Dodo founder, venture capitalist and property developer Larry Kestelman has snapped up a South Yarra development site in the week the Victorian Civil and Administrative Tribunal has granted him permission to build Melbourne's tallest suburban apartment building on another block in the neighbourhood.
Kestelman's burgeoning LK Property Group is speculated to be paying about $10 million for the 970-square-metre block in Claremont Street, near the train station, in a pocket of South Yarra known as Forrest Hill.
Across two titles, the commercial properties were not offered with residential conversion plans, but agency CBRE did tout the block's high-rise redevelopment potential. It was sold by agents Scott Orchard, Julian White and Mark Wizel.
AFR South Yarra slices upmarket Chapel Street into vertical zones
Melbourne's swanky South Yarra is looking to protect its prized Chapel Street precinct from being overcome by residential development, with a radical plan for "vertical zoning".
The new zoning system would effectively earmark different levels of a building for commercial or residential use.
The move, if adopted by Stonnington council, would be a first for Melbourne. It was designed to ease concerns the famed shopping and entertainment district would fall victim to its own success.
The district's popularity is driving residential demand in the area. Developers were turning entire sites over to swish apartment complexes all the way up from the ground.
Left unchecked, that momentum could eventually remove swathes of retail and commercial real estate, resulting in a loss of jobs and activity in the area.
Stonnington's planning panel looked at how the issue could be resolved through a planning scheme amendment.
"Council has recognised that any existing commercial floor space that is subdivided and used for residential purposes is unlikely to be reversed," said a report released this week
"The amendment seeks to introduce vertical zoning and the need for a permit if residential uses are proposed in an area where commercial uses are encouraged.
"The panel considers this to be innovative, facilitative and is likely to achieve the intended outcomes, however, its effectiveness should be monitored over time."
Under vertical zoning, developers would need permits for residential dwellings below the third floor along main streets in the precinct.
The Stonnington panel said vertical zoning was one of "the more contentious issues" it addressed in a broader plan to accommodate growth in South Yarra.
Some panel submissions argued development should be simply left to the market.
"The panel observes that one of the roles of planning is to provide the framework within which the market operates," the report said.
"This is needed as the market is not perfect and will not necessarily result in outcomes which generate a net community benefit."
And pray tell Bilby, in what fabulous suburb do you live in? You appear to have all the answers to what's wrong with our buildings. Obviously where you live has all the magical qualities you so desire and which apparently are lacking elsewhere.
Hi, anyone know what is the latest on 6 Murphy? Last heard of that project going well in Mar. Is it near completion? Thanks in advance.
^^ practical completion should be in the next few weeks
If only we could get some of these towers/designs into the CBD or Crapbank
Thanks for the info. Anyone have some latest photos of the property?
^^ Next time I go by I will
Noir on Garden Street set for sales
This should be a good one. Any idea when is the launch date?
^^ very soon apparently
Larry Kestelman buys South Yarra site
Dodo founder, venture capitalist and property developer Larry Kestelman has snapped up a South Yarra development site in the week the Victorian Civil and Administrative Tribunal has granted him permission to build Melbourne's tallest suburban apartment building on another block in the neighbourhood.
Kestelman's burgeoning LK Property Group is speculated to be paying about $10 million for the 970-square-metre block in Claremont Street, near the train station, in a pocket of South Yarra known as Forrest Hill.
Across two titles, the commercial properties were not offered with residential conversion plans, but agency CBRE did tout the block's high-rise redevelopment potential. It was sold by agents Scott Orchard, Julian White and Mark Wizel.
http://www.theage.com.au/business/property/capital-gain-20150703-gi3hxu
AFR
South Yarra slices upmarket Chapel Street into vertical zones
Melbourne's swanky South Yarra is looking to protect its prized Chapel Street precinct from being overcome by residential development, with a radical plan for "vertical zoning".
The new zoning system would effectively earmark different levels of a building for commercial or residential use.
The move, if adopted by Stonnington council, would be a first for Melbourne. It was designed to ease concerns the famed shopping and entertainment district would fall victim to its own success.
The district's popularity is driving residential demand in the area. Developers were turning entire sites over to swish apartment complexes all the way up from the ground.
Left unchecked, that momentum could eventually remove swathes of retail and commercial real estate, resulting in a loss of jobs and activity in the area.
Stonnington's planning panel looked at how the issue could be resolved through a planning scheme amendment.
"Council has recognised that any existing commercial floor space that is subdivided and used for residential purposes is unlikely to be reversed," said a report released this week
"The amendment seeks to introduce vertical zoning and the need for a permit if residential uses are proposed in an area where commercial uses are encouraged.
"The panel considers this to be innovative, facilitative and is likely to achieve the intended outcomes, however, its effectiveness should be monitored over time."
Under vertical zoning, developers would need permits for residential dwellings below the third floor along main streets in the precinct.
The Stonnington panel said vertical zoning was one of "the more contentious issues" it addressed in a broader plan to accommodate growth in South Yarra.
Some panel submissions argued development should be simply left to the market.
"The panel observes that one of the roles of planning is to provide the framework within which the market operates," the report said.
"This is needed as the market is not perfect and will not necessarily result in outcomes which generate a net community benefit."
There was a flood of apartment tower applications in the Forrest Hill precinct last month as well:
42-48 Claremont Street
16-22 Claremont Street
627 Chapel Street
671 Chapel Street
627 Chapel Street is very interesting because it is probably one of the last sites in the precinct where you could get away with a building over 100m.
That Larry Kestelman is certainly a busy boy in the SY area.
The quality in these inner suburbs is just awesome.
In other words VCAT will be very busy!
Gotta love South Yarra
They must have designed that before November last year. They will be lucky to get 20 levels at the moment.
SY is developing into a nice little metropolis by the looks of things.
Love it.
Can't they just go to VCAT after council rejects it?
really nice bronze elements to it, developer is Lantern River Pty Ltd
Docklands.
And pray tell Bilby, in what fabulous suburb do you live in? You appear to have all the answers to what's wrong with our buildings. Obviously where you live has all the magical qualities you so desire and which apparently are lacking elsewhere.
Not Docklands.
What does docklands have to do with South Yarra?
I think he lives in Noble Park. Or was it Bosnia(Boronia)
Never been to Noble Park. Very familiar with Boronia, though!
Honestly, I'm not even really sure where Boronia is.
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