Australian land developer Satterley Property Group has announced its acquisition of 214 hectares of land in Mickleham believed to be worth a total of around $100m.
Satterley Managing Director and Founder, Mr Nigel Satterley, said: “The acquisition has come at a good time for the business. The land will allow for around 2,300 lots across 214 hectares, making it Satterley’s largest residential estate in Victoria.”
Strong demand and dwindling lot supply is putting pressure on prices in Melbourne and driving a spate of big money-deals for land parcels in new growth corridors.
“This deal demonstrates Satterley’s ongoing commitment to increase market share in Victoria,” Mr Satterley added.
Mr Satterley says the Victorian business will sell more than 1,600 lots in FY16.
The Mickleham project is Satterley’s fourth residential estate in Melbourne’s northern suburbs. It joins Riverstone in Doreen and Coburg Hill in Coburg North, both of which are close to trading out. True North (formally Arena) in Greenvale has been selling strongly since it was acquired from Peet Limited in 2015.
“Adding two new projects in the strategic Hume growth corridor has refreshed the development pipeline for Satterley in the north, which puts the business in a strong position for future growth,” Mr Satterley said.
Part of the land includes a precinct structural plan, allowing Satterley to commence construction and sales mid-2017.
Satterley swooped on three neighboring lots on Mickleham Road, 28 kilometres north of the Melbourne CBD, offered by a consortium of adjoining owners, who were managed by MAB Corporation.
Biggin & Scott Lands directors Frank Nagle & Andrew Egan managed the Mickleham sale. Mr Nagle said that the new Satterley project represented one of the last.
Satterley entered the Victorian residential market in 2008 and has since grown its portfolio from one project to seven, significantly increasing its market share.
Mr Satterley has also continued to invest in his Perth home market, acquiring a 140-hectare greenfield site in Swan Valley for $90 million in December.