Social housing complex in Merrylands hits the market amid tight supply

A mixed-use property featuring 44 apartments and 4 retail shops in Merrylands, Sydney has been listed for sale, with price expectations in the $20 million range.

The complex at 315-323 Merrylands Road includes 43 social housing apartments, with 92% of its income derived from NSW Land and Housing Corporation.

Matthew Meynell and James Cowan from Colliers are managing the sale on behalf of Costa Nicodemou of Newpoint Advisory.

Meynell highlighted the current supply-demand imbalance in the Australian housing market.

“Nationally, the Institute of Public Affairs (IPA) recorded 380,000 new migrants into Australia through FY2022-FY2023, while only 148,000 new dwellings were built,” Meynell said.

The property, completed around 2019, is located 25km west of Sydney CBD and 2km south of Parramatta CBD. It comprises 4,985 sqm of total strata area on a 2,076 sqm land parcel.

Cowan noted the significant price gap between houses and apartments in Merrylands.

“The median apartment price in Merrylands is $479,500, whilst the median house price is $1,265,000 meaning the average house is 2.6x more expensive than the average apartment,” Cowan said.

The complex features modern finishes and is close to Stockland Mall and Merrylands Station.

The property is being offered through an Expressions of Interest campaign closing on 10 October 2024.

Colliers expects strong investor interest due to the current undersupply of apartment stock in the area and growing demand from migration.