Sydney auctions: North Bondi land fetches $5.27m as dentist outbids developers
A dentist has nabbed prime real estate in North Bondi, paying $5.27 million for land value and outbidding almost a dozen builders and developers.
Twelve parties registered to bid on the shell of a four-bedroom house at 181 Blair Street, part of a deceased estate.
It was one of 762 auctions scheduled in Sydney on Saturday.
An opening offer of $3.8 million began the auction as half the registered bidders got involved in the heated sell-off.
Offers were flying in as selling agent Paula Simoes of The Agency Eastern Suburbs described the bidding as “crazy”.
The fight was over land value as the run-down home is on a 533-square-metre block, zoned for potential medium density residential redevelopment.
The value of the NSW Trustee and Guardian sale was “all done and signed up last year”, according to Ms Simoes.
“The value we had was around $4 million based on a recent sale and a little bit of an increase of the market,” Ms Simoes said. “This just shows over six months you’re talking a million dollars extra.”
Not a single home buyer showed interest in the property with most of the 35 contracts issued to developers and builders.
“Everybody wanted to put up apartments,” she said. “These are all developers. These are not emotional buyers.
“These are all buyers based on numbers and resale values and feasibility.”
But in the end, a dentist who “really wanted [to build] a practice” ended up as the highest bidder, buying the property for $5.27 million through buyer’s agents, Ms Simoes said, with plans to build a dental surgery on the parcel of land.
The property attracted more than 600 inquiries, showing the healthy appetite for land in Sydney.
“Builders are craving to build. They’re wanting sites to build on and make money,” Ms Simoes said.
“They are really rare to find; the right front and the right zoning and the right square metres.”
This sale comes after a semi-detached home in the same suburb sold for an eye-watering $6.1 million earlier in the year and then another unrenovated semi in Bondi Beach fetched about $6.5 million.
The median house price in North Bondi reached $3.185 million in December 2020, Domain data reveals.
Further north, a newly built house in Killara sold for $5.48 million to a local family who were upsizing in the area.
Just two buyers registered to bid at 25 Coronga Crescent but it was enough to create competition.
The duo vied for the keys to the six-bedroom property with an opening offer of $4.8 million.
The home commanded such a strong result because of the limited land and homes in the area, according to Scott Phillips of Ray White Upper North Shore.
“This was a superbly built home … that’s what attracted these two buyers to pay a premium,” he said. “To do this yourselves, they’re paying $3.5 million to $4 million for a knockdown.
“And to put a home on that block would cost $2 million.
“In many ways the replacement costs of a building like that represents the value.”
The agent declined to reveal the reserve.
The property last sold for $1.715 million in 2008, records show, the price more than tripling in 12 years.
The median house price in Killara reached $3.1 million by December 2020, Domain data reveals.
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