With land holdings in Sydney becoming more and more scarce, it appears as though the government is ready to open up a new avenue of sale for the real estate market: the thin air trade.
As population growth threatens to soak up all of Sydney’s ground-level plots, the government is taking things skyward, selling hypothetical properties above structures that already exist. First on the docket is the 10-storey space over the freshly constructed Wynyard Walk that connects Wynyard Station to the beautiful Barangaroo waterfront. The airspace, which hovers atop the 26-38 Clarence Street Wynyard Walk address, has been granted premium zoning status for retail, office, residential or tourist facilities. Any upward developments on the site would enjoy an expansive floor plate of 730 square metres as well as easy access to Wynyard Station.
Yet despite the listing’s many assets, the market is still struggling to define this new type of sale. CI Australia’s Rebecca Roberts admitted that pricing these theoretical spaces could be tricky as it's hard to compare to other sites and previous sales in the market place. Construction could cost less because you’re out of the ground, however pointed to potential logistical problems that could arise when contractors attempt to transport building materials onto a first-floor construction site.
Still, though the jury may be out as far as pricing and practicality, this trend won’t be going anywhere anytime soon. The thin air above any and all of Sydney’s proposed new stations may also be up for grabs in the coming months and years. For now, though, 26-38 Clarence Street remains on sale until June 29th via exclusive listing Agent CI Australia.