Stockland plots North Sydney mega-tower

The area has seen a surge of interest from major developers with listed companies including Lendlease and Dexus building towers alongside private players like Winten.

Stockland flags the site in Walker St it had assembled will have the potential to accommodate up to 60,000sqm of prime office space in the future, making it one of the area’s largest and most prominent planned skyscrapers.

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Stockland says it has entered into agreements to acquire two office blocks in North Sydney, adjacent to its existing office building at 110 Walker Street, for a combined price of $121 million.

The acquisitions of 118 Walker St, from the Graf family, and 122 Walker St, from investor Peter Reid, more than double Stockland’s existing Walker Street holding.

They give the developer an amalgamated site of almost 2300sqm in the prime North Sydney CBD near the future Victoria Cross Metro Station.

The three fully let buildings, including Stockland’s existing asset, comprise about 10,000sq of net lettable area.

Stockland chief executive Mark Steinert says the acquisitions in the heart of the North Sydney business district were part of a broader strategy to up-weight its workplace portfolio and increase its development pipeline.

“These acquisitions will increase our exposure to the strong office market, with a view to unlocking additional future development potential for new office and street level retail,” says Steinert.

The North Sydney market is rising on the back of new infrastructure like the station development.

Elsewhere on the north shore, Stockland is also planning a $500 million technology hub at Macquarie Park.

The company is also pushing ahead with plans to overhaul Sydney’s landmark Piccadilly Centre after taking full control of the near $700 million complex.

This article originally appeared on www.theaustralian.com.au/property.