Knight Frank has sold Hunter Water’s iconic building at Honeysuckle for $25.825 million, in the process setting a new record for dollar-per-square-metre real estate in Newcastle.

The sale of the Hunter Water building shows just how strongly corporate Australia views the Newcastle market.

The A Grade office building is located in the premier office location in Newcastle adjoining the Newcastle Harbour.

The 5,379 sqm office building sold subject to a 10 year leaseback to Hunter Water Corporation with 2 x 5 year options.

Knight Frank’s marketing strategy both domestically and internationally was to focus on the incredible improvements taking place in Newcastle as a result of the hundreds of millions of dollars being invested by the State Government.

Australian investor Peter Patella from Patella Holdings Pty Ltd bought the building which will now be leased back to Hunter Water for the next decade.