Melbourne, 01 December 2015 – A competitive auction for a boutique suburban development site culminated with a private Chinese buyer snapping up the landholding for $4.05 million.
CBRE’s Victorian Development Sites team of Mark Wizel, Julian White and Scott Orchard negotiated the sale of the two combined residential dwellings at 327-329 Union Road, which is located in the fast growing suburb of Balwyn.
Mr White said the 1,853sqm site, which was offered to the market with a planning permit for seven luxury townhouses, attracted significant interest from local and offshore developers.
“Over 100 enquiries were received during the campaign, representing the increasing buyer demand for permitted townhouse development opportunities when they are presented strategically to the market.”
“Six offshore bidders contributed to the lively auction result, showing confidence in the potential of the site despite it not being located within the Balwyn High School zone.”
The sale price translates to a rate of more than $575,000 for each permitted townhouse - a strong result which Mr Wizel linked to continued buyer confidence in Melbourne’s boutique development market.
“CBRE is witnessing a spike in demand from mainland Chinese buyers across a broad range of asset classes. Many industry authorities expected the uncertainty in the Chinese economy to have a negative impact on the Australian property market, however what we are witnessing is quite the opposite,” Mr Wizel added.
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