- A Mount Albert bungalow sold for over $11m, attracting developers interested in the land it sits.
- The house and two neighbouring properties are likely to be redeveloped.
- Agents noted strong demand for large-scale development sites near transport hubs in Auckland.
A classic bungalow in Auckland’s Mount Albert sold this month for more than $11 million, after attracting the attention of cashed-up developers.
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While the four-bedroom 1920s home on Mount Albert Road does come with a tennis court and swimming pool, the buyers were more interested in the 5300sqm section it sits on, and the two adjoining properties that the vendors added to the sale.
All up, nearly 7300sqm of land with three separate access points and 40m of street frontage was snapped up.
Bayleys agents James Were and Wei Wei Elder told OneRoof that the sale price of $11.177m was the “biggest deal in the area”.
The three properties, which have a combined RV of nearly $13m, are zoned for townhouses and apartments, and it’s likely that the houses, pool and tennis court will be demolished by the buyers and replaced by a new housing development.
The original 1920s house sits on 5300sqm of land and had been in the same family for 40 years. Photo / Supplied
Over the years the owners acquired neighbouring properties, which were included in the sale. Photo / Supplied
The vendors had owned their Mount Albert Road bungalow for over 40 years, and had picked up the two neighbouring properties for just under $4m in the last 14 years.
“It is unusual to get that kind of scale within walking distance of the village and a train station. Combined with intensive zoning and three street frontages, it becomes a very attractive opportunity,” Were told OneRoof.
“There is good demand for X-factor development sites in Auckland’s city fringe. We had multiple offers from a number of different parties; it was very well received. It’s a once-in-a-generation site.”
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Were said that developers were buying land for their next projects, anticipating that the market would be receptive to new houses by the time building was completed in two to three years.
“If there were more availability of large-scale blocks around transport hubs, then we would see more demand,” Were said, referring to Auckland Council’s new draft plan to intensify development around transport hubs.
Elder told OneRoof that the buyers had been wanting to buy a big plot of land near the CBD for some time.
A 9900sqm section at 35 and 37 Ocean View Road, in Hillcrest, Auckland, is up for grabs. Photo / Supplied
The property comprises two houses - one pictured above - and a studio, but they will likely be replaced by the new owners. Photo / Supplied
They had not finalised their build plans, but Elder said “they will do a good job”.
“There is a demand for freestanding three- to four-bedroom houses, with garaging, to suit downsizers or second-home buyers. The market is over-saturated with terraced houses,” she said.
“This sophisticated market wants better finishes; they are more financially able to spend. It is in Mount Albert Grammar School zone but will also pull affluent downsizers from Mount Albert or Mount Eden who like the neighbourhood.”
Elder told OneRoof that she still had a number of high net worth clients looking for substantial blocks of land, between 6000sqm and 15,000sqm in size, around the central city and North Shore, as well as mid-range developers hunting for plots of 2000sqm to 5000sqm.
“There is just a lack of supply. All the people who missed out on Mount Albert are still looking,” she said.
On the North Shore, Elder and Were are marketing a 9900sqm section at 35 and 37 Ocean View Road, Hillcrest, which they describe in their advertising as a “legacy” property in a “blue-chip location”.
“In a world full of small developments, seize the opportunity,” their listing on OneRoof said.
The property, next door to the native bush of Stancich Reserve, has been in the same hands for 13 years.
The $11m-plus Mount Albert sale comes amid a resurgence of activity by large investors and developers in the city. Last week OneRoof reported that cashed-up investors were snapping up multiple properties at once around the city, including new townhouses, blocks of older flats, and established boarding houses.
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