A Chinese residential developer has paid $2.8 million for an inner city development opportunity in Adelaide in a deal brokered by Savills Hotels Australia on behalf of Sea Care Pty Ltd.
Sold via auction, the property located at 23-29 Market Street in Adelaide has prior DA approval for a 108 room hotel but is suitable as a residential development site for 32 apartments, subject to council approval.
Adelaide’s residential market has steadily grown over the past 12 months with CoreLogic recording a capital gain of 2.6% for units from April 2014, the second highest behind Sydney at 9.7%.
According to Savills Nic Simarro, who negotiated the deal the location and the potential to add value were key considerations. “As Adelaide’s residential market continues its growth spurt this was a fantastic investment opportunity to capitalise on this growing market,” said Mr Simarro.
With a site area of approximately 640 square metres the sale price equates to $4,344 per square metre.
Located within Adelaide’s highly sought after Central Market precinct, the property runs between Gouger Street and Wright Street and is within walking distance to the Central Market, Chinatown, Law Courts, GPO, CBD and the tram which connects the city to the Entertainment Centre and Glenelg
