Victorian Family Farm Sells for $43m

A major infill site in Melbourne’s south east sold at a record rate of $3.65 million per hectare, up 40 per cent on greenfield site prices in a year.

The 12.28-hectare family farm in Officer was sold for $43 million on an unconditional basis to Melbourne-based Yourland Developments.

The site was part of the Officer Precinct Structure Plan, approved March 2020, which allows for 15 dwellings per net developable hectare at this site.

The purchase comes off the back of Yourland partnering with Nippon Telegraph and Telephone Corp to purchase a 76-hectare site for $100 million in Donnybrook, north of Melbourne.

The sale price achieved in Officer was $11,000,000 above the vendor’s reserve and represented a 26 per cent uplift between the first and second rounds.

Greenfield development record site sales: Officer

_{^{^Source: CBRE}}

This compares to the April sale of three hectares for $11.2 million or $3.16 million per hectare at 65 Mary Street—1 Rix Road site was almost four-times the size.

CBRE Victorian Development Sites agents David Minty, Nathan Mufale and JJ Heng sold the property.

Minty said it was the first time the corner general residential land holding had been offered for sale in over 33 years.

“The on-market campaign generated 18 offers from highly competitive private and institutional developers, located both domestically and offshore,” Minty said.

The median price for a home in the Cardinia region was $337,000 and land sales across Melbourne’s growth corridors was up 10 per cent compared to 2020 according to Red23.

The Cardinia shire also includes Pakenham East which was fast-tracked as a new suburb last year as developers rush to meet demand for new home buyers.