City of Newcastle (CN) acquires Sandgate industrial facility for $38.7m

Sandgate, Newcastle Region NSW – September 2025 - In a landmark transaction, the City of Newcastle (CN) has reacquired the significant industrial facility at 4 Rural Drive, Sandgate for $38.7 million, reaffirming its commitment to future-proofing the city’s infrastructure. The site, which CN previously owned more than three decades ago, has now returned to council hands.

The transaction was facilitated by Commercial Collective on behalf of ASX-listed Maas Group and represents one of the largest industrial sales in the Newcastle region this year. Notably, this marks the second time Commercial Collective has successfully transacted this site, underscoring the firm’s deep understanding of its strategic value and its longstanding relationships with key stakeholders.

The substantial 8.64-hectare site, formerly home to the region’s well-known local produce market, is one of the largest available industrial land holdings in a tightly held region. The site includes two leased warehouses, measuring 9,970sqm and 2,203sqm, providing CN with immediate financial returns while offering substantial potential for future development.

Bryne Tran, Partner and Head of Sales and Leasing at Commercial Collective, commented: "This site represents a standout opportunity in the Sandgate industrial precinct. The combination of secure income, approved future development, and a strategic location made it a fantastic addition to the City of Newcastle’s portfolio."

“Our close relationships with both Maas Group and the City of Newcastle helped us to facilitate this complex transaction and to see the City of Newcastle come full circle to reacquire this site for their future growth requirements. The negotiation process was detailed and collaborative, with both parties working toward a shared vision. We’re proud to have delivered a result that balances strategic investment with long-term regional benefit” said Director of Commercial Collective, Jared Harris.

At Commercial Collective, we are committed to attracting and retaining investment in the Hunter, supporting the region’s continued growth through the facilitation of high-quality commercial and industrial property transactions.