Melbourne property developers Steven and Tony Sass have expanded their traditional east coast stronghold with a strategic push into Western Australia.
The move marks a shift in their investment strategy all while aggressively acquiring properties in Victorian growth corridors.
Oreana Group, established by the Sass brothers in 1999, is steadily building a significant portfolio across Melbourne’s growth corridors, but the recent interstate expansion opens a new chapter in the company’s development strategy.
Oreana, with multi-disciplined property business Wolfdene, has acquired a 72ha parcel at North Ellenbrook, Perth, for $30 million.
The site, 28km from Perth’s CBD, is earmarked for an 800-lot subdivision with potential to house 2000 residents. Construction is slated to begin in 2029, with the development expected to exceed $300 million in end value.
Wolfdene said it was one of WA’s largest private developers, with $100 million in Perth greenfield acquisitions since 2020 and pipeline in the west worth more than $2 billion (GRV).
Oreana managing director Tony Sass said, “Supported by increasing population and jobs growth, we see tremendous upside in the Perth market”.
Oreana this year announced its move into Queensland with its acquisition a 21ha site at 281-323 Petersen Road and 13-37 J Dobson Road, Morayfield, 45km north of the Brisbane CBD. The land subdivision for 250 homes will help the developer “hit the ground running” on setting up a permanent office in the state.
Closer to home, Oreana is consolidating its presence in Melbourne’s western growth corridor, securing a 29.6ha site at 160 Hobbs Road, Wyndham Vale, for $31 million.
This acquisition neighbours their 20.8ha holding at 290 Hobbs Road, bought in May 2023 for $13.8 million.
Both parcels run alongside the Werribee River and fall within the Ballan Road Precinct Structure Plan. They have end values of $91m and $65m respectively.
Add to that Oreana’s acquisition of a 29.5ha site at Talia, Rockbank, with capacity for 390 lots and an end value of $140 million.
The developer-builder has been picking up properties at low prices as it anticipates a return of investor activity ahead of expected interest rate cuts in 2025.
Sass said the “green shoots appearing in the Melbourne market … gives us the confidence to buy well and move forward on the delivery of supply”.
Oreana had a pipeline of around 400 townhouses across Melbourne, all with approved permits. These latest acquisitions could deliver around 900 new homes, the developers said.
Oreana’s northern corridor portfolio expanded significantly in April 2023 with the greenfield acquisition of a 125.3ha Donnybrook parcel for about $130 million.
The group has entered a development agreement with Dennis Family Corporation to deliver about 1400 residential lots as part of the Peppercorn Hill community, which is around 30km north of Melbourne. This will feature a 6ha town centre, a secondary school and sports field with an estimated completion value of more than $700 million.
Sass said, “The delivery of this large-scale masterplanned community will provide much-needed housing, community facilities, and infrastructure in Melbourne’s northern growth corridor”.
Oreana maintains substantial holdings at Wollert, where it controls multiple low and medium-density residential projects, alongside strategic positions in Melbourne’s south-eastern growth corridor.
Alongside their commercial development activity, the Sass brothers have amalgamated three clifftop properties at Sorrento, spending $61 million to create a family compound.
The 1.14ha holding at 3440-3444 Point Nepean Road was acquired through three separate transactions over 20 months from the family of late property investor Stuart Carter.
The most substantial of these Sorrento purchases was the 3695sq m property at 3442 Point Nepean Road, bought for $24 million in March 2023.
The historic Hindson House at 3440 Point Nepean Road, a heritage-listed mansion from around 1870, was bought for about $16m, and the 3693sq m parcel at 3444 Point Nepean Road is understood to be selling for $21 million.
