- Two real estate agents expect a rebound in development property
- COVID-19 has resulted in moving away from city centres and into suburban fringes
- Heading a global real estate firm, the two agents look to focus on Melbourne development property
According to two real estate agents and land experts, development property around Melbourne is expected to rebound this year.
Peter Sagar and Paul Callanan recently moved across to national agribusiness transaction agency LAWD to head up its development arm from global real estate services firm, Cushman and Wakefield. There they plan to take advantage of synergies in combining agribusiness real estate transactions with land development opportunities.
They claim the medium to long-term outlook for development property is very positive, with an easing of lockdown restrictions and a rebounding economy fuelled by record low-interest rates and easing of lending restrictions.
According to Mr Sagar, the COVID-19 pandemic had resulted in a shift away from city centres and apartment living to suburban fringes and rural residential locations as more people embrace working from home.
“So the impact of COVID and working from home, and the impact of technology and the desire for a lower density lifestyle I believe has made a lot of people seek out a tree and sea change and I guess more land for their buck.”
He and Callanan’s main focus is Melbourne which boasts the biggest development industry in Australia. They will then look to southeast Queensland and potentially Western Australia, which according to Sagar has “experienced a renaissance recently.”
“So I would say our key activities this year will be looking after some of our corporate developer clients selling medium density townhouse sites for them on the urban fringe. Also, finding farms that have development potential and selling those for clients.”