oc | Monday 20th January

Boroondara



Boroondara Weekly

Melbourne’s Influences

Question: Which suburb in Melbourne is having the greatest influence on land across all of Melbourne?

Is it , Brighton, Hawthorn or is it Albert Park?

These are very influential and more expensive than the suburb we think is Melbourne’s most influential land value suburb, but it is not any of these.

No, Melbourne’s Most Influential Land Suburb is

…….. drum roll please ……. Balwyn; and it has been since 2008 and possibly since the late 1990’s. What happens in Balwyn has been driving Melbourne land prices.

A-grade land in Balwyn at Easter 2015 is now firmly at $3000 per square metre. This is evidenced by multiple sales, including the auction we were at over the long weekend at 58 Metung Avenue, Balwyn (Pat Dennis).

Quick little auction report on 58 Metung:
The block is a marginally undersized block, in a ‘name’ street, in the Balwyn High school zone; but other than that, it is most unremarkable. West facing with an average frontage and a “no value” bulldozer home on it. Last weekend was a long weekend with only a few auctions. There were 80 people who felt compelled to rock up to participate in or watch this outcome. After a solid opening start at $1.8m from ourselves, we saw only four more bids from the three bidders. It was all over in a flash at $1,950,000 under the hammer. At 650 sqm in size, our maths says that it sold for exactly $3000 per square metre.

Supporting evidence of this is 5 Winmalee, Balwyn (Richard Winneke) which sold the week before at $3001 per sqm for a bulldozer 781 sqm home.

Both these addresses are almost North-Balwyn, not -Balwyn.

In the last 7 years, Balwyn has been both the saviour and the devil for many Melburnian homebuyers.

Question: Why is Balwyn all powerful in terms of land value influences?

Answer: Overseas Chinese buyers value homes higher than local buyers and this has put pressure on overall prices. Overseas Chinese buyers have the wealth in numbers to back their valuations.

Yes, but why Balwyn?

  1. Schools for Chinese and other Asian
  2. History – it’s close to earlier established Chinese communities in Box Hill and Doncaster
  3. Chinese people like new-build homes and Balwyn has fewer council restrictions to bulldoze than say Hawthorn

Balwyn (and ) saved Melbourne Property from the GFC in 2008

Balwyn and Kew were the leaders in GFC times, when the FIRB law changes opened the floodgates on the previously steady interest from Overseas Buyers. This massive increase in interest turned the struggling Melbourne GFC housing market into a hotbed of excitement. Read Our 2009 James Market News Archives.

Now in 2015, Balwyn is seen as a negative by local Australian buyers. The once welcome bidding from overseas, is still welcome by downsizing sellers; but it’s certainly no longer welcome by local buyers, as many have been forced out of the market.

Balwyn is affecting markets far wider than Balwyn itself.

Balwyn is now consistently more expensive than most of .

Yep that’s right, Balwyn is now more expensive than a lot of Hampton, than almost all of and its line ball with a fair part of Brighton and .

Remember when Balwyn North and were comparable in dollar terms. There is now a vast chasm.

Below is part of our new updated land value data which is now current (Easter 2015).

Easter Land Inner East

kew

5km

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SURREY HILLS, 6 Middlesex Rd
SURREY HILLS, 6 Middlesex Rd | James Tostevin (Marshall White)
Under Hammer: $2,152,500 - 6 Bidders (Photo: Randall Smith)
Bidderbuzz Auction
"The early start for this auction didn’t deter a solid crowd from gathering in the backyard of the property. Auctioneer James Tostevin expressed some surprise that the 1880s brick double-fronter did not have a heritage listing as he set about noting the key strengths of the home. A vendor bid of $1,800,000 opened up and then four bidders appeared, steadily taking it past $2 million. Bidding was never frenzied despite a total of six bidders having a go. This was to play out as a thoughtful and steady auction with a quiet crowd and multiple pauses between bids. A quiet moment occurred as the home was declared on the market around $2.1 million before Bidder 5 seized the opportunity and raised their voice, soon to be joined by Bidder 6. At $2,140,000, an earlier bidder who sat texting found $10,000 more and it looked like they might snaffle it with this bid. Another pause before Bidder 4 added $2,500 at the death knock using what James Tostevin called the ‘torture method’, and this bid (the 17th) was indeed the one that secured the auction win." (Randall Smith)

 

Biggest Sale: KEW, 28 Rowland St
Dave Oster (Marshall White); Under Hammer, $3,840,000 - 7 Bidders

"There was a buzz amongst this crowd and from the people turning up and the various agents and buyer advocates present, you knew that a big result was on the cards. Auctioneer Dave Oster had barely finished his introduction when a confident $2,500,000 bid was made. A counter bid was fired straight back and bang we had an auction. Another joined in not long after and the bidding was so smooth that Mr Oster only had to direct traffic. Even with four bidders fighting it out the bidders were courteous and compliant which was quite surprising and probably led to the price zooming along to $3,500,000 where the property was declared on the market. At this point, another three bidders with nerves of steel popped up at the death, all in an attempt to snatch the property away at the last minute. It worked, as the last bidder managed to spook the others away with a nice up bid and had the property knocked down to them at $3,840,000." (Joshua Bong)

 

Biggest Pass In: HAWTHORN, 6 Illawarra Rd
Hamish Tostevin (Marshall White); Passed In: $2,300,000 - 0 Bidders

"A small crowd of 40 gathered at this auction which was relatively quiet. Auctioneer Hamish Tostevin provided an upbeat opening followed by some passionate pleas for some bids. A vendor bid of $2,300,000 failed to move the crowd and despite a half-time break for all to collect their thoughts no bids were made. The property was eventually passed in on the initial vendor bid of $2,300,000." (Joshua Bong)
$1M+ boroondara Featured Auctions
UNDISCLOSED
JAMES HOME RATINGS
CAMBERWELL: 19 Marlborough Av
19 Marlborough Avenue
BOUGHT: $1,930,000
UNDISCLOSED
JAMES HOME RATINGS
CANTERBURY: 4 Marden St
4 Marden Street
BOUGHT: $1,806,000
UNDISCLOSED
JAMES HOME RATINGS
CANTERBURY: 31 The Ridge
31 The Ridge
BOUGHT RANGE*: $3,191,552 - $3,511,040
752
/1000
JAMES HOME RATINGS
HAWTHORN EAST: 16 Cambridge St
16 Cambridge Street
BOUGHT: $1,964,000
UNDISCLOSED
JAMES HOME RATINGS
KEW: 16 Ross St
16 Ross Street
BOUGHT: $1,870,000
UNDISCLOSED
JAMES HOME RATINGS
KEW: 28 Rowland St
28 Rowland Street
BOUGHT: $3,840,000
UNDISCLOSED
JAMES HOME RATINGS
MONT ALBERT: 54 Churchill St
54 Churchill Street
BOUGHT*: Undisclosed
No report
UNDISCLOSED
JAMES HOME RATINGS
SURREY HILLS: 6 Middlesex Rd
6 Middlesex Road
BOUGHT: $2,152,500
Stonnington Weekly
boroondara Scheduled Auctions
CAMBERWELL
13A Fairholm Grove, CAMBERWELL
Bought $1,535,000
13A FAIRHOLM GROVE
MONT ALBERT
1/398 Mont Albert Road, MONT ALBERT
Bought $1,750,000
1/398 MONT ALBERT ROAD
HAWTHORN EAST
16 Cambridge Street, HAWTHORN EAST
Bought $1,964,000
16 CAMBRIDGE STREET
BALWYN NORTH
71 Longview Road, BALWYN NORTH
Bought undisclosed
71 LONGVIEW ROAD
ADDRESSRESULTPRICEIMPROVED $/SQMBOUGHT
ASHBURTON
8 Vears RoadBoughtUndisclosed2015-03-11
93B Albion RoadBought$1,065,000$2,8322015-03-14
1/75 Victory BoulevardBought$875,000$3,3142015-03-14
BALWYN
58 Narrak RoadBought$2,800,000$4,6132015-03-14
46 Stroud StreetBoughtR: $3,385,270 - $3,724,150$5,289 - $5,8192015-02-20
1 Henley StreetBought$2,500,000$3,0232015-03-14
3/2 Knutsford StreetBought$1,785,000$3,7982015-03-14
1 Shrimpton CourtBought$1,000,000$1,7272015-03-14
5 Salford AvenueBought$2,250,000$3,8932015-03-14
2/11 Yerrin StreetBoughtUndisclosed2015-03-14
5 Para StreetBoughtBought (2019-05-03) - $3,750,000$6,0482019-05-03
298 Union RoadBought$2,039,000$1,8392015-03-14
6 Wynette AvenueBoughtUndisclosed2015-03-14
24 Grey StreetPassed InPI: $870,000
1/39 Nungerner StreetBought$1,408,800$4,9782015-03-14
BALWYN NORTH
21 Trentwood AvenueNot Reported
46 Hill RoadBought$1,725,000$2,4362015-03-10
4 Gardenia RoadBought$1,558,000$2,1582015-03-14
71 Longview RoadBoughtUndisclosed2015-03-14
18 Sweyn StreetBought$1,290,000$1,7922015-03-14
34 Nevada StreetBought$1,650,000$2,1402015-03-14
1/17 Marwal AvenueBoughtUndisclosed2015-03-14
CAMBERWELL
17 Royal CrescentNot Reported
30 Sunnyside AvenueBought$2,720,000$3,2542015-03-14
19 Marlborough AvenueBought$1,930,000$3,0022015-03-14
13A Fairholm GroveBought$1,535,000$5,7282015-03-14
871A Riversdale RoadBought$1,251,000$3,1832015-03-14
CANTERBURY
9 Boronia StreetPassed InPI: $1,975,000$3,1832015-03-14
171 Prospect Hill RoadBoughtR: $3,555,972 - $3,911,940$3,032 - $3,3352015-03-14
29 Wentworth AvenueNot Reported
5 Compton StreetBought$1,470,000$3,8382015-03-14
6 Dudley ParadeBought$1,760,000$2,1332015-03-14
4 Marden StreetBought$1,806,000$2,7832015-03-14
2/51 The Ridge Not Reported
31 The Ridge BoughtR: $3,191,552 - $3,511,040$4,040 - $4,4442015-03-14
92 Highfield RoadBoughtUndisclosed2015-03-14
115 Mont Albert RoadNot Reported
GLEN IRIS
29 Celia StreetBought$1,625,000$2,0832015-03-14
78 High StreetBoughtUndisclosed2015-03-11
HAWTHORN
6 View StreetBoughtR: $2,833,845 - $3,117,525$4,360 - $4,7962015-03-12
2 Xavier AvenueBoughtR: $5,610,150 - $6,171,750$4,481 - $4,9302015-03-14
72 Church StreetBoughtUndisclosed2015-03-14
4/30 Lisson GroveBoughtUndisclosed2015-03-14
1/48 Robinson RoadBought$1,261,000$4,5042015-03-14
6 Illawarra RoadPassed InPI: $2,300,000
HAWTHORN EAST
36 Broomfield RoadBought$1,738,000$3,8452015-03-14
16 Cambridge StreetBought$1,964,000$4,0332015-03-14
138 Victoria RoadNot Reported
46 Rathmines RoadPassed InPI: $1,055,000
KEW
67A Wellington StreetBoughtUndisclosed2015-03-14
16 Ross StreetBought$1,870,000$4,0922015-03-14
17 Second AvenueBoughtR: $2,330,370 - $2,563,650$3,585 - $3,9442015-03-14
99 Eglinton StreetBought$1,620,000$2,1862015-03-14
99 Argyle RoadNot Reported
118 Peel StreetPassed InPI: $1,700,000
1/58 Peel StreetBought$986,000$3,1812015-03-14
28 Rowland StreetBought$3,840,000$4,0002015-03-14
KEW EAST
26 Hartwood StreetBoughtBought (2019-04-26) - $2,250,000$2,6912019-04-26
206 Kilby RoadPassed In
34 Bennett ParadeBought$1,735,000$3,0602015-03-14
8 Boorool RoadBought$1,511,000$2,3352015-03-14
2A Violet GroveBoughtUndisclosed2015-03-14
MONT ALBERT
18 Lorne ParadeBought$2,086,000$2,1442015-03-14
1/398 Mont Albert RoadBought$1,750,000$3,7882015-03-14
54 Churchill StreetBoughtUndisclosed2015-03-14
SURREY HILLS
6 Middlesex RoadBought$2,152,500$2,3102015-03-14
35 Park RoadBought$1,950,000$2,2412015-03-14
14 Kent RoadNot Reported
1 Delta StreetBoughtUndisclosed2015-03-14
15 Wharton StreetBoughtR: $2,071,440 - $2,278,800$3,020 - $3,3222015-03-11
boroondara Private Sales
HAWTHORN EAST
20 Bluff Street, HAWTHORN EAST
Bought: undisclosed
20 BLUFF STREET
ADDRESSBOUGHT PRICEIMPROVED $/SQM
HAWTHORN EAST20 Bluff StreetRange: $5,082,700 - $5,591,500$6,073 - $6,680
KEW, 28 Rowland St
KEW, 28 Rowland St | Dave Oster (Marshall White)
Under Hammer: $3,840,000 - 7 Bidders (Photo: Joshua Bong)

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