Land developer Peet is planning to establish a joint venture with Perron Group after being named by the state government as its preferred developer for the Brabham housing project near the Swan Valley.
Land developer Peet is planning to establish a joint venture with Perron Group after being named by the state government as its preferred developer for the Brabham housing project near the Swan Valley.
The Brabham project will take up a 220-hectare site at Lot 800 Youke-Dean Road in Brabham, about 22 kilometres from the CBD, with the potential to yield more than 3,000 dwellings plus schools, neighbourhood shops and recreational areas.
Peet plans to establish a new wholesale fund with Perron Group to jointly develop the project, with Peet to be development manager.
Peet is well established as one of Western Australia's largest land developers and has diversified in recent years into more buoyant east coast markets. Perron, which is best known as a shopping centre owner, has a growing presence in land development.
Peet's national landbank comprises almost 48,500 lots, about 19,000 of which are located in WA (across 1,719ha).
It is ranked at number three on the Property - Land Developers list in the BNiQ Search Engine.
Perron Group has an interest in seven land developments in WA, most notably the Vasse project near Busselton; its land interests total 3,619 lots across 589ha.
Peet managing director Brendan Gore said the company would now finalise negotiations with the state government for a contract expected by the end of the year, with work to begin in 2019.
“The Brabham project represents an expansion of Peet’s ongoing strong relationship with the Western Australian Housing Authority and an expansion of its funds management/joint venture business,” he said.
“The Brabham joint venture will increase the proportion of the company’s land bank held in the funds management business and increase the earnings from it.”
Housing Minister Peter Tinley said the project was located close to the proposed Whiteman Park train station, which was expected to be built by 2022.
“Peet is a well-established, well-recognised developer with successful developments in WA, including award-winning developments at Wellard and Golden Bay,” he said.
“In addition, Peet has innovative developments in other states, like Lightsview in South Australia.
“While commercial negotiations are not yet concluded, this is a significant development and will see housing lots come to market in the next two years.”
Peet shares were 2.9 per cent higher to $1.22 each at 10:30am.
