A service station underpinned by development approval in southern Sydney has been sold for the first time in more than 40 years.
The property at 41 Broadarrow Road in Narwee was purchased for $8.3 million by a local service station investor from the Costas family who have owned and run the service station for 43 years, in a deal negotiated by Anthony Pirrottina and Demi Carigliano of Knight Frank.
The 1,696sq m site is currently occupied by an Ampol branded service station, a separately leased mechanic workshop at the rear and a private first floor one-bedroom apartment.
It has development approval for the construction of 61 oversized residential apartments and a generous 861sq m of ground floor retail/commercial accommodation, with total gross floor area of 6,424sq m.
Mr Pirrottina said the property provided an extremely rare opportunity to landbank with the strong holding income via multiple income streams or develop immediately with a prime development approval.
“The campaign generated strong interest, with around 100 enquiries and five first round offers,” he said.
“The site represents a very rare land holding of scale on the doorstep of a train station, which generated interest from a range of purchasers looking to either operate the service station or re- develop the property in the immediate term.
“Suburbs surrounding Narwee have undergone significant gentrification in recent years such as Beverley Hills, Kingsgrove, Hurstville and Roselands, with an emphasis on higher density commercial and residential repositioning, but Narwee is one Sydney’s most untouched and boutique suburbs to date.”
Mr Carigliano said demand for quality residential development sites continued to defy the slowdown in the wider residential market
“Despite the current commentary around rising interest rates and how it may affect residential buyers, developers are confident in investing in well-located development sites.
“There will always be buyer demand for high-quality residential property close to the city, and with our population only growing demand is only going to get stronger once interest rates stabilise.
“Buyers were attracted to this site not only for its development potential, but because of the quality of the current investment, with service stations being a solid investment in the current environment.”
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