DEVELOPER Orchard Property Group has completed the acquisition of a 34ha development-ready site in Ripley for $11million.
The acquisition, in the heart of the Ripley Valley Priority Development Area, takes Orchard’s total number of lots owned and under control to more than 2000 across five different projects in southeast Queensland.
The property, at 160 Daleys Rd, Ripley, was acquired from a group of investors. Orchard had the site under contract for more than 12 months and completed settlement in late August.
The site includes an existing development approval for a new masterplanned community with 426 lots.
Orchard intends to reconfigure the existing approval to increase the yield to 440 lots ahead of a launch in 2020.
Orchard Property Group managing director Brent Hailey said the company had long-held ambitions to acquire a site in the Ripley PDA.
“The Ripley Valley is one of the largest urban growth areas in Australia and will eventually be home to a new city nearly as large as Toowoomba with a population of 120,000 people and 50,000 new homes,” he said.
“The PDA has been incredibly successful since it was declared in 2010 and our expectations are that it will continue to grow for the foreseeable future.”
Orchard also secured a $7.2 million Catalyst Infrastructure Program grant from Economic Development Queensland to undertake a major upgrade of Binnies Rd, Ripley, to not only provide access to their site but to a much-needed access to a number of properties at the western end of the PDA.
Construction of the new road is due to begin by the end of the year with the project expected to commence marketing early in 2020.
Ray White special projects director Tony Williams said Orchard successfully navigated a range of issues to unpack the development potential of the opportunity.
“The property provided one of the few remaining parcels in the valley which offers scale and with the benefit of negotiating the catalyst infrastructure agreement,” he said.
“Orchard has fast tracked their entry to the Ripley market.”
Mr Hailey said the company remained optimistic about the southeast Queensland land market.
“With low interest rates expected to continue for the foreseeable future and continued steady population growth in the southeast, the fundamentals for the land market remain quite strong,” he said.
“There is plenty of competition but with the right product, in the right place at the right price, there is plenty of demand and opportunities for success.
“As with all our projects, we will be focused on creating a vibrant place to live by providing exceptional amenity, connectivity and urban design.”
SOURCE: QUEENSLAND TIMES