The property sold for $1,950,000 above the initial expectations, reflecting the strength in the current market for well-located land with income.
The site is currently improved by The Box Hill Motel which comprises 23 rooms and has a lease in place until May 2020, providing a rental income of $175,534 per annum.
Zone General Residential 3, the site lends itself to a range of development outcomes including apartments and townhouses, with the buyer planning on a townhouse project down the track.
Savills agents Nick Peden, Jesse Radisich and Benson Zhou, in conjunction with Nelson Alexander, negotiated the deal after a hotly contested Expressions of Interest campaign that garnered a staggering 48 site inspections, interest from over 160 groups, resulting in 26 offers to purchase.
The sale achieved a sharp yield of only 2.95%, as well as a land rate of $1,472 per square metre.
“To receive 26 offers to purchase the property, it is evident that buyers are out in force for well-located landholdings with holding income and exceptional development potential,” said Mr Peden.
“Through an exhaustive Expressions of Interest sale campaign, Savills was able generate extreme competition from the full range of buyers based locally and internationally with representation from China, Singapore, Hong Kong, Malaysia and USA.”
Learn more about the Savills CBD & Metropolitan Sales team.