Fortis thrilled with latest $82m acquisition to develop in Double Bay

An artist’s impression of Fortis’s planned boutique apartment development at 2-10 Bay St, Double Bay.

Boutique property developer Fortis has put even more faith in Sydney’s eastern suburbs, particularly cosmopolitan Double Bay, with the acquisition of its sixth site in the heart of the wealthy harbourside suburb.

Fortis has purchased 2-10 Bay St and 294-298 New South Head Rd in Double Bay for $82m, in a deal ­negotiated by CBRE agent Ben ­Stewart.

The prominent corner site comprises four independent properties, with three street frontages to New South Head Rd, Bay St and Brooklyn Lane. The 1863sq m site has development approvals for a residential project comprising boutique apartments across four levels, with basement parking for each residence and ground floor retail.

Construction of this project is expected to commence in July, with the demolition of the existing buildings on the site completed.

Pallas Capital, which like Fortis is controlled by the Pallas Group, will fund the acquisition and construction of the project.

“Fortis has acquired multiple sites in Double Bay over the last few years for a mix of residential and commercial projects. Number 2-10 Bay St is our newest acquisition and we are thrilled to add it to our portfolio,” Fortis director Charles Mellick said.

“The residential project on this centrally located site has an expected end value of $185m,” he added.

“Our broader vision for Double Bay is to revitalise it. We are creating a vibrant town centre that appeals to residents and businesses alike, complemented by an enviable selection of dining, retail and entertainment options. 2-10 Bay St and 294-298 New South Head Rd will be the sixth project by Fortis in Double Bay.

“We are excited to transform this city-fringe location into the most sought after neighbourhood in ­Sydney,” he said.

Fortis director Charles Mellick.

The wealthy harbourside suburb is located 4km from the Sydney CBD and is known for its thriving social scene as well as its amenities and transport options via Double Bay ferry wharf and Edgecliff train ­station.

“Double Bay is also known for maintaining a unique village feel, surrounded by high-end boutiques and retailers,” Mr Mellick said.

The expected end-value of Fortis’s Sydney projects under construction or under a planning proposal is $1.5bn, with a further $1.15bn pipeline of work in Melbourne.

Meanwhile, Fortis and Marprop have secured development approval to refurbish 24 Bay St in Double Bay, a heritage-listed building by renowned architect Neville Gruzman.

Renovations on the $50m project will commence in June 2022 to restore the iconic building, with prominent heritage elements including the facade, internal spiral staircase, terrazzo podium and feature lighting circles to be restored.

As part of the upgrade two extra levels will be added.