This article is from the Australian Property Journal archive
STOCKLAND is renegotiating terms for a $398 million acquisition made nearly three years ago of 184 hectares of north western Sydney development land, after zoning changes failed to materialise.
The Marsden Park deal was made at the close of 2017 on deferred terms over five years and was conditional on land rezoning and other terms. The vendor was private agricultural group.
“As these conditions remain outstanding the parties have by mutual agreement ended Stockland’s obligations under the original agreement and Stockland has entered into a new, exclusive arrangement to negotiate terms in relation to the proposed acquisition,” the company said yesterday in a short statement.
The rezoning of land on the northern side of Richmond Rd and within the North West Priority Growth Area would allow development of around 2,000 new residential lots adjacent to the group’s existing masterplanned community Elara, which covers 163 hectares.
A year earlier, Stockland has added 95 hectares of land to its existing Elara holding for around $290 million.
In March, the developer splashed out $415 million for the undeveloped portion of $4 billion master planned community The Gables, further north, in a more straightforward agreement.
The Gables was launched by the Baiada family’s Celestino Developments in 2015, from which Stockland bought the parcel. It plans to deliver about 1,900 dwellings over the life of the project, adding to the 994 delivered by Celestino Developments.
In that deal, Stockland agreed to pay an initial upfront payment of $40.2 million and annual progress payments over a six year period.
Sprawling across 293 hectares, the master plan for The Gables includes 75 hectares of green space and local parks, a four hectare lake, a K-12 Catholic school, and a variety of land parcels including townhouses to lots ranging from 240 sqm to 2,000 sqm.
