Sydney developer scoops up coveted Gladesville Shopping Centre for $1bn project

Sydney developer Third.i Group has emerged as the buyer of the harbourside Gladesville Shopping Centre and its commercial village in Sydney, with plans to build a $1bn mixed-use masterplan precinct, Green Street News can reveal.

The acquisition has also caught the eye of institutional groups keen to secure the project as a seed asset for new property funds.

Third.i did not reveal the price it paid for the coveted 1.4ha site, bordered by Cowell, Flagstaff and Massey Streets, but market sources indicated it traded for about $100m. The developer acquired the aging property from several private sellers directly.

As the race to build more homes ramps up, Third.i has outlaid preliminary plans to build about 500 build-to-sell and build-to-rent apartments across four towers atop a new shopping centre.

The existing Gladesville Shopping Centre, changing hands for the first time in 25 years, will be knocked down to make way for the new centre, which will also include a dining area.

The retail centre will continue to be anchored by a Coles supermarket and is estimated to total about 8,500 sq m.

These early project plans are expected to be put on public exhibition shortly.

Third.i’s plans will bring to life the Hunter’s Hill Council’s long-time goals to give the centre a facelift while adding housing. The site’s redevelopment fell over in 2018 amid resident concerns about increased traffic and heritage conservation.

This time, the council’s Gladesville masterplan planning proposal has considered the NSW state government’s goals to build more housing in meeting the National Housing Accord. It has also planned more public space and community facilities and better designed buildings.

Third.i acquisition head of acquisition Florian Caillon told Green Street News the firm will deliver a community-focused asset.

He said Third.i is also mulling opportunities to work with fund managers on seeding the Gladesville project as well as Third.i’s other apartment projects altogether totaling 4,000 units into a fund or several funds. Capital raising for the project is also on the horizon, Caillon said.

The active developer, which also has a UK development footprint, has several high-profile innercity Sydney apartment projects including Hume Place Crows Nest, the over-station development at the new Crows Nest metro.

It has also partnered with the Dexus Real Estate Partnership 2 to develop a resort-style retirement village for over-55s at the Merewether Golf Club in Newcastle, north of Sydney.

Pending approvals, Third.i will commence construction at Gladesville late next year.

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