Thursday 20 April 2006

Another major land acquisition for the pro-active developer and builder

Devine Limited's National General Manager for Residential Estates, Paul Nash, has announced plans for a $200-Million residential showpiece at Deer Park comprising a cosmopolitan mix of housing clustered around a series of communal parks and facilities.

The masterplanned estate will be built on a 44-hectare site bordered by Robertson and Foley Roads, 20 kilometres west of the Melbourne GPO.

The land will yield 619 dwellings on lots ranging from 375sqm to 700sqm., harmonising with the existing environment and offering an unprecedented choice of accommodation styles to meet the area's pent-up housing demand.

Devine paid $21.5-Million to Layday Pty Ltd and Persues Pty Ltd for the level, largely cleared site which is on the south-west sector of Deer Park, immediately south of the Melbourne-Ballarat railway line.

The transaction brings to almost $750-Million the value of new projects Devine has generated this year. In Queensland it has secured approvals for a $460-Million eco-resort on 148-ha at Currumbin, as well as new housing estates in Brisbane's north and west in addition to its existing Gold Coast corridor estates.

Devine is extremely confident about the strength of the Melbourne market, and in particular the area around Deer Park, pointing to research showing demand is outstripping supply. It says:

* Land prices have increased by 17% per annum in recent years
* House prices rose by 20% last year, and 12% p.a. for each of the three earlier years
* Deer Park rents enjoy a premium over the local market

"The population of Deer Park grew by more than 1,500 last year, with a younger and more family-centric focus which is perfect for the style of high quality, yet great value for money, family homes we are planning," said Devine's Victorian Regional Manager Sean Lefoe.

"We expect to provide a range of housing choice, diversity and affordability by incorporating cost-effective planning, design and construction principles."

Home and land packages will start from approximately $230,000, Devine anticipates.

"The aim is to create a modern, dynamic residential community in harmony with its surroundings and constructed to ecologically sustainable parameters," said Mr Lefoe. "We will embrace leading environmental techniques to conserve resources, minimise pollution, protect biodiversity and provide a quality lifestyle."

Mr Lefoe says Deer Park is a family-orientated area offering:

* A variety of schooling options
* A vast range of retail centres
* Open parklands and nature reserves
* Sporting facilities
* An excellent transport network, including major arterial roads and freeways, rail and bus services, and
* A plethora of employment opportunities

Devine's residential community at Deer Park will incorporate landscaped gardens, tree-lined streets, and three community reserves containing such features as barbecue facilities, park furniture, children's playgrounds and grassed areas for active and passive recreation.

The construction phase will be undertaken in stages over the next four years, with the first lots scheduled for release to the market in August.

"Within 10 minutes of our Deer Park estate is one of the largest industrial centres in Melbourne, providing vast employment opportunities," said Mr Lefoe. "The area is set to benefit further from a $265-Million Federal Government program of infrastructure spending, including retail expansion.

"Brimbank City Council is also planning a $30-Million capital works program - the largest it has ever undertaken - including a range of leisure facilities."

The Deer Park project is the largest in terms of lots that Devine has undertaken in Melbourne since the Queensland-based company moved into Victoria in 1997 when it purchased Pioneer Homes Australia. Other residential estate opportunities are being sought by Devine to add to its existing developments at Packenham, Tarneit, and Point Cook, making the company one of Victoria's most active developers.

Devine has been synonymous with CBD apartment developments in Brisbane, having sold approximately 40% the city centre's units from 2000 to 2005. It is nearing completion of its glittering $400-Million 'Victoria Point' residential tower development, the tallest and most spectacular building at Docklands.

"Our core housing business strategy will remain as a developer of residential community estates for first and second home buyers," said Mr Nash, who noted the company started in 1983 by developing small tracts of residential land in Queensland.

"We will continue to evaluate further opportunities for good value sites around Melbourne which have the potential for sub-division into large community estates."

In 1993 Devine listed on the Australian Stock Exchange, and since then it has built some 18,000 homes nationally, and around 2,500 apartments.

Released by: Devine, 3 Westmoreland Blvd, Springwood, Queensland 4127
Contacts: Luke Hartman, National Acquisitions Manager, on (07) 3380 2488, 0437 633 775
Paul Nash, National GM Housing & Land, on (0439) 730 424
Sean Lefoe, Regional Manager - Melbourne, Ph: (03) 8699 3100, 0438 739 611

Prepared by: Barry Hyland, PR Plus, Level 1, 272 Pacific Highway, Crows Nest 2065;
Ph: (02) 9439 9191, (0412) 354 992; Email: pluspr@ozemail.com.au