Armadale/Camberwell sites sell on record land/unit rates 

Demand for quality apartments in Melbourne’s leafy inner east has been highlighted in the last week with developers purchasing sites at Camberwell and Armadale for a combined $9.3 million at record land and unit prices.

Savills Director Nick Peden who sold both properties with Clinton Baxter, Jesse Radisich and Benson Zhou, said the 941-951 High Street, Armadale and 584 Camberwell Road, Camberwell sites had drawn an enormous amount of enquiry from local, interstate and off-shore developers.

High Street sold for $7 million to a local developer at a record land rate of $8,652 a square metre, while the Camberwell Road property sold with a permit for luxury apartments to an off-shore buyer prior to the scheduled auction for $2.3 million at a record rate per unit of $383,000.

The 809 square metre High Street property looks set for a circa $50 million residential/retail development on the site which has been home to the iconic, Capocchi Antique store, while the 577 square metre Camberwell Road site has a permit for a luxury, oversized apartment, project.

Mr Peden said the demand for apartments in boutique developments remained very high particularly in the best locations.

“Demand for apartment development sites in Melbourne has been very strong over the last few years and it remains so and particularly for boutique developments in suburbs in the coveted inner east.

“Both of these sales set records and that reflects the enormous amount of enquiry we had for both properties,” Mr Peden said.

He said apartment demand was being driven by population growth, the recent trend to downsizing and remaining in the same suburb, lifestyle and by location.

March figures from the ABS put Melbourne’s population growth at 2.4 percent in 2016 – the fastest in the nation - (Brisbane grew 1.8 percent and Greater Sydney 1.7 percent) while four of the five fastest growing suburbs in Australia were in Victoria.

Mr Baxter said the location had been the key attribute in both sales.

“Both properties occupy premium locations with regard to high profile, luxury shopping precincts, public transport, and an array of essential services and entertainment options including cafes and restaurants, along with close proximity to some of Melbourne’s best schools.

“These are also proven locations for luxury apartment projects supported by high median house prices ($2.46 million in Armadale) and some of the highest apartment sales rates in Melbourne,” Mr Baxter said.

Learn more about Savills CBD and Metropolitan Sales.