Demand is growing rapidly across the country for development sites being sold in one lot as residents can reap a higher return and the buyer gets a property without any strata issues.
One of the latest is a development site at 48A Oxford Street, Epping, which has a value of about $17 million.
The 1603 square-metre property comprises 14 apartments with the strata owners selling in one line.
This has become a trend across Sydney and was boosted last year by a sale in St Leonards that reaped the vendors an average $9 million apiece.
Developers are also willing to bid high for these properties as they compete with other users such as suburban office developers and now industrial property investors.
Knight Frank's associate director, Asian Markets, Linda Zhu, senior director, head of Asian Markets, Dominic Ong, and director, commercial sales, Brett Burridge, are managing the sale of the Epping property.
Ms Zhu said it has good holding income in a prime location.
The property comprises two full brick and concrete buildings sharing a basement level. The residential accommodation spans three levels, with private balconies and courtyards. The property is zoned as B2 Local Centre under Hornsby LEP 2013 with height control of 48 metres.
As evidence of the demand, CBRE head of metropolitan investment sales NSW, Nicholas Heaton, recently sold a range of properties in Coogee, St Ives and Darlinghurst for $50 million in five days. He said some were sold in one lot as the residents banded together rather than try independently.
A group of strata owners in a 19-level Melbourne city office building have banded together to put their tower on the market with expectations around $50 million.
Thirteen owners have joined forces to sell the block at 50 Franklin Street, built in 1965.
Its sale will mark a peak in a trend which has seen multiple property owners across Melbourne's suburbs joining forces to take advantage of a heated property market in which developers are willing to pay a premium for larger combined sites.
In another recent example, 19 owners of a 1940s apartment complex at 596 St Kilda Road banded together to sell their low-lying block to a Singaporean developer for $25 million.
The combined deal netted the owners considerably more than they would have gained selling individually.
In June this year eight property owners in Bay Road, Cheltenham, banded together to sell their houses.
Separately, the properties at 375-389 Bay Road could be worth up to $800,000 each, but together, pitched at developers, the 4715 square metres will command a premium, expected to fetch up to $9 million.
