A Vietnamese developer has made its foray into the Australian market with the purchase of a corner site part of the Racecourse Road shopping village in Melbourne’s city fringe. 

CBRE’s Victorian Development Site Sales team sold the 265-271 Racecourse Road property in Kensington under the hammer for $6.025 million at a recent onsite auction. 

The 842sqm corner site, which offers a combined frontage of 60m to Racecourse and Rankins roads, has planning permit for 41 apartments and ground floor retail. The property currently accommodates existing improvements comprising a building area of 932sqm. 

CBRE’s Lewis Tong, who steered the sale process on behalf of vendor Monolith International, said the property’s position in the vibrant inner-city suburb of Kensington attracted strong buyer interest. 

“With a median house price of over $1.1 million, Kensington has drawn significant appeal from prominent developers acquiring properties such as 51-61 Hardiman Street for$4.3 million, 393 Macaulay Road for $6.6 million and 415 Macaulay Road for $4.8 million - all of which achieved similar land rates varying between $4,200p/sqm - $4,500p/sqm,” Mr Tong said. 

Fellow selling agent CBRE’s Chao Zhang said the sale was a strong vote of confidence for Melbourne’s development market. 

“The sale of 265-271 Racecourse Road to a first time investor in Australia highlights the strong fundamentals of Melbourne’s property market, which continues to attract interest both interstate and internationally,” Mr Zhang said. 

For more information about this sale or other development site opportunities in Melbourne phone or email CBRE’s Lewis Tong via the contact details below. 

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