Como-based property developer Port Bouvard Ltd has purchased 275 hectares at Point Grey, near Mandurah, for $92 million, which it plans to develop into more than 2000 housing lots, the company announced today.
Como-based property developer Port Bouvard Ltd has purchased 275 hectares at Point Grey, near Mandurah, for $92 million, which it plans to develop into more than 2000 housing lots, the company announced today.
This site is located across the Peel-Harvey inlet from the company's Port Bouvard Residential Resort Estate, with expectations for the lots to be on the market within three years.
It represents the fifth new project announced by Port Bouvard since July, with the most recent being an announcement of plans to develop around 600 residential lots on 57 hectares in Furnissdale.
The full text of a company announcement is pasted below
Property developer Port Bouvard Ltd has successfully tendered $92 million to purchase 275 hectares of strategically located land at Point Grey, near Mandurah, for a residential development that is expected to yield more than 2000 coastal housing lots.
This site is located across the Peel-Harvey inlet from the company's Port Bouvard Residential Resort Estate. It is currently used for farming purposes.
Managing director Ross Neumann said the site was similar in size and scale to the company's Port Bouvard Residential Estate, however the water environment of the Peel-Harvey Estuary made the site unique and un-paralleled in terms of the lifestyle offered to residents.
"Point Grey is similar in nature to Port Bouvard, in terms of the number of lots, however it possesses a uniqueness due to its position in the Peel-Harvey Estuary," he said.
"The company will be working closely with the Shire of Murray and State Government agencies over the next two years to develop a suitable plan to add to our vision for the land holding."
Point Grey is within 9km from the Perth-Bunbury Highway (Peel Deviation), with commencement of construction imminent and completion expected within the next three years.
"Once completed the Perth-Bunbury Highway will ensure Point Grey residents can travel to the Perth CBD (off-peak) in under an hour," Mr Neumann said.
"Residents will also be 15-20 minutes from the Mandurah Station of the Perth-Mandurah railway, which is expected to be completed in early 2007 and will greatly reduce the travelling time to Perth."
Mr Neumann said the company was on the verge of completing its Port Bouvard Residential Resort Estate and would be using the knowledge gained in the eight years working on the development to create a product mix suited to the unique setting and target market.
"Point Grey, in our opinion, is the best residential land in the Shire of Murray. On completion, the project will be a "show case" asset, not only to the Shire, but the Peel Region," he said. "We at Port Bouvard Ltd feel very privileged to be given this challenge and wonderful opportunity."
Mr Neumann said the first housing lots at the Point Grey development were expected to be on the market within three years. On completion, the project was expected to be worth more than $1 billion, based on today's land prices.
Mr Neumann said winning the tender was a coup for the company, with the executive team working diligently with the board to allow the company to put forward its best offer to the sellers.
"We are honoured that the sellers have awarded the tender to us and entrusted us to develop a project of similar quality and size to Port Bouvard," he said.
Point Grey represents the fifth new project announced by the land developer since the board confirmed in July that it had decided to continue operating Port Bouvard Ltd as a development company.
In addition to the Point Grey land acquisition, the company recently bought strategic landholdings at Dawesville and Melros, south of Mandurah and close to Port Bouvard, and entered into joint ventures to develop broad acre residential subdivisions with landowners at Esperance, on the south coast, and Furnissdale, near Mandurah, also in the Murray Shire.
"We have a long-term track record in developing sites that are both designed and finished to the highest standards, while providing strong financial returns to the company's shareholders and excellent capital appreciation for our purchasers and residents," Mr Neumann said.
"At the Port Bouvard Residential Resort Estate the value of the homesites has increased by over 500% during the first eight years of development (May 1998 to May 2006). We put this down to diligent research and careful planning, traits that we will replicate in the development of Point Grey."
The Company is evaluating a range of scenarios to fund this acquisition, including a minor equity raising within Port Bouvard and/or an unlisted "fund" structure. The financing of the deal will be evaluated and confirmed in a way that maximises returns to Port Bouvard shareholders and, in addition with other recent acquisitions made by the company, further strengthens the market capitalisation of Port Bouvard Limited.