Cedar Woods buys $49.5m Eglinton land

Cedar Woods Properties has bought 1,200 lots close to the Yanchep rail line in Eglinton, currently under development, in a $49.5 million deal.

The ASX-listed business told markets today it had acquired the 86-hectare site about 45 kilometres north-west of the Perth CBD from private vendor, Eglinton Estates Pty Ltd.

Australian Securities and Investments Commission data shows that company was owned by Ross Ledger, trustee of the Stan Perron Charitable Trust, and Peter Molony.

Cedar said it had a 10,700 lot development/unit pipeline, with the Eglinton land to generate revenue for 11 years.

District and local structure plans are in place, with a subdivision approval for the first 275 lots.

The company plans a school, residential neighbourhood, commercial hub and open space, with the site about 2km from the beach.

Cedar Woods managing director Nathan Blackburne said the first stages of the site would be launched to customers in the 2023 financial year.

“The site provides the company exposure to Perth’s popular north-west growth corridor, which has traditionally accounted for approximately 25 per cent of total metropolitan Perth land sales,” he said.

“Cedar Woods’ development at Eglinton will benefit from continued demand for new housing, the government’s delivery of Metronet and the proposed Mitchell freeway extension to Romeo Road.”

Cedar said it would extend its corporate finance facility to pay for the deal.

The sale was negotiated by CBRE director of capital markets Ryan McGinnity and David Molony of McGees Property.

CBRE’s Ryan McGinnity said a large number of offers were received, including multiple unconditional offers.

That highlighted the strength of the residential development market in WA, he said, particularly within the coastal corridors of Perth.