CBRE Victorian Development Sites agents David Minty, Nathan Mufale and JJ Heng have sold a major infill development site in Melbourne’s south east to a local residential developer for $43,000,000 on an unconditional basis.

CBRE Victorian Development Sites agents David Minty, Nathan Mufale and JJ Heng sold the property via a public Expressions of Interest campaign on behalf of a private family.

Mr Minty said, “The sale price smashes all metrics achieved for a development site sale in Officer, representing a record rate of $3,650,000 per hectare.”

It was the first time the corner General Residential landholding had been offered for sale in over 33 years.

The circa 12.28ha vacant site forms part of the Officer Precinct Structure Plan (PSP), which allows for 15 dwellings per net developable hectare.

CBRE’s Mr Minty said, “The on-market campaign generated 18 offers from highly competitive private and institutional developers, located both domestically and offshore.”

The property sold following the conclusion of a second and final round of an Expressions of Interest campaign. Strong competition was received, including seven bids sourced via CBRE’s Asian Services Desk.

A capital allocation totalling over $500 million was received as part of the first round of offers, demonstrating the strong level of active capital in the market at present aligned with residential development sites.

The sale price achieved was $11,000,000 above the vendor’s reserve and represented a 26% uplift between the first and second rounds.

“We’re experiencing strong demand from developers looking to secure development pipelines in this region, which is unlikely to be satisfied in a market which is very short on appropriately zoned or earmarked landholdings,” Mr Mufale added.

To request a sales analysis please email either of the selling agents via the below contact details.