Unit owners team up to lure developer dollars
Unit owners in some of the Gold Coast’s most sought-after locations are making huge profits by teaming up with fellow owners within their building to market the entire block to developers.
The latest collective sale is of two original beachside blocks at Broadbeach, with each owner expected to net an additional 30 per cent or more from the amalgamated sale than if they had sold their unit individually.
Antonio Mercuri and Luke Reaby, of GV Property Group, are marketing the sale of the two blocks at 4-6 Rosewood Ave comprising a total of 13 two-bedroom units across 1,422sq m.
It is a prime high-rise development site in an unlimited building zone with north-facing frontage and coastline views.
Mr Mercuri said the almagamation of the 12 individual owners within the buildings was formed after several were approached by developers wanting to buy their property off market.
“These owners have been approached over the last 12 months from numerous groups, some of them bonafide operators within the development space and also unknown buyers, and it got them talking and thinking,” Mr Mercuri said.
“From there, some of the owners in one of the blocks reached out to GV Property Group to genuinely explore a collective sale of the two blocks, and then it was a process of connecting all the dots to present the site as 100 per cent available.”
Mr Reaby said collective site sales were an increasingly popular option for owners.
“The upside for them is the property being sold as a development site, so they will achieve a premium price well above what they would have if the units were sold individually as residential listings,” Mr Reaby said.
“This collective sales approach has become our niche and for the last six years we have worked with anywhere from one to 24 owners.
“However, over the last six months it is certainly becoming a comforting decision for owners because of the results, where they are achieving a significantly increased sale price from 30 per cent or higher, and in some cases well north of that,” he said.
Mr Reaby said at least three new high-rise projects had recently been approved, or submitted for development approval, within 500m of the site.
Most of the units within the blocks were owned by investors and all were tenanted, providing good holding income to a potential buyer.
The buildings are marketed via an expressions of interest campaign closing April 1.