This article is from the Australian Property Journal archive
ONE of the largest amalgamated residential property offerings in development-intensive Macquarie Park has hit the market, while a circa $54 million sale of another collective site nearby has been confirmed.
The 12-14 Lachlan Avenue and 13 Cottonwood Crescent deal saw 33 of the 36 units on the 3,172 sqm site as part of the initial offering, after New South Wales strata laws introduced late in 2016 that eased marketing conditions prompted a number of owners to cash in on developer demand. They allow a property to go to market if at least 75% of its strata owners agree to sell.
Sales of amalgamated sites have centred in and around the inner north-west Sydney suburb’s Lachlan Avenue and Cottonwood Crescent pocket, located close to Macquarie University precinct that includes the Macquarie University Hospital, as well as Macquarie Innovation Park District, Macquarie Shopping Centre and Macquarie University train station.
The latest property to hit the market is 7-11 Lachlan Avenue and 157-159 Herring Road, which covers 5,072 sqm and could make way for a mixed-use development of up to 20,288 sqm of gross floor area and around 240 apartments.
It has five existing detached buildings on separate strata titles with 65 apartments over four storeys and full unit entitlements. In 2014 the site was rezoned B4 Mixed Use as part of an amendment to the Ryde Local Environmental Plan, forming part of the Macquarie University Station Precinct revitalisation, and with a 45-metre development height limit and attractive 4:1 floor space ratio that has been consistent across the recently-traded sites.
Savills agents Neil Cooke, Stuart Cox and Jonathan Broome are marketing the property via expressions of interest closing 9th May.
“This is a risk free acquisition for all groups with zoning already in place and complete unit entitlement,” Cox said.
Cooke said there is excellent demand for owner occupier residential apartments and student accommodation in this location, which he said is supported by “incessant” population growth and extensive sales evidence from recent projects released to the North Shore market, predominantly within Macquarie Park and North Ryde.
Macquarie University had 40,209 students made up of 31,568 domestic students and 8,641 international students in 2015.
Savills, which sold the 12-14 Lachlan Avenue and 13 Cottonwood Crescent site,also sold the 5,130 sqm 15-21 Cottonwood Crescent site of four apartment blocks to a private developer for in excess of $85 million last year, with the strata laws allowing 55 willing owners to take the property to the market.
One of the most recent deals saw Malaysia-listed EcoWorld International Berhad acquire a 30-unit apartment block on the 2,836 sqm 1-3 Lachlan Avenue site for around $40 million, with plans to develop a 125-apartment complex with retail space worth an estimated end value of $139 million.
An offshore developer paid around $50 million to the 40 strata owners of three apartment blocks at 5-7 Cottonwood Crescent and 8 Lachlan Avenue, which covers 3,212 sqm.
The 1-3 Cottonwood Crescent and 2-4 Lachlan Avenue site was the first substantial deal to pass courtesy of the laws. It sold for $50 million early in the year after 40 of the 45 owners quickly took the property to market after they came into effect.
Australian Property Journal
