Cedar Woods buys $23.5m Melbourne site

Perth-based Cedar Woods Properties has purchased a 6.5-hectare infill site in Melbourne's south-east for $23.5 million.

The site, purchased from listed pharmaceutical wholesaler Sigma Pharmaceuticals, has recently been rezoned from industrial to residential use.

The company will redevelop the land into approximately 250 dwellings, including townhouses and apartments.

The acquisition will settle in July next year with construction expected to commence in 2015 and first settlements in 2016.

“Clayton South is an excellent addition to our portfolio and has all of the attributes of a first-class urban renewal development opportunity,” Cedar Woods’ Victorian state manager Nathan Blackburne said.

“The site is close to transport, retail hospitals and Monash University, and is within the middle ring south-eastern suburbs, which are well-established and highly sought after.”

Cedar Woods has several Victorian projects in close proximity to train stations and transport infrastructre, including Williams Landing, a recently zoned 6.5ha residential development near St Albans train station, and Banbury Village, which is adjacent to Footscray train station.

Sigma Pharmaceuticals is a distributor for pharmacists, owning retail brands Amcal Max, Amcal, and Guardian.

Shares in Cedar Woods are trading at $6.68, down 2.5 cents as of 11.30am WST.