A leading property developer has signed a $56 million deal for a Sunshine Coast land parcel that could accommodate up to 470 homes.
Peet Limited has announced the acquisition of 33ha of land adjoining its Village Green development and Peter Crosby Way at Palmview.
The land is being acquired through a wholesale fund 50 per cent owned by Peet Limited and 29 per cent owned by Brown-Neaves Investments, which have teamed-up previously.
The parcel of land is being off-loaded by LCA Palmview, one of the Living Choice companies.
Living Choice has developed retirement complexes at Twin Waters and Kawana, and bought 146ha of land off Peter Crosby Way at Palmview in 2018 for its Flame Tree Rise estate.
The sale of a parcel to the fund driven by Peet and Brown-Neaves is conditional upon the land being subdivided from a parent lot and being titled, and the signing of other planning-related agreements.
A Peet company statement said the land had the potential to be developed into 470 homes.
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The deal is due to settle in the third quarter of next year and it is anticipated development of the site will occur over five years starting in 2026.
The development will build on Peet’s presence in the area and a seemingly insatiable appetite among buyers for Sunshine Coast property.
Peet Limited Managing director and chief executive officer Brendan Gore said the acquisition was in line with the company’s strategy.
“Our strategy is to create value for shareholders by investing in high quality strategic locations across Australia – with a weighting to undersupplied east coast markets, expanding our product offering and geographic presence to appeal to a wider variety of customers and to maintain strong capital management,” Mr Gore said.
“Acquiring a project in an area familiar to Peet, that adjoins an existing project that has performed strongly, and co-investing with highly reputable groups, represents sound business,” he said.