Sydney has become the second hottest commercial property market in the Asia Pacific, trailing only Tokyo when it comes to attracting commercial investment. A report from global real estate services group DTZ shows Sydney attracted $US8.2 billion ($11.2 billion) of real estate investment in the year to June, a 16 per cent increase on the previous year. This places Sydney in 10th position worldwide.

"The results confirm the importance of Sydney as a major investment destination, not only in Asia Pacific but also globally," said James Patterson, DTZ's CEO for Australia and NZ.

The growing demand for offices in Sydney has seen vendors put their properties on the market for the first time in decades, like the six-storey commercial office building at 64-76 Kippax Street, Surry Hills. This is the first time the property has been on the market in 30 years and it is expected to sell for over $25 million. It is currently home to 27 existing tenants, most of which are on expired leases. The property also has the potential to be redeveloped, possibly into residential, loft-style apartments or hotel rooms.

It is for sale through John Bowie Wilson and Richard Garland of Knight Frank, on behalf of vendor Lunzer Management, via an Expressions of Interest campaign closing October 1.