Throsby land sells for almost $17 million at auction in Canberra

The ACT government has sold seven packages of land in the new Gungahlin suburb of Throsby for almost $17 million.

Three multi-unit development sites and four packaged lots of single residential blocks were sold at a Land Development Agency builder’s auction at the National Convention Centre Canberra on Friday morning. There were almost 50 registered bidders.

It’s the first part of a major land release in Canberra’s north with more than 100 single residential blocks set to go under the hammer tomorrow.

The largest block, a multi-unit site of 7941 square metres permitting 24 dwellings, was the biggest sale of the day. A local builder placed the winning bid of $4.7 million.

Colliers International general manager of land marketing Shane Radnell said the buyer had completed a number of smaller developments in Canberra, however the Throsby block is his largest purchase to date.

Mr Radnell said the lease allows for a number of uses including childcare and medical centres.

Two 2015-square-metre sites for six dwellings sold for $1.5 million and $1.42 million.

The four packaged lots contained between seven and 10 blocks, with the smallest package selling for $1.895 million. The largest package sold for $2.75 million.

Mr Radnell said the seven packages sold for $16.8 million, which was well above the reserve. He said Colliers received at least 60 enquiries from builders, developers and investors prior to the auction.

“We always knew the sale prices were going to be strong because we had such large interest,” Mr Radnell said.

“Not a lot of these sites get offered to market very often. The opportunity to buy a pack of six blocks in a row is very attractive to builders. LDA did the right thing by releasing the blocks in smaller packs.”

Mr Radnell said today’s auction was well-timed for local builders, many had purchased land in the neighbouring suburb of Moncrieff in 2014.

“A lot of the builders have sold out of that product and by the time they finish up in Moncrieff, they will be settling in Throsby,” Mr Radnell said.

LDA chief executive David Dawes said the auction was a good result for Canberra.

“It is always encouraging when builders are prepared to buy blocks that will provide a range of housing options,” Mr Dawes said.

“This result also demonstrates the faith that local builders have in the Canberra housing market.”

The auctions for land in Throsby will continue tomorrow with more than 100 residential sites up for grabs.

It will be the first major public release of single residential sites in the ACT since 317 blocks were sold in Moncrieff in November, 2014.

The single residential blocks range from 315 to 1035 square metres. The Land Development Agency has publicly issued the reserve prices, which range from $258,300 and $533,700.

Upon completion, Throsby will be home to about 1100 dwelling sites. About 80 per cent will be single residences and townhouses, with the remaining 20 per cent accommodating multi-unit sites with a maximum height of three storeys.

The LDA will release a further 200 blocks to be sold by ballot in June.