Chen's adaptive reuse projects are transforming heritage buildings into modern workspaces, proving there's life in Bendigo's CBD beyond traditional retail.
3 min read
As remote work reshapes office demand across regional Australia, Bendigo's commercial property sector faces a critical inflection point. Yet one local entrepreneur is proving that smart adaptive reuse strategies can unlock significant value in the city's heritage-rich precinct.
Over the past three years, property developer Sarah Chen has quietly acquired and repositioned five heritage buildings along Pall Mall and High Street, converting them into premium office and co-working spaces. Her latest project—a converted 1920s wool store on View Street—officially opens next month with 12,000 square metres of workspace commanding rents of $280-$350 per square metre annually, well above the Bendigo average of $195.
"The traditional CBD office market contracted by roughly 8 per cent during 2024," explains Chen, whose portfolio now includes properties in Rosalind Park precinct and the emerging creative quarter near the Bendigo Art Gallery. "But quality, character-filled spaces with modern amenities are bucking that trend."
Local commercial real estate data supports her thesis. Knight Frank's latest quarterly report shows net absorption of office space in Bendigo's CBD turned positive in Q2 2026, driven entirely by adaptive reuse projects. Chen's developments have attracted tenants ranging from tech startups to professional services firms relocating from Melbourne, many citing lower operational costs and lifestyle factors.
The economics are compelling. Heritage buildings in Bendigo's core typically sell for $1.2-$1.8 million—substantially below replacement cost for comparable new construction. Government heritage grants and depreciation benefits sweeten the investment case. Chen's View Street project cost $4.2 million to acquire and fully renovate, with construction timeline of 18 months.
"What Sarah's doing matters for Bendigo's broader revival," notes commercial agent Michael Torres of ERA Agents & Developers. "She's proving the CBD can compete with suburban office parks and Melbourne satellite offices. That attracts young professionals, supports hospitality venues, and creates genuine mixed-use precincts."
Chen's success hasn't gone unnoticed. Three competing developers now have adaptive reuse projects in planning or early construction phases. The Bendigo Chamber of Commerce recently named her 2026 Business Leader of the Year, recognising her role in demonstrating that regional commercial property can thrive beyond nostalgia or subsidy—through genuine market demand and smart capital deployment.
As Bendigo positions itself as a genuine alternative to congested Melbourne corridors, developers like Chen are writing the script for what sustainable regional office markets actually look like.
This article was compiled by AI from the sources linked above and screened before publishing. See our editorial standards.
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Published by The Daily Bendigo
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