Sydney based developer Romeciti has agreed to buy a second site for its “Green and Smart” residential project offering at Macquarie Park, 28 kilometres north west of Sydney for a price believed to be more than $40 million. The deal follows lengthy negotiations with the owners of 36 strata title units to amalgamate the site.
The company, with claims to strong environmental goals and technological innovation in its products, spent five months to acquire the site in deals handled by property agents Tracy Yap and Danny Yap.
It’s the latest example of multiple strata purchases to amalgamate redevelopment sites that have been slowly gaining ground in the market.
Most recently one of Australia’s biggest residential developers Meriton in January announced it had amalgamated 60 units through individual strata title unit sales at 2-10 Cottonwood Crescent in Macquarie Park.
The NSW “collective sale and renewal process” allows strata owners to sell an entire building when at least 75 per cent of owners agree, but according to Romciti this requires a complicated and potentially lengthy legal process. Much better is to gain 100 per cent agreement to sell from owners.
Meriton boss Harry Triguboff agrees and said, “We’re going a step further than that and prefer to buy only if all owners agree to sell.
“We’re not here to force sales by reluctant owners.”
Romciti’s acquisition is for a 2776.4 square metre site at 17-21 Lachlan Avenue.
Three blocks of units will be redeveloped to provide for 130 units in total, in accordance with the floor space ratio of 4:1 and 45 metre hight restriction.
The project will be the company’s second largest residential project after Romciti’s “Natura” project in the same area.
Romeciti’s vision is to make this project the second “Green and Smart” property of its portfolio.
It’s anticipated the project will follow the same design principles of the company’s original Macquarie Park development, “Natura”, which developed a “green, smart and natural” theme with a focus on integrating environment, smart technology and customised elements into a strong community focused lifestyle. Key features in Natura include solar powered public lighting systems, electric vehicle charging facilities, highly landscaped green setting and smart home equipment.
The “Natura” project, with 334 apartments, is the most high-profile and successful residential development in this area, according to Romciti Group spokesman Anthony Mizzi.
In 2017 a penthouse in the project sold for $5.6 million, still believed to be a record for the area.
Key features that have resonated with buyers include the project’s green focused design, with its “green life “community approach to encourage residents’ interaction with nature and its high tech customised systems for interior electronic equipment such as lighting, electronics, security and temperature control systems.
The development has also been recognised by industry peers. In 2018, it won two awards and three nominations for the Sydney Design Awards. In addition, the project was also the largest to start construction in NSW in 2018 and was subject of the highest loan approved by its bankers.
“The success of the Natura community is proven by the market’s recognition of Romeciti Group’s development concept of ‘Green Life’, and driven by the high demand for this type of housing in the local market” Mr Mizzi said.
“It is about creating a rich and diverse lifestyle for the property owners, allowing them to feel relaxed by the surrounding natural environment but also enjoy the convenience of smart technology at the same time.”
To achieve its vision, Romeciti has established multiple platforms to provide essential supports to its residential project developments. Romeciti’s Green Technology Research Centre manages these platforms through continuous research of the building industry and the latest technology to improve the products and meet the residents’ demand.
For example, to combat the current COVID-19 pandemic Romeciti has upgraded the building’s health and safety facilities by introducing the latest technology of fresh air system to improve the hygiene of the building’s public indoor space. It has also upgraded the intelligent sanitary bathroom ware to solve the shortage of toilet paper.
Mr Mizzi said that due to the current COVID-19 lockdown, the market was undoubtedly impacted in the short term. However, he said this would not affect the long run appreciation of Macquarie Park’s public facilities, prosperous business atmosphere and dense transportation hub.
“These are the key factors which have attracted a large number of office workers, IT, scientific research and other professionals and a large number of SME owners to live here. These will not be damaged by the virus,” he said.
“Macquarie Park is still the area with highest development potential in Sydney over the next five to 10 years. I think the local large development groups would all agree on this point”, Mr Mizzi said.
In addition to Meriton’s establishment in the area, other developers with significant commitments include Singapore-backed Frasers Property Industrial and Winten Property Group, which was this month green-lighted for the Macquarie Exchange, a $750 million development project in the local central business district
Stockland has also won approval for its nearby $500 million Business precinct in December last year.