Metro Property Development has secured a new development site in the Melbourne inner south-western suburb of South Kingsville for $20 million.
Located 7km from Melbourne’s CBD, the 2.2ha infill site will provide Metro with the capability of building more than 100 townhomes.
Metro CEO and Managing Director Luke Hartman said the location and profile of the site fitted the company’s site selection criteria and the purchase would significantly bolster Metro’s presence in Melbourne’s inner-ring, in which Metro has four projects under construction including Acacia Residences at Balwyn, Saxon at Ivanhoe, The Lincoln at South Yarra and Highbury Townhomes Footscray.
“Melbourne has been an impressive market for us over the past 12 months with all projects selling out in record time and construction progressing ahead of schedule,” Mr Hartman said.
“We were eager to secure a new development site in the highly sort after middle-ring suburbs of Melbourne, where we have achieved great success with recent projects including the nearby Highbury Townhomes at Footscray.
“Our site selection criteria is quite specific, we know what works for us and what sells quickly with buyers – and at the moment that’s well-priced luxury townhomes in up and coming areas within an easy commute of Melbourne’s CBD.”
While this is Metro’s first site acquisition for 2016, it comes on the back of significant acquisition activity last year which included Strathfield Golf Club and Catherine Fields in Sydney and the high-profile purchase of Adelaide Polo Club in Mt Barker. All of these sites will launch to market during the next 12 months, growing Metro’s national footprint substantially.
The South Kingsville site will be rezoned over the next two years with Metro planning to develop more than 100 three and four bedroom townhomes.
Metro General Manager for Victorian Development David Steele said the site was currently warehouses but Metro would commence development plans for the site as soon as possible.
“This site represents a great opportunity for Metro to continue its foray into the Melbourne’s townhome market, which is popular with a variety of buyers from first-home buyers to downsizers,” Mr Steele said.
“South Kingsville has a medium house price of almost $800,000 and this development, like all of our recent Melbourne projects, will deliver luxury family-sizes townhomes at an attractive price“Metro’s focus for this year for the site will be to get plans and development approval underway.”