“The deal values the 850 square metre land at A$11,765 per square metre, the highest recorded in the City of Stonnington municipality outside the high-density Forest Hill precinct, according to Trent Hobart, Hamish Burgess and Ben Baines of Colliers International, the selling agents.”
Six months ago, the same site but without permits, changed hands at A$6.2 million, according to the news report. “That represents a land value of A$7,294 per square metre.”
“Established offshore entrants are looking to recycle funds from their initial projects, creating another wave of aggressive bidding for well-located, blue-chip, permitted development sites,” explained Burgess.
The new SP Setia acquisition, at 103-105 High Street, Prahran, comes with a permit for a nine-level, 47-unit apartment complex which includes offices at the lower level, retail space and 63 car parks.
Late last year, SP Setia paid A$6.7 million for 247-251 Neerim Road, Carnegie, a 2074 square metre site with a permit for a four-level, 48-unit complex. The company also has re-developments at Fulton Lane in the Central Business District (CBD) and Parque along St Kilda Road.