Sold for any price

Port Douglas & Mossman Gazette - - BUSINESS -

THE third and final stage of the orig­i­nal Bale de­vel­op­ment site was knocked down at auc­tion on Satur­day for a jaw drop­ping fig­ure of just $750,000 to lo­cal de­vel­oper com­pany Per­cep­tion Prop­er­ties.

The 5.5 acre slice of prime Port Dou­glas real es­tate, now known as Ni­ra­maya, has ap­proval for 23 strata blocks sim­i­lar in size to the house blocks in stages 1 and 2 that were sell­ing for around $500,000 each only five or six years ago.

All the ma­jor in­fra­struc­ture for the sub­di­vi­sion had al­ready been put in in­clud­ing water, sewer, power, gas, tele­phone and satel­lite TV and the site has all the in­ter­nal roads and even a cen­tral lake com­pleted.

“The work al­ready done in the ground is prob­a­bly worth about $2mil­lion,” sell­ing agent Tony Mcgrath said.

“The re­al­ity is in this mar­ket de­vel­op­ment sites are fruit out of sea­son and de­vel­op­ers are as rare as hen’s teeth.”

While the sale of the site did at­tract a num­ber of po­ten­tial buy­ers none were pre­pared to pur­chase the prop­erty for fear they may have been forced to de­velop the site to match the first two stages of the Bale re­sort and be­come part of the orig­i­nal body cor­po­rate.

“There are things that frighten cer­tain pur­chasers,” Mr Mcgrath said, “There were prob­a­bly six or seven ex­pe­ri­enced de­vel­op­ers that looked at the prop­erty, the ap­provals and the con­tracts prior to auc­tion. They de­clined to take it fur­ther.”

How­ever, Mr Mcgrath said that in fact the new owner did have sub­stan­tial rights to do many things that the body cor­po­rate of the first two stages had lit­tle con­trol over.

“How that will end, I do not know,” Mr Mcgrath said, “but the new owner will have to make it work. If this was be­ing sold to­day as a five acre block with ex­ist­ing zon­ing and its own ac­cess I would imag­ine it would sell for be­tween $2mil­lion and $2.5mil­lion, how­ever, it doesn’t have its own ac­cess and the ser­vices in place would cost too much to move.”

It is un­der­stood that the own­ers of the site, Bale Re­sorts Pty Ltd, had no plans to de­velop the third stage and were car­ry­ing sub­stan­tial hold­ing costs in­clud­ing around $80,000 an­nu­ally in body cor­po­rate fees.

Go­ing, go­ing, gone: Bale Re­sort sub­di­vi­sion sold at the week­end

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