Perth Property Market updates

Rosehill Golf Estate rezoned from Rural to Urban. Over 4700 petitions and an action group couldnt stop it. The guy made a quick $70million

Paid peanuts for the golf course, now 700+ lots. Easy 100k profit per lot (my wife works for Stockland and this is roughly their profit on one estate)

http://www.planning.wa.gov.au/publications/7108.asp
Easy tiger....

That land was private. Council didn't want to buy it for POS so it was put up for sale by the Galatti family.

If Handle Property Group didn't buy it, someone else would have.

It was identified in "Perth & Peel @ 3.5m" for urban infill - the government want it infill as a matter of State Policy.

Every single government and NGO agency consulted agreed with the proposal to become Urban - except the Airport - which has a mandate to oppose ANYTHING within an ANEF contour.

I'm directly involved with this and our outcome is far superior to those 'other' subdivision business models out there.

700+ lots is a maximum scenario. Minister has suggested max R20.
 
Apologies as i didnt really read much into it and i wasnt aware Handle Group was involved. I better clarify

I am impressed that somone had the knowledge and capital to maximise the potential of this site and quite jealous of the profit margins (i can only guess it would be quite high). My point was that all those petitions couldnt stop the rezoning and i couldnt see why any of them should care. If it was council land or their own land then thats a different story

Easy tiger....

That land was private. Council didn't want to buy it for POS so it was put up for sale by the Galatti family.

If Handle Property Group didn't buy it, someone else would have.

It was identified in "Perth & Peel @ 3.5m" for urban infill - the government want it infill as a matter of State Policy.

Every single government and NGO agency consulted agreed with the proposal to become Urban - except the Airport - which has a mandate to oppose ANYTHING within an ANEF contour.

I'm directly involved with this and our outcome is far superior to those 'other' subdivision business models out there.

700+ lots is a maximum scenario. Minister has suggested max R20.
 
Just finished reading about this one, in the local paper:

"The State Government has given the green light for a major housing estate to be built under Perth Airport?s flight paths, despite fears it could lead to increased noise complaints and pressure for a curfew.

The rezoning of the Rosehill Golf Course in South Guildford will enable construction of between 600 and 800 new homes and deliver close to 2000 new residents on to the airport's doorstep.

Perth Airport chief executive Brad Geatches described the approval yesterday as ?disappointing?, claiming homes within the estate would be negatively affected by up to 200 flights a day.

He said experience in other States showed that increasing housing densities around airports led to increased pressure for noise curfews which would drive up ticket prices, reduce choice for travellers and impact significantly on the WA economy.

?It is simply not in the public interest that this development has been approved when it is so close to Perth Airport?s main runway and the new runway, which will be constructed in the near future,? Mr Geatches said.

The approval comes with strict conditions, including a requirement that all land titles be stamped with a warning about the potential impact of aircraft noise and the possibility of it increasing in the future.

Homes would have to be fitted with noise insulation and signage would also have to be erected in the area, warning prospective buyers that they were in an airport noise zone.

Planning Minister John Day approved the project and said he was confident the airport?s concerns had been addressed via the conditions he had imposed.

?It has been a balancing act as most planning decisions are, but I think a responsible decision has been made,? he said.

The company behind the development, Noah?s Rosehill Waters Pty Ltd, said it did not believe prospective buyers would be put off by the warnings.

?South Guildford is affected by aircraft noise, this we have certainly been transparent about, however, the benefits of living in Rosehill Waters together with the included noise attenuation will deliver a well-sought after residential estate,? general manager Sandra Klarich said."
 
Apologies as i didnt really read much into it and i wasnt aware Handle Group was involved. I better clarify

I am impressed that somone had the knowledge and capital to maximise the potential of this site and quite jealous of the profit margins (i can only guess it would be quite high). My point was that all those petitions couldnt stop the rezoning and i couldnt see why any of them should care. If it was council land or their own land then thats a different story
most petitions had no base in law - generally arguments surrounding traffic and noise and values etc.

profit margins aren't that great - it's the bigger picture of staged sales over a period of time that keeps a business in business.

traffic issues solved with intersection upgrades as required with higher traffic volumes.
noise - solved with DC5.1. Also the new airbus planes getting quieter and the state has recently introduced power-down entries for landing. Memo on title. Homes soundproofed for a good night's sleep.
values - not a planning matter.

I would quit if we were taking a golf course off public hands and making it private. But it's not - it's private land being used as a golf course that isn't making money and was closed before we bought it.

The beauty of something being for sale in the private realm is that capitalism gets to operate effectively. The site was up for sale for a while and a majority of people knew it was coming up for sale.

The affected social groups or neighbours could have pooled money to purchase - that would have been an awesome business model, especially with the upcoming community title changes. But they didn't.

The council could have purchased to maintain it as POS. But they didn't.

The state could have resumed the land as riverfront POS. But they didn't.

So we bought it. Rural zoning allows for rural industrial zoning - imagine what a number of sheds on this site would rent for so close to the airport! I see Dazz licking his lips about here....

But the residents said that's not appropriate in a residential neighbourhood. I would kindly suggest that maybe housing is appropriate, then? if so - great!

The residents in the area only wanted a golf course. I remember when Waterhall was being developed - the golf course had signs up along the edge of course for those lots backing onto the course clearly saying "this is a private course and these views are not guaranteed".

The community of golfers being lost is something that I, personally, have a problem with - BUT - the course was not going to continue whether we bought it or not.

The heritage house, function centre and stables are all staying as part of the new town centre. We've even offered to cede them back to Swan but they weren't interested.

Also providing 20% POS, not 10%, regardless of it's position so close to the river.

AND AND AND we're activating the river frontage for public access, whereas previously the course owned the land right up to the edge.
 
values - not a planning matter.
Knowing real estate markets, I seriously doubt that this development is going to devalue anyone's property. If past experience is anything to go by, it is more likely that property values in the area will increase as a result of this development. I have seen that before... the ripple out effect from a new development, where values are higher in the development zone and ripple out from there, incrementally increasing property prices in the surrounding area.

Anyway, I think it's a great development. I have been following it for a while and hoping it would make it through the planning process.
 
we as investors know that - everyone thinks their value will go down because some folks built a house for the golf course view they were told might not stay.
 
Hang on, how has anyone made a supposed quick $70m profit? Tano are you saying that handle, buy getting the rezoning and ODP approved has seen value of its lot increased by $70m? Because I really doubt that's the case. If you're claiming they'll make $70m of the wine tire development then firstly I doubt that but secondly that will take years to do and tens of millions of dollars of capital, hardly a quick win


Some of the local nimby arguments were amazing here, truly outstanding examples of true blue dumbf###ery
 
I would quit if we were taking a golf course off public hands and making it private. But it's not

So we bought it.

whether we bought it or not.

We've even offered to cede them back to Swan

AND AND AND we're activating the river frontage
Aaron - is this a quote from someone or do you have interests in the development?

Just curious

Blacky
 
This is typically BS marketing stuff for suckers. No point mincing words.

If you are interested in a particular suburb just research/focus on details such as - number of properties on the market, how long on the market, recent sales and my guess is your research will show that most areas have fallen back in price.

Will it rise in the near future, not unless the market tightens, more demand and not enough stock, unfortunately stock has increased by 30% from this time last year.

We may end up seeing some great buying opportunities in the near if prices continue to fall???

Mtr
 
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I'm seeing green shoots. Agree with what the article says at least to the extent of the 'end' of the mining boom being overstated. Good time to buy tho with sentiment so down - as MTR says just research your market and act accordingly.

We have seen that even in a severely under supplied market prices didn't really react at all, so if supply keeps increasing and it becomes a buyers market you would assume the pendulum could swing to an equal extent to the other side with no impact, which would be about 22,000 listings
 
12,000 is nothing was the gist. half of them are probably from NZ and over east anyway. A drop in the ocean compared to the closure of auto manufacturing
 
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