Groups no longer feeling the Serenity
TEN years after a couple of major Malaysian groups teamed up to buy a major site abutting Hope Island, they could be poised to make an unexpected exit.
Sime Darby and Brunsfield International bought what was described as the unfinished part of the Oyster Cove estate.
Six years ago the partners embarked on earthworks on their 75ha holding to create a pearl of a lakefront estate they tagged Serenity Cove.
The first lots, some fronting the estate’s Lake Serenity, went on the market more than a year ago, starting at $475,000, and apparently were lapped up by buyers.
It’s somewhat surprising then that the word around the property traps is that the partners don’t want to hang around while land that can take another 400-plus houses, apartments and villas dribbles out the door in a potentially slowing market.
They’ve apparently decided to sell what’s left to one buyer and take their money home.
In fact, it seems there might already be a buyer in the wings – from offshore.
At least two Australian groups have scrutinised the property, which has a $5 million lock allowing access to the Broadwater via Coombabah Creek.
One observer says it’s little surprise that Sime and Brunsfield might have decided to make a quick exit.
He says that Serenity Cove, in terms of the business activities of the two companies, is “like an annoying pimple on an elephant’s backside”.
The venture was the first one in which the two groups had teamed up offshore and the intention was to complete Oyster Cove, started by company Vanwell, associated with Singapore’s The Hour Glass watch group operator Jannie Tay, on land bought for $8.7 million in 1988.
The undeveloped portion was sold into a new entity involving Sime Darby, Brunsfield and Tay interests for $27 million in 2006.
A Brunsfield director spoke of ambitious plans to develop the land into an even more exclusive eco-resort where purchase of the homes would be by invitation only.
In 2007 Sime and Brunsfield took full control of the land but the GFC got in the way of development and it was only in 2013 that the $25 million task of preparing the land for new estate Serenity Cove started.
It’s believed that since marketing started two years ago, the partners might have sold enough lots to recoup their $25 million and part of the money they outlaid for the land.
Meanwhile, Sime Darby has had one other Oyster Cove experience, buying four lots fronting Saltwater Creek in 2008 and building three elite homes. Word at the time was that the Malaysian PM was to holiday in the biggest of them. It spans more than 1000sq m and has five bedrooms, seven bathrooms, a piano lounge, commercialgrade butler’s kitchen, games room, four fireplaces, and a 12-metre lap pool.
The house sold in 2013 for $2.42 million and the others sold for $1.12 million and $1.35 million.