Cedar Woods has put its foot on an 11,600sq m site at Fairfield, in North Melbourne, paying $50 million as part of its “assertive acquisition strategy” targeting the capital’s apartment undersupply.
About 4km from the Melbourne CBD by road, the elevated site between the Yarra River and Merri Creek parklands has views of the city skyline and more than 200m of direct frontage to Fairfield Park.
The site was home to the Porta factory, established by bellows manufacturers J Porta and Sons in 1921 after it relocated from Little Lonsdale Street, where the company had operated since 1868.
The timber mill operation component of the business continued for decades, producing such items including meat skewers, wooden tool handles and building timber, before the site was listed in 2024 after 103 years of operation.
Cedar Woods plans to develop the zoned residential site into a mid-rise, multi-stage project of about 300 apartments.
The property holds local historical and architectural significance. A rendered facade facing Heidelberg Road and a brick chimney painted with the Porta brand must be retained—the heritage chimney is expected to be relocated onsite.
The site was acquired from a private vendor on deferred payment terms, and payments are scheduled for 2027 and 2028.
Cedar Woods managing director Nathan Blackburne said the group saw Melbourne as “an opportunity for counter-cyclic acquisitions of quality sites and is preparing for increased homebuyer demand as purchasers respond to lower interest rates and supportive government policies”.
Blackburne said the acquisition would “augment the company’s current Victorian portfolio” and provide quality apartments in a market where significant undersupply is forecast.
“Cedar Woods will craft a premium design for the site to make the most of its unique park-front location and uninterrupted views of the CBD and local area,” he said.
According to Cedar Woods, Victoria’s “superior builder availability and competitive construction costs” make the project viable, with risks to be managed through presales and a thorough contractor selection process.
Sales for the Fairfield project are expected to launch in the 2027 financial year. First-stage settlements are anticipated in 2029 or earlier, subject to approvals and market conditions.
The purchase would be funded by Cedar Woods’ existing $330-million corporate finance facility, which was projected to have more than $120 million in undrawn capacity by June 30.
“Cedar Woods is continuing its strategy of diversification—by product type, price point and location—and strengthening our portfolio with quality sites that we can deploy into an undersupplied market,” Blackburne said.
The acquisition follows the company’s recent announcement of acquiring a South Australian site for a premium masterplanned community project.
Earlier this month, Cedar Woods also secured a contract to develop more than 90 social housing apartments in Melbourne’s south-east, with a five-storey, 97-apartment scheme planned for Noble Park.
The Fairfield site is 2km from the nearby YarraBend masterplan where Glenvill has been approved for a $55-million adaptive reuse of a 1920s boiler house into 114 apartments.
The broader YarraBend development includes approximately 2500 homes comprising free-standing houses, townhouses and apartments, plus 20,000sq m of retail space and a primary school.
