This article is from the Australian Property Journal archive
THREE western Sydney landholdings have been put to the market, prompted by strong demand from developers ahead of the opening of the city’s second airport nearby in Badgerys Creek. At the same time, Brickworks took advantage of conditions by offloading two sites for $41 million.
A 17.46-hectare Luddenham property, at 752-810 Luddenham Road, is expected to fetch more than $20 million, and the 18.5-hectare 1383-1411 Elizabeth Drive site in Kemps Creek is tipped to attract circa $20 million. Two hectares of land at 10 Martin Road in Badgerys Creek is also up for grabs.
CBRE is marketing the properties on behalf of families that respectively live on the sites, and each are set to make sizable profits from the sales. They were picked up for $1.15 million in 2002, $6.2 million two years ago, and $1.35 million in 2013.
In August, a 12.16-hectare Luddenham site, with one five-bedroom house, sold for $17.75 million. The vendors paid just $825,000 for the site in 2009.
The NSW Government’s Western Sydney Aerotropolis Land Use and Infrastructure Implementation Plan (LUIIP), released last month, has each of the newly-listed site ins a different stage of rezoning, with the Luddenham expected to be passed through next year.
Mosca said the properties are earmarked for future “Flexible Employment” zoning, and offer a range of opportunities and would ideally suit buyers interested in industrial and business uses.
The sites are close to Boyuan Holdings’ 344-hectare Northern Gateway Partnership masterplan mini-city, which will comprise retail, health and logistics infrastructure adjacent to the airport, as well as Mirvac’s large format and mixed retail Elizabeth Drive Enterprise Precinct.
Mosca said the listings highlighted the growing anticipation felt by land owners and investors leading up to the release of the plan.
“The release of the NSW Government’s growth strategy has been crucial to managing the timing of land release and knowing which key areas would offer maximum return on investment,” Mosca said.
The LUIIP provides an overview of the Western Sydney Airport precinct’s growth strategy, and identifies three key areas for rezoning before 2020.
“The airport precinct has solid potential to support more intensive future uses – office parks, residential, industrial and more,” Mosca said.
The second stage of the NSW Government’s plan is expected in 2019, following community feedback.
Meanwhile ASX-listed Brickworks subsidiary Austral Bricks has offloaded adjoining sites in south-west Sydney’s Riverwood for $41 million in a sale and leaseback deal.
A private buyer is the new owner of the brickwork properties, at 62 Belmore Road and 111 Bonds Road, which encompass nearly 9.05 hectares over two titles.
Austral will occupy 13,263 sqm on a decade-long deal with a five-year option. The two sites return around $1.619 million per annum.
Australian Property Journal
