Marquette Property has launched the sale of a waterfront retail asset within the $10 billion Barangaroo precinct in Sydney.
The transaction is being managed exclusively by JLL’s Retail Investments team, Nick Willis, Sam Hatcher and Sebastian Fahey, through an International Expressions of Interest process which will close on March 26. The offering is expected to attract domestic and offshore investors due to its location on Sydney Harbour and its operating performance.
Nick Willis, executive director, JLL Retail Investments Australia & New Zealand, said last year saw a shift in capital flows, with retail transaction volumes exceeding those of the office and industrial sectors for the first time.
“As capital returns to the sector, we’re seeing a clear preference for assets that offer defensive income and exposure to experience-led spending,” he said.
The asset comprises 20 tenancies across 2600sqm, with 175 metres of frontage to Sydney Harbour. Tenants include Grill’d, Yo-Chi, Zushi, Lotus, Anason, Love Fish, Muum Maam and Bourke Street Bakery. Average sales productivity is reported at approximately $28,000 per sqm.
The property is fully occupied under net lease structures with fixed annual rent increases of 4 per cent. The surrounding area records about 18 million visitors per year, 24,000 workers per day and a residential population in the nearby mixed-use precinct.
Sam Hatcher, head of retail, JLL Australia & New Zealand, said operating performance offers scope for rental reversion and noted that net-lease structures allow investors to manage operating costs.
The asset has transport connections through Barangaroo Metro, Wynyard Station and ferry terminals. Integration with residential towers and office buildings provides a customer base from residents and workers. Residential towers within the precinct have recorded sales rates above $90,000 per sqm.
According to JLL research, retail vacancy in central Sydney declined from 14.3 per cent in the fourth quarter of 2022 to 3.4 per cent in the fourth quarter of 2025. The decline has been driven by tourism recovery and return-to-office trends. In Barangaroo, office vacancy is 4.2 per cent compared with 14.7 per cent across the Sydney CBD.
The Barangaroo precinct was developed by Lendlease, which is listed on the Australian Securities Exchange. The precinct has been reported as carbon neutral.
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