- Rare 19ha Sunbury site listed for EOI, predicted to fetch over $20M as land market booms
- Located within the Sunbury South PSP, poised for massive development
- Government incentives and changes to spending fast-tracking buyer pathways, increasing portion of young people purchasing land
A rare land opportunity has arisen in Melbourne’s north-west, with expectations the 19 hectare lot will fetch over $20 million as part of a land market boom in the area.
The Sunbury land parcel is located at 50 Buckland Way and borders the Jacksons Hill Estate.
An undeveloped lot of this scale is a rarity within the north-west growth corridor, hence set to bring fierce competition among developers.
The site will be campaigned for expressions of interest by Melbourne-based real estate agency Savills, on behalf of a private family.
Land scarcity pushes sales to record levels
Savills agents Julian Heatherich, Benson Zhou and Nick Garoni are the team leading the marketing of the Sunbury site.
Mr Heatherich, Director of Melbourne sales at Savills, explained that securing large parcels of land in such proximity to existing residential developments is becoming increasingly difficult, pushing land sales activity up to record levels last year.
He predicts demand for land will only reach new heights in 2022, particularly as business activity stabilises and borders reopen to introduce a flood of new buyers.
“This site could potentially yield 225 residential lots and the scale will appeal to wide range of developers seeking to bolster their development pipelines.”
Julian Heatherich, Savills Director
Area poised for vast transformation
The property is contained within the area outlined in the Sunbury South Precinct Structure Plan (PSP), a document formulated by the Victorian Planning Authority (VPA) and Hume City Council which maps out the area’s future growth plan.
As part of the Sunbury South PSP and the adjoining Lancefield Road PSP, the area is set to be delivered 19,000 new dwellings in the next two decades, generating 6,000 jobs.
The 50 Buckland Way land parcel is expected to adjoin a new retail town centre and primary school, and sits within 600m of the proposed site for a new train station.
Among the notable new estates within the PSP are Villawood’s Redstone Estate, Everley Sunbury and Harpers Rise, which will partially adjoin the property.
“The Sunbury South PSP is starting to gain real traction among homeowners with the impending delivery of new amenity and the launch of numerous major projects to strengthen this demand,” Mr Heatherich added.
Pandemic fast-tracking buyer pathways
As government incentives continue to drive strong demand for property, an increasingly large portion of land buyers in Sunbury South are comprised of first homebuyers and young families.
Nick Garoni, Savills Executive, explained that many young individuals have been fast-tracked on their path to home ownership due to the impacts of the pandemic.
“With a slowdown of spending and socialising during the pandemic, young families and professionals who worked consistently over the past two years have saved a larger portion of their salary and accelerated the timeline of buying their first home.”
Nick Garoni, Savills Executive
According to analysis by Savills, undeveloped lots zoned for subdivision have been clear outperformers in the market of the past year.
This land parcel type, otherwise known as englobo land, received unparalleled levels of interest and averaged an outstanding 164 enquiries per property in 2021.
“With the opening of international borders in 2022, we anticipate competition for major development sites to continue to increase, with international buyers expected to re-establish their interest in the Melbourne commercial property market,” said Benson Zhou, Director of Savills Asia Markets.
