This article is from the Australian Property Journal archive
LOCAL developers have pounced on two prized Melbourne inner city sites, which have sold for a combined $17.85 million.
A 1,482 sqm site at 195 Lennox St Richmond was sold for $9.25 million to Flagship Property Holdings.
Colliers agents Ted Dwyer, Peter Bremner and Jeremy Gruzewski sold the site, which is currently improved by a two-level 1,050 sqm office building with 17 on site car parks, with town planning precedence of seven to 14 storeys in the immediate vicinity.
Bremner said the contest amongst developers and investors was strong, with the property exceeding price expectations to record a land rate of $6,241 per sqm.
“This particular pocket of Richmond is currently experiencing a flurry of activity and we expect it to continue to be targeted by owner occupiers, investors and residential or hotel developers,” he said.
The sale comes just a few weeks after another local developer purchased a high-profile Fitzroy site with a permit for 83 units.
Goldfields Group purchased the 1,083 sqm high profile mixed-use site at 243 Queens Parade for $8.6 million, at a land rate of $7,940 per sqm and unit rate of about $103,614.
Dwyer negotiated the sale on behalf of vendor local developer Adam Wulff, which saw the property more than double its price since August 2013 when Wulff purchased it collaboration with Paul Hayward of Carta Group for $4.1 million.
Wulff was involved with and represented the vendors of the Lennox Street property.
“Late last year, Mr.Wulff received town planning approval for an 11-level project designed by local architecture, Fieldwork Projects,” Dwyer said. “The permit in place for 83 units attracted significant interest and resulted in a quick sale for a strong price of $8.6 million.”
Dwyer said Melbourne’s trendy inner north was becoming increasingly popular with residential developers.
“Opportunities in Fitzroys North are scarce – further north, Preston and Thorbury are flooded with development opportunities,” he said.
Australian Property Journal
