There appears to be a new game in town for developers. First you get a permit for some monstrosity somewhere – either through a council permit or VCAT. Once signed sealed and delivered you then flog the property with the permit. If the land is large enough and if the permit grants permission for high density, then you’re home and hosed. The other advantage is that with the recent residential rezoning so kindly and quickly implemented by Glen Eira Council, the profit margins are likely to be even bigger if any new application for even greater density is considered to be post August 23rd when the zones were gazetted and became L-A-W.
Two recent examples are worth noting:
- The 12 storey, 173 apartments on Dandenong Road is on the market again – with permit of course. Rumour has it that the asking price is around $7 million dollars. Not a bad little profit we say!
- The Alma Club which recently underwent ‘mediation’ is back on the market. We can only guess whether or not the $7.9+ million originally paid will now, with carte blanche for 3 storey development (thanks to the rezoning) suddenly make this land swell from 69 units to 80+ and the profits escalate astronomically.
Whilst perfectly legal we do question lots of things. Perhaps the developer has gone broke and cut his losses? Perhaps it was nothing more than a short term investment for long term gain? Did Council have any inkling? And will residents be the outright losers in the end with more and more higher density on their doorsteps?
Glen Eira Debates 
October 9, 2013 at 6:53 PM
We’ve had a very quick browse of the latest Plan Melbourne released today by Napthine and Guy and it ties in well with the post. Activity centres like Caulfield, Elsternwick and Carnegie are in for more pain when all this is coupled with VicSmart, and the new residential zones. Developers are laughing all the way to the bank and residents left holding the can. Pretty pictures dominate the document which is short on detail and big on promises. For all those gluttons for punishment the government has set up a website and asking for submissions. See: http://www.planmelbourne.vic.gov.au/
October 9, 2013 at 8:58 PM
So the original author of Plan Melbourne is “the State of Victoria”, and the document carries a disclaimer “The State of Victoria does not warrant the accuracy or completeness of information in this publication”. How typical of modern politics that nobody is accountable and nothing can be relied upon.
BTW I saw GECC’s fabled traffic management in action this afternoon as cars weaved illegally though level crossing barriers that had been down for more than 20 minutes, so no doubt that’s the place councillors will wish to exacerbate existing traffic congestion through their general failure to plan anything.