9 Haverbrack Avenue MALVERN

Benefits

Higher positional potential for long term growth
Growth above average metro in last decade
Excellent land content as proportion of price
Minimal ongoing outgoings
Higher risk as newer precinct

Concerns

Requiring significant additional cash to purchase price
Mal James
Mal James
Principal Buyer Advocate
0408 107 988
mal@james.net.au

Comments on 9 Haverbrack Avenue MALVERN

This is a Toorak buyer's block, in what many say is Malvern's best street.

Interestingly the quote has dropped a few times during the off and on market campaign.

Footnote: Mid campaign - back up again - this is not over or under quoting - this is roller quoting. Why? You be the judge.

So a sensational block that you will struggle to overcapitalise on, almost no matter what you build.

Its big, its wide and its a north rear. There is a rentable or livable home but one you can do little with on a long term basis due to its class, position on block (parking) and quality.

Now I haven't seen the legal paperwork for any hidden nasties, like covenants or easements or overlays etc - but on the face of it, if this is a clean block then it's a ripper (all STCA)

Well it's a ripper if you have a bucket load - the land alone at $6,000 per sqm is $9m and at $7,000 per sqm its ten and a half. Can you buy it a bit better, maybe $5,000 per sqm, which is $7,500,000?

Then you are putting a home on it - you'll think $3m, but you may well spend $5m.

It might be developed with more than one - meaning why not buy and hold and split (STCA) and sell in a decade to hopefully cover the orginal purchase price.

Or buy and develop as one, two or more (STCA) the zoning is Neighbourhood not General.

Hypothetical

Buy and build side by side - assuming no covenants of council impediments - you have the street width - but does it make sense.

Each block has cost you $5m, after costs - you build for $2m - with lift and basement - maybe $2.5m each after costs and you are at $7.5m before you ring the agent for a sale date. Mmmmm the street is a great street, but nothing has really sold in Malvern on 750 sqm for $8m - all in this street at that price level and above have been on this size land.

So its not really a split and flip option, in my mind anyway.

Rethink

That simple exercise and looking at sales across the road and next door in the last year at $9.9m and $11.25m - both with substantial houses (9 does not) says there is a $per sqm limit and maybe $10m is too much in todays money.

So $8 something is great $9 something if you are in for the long haul and $10 something is only if push comes to shove and you are happy to be shoved.

As you can see it's not for the faint hearted bank book wise.

As with all these offering the "smarts" are in the research, the values you place v others and the strategies employed.

Anybody can miss out or pay too much - if this makes sense for you - the key is to buy it and to buy it well.

Sensational block though!!

For architectural, full value and bidding strategies contact Mal James - rated as land only


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5
Bedroom
3
Bathroom
2
Parkings
1,485sqm
Land Area
Floor Plan Agent

Private Sale

Quote $9,100,000 - $10,000,000

North Facing

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