Herald Sun - Property
Prestige plots on the block
Developer tests market with choice lots at the Bloom, writes
AClyde North housing estate will soon test the market in a way most land developers never do: putting lots on the auction block.
Eight blocks in the final release of the Bloom (pictured) will be sent under the hammer next month. This marks a diversion from the typical land-sales methods of a ballot or a first-come-first-served approach.
Only 40 of the estate’s 450 lots are left for sale, with 300 homes finished.
Developer Five Squared has saved the best for last, with the eight lots on the auction block all facing a park and spanning 512-570sq m.
The firm’s co-founder Ashley Lewis said an auction was simply the fairest way to sell the allotments, with 30-50 clients “banging down the door wanting to know when these will be released”. In addition to the auctions being more transparent, it is hoped they will be more COVID-safe.
“In the last release, in the past few weeks, we had other buyers not in the allocation for blocks who camped out overnight in the hopes of getting a foot in the door,” Mr Lewis said.
KR Peters director Ian Harris said the online auction would run for two weeks from April 3.
This would give buyers a chance to confirm with their broker and family before committing to making or raising an unconditional bid — particularly given it was possible blocks might exceed $500,000.
“Buyers will know when the blocks are on the market. But if the reserves aren’t met, we will go back to the traditional sale — though I don’t believe that (will) happen,” Mr Harris said.
The park opposite the eight blocks will be completed in August or September, and construction will soon start on childcare and aged-care centres. The lots will be titled in about September or October and building will take about eight months for most homes.
The Bloom’s final release will also have smaller blocks, starting from 238sq m, available from $247,500 via a traditional ballot system.
The project is expected to be completed in its entirety by mid next year.