Chip Eng Seng doubles money on Melbourne site

Singapore developer Chip Eng Seng has announced it has sold a vacant development site in inner-city Melbourne for $64.8 million, double the price it paid for the site two years ago.

The company, through its Australian subsidiary CES Victoria (a subsidiary of CEL Australia), has entered into a Contract of Sale for 170 Victoria Street on the corner of Victoria Street and Bouverie Street, Melbourne. Settlement is due on March 26, 2016.

The sale includes the planning permit obtained in 2014 and marketing material for a 72- storey, 1,035 apartments, multi-storey mixed use high rise development called 8 Bouverie Street.

At the moment, the 2,927sqm site is predominantly vacant land and includes a 2-storey heritage building shell.

The deal was negotiated by Colliers International's Trent Hobart and Bryson Cameron to an undisclosed buyer.

“It’s an unbelievable result for our vendor, we sold the property to CEL only two years ago and they have now doubled their investment,” Mr Hobart said.

“And for the international buyer, this will be one of the highest profile projects for 2015 in the southern hemisphere, right in the middle of the University precinct at a time when no other projects are in the market in the CBD.

“It’s the perfect opportunity to capitalise on the strong residential market in the world’s most livable city.”

Mr Hobart said it was a record result for Carlton.

170 Victoria Street was sold with planning permit for a 74-storey mixed use development called 8 Bouverie Street.