Spotlight on eastern suburb’s strip retail

16 May 2019

While the fashion industry and household goods stores are experiencing uncertain times, the food, café and restaurant sectors have seen substantial growth as consumers react to the trendy café lifestyle culture that is developing in Sydney’s East.

According to Savills Senior Executive, Metropolitan and Regional Sales, David Hickey, “There’s definitely a flow-on effect from a strong retail strip to the surrounding residential property prices.

“Both Coogee and Woollahra are yet to experience the price decline the majority of the Sydney metropolitan is currently going through. There is no doubt a quality retail strip attracts affluent consumers/purchasers from a residential and commercial property perspective.

“Coogee is seeing some important infrastructure occurring in the Coogee Bay Road town centre as the upgrade will enhance Coogee’s reputation and make it even more vibrant and attractive. The removal of overhead powerlines, widening of footpaths and installation of new pavers and tree is well underway with stage 1 due for completion in early 2020. The upgrades will have a positive impact on the whole retail strip of Coogee Bay Road.

“In Woollahra, the median house price is 63% and Coogee is 57% higher than the median house price in Sydney ($1,101,532) – there is certainly a direct correlation between compound growth rate of + 8% in both Coogee and Woollahra which attributes to a higher disposable household income, AND this has a positive flow-on effect for the local strip retail businesses with strong demographics servicing volume of trade” said Mr Hickey.

Over the past 12 months there has only been two (2) transactions on Queen Street Woollahra and four (4) on Coogee Bay Road, Coogee which highlights how tightly held and sought after these kind of retail assets are.

In light of this, 146 & 148 Queen Street, Woollahra is set to hit the market through David Hickey, Tom Tuxworth and Nick Lower of Savills Australia and will be sold individually or in-one-line.

According to Tom Tuxworth, NSW State Director of Metro and Regional Sales at Savills Australia, “This property will give both investor and owner occupiers the opportunity to add instant value through repositioning to take full advantage of customers who live in the third wealthiest suburb in NSW and bustling 7-day pedestrian foot traffic on Queen Street.

“146 & 148 Queen Street, Woollahra is surrounded by institutions including Victor Churchill, Chargrill Charlies, Bistro Moncur, Chiswick, Woollahra Luxe and Big Mamas. Both shops have been held for over 30 years so we expect significant local and offshore interest mainly due to the irreplaceable nature and scarcity of opportunities like these being offered to the market” he said.

Another property for sale through the same agents is 254 Coogee Bay Road, Coogee, which has been owned and operated by the Eastern Sea Chinese restaurant which has serviced the Coogee/Randwick area for over a 60 year period.

“The Coogee Bay Road precinct is currently undergoing large upgrades including new footpaths, seating, rest areas and a beautification program to further develop the centre’s vista and functionality. The Coogee Bay Road strip is already a thriving 7-day trade and will only benefit from the infrastructure upgrades that are currently underway – it’s a great initiative from Randwick council,” said Nick Lower, Director of Metro and Regional Sales at Savills Australia.

“254 Coogee Bay Road is a rare opportunity for investors and owner occupiers to capture the enormous tourist population that gather at Coogee beach (only 100 metre away) coupled with the local Coogee residents. We expect this quality retail investment will be hotly contested due to its super prime location and prominent Coogee Bay Road frontage.

“254 Coogee Bay Road, like the Woollahra shops, is surrounded by national and international retailers, including McDonalds, Westpac, CBA, Woolworths, Priceline, Australia Post and Domino’s Pizza. 254 Coogee Bay Road also benefits from being at the epicenter of multiple residential apartment blocks, hotels and office accommodation which services strong retail trade. Having neighbours of this kind and getting access to thriving retail trade will attract buyers looking to take full advantage of the Coogee Bay precinct,” he said.

 
 

Key Contacts

Tom Tuxworth

Tom Tuxworth

State Director - NSW
Metropolitan & Regional Sales

Sydney

+61 (0) 2 8913 4868

 

Jessica Freeman

Jessica Freeman

National Director - Public Relations
Corporate Services

Sydney

+61 (0) 2 8913 4826