Yarralumla block sells for $2.64 million as land remains hard to come by in Canberra

An RZ2 block in Yarralumla sold this week for $2.64 million in an auction packed with builders and developers who fought for a slice of one of Canberra’s most sought-after suburbs. 

The house on 37 Mueller Street is largely unlivable, which is why the auction gathered so many participants on Tuesday, selling agent Michael Braddon of Blackshaw Gungahlin said. 

RZ2 blocks are upwards of 700 square metres in size and can accommodate single or multi-dwelling developments.

With 16 registered bidders all looking to knock the existing home down and rebuild, Braddon said he was extremely happy with how everything turned out. 

“There was a really good community atmosphere with around 100 people in attendance; it was a great evening auction,” he said. 

Despite the small number of groups viewing the property throughout the campaign, the block’s location contributed to the large amount of interest and competition.

“There are very few, if any, undeveloped RZ2 blocks left in Yarralumla,” Braddon added. 

“The current buyer’s intentions for the block remain unknown … they haven’t decided whether it will be one home or two homes, but they aren’t developers, which goes against the grain of the other bidders’ intentions.

“It’s all about location, location, location … this kind of thing wouldn’t have happened in a different suburb.” 

Blocks of land are hard to come by in established and highly sought-after suburbs like Yarralumla, but RZ2 blocks are particularly rare, Braddon added. 

“When there are RZ2 blocks, they provide more options for builders and developers, hence the interest we saw on Tuesday,” he said. 

“If you want to do that sort of thing, more often than not you will have to go to new estates to build, and people love the location.

The block neighbours tennis courts, a park and the YMCA community facility, which further increased its desirability.

“It is one of a very limited amount of buildable blocks left which has therefore become a very rare treat in Canberra … that’s why there was so much interest,” Braddon added.