Rare inner-Melbourne site with permit for urban village project

A 1.4-hectare corner site in North Melbourne is offering potential buyers immediate exposure to Melbourne’s residential market and planning certainty via an approved permit for a mixed-use development over six buildings.

A wide field of developers and investors are tipped to compete for the rare opportunity to develop a significant parcel of North Melbourne land with approval for a substantial mixed-use project.

JLL’s Jesse Radisich, Josh Rutman, Jack Bergin and MingXuan Li have been exclusively appointed to sell what is to be known as ‘Alfred & Boundary’, at 103-105, 107-109 & 117 Boundary Road & 59-101 Alfred Street, North Melbourne, by KordaMentha in its capacity as Receivers and Managers.

The site, on the corner of Boundary Road and Alfred Street, comprises 14,346 square metres of land, the majority of which is vacant, with 253 metres of street frontage. There are three buildings fronting Boundary Road that are included within the offering.

Current planning approval for the project, designed by architects Fender Katsalidis and Bayley Ward, with recent design work by Cera Stribley, provides for a low-rise urban village across six boutique buildings.

According to Jesse Radisich, JLL’s Director of Development Site Services – Victoria, “The permit provides purchasers with the flexibility to deliver the project over a number of stages, and the low-rise nature of the project is very much in favour with both developers and also investors and capital sources.

“The project provides the scope for a rare city-fringe place-making opportunity through a precinct which may encompass residential, commercial, retail, hotel/serviced apartments, a theatre, public open space and communal spaces. There is capacity for design and development innovation on a large scale,” said Mr Radisich.

He added, “With Melbourne’s well-documented housing crisis and supply challenges ongoing, and showing no signs of improving, the opportunity to deliver a residential project of this scale just 2.5km* from Melbourne’s CBD is sure to attract interest from a wide range of developers.”

There have been some major transactions struck in the immediate precinct in recent years, prior to rising construction and financing costs, including Local’s acquisition of a site in Macaulay Road in 2021, and Assemble’s acquisition of a large parcel, also in Macaulay Road, in 2022. Both deals were struck in the vicinity of $5k/sqm based on the land area.

Situated within the recently rezoned Macaulay Precinct, the 1.4 hectare Alfred & Boundary site is one of the largest amalgamated landholdings within the northern fringes of the city, and is set to benefit from proximity to a number of major Government projects and initiatives, and there is growing activity in the immediate precinct, with approximately 250 apartments under construction adjoining the site, and numerous large-scale residential and BTR projects either complete or underway in adjoining Kensington, just moments away.

Mr Rutman, JLL’s Head of Capital Markets – Victoria said the location is within the rapidly evolving precinct with numerous private/public sector projects – including the Arden Station precinct and the government redevelopment of the housing precinct in Boundary Road. The positioning of the site also provides scope for spectacular city skyline views, as well as protected views to the west towards leafy Kensington.

He added, “To be within 250m of Flemington Bridge railway station, and also within 700m of Macaulay railway station, coupled with tram routes servicing Racecourse Road and Flemington Road, the site offers the epitome of connectivity by public transport. There is also immediate access on and off CityLink, providing access to the CBD/Melbourne’s south-eastern suburbs, and to Melbourne Airport.

“The site is positioned on the doorstep of Royal Park and Melbourne’s biomedical and hospital precinct which is home to approximately 73,000 workers. It really is a very well-connected location in terms of both efficiency and functionality for end users. In fact, it would be hard to find a property that was better placed in relation to just about every possible tenant requirement.” Alfred & Boundary, North Melbourne will be sold by international expressions of interest closing Tuesday, September 17 at 2pm.