In recent years, an increasing amount of derelict industrial sites have been revamped into ample, modern office spaces. This trend continues to grow as forward-thinking Sydney businesses realise the range of benefits that “commercial turned industrial” developments offer the contemporary workplace.

The gentrification of the inner west has seen property values surge. Converted spaces in the urban fringe have created desirable Sydney offices, which are no longer limited to the CBD.

Rather than demolishing vacant warehouses and factories, commercial property owners are realising the investment opportunities they present, choosing instead to renovate and restore.

Why are Industrial Properties in Demand in Sydney?

So, why are businesses choosing to shift away from the CBD? Modern business owners aim to inspire collaboration and innovation in their employees by boosting workplace morale. New-age entrepreneurs and managers realise there’s a lot more involved than free lunch and abstract decor. They consider their social and environmental responsibilities, create diverse workplaces, and offer added benefits and assurances to employees. The movement has seen a reinvention of the modern Sydney office. High ceilings, natural light, as well as sustainable, innovative renovations is made more possible for inner western property holders than in the heart of the city.

Renovated warehouses and factories evoke a sense of contradiction, clashing modern aesthetics with the charm of rustic, industrial architecture. Not only do these buildings offer aesthetic value, but also historical significance. Pre-existing structural features are preserved, and relics, artefacts, and clippings can be recovered, adding historical and cultural value to the space, in turn inspiring employees creatively. The trend encourages design that celebrates the artistic and historical vernacular of the original landmark.

How to Find the Right Warehouse Property

Converting industrial lofts into contemporary offices can be an appealing prospect, but there are a few things to remember when searching for the right investment. Before securing any commercial premises, it is important to research zoning restrictions that may affect a building’s ability to be redeveloped to the hilt. This information can be sourced from your local council.

Furthermore, a primary location is key when hunting for a commercial property, with access to public transport, schools, cafes, and arterial roads. Particularly the inner west and surrounding areas are hotspots for investors. The formerly industrial suburb of Marrickville holds immense capacity for warehouse-style projects, and is within walking distance to train stations, restaurants, and bars in the bustling strips of Enmore and Newtown.

The availability in Marrickville comes from abandoned manufacturing facilities as the services economy develops in Australia. With more money being poured into the services industry, an increasing number of co-working or “hot desk” style environments, facilitating early-stage, startup and entrepreneurial activity are being established. These offices, generally in the tech and creative industries are ideally suited for the inner west.

Do Your Research When Leasing Industrial Properties

Gentrified properties will continue to become more valuable, particularly those who renovate with an understanding of the modern Sydney office. Agents must recognize the historical and experiential incentives that commercial properties offer to its buyers and tenants.

Industrial warehouses in Marrickville and surrounding inner western suburbs of Sydney have enormous investment potential. They offer character and features that newer buildings do not, making them attractive investments as well as adding another decade of productive life to commercial real estate property.

The cost of renovating can vary substantially. Thorough research, strong planning, and experienced, qualified advice will ensure the best possible results. However, as with commercial investments in general, vacant periods present the most danger to return on investment.

To learn how you can reduce vacant periods, download our free eGuide below:

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