Kingston Foreshore development opportunities sold

Canberra, 25 June 2014 – Two of the final blocks of developable land within The Peninsula precinct at Kingston Foreshore have been sold at auction for a combined $14.3 million.

CBRE’s Mark Nicholls and Andrew Stewart were the lead agents on the Land Development Agency auction, working in conjunction with local residential agency the Independent Property Group.

The two blocks were sold to separate local developers, paving the way for the development of 151 dwellings.

It is the latest sign of confidence in the Canberra market following the highly successful auction earlier this month of the Campbell 5 sites, which realised a total of $63.75 million – well above initial expectations.

The Kingston Foreshore sale prices were also above expectation according to Mr Nicholls.

“It’s showing that confidence is coming back to the market, particularly following the successful sale of the Campbell 5 sites,” Mr Nicholls said.

The larger of the two sales involved Block 4, Section 66 - a 2,715sqm site which will allow for 76 dwellings. It sold for $7.35 million to local development group Madison headed by David O’Keeffe.

Block 3, Section 66 sold for $6.95 million to another local developer, Pavilion Homes, headed by Boris Planinak. The 2,474sqm will permit 75 dwellings.

The deals are the latest at Kingston Foreshore following the sale earlier this year of three neighbouring Peninsula sites for a combined $22.2 million. Two of thpse sites were acquired by local developers with the third purchased by a developer from interstate.

Mr Nicholls said The Peninsula’s potential as a commercial and residential precinct continued to be a major selling factor. In the case of today’s auction, Mr Nicholls said the scale of the sites and their location overlooking the Jerrabomberra Wetlands, within walking distance of Kingston Harbour’s waterside cafes and restaurants had helped drive buyer interest.

“These are very manageable project sizes and, as such, generated strong interest from local developers who understand the dynamics of the Kingston Foreshore precinct, which is now recognised as one of Canberra’s most prestigious residential locations,” Mr Nicholls said.