The campaign and prosperous sale of 19A Boundary Street is the latest coup for emerging Sydney agency Mercer Property. On the surface appearing like any other multi-million dollar property exchange, behind the scenes displays the inner workings of a high profile play more than a decade in the making. And at its core, the longstanding relationships that made it happen.

“Our whole business is built on solid relationships,” asserts Mercer Property director Tom Speakman. “Having a good track record, possessing sound industry knowledge and most important of all – being honest and establishing trust – is hugely important. It’s key to how we secured this sale.”

A former warehouse converted into stylish office spaces within the heart of Sydney’s creative district, Speakman’s history with the boutique Darlinghurst building stretches back to 2008, when it was owned by the Roney Family of Boundary International.

“Over the years we became really good friends with the onsite building and facilities manager,” says Tom. “As an up-and-coming leasing agent it was a great place to cut your teeth; managing smaller leasing transactions, building a rapport with tenants and gaining sound occupancy knowledge.”

All this would prove highly fortuitous for Mercer Property. In 2017, one of the agency’s long term clients, Haben Fund, were offered the building off-market and approached Mercer for advice on the purchase.

“They wanted to get an understanding of how the tenancies and occupancy rates had fared throughout the life of the building,” Tom recalls, “and were interested to know where we could drive the rents to.”

“It was an opportunistic time for them to buy, because we were going through a very bullish leasing market. We had an influx of tenancies pushing out to the city fringe right when they were acquiring the site. That really allowed us to push the rates from $650 per sqm to around $800. It was highly rewarding to be able to deliver these profits to Haben, who happened to be one of my first ever clients.”

Fast-forward to December 2019, Mercer Property’s successful rental growth forecasting had placed the agency in good stead as front-runners to dispose of the asset for Haben. Teaming up with Harry George of CBRE, they successfully negotiated the sale to private Melbourne investor Marks Henderson for $92.75m – with a tight initial yield of 4.7% and a build rate of $14,300 per sqm.

“Given that we’re essentially a brand new agency, we wanted to make sure we didn’t leave any stone unturned and got the best price for our clients,” explains fellow Mercer director Matt Davoren of the CBRE partnership. “We have done transactions with Harry in the past and found him to be a very efficient, well-connected agent who has a lot of synergies with our own business.”

Continuing its longstanding relationship with 19A Boundary Street, Mercer is now managing the property for Marks Henderson for the foreseeable future. Recognised as one of the premier creative buildings in the city fringe that has always secured strong tenancies, it’s clear why 19A Boundary was such an attractive purchase for the Melbourne based group.

From its high ceilings and polished concrete floors, to exposed services, beautiful district views and the unmistakable sense of character, the building’s strong appeal for businesses such as creative agency Collider and chef Donna Hay is obvious.

“In the last two years the property has run at a 97% occupancy rate,” says Davoren. “It has a collaborative community feel. There are tenants who have been in the building for over a decade and we’re always hearing from prospective companies who are itching to get in because they love it so much. It’s always been an exceptional building that attracts strong tenancies.”

Sydney’s commercial scene is rapidly changing. As property prices in the CBD and its fringes continue to skyrocket, creative industries are seeking new, exciting and affordable locations to match their vibe and vision. Enter Precinct 75: A vibrant business hub in St Peters offering an exciting alternative to traditional business districts, taking cues from regeneration projects such as the famous Brooklyn Navy Yard. Conveniently positioned just 7km from the CBD and 5km from Sydney Airport, Precinct 75 is home to a diverse community of over 70 creative businesses ranging from design, marketing and media to hospitality, retail and fashion.

“Our vision for the property when we acquired it five years ago was always to transform it into a unique creative district,” says Jason Varker-Miles, owner of Precinct 75. “We wanted to establish a place where creative businesses could operate. So we weren’t looking for lawyers, doctors and accountants, but the makers, the creators – people that could create a real community. And proudly that’s where we’ve gotten to today.”

Rich in history and character, the aesthetic appeal of Precinct 75 for the creatively inclined is obvious. Home to the original Taubmans paint factory from 1902 until the early 1960’s, the discerning site regeneration has preserved its rich heritage: 12 character buildings holding 80 suites that flaunt soaring ceilings, beautiful exposed brick and timber and raw finishes. George Henry Taubman’s original office and meeting room (now where Varker-Miles oversees Precinct 75) has also been respectfully restored, while still retaining its stunning American Oak walls – a loving ode to days of yore.

“The unique look and feel of Precinct 75 is definitely one of the factors that attracted us to the place,” admits Eric Phu, co-founder of ethical t-shirt company, Citizen Wolf. “The suite we took over is an amazing space. It’s very open and spacious, has great bones that we could work with and is big enough for our needs. We also love the amenities here – everything you need is already onsite. We love the Sample Coffee Cafe and are often at the bakery or brewery.”

Yes, brewery. Just one of the many renowned local brands that call Precinct 75 home, Willie The Boatman is a local craft brewery where “terrible jokes and unbeatable beers take shape.” Founder Pat McInerney said he fell in love with the place as soon as he saw it. “It’s cool and rustic and really fitted with our brand and what we were looking to grow into. We make all our beer and cider on-site…and also wine for those poor fools who don’t drink beer.”

As any business owner will attest, accessibility is key, and Precinct 75 delivers on that front too. Just a short walk from both Sydenham and St Peters train stations, the complex also enjoys city buses right on its doorstep. “It’s such a great location,” adds McInerney. “You can walk to King Street in Newtown in just 15 minutes.”

Looking ahead, Jason Varker-Miles holds a grand vision for the precinct, despite already being an established and sought-after business hub. “Our plan is to go one step further,” he reveals. “With such a large piece of property, we are in a unique position to provide a thriving urban village and community that includes apartments, restaurants, parks and additional commercial spaces. This is still sometime down the track, but we’re excited for the future of Precinct 75.”

To make your mark on this highly-desired destination precinct, speak to Matt Davoren or Tom Speakman, Directors of Mercer Property, or find out more here.

The Cannery sits at the heart of inner Sydney’s thriving new commercial scene. The historic warehouse space is now home to 11,000 square metres of unique providores, restaurants, bars and lifestyle brands. Moments from the burgeoning residential hub around Green Square train station, The Cannery has already attracted some of Sydney’s most renowned local brands across hospitality, retail and design – including Black Star Pastry, Three Blue Ducks, Assembly Label, Koskela and Archie Rose.

Another immensely successful local company to take up residence at The Cannery is Academy Brand. The company’s founder, Anthony Pitt, knew exactly what he was looking for. “It was really important that we moved somewhere that was on the up,” says Pitt. “It was important that our staff and clients felt good about coming to the area, so we targeted places that had a creative and vibrant feel, but that we also thought were unique and wouldn’t date. The Cannery literally ticked all those boxes.”

Academy Brand has been headquartered at The Cannery for almost three years, and with a well-established community of tenants and customers, the building is now opening up new creative office spaces to welcome more businesses into this vibrant hub. Matt Davoren from Mercer Property explains, “Being a historic warehouse, The Cannery has extraordinary double-height ceilings. With a full plate of retail and hospitality tenants on its ground floor, it’s now adding a suite of offices above that.” With customisable spaces available from 49 square metres up to a luxurious 382 square metres, the creative options are endless.

Another long-standing tenant at The Cannery is CoHouse Studios – a coworking, studio and event space. For CoHouse Director Macario De Souza the buzzing atmosphere at The Cannery was a major drawcard for him and his clients. “Having so many great social places around is a huge selling point. For a small business that’s just getting started in a coworking space, being able to take clients to Three Blue Ducks or Archie Rose for a meeting right next door to their office is fantastic. They feel part of a buzzing, successful scene and that looks great for their business.”

Every day at The Cannery offers something new. Pitt’s staff are spoiled for choice when it comes to great food and coffee. “Everything you could want is right at your doorstep,” says Pitt. “Whether it’s breakfast for yourself, a casual meeting with staff over a coffee or a long lunch with clients, you can’t beat it.” There’s also an in-house F45 gym to burn off the calories, Wholefoods House for organic groceries and The Drink Hive, where you can reward yourself with a nice bottle of wine on your way home.

To get home, Green Square station is a brief walk away and the Bourke St cycle path is nearby, but many people in Pitt’s office drive. “The Cannery is very conveniently located,” says Pitt. “Whether you live north or south, it’s easy to get to.” At CoHouse Studios, De Souza notes that “A lot of our people come by train to Green Square and walk the rest of the way. Our visiting international creatives love that it’s so close to the airport – just 10 minutes by cab. And it’s a nice, easy trip into the city too.”

With a monthly market, cooking classes, artisan butcher, wholefoods store and a health studio, The Cannery offers a remarkable array of services and amenities. Little wonder then that it has attracted such a loyal following. As Pitt puts it, “Even in the last few years we have seen the growth of The Cannery and the whole area. It’s become a true destination for people to work, shop and eat.”

To put your mark on this destination precinct, speak to Matt Davoren, Managing Director of Mercer Property, or find out more here.

With years of experience, unparalleled knowledge on the Sydney property market, and a streamlined formula for success, Mercer Property is the collective efforts of Matt Davoren and Tom Speakman.

Friends, and now founders of Mercer Property, Matt and Tom have been connected through their passion for property since meeting a decade ago. Despite initially being real estate rivals, the pair did share a unified goal when they were appointed to sell a new office development in the heart of Potts Point.

“Shortly after we started working together on the Potts Point project, we realised that we shared common objectives; we were both hungry to prove ourselves in the industry, and we wanted to achieve the best possible result for our client. Although we represented different companies at the time, and we were often competitors, there was honesty and a level of respect for one another. These fundamentals have never changed for us.” Matt says.

Healthy rivalry turned into a genuine friendship, as both Matt and Tom realised they had more in common than just selling the same kind of real estate. The next logical step was to take their principals and create an agency that encompassed their shared vision. By combining their individual career experiences, Matt and Tom are able to offer a unique and diverse service to their clients.

Inspired by how the design and fashion industries have influenced lifestyle marketing, the Mercer Property team has a dynamic vision for their commercial clients. Their aim is to showcase inspirational spaces to shop and work.

A career in real estate for both was always on the cards from an early age.

For Tom “…it’s always been property. It’s fair to say I was destined to get into real estate – it’s in my blood. Property in my family goes back three generations. My great grandfather established a real estate agency in Adelaide that’s still operating to this day, and is one of the longest running independent real estate agencies in Australia”.

Matt grew up with his mother working in the industry; “I started my career in real estate at 18, first working as an assistant commercial property manager on the Northern Beaches. To this day I still service some of my original clients”.

Matt has recently returned to Sydney after two years working for New York City’s number 1 real estate agency, Douglas Elliman. “After nearly 15 years in the Sydney market I felt I needed a fresh perspective on the industry before embarking on my own business”. During his time working in one of the world’s most competitive marketplaces, he was part of a formidable team specialising in ultra-luxury real estate in New York City. “Actively working on some of the most expensive homes in the world and understanding the inner-workings of one of the world’s elite real estate teams, has provided me with a wealth of knowledge and experience that will benefit clients of Mercer Property”.

As partner in a leading Sydney property firm, Tom has delivered a number of exciting office projects across the city fringe, including large commercial spaces in Redfern, Surry Hills and Darlinghurst. “With these projects, I was involved from the outset, working with architects and developers during the planning and design stage, to liaising with marketing teams through to project delivery”.

Excited about their new professional path ahead, and finally becoming business partners, Matt and Tom say their next career chapter won’t all be hard work.

Matt says what makes them passionate about their industry “…is the people we work with. It’s an extremely social industry where you have the opportunity to meet people from all walks of life”. According to Tom, “Enjoying what you do is paramount to a successful career in any industry. For me, being passionate about the industry comes from being involved in new and exciting projects, working on strategic marketing ideas with people, and building great long-term relationships with your clients”.

Putting these practices into place, the result is a bespoke agency with a modern and intelligent approach to marketing and managing property.