Addval Developments has acquired a 12-storey residential development site in Spring Hill in Brisbane for $5.1 million amid heightened demand for inner city housing.
The 1,326 sqm development site had development approval for 15 apartments in a 12-storey apartment complex with uninterrupted views of the CBD.
The corner site consisted of three lots at 8 and 10 Downing Street, and 37 Leichhardt Street.
Colliers agents Nick Wedge, James Matley and Hunter Higgins sold the site.
Colliers Director Investment Services Nick Wedge said the property represented one of the best ‘infill’ residential development sites, in the tightly held and highly sought-after suburb of Spring Hill.
“With development approval in place for 15 luxury residential apartments over 12 levels with the refurbishment of the existing heritage dwelling on site, this provided a great investment opportunity,” Wedge said.
“We had a lot of interest in the site due to the exceptional demand for established and new housing in Brisbane. Based on historical demand and likely anticipated supply, Inner Brisbane will experience a shortfall of 16,000 new apartments over the next four years.”
Colliers Residential Site Sales Executive James Matley said located less than 1km from Brisbane’s CBD this site provided a great opportunity for the purchaser.
“While it already has development approval for residential units, it is zoned as mixed use 1, allowing for a range of development outcomes,” Matley said.
“The zoning provides opportunities including residential, mixed use, retirement/aged care, build to rent, student accommodation, office, a hotel or serviced accommodation, commercial, medical, retail as well as childcare, all subject to council approval.”
Colliers National Director Investment Services Hunter Higgins said Spring Hill was one of Brisbane’s premier inner-city suburbs with unmatched locality through its connectivity to amenity including Brisbane CBD, Roma Street Parklands and Train Station and two major private hospitals and schools.
“Opportunities to develop boutique apartment or townhouse projects on the doorstep of the CBD are exceptionally rare,” Higgins said.
“This site presented an unrepeatable development opportunity, especially with market conditions continuing to improve and opportunities like this virtually non-existent. Both the established and new housing markets have seen exceptional demand and increased pricing across Brisbane. This coupled with the site-specific attributes will result in premiums being paid for the end user product.”