This article is from the Australian Property Journal archive
STOCKLAND has purchased two land parcels totalling 65.7 ha in Perth for a total of $58.1 million.
The lots adjoin Stockland’s Newhaven and Whiteman Edge residential communities.
The first strategic acquisition involves a 27.7 ha parcel of land adjoining Stockland’s existing 2,100-lot Newhaven Residential Community at Piara Waters, 22 km south-east of the Perth CBD. The land was acquired from a private owner for $30 million, negotiated in an off-market transaction.
The second site, a 38 ha parcel adjoins Stockland’s 1,353-lot Whiteman Edge residential community at Brabham, 20 km north-east of the Perth CBD. Stockland has acquired the land from the WA Department of Housing for $28.1 million.
CEO Mark Steinert said these acquisitions would enable Stockland to extend the sales life of both projects for several years with the addition of around 1,100 lots across the two communities.
“Our strategy to acquire adjoining land enables us to extend the life of our successful communities. We can leverage our strong, local brand, drive greater economies of scale, benefit from our previous infrastructure investment and achieve good speed to market. Both acquisitions exceed our target returns.
“These two transactions are our fourth and fifth successive acquisitions of land adjoining active residential developments within our national residential portfolio in the last 15 months,” he added.
CEO residential Andrew Whitson said the acquisitions were based on conservative and sustainable assumptions.
“While the residential market has moderated from its highs, we remain confident in the outlook for WA. With population growth still the highest in the nation by a large margin, and annual employment growth rising to the highest level since early 2013, the transition away from mining-construction led activity is progressing well,” he said.
The property adjoining Newhaven has already been zoned Urban and is included within the approved North Forrestdale Local Structure Plan. The site is expected to yield approximately 500 new residential lots. The new site is close to the location for the proposed Stockland Harrisdale Shopping Centre.
Subject to achieving the necessary planning approvals, Stockland anticipates commencing earthworks on the site early in 2015.
The parcel of land adjoining the Whiteman Edge residential community is expected to yield more than 570 residential lots and three superlots, which may be retained by Stockland for medium density residential development.
Property Review
