This article is from the Australian Property Journal archive
Melbourne-based diversified property group Oreana is riding strong tailwinds in the sunshine state, acquiring one of Queensland’s largest masterplanned communities, a 3,000-lot Townsville site from major listed player Stockland.
The North Shore acquisition is Oreana’s first in regional Qld and second in the state following its purchase a 21ha site in Morayfield in July last year.
Oreana has acquired approximately 160ha as well as the balance of the town centre, which has space to double its existing footprint.
B&S Land’s Andrew Egan and Callum Williamson, and LAWD’s Peter Sagar and Paul Callanan were conjunctional agents.
Parties involved with the transaction declined to comment on the sale price, however industry sources speculated that it was more than $70 million.
Oreana managing director Tony Sass said the company was focused on investing in regions with strong population and economic growth.
“Queensland represents an exciting frontier for Oreana as we continue to expand into one of Australia’s fastest-growing regions. This move aligns perfectly with our strategy to invest in areas where we can deliver long-term value and create thriving communities.
“The acquisition of North Shore demonstrates our appetite for larger, transformative projects that create significant opportunities for our business and stakeholders,” he added.
The site has the potential to yield approximately 3,000 lots. To date approximately 2,600 lots have been delivered along with a school, retail stores include Bunnings, Woolworths, North Shore Tavern, services including a medical centre, service stations, gyms, a church, childcare centres and public swimming pool. Spanning over 900 hectares, North Shore will eventually comprise approximately 5,600 homes, a large town centre, state and private schools, parkland, childcare and retail services.
“There is significant ongoing demand for development sites across Queensland,” said Callum Williamson, director of B&S Land’s Queensland operations.
“We are witnessing strong interest from both local and interstate developers, particularly in South-east Queensland, where serviceable land remains scarce. However, this demand has also extended into regional areas, especially for large-scale master-planned communities.
“North Shore was a great example of this with a highly competitive sales campaign which attracted strong interest from across Australia,”
He added, “Sales rates and retail values across the state have continued to strengthen beyond their post-COVID surge, further fuelling demand for development sites from both interstate and local developers.”
Stockland’s general manager Queensland development David Laner said North Shore has grown to become an established community and delivering much-needed housing in Townsville.
“We’re grateful for the support of government, and all of the hard work of our staff, contractors and residents in creating a connected, thriving community at North Shore and we’re proud of our role in bringing the vision to life and the legacy we are leaving.
“Oreana’s investment in North Shore is testament to that vision and its commitment to the continuing development of the region,” Laner added.
Meanwhile Sass said Oreana is scaling up its activities and diversifying, including this week launching a new fund that offers investors access to professionals services firms seeking growth. In inner Melbourne, it is overhauling South Yarra Square into hotel, retail, and offices to the tune of $250 million.
The cashed up group also capitalised on the retail recovery by selling the Kallo Town Centre in Kalkallo to ASX-listed Region Group for $64.5 million earlier this month, in Melbourne’s first major neighbourhood centre transaction of the year.
“Our consistent investment in building capability and expertise ensures we are equipped to seize opportunities like this. It’s a reflection of Oreana’s commitment to sustainable growth and our confidence in the strength of the Australian property market,” Sass said.
