collaboration with Cox Architecture. The 47,480sqm office block is adjacent to the northern entrance to the station and will also have top class shopping.
But much of the focus is on Sydney CBD’s first purpose-built, large-scale build-to-rent residential building, designed by local architects Bates Smart, with about 230 apartments and premium amenities over 39 storeys.
“We are delighted to be partnering with Sydney Metro and CPB Contractors to create a landmark project that will add to the vibrancy of Sydney’s CBD, create new jobs and provide superb new rental options for Sydneysiders,” Oxford’s director of Australian development Ian Lyon says.
Oxford is an experienced player in the area. It owns and manages more than 12,000 rental apartments globally and is developing more in London, New York, Toronto, Boston and Washington, DC.
This article originally appeared on www.theaustralian.com.au/property.
