Taj on the Swan set for auction in ailing Perth market
Perth's weak auction market continued with its weekend clearance rate stuck in the 30s.
Its ailing auction market has rarely captured much national attention, but next weekend sees the notorious and prestigious Peppermint Grove super block of Pankaj and Radhika Oswal go to auction.
The 2 Bay View Road site has been listed through Ray White agent Vivien Yap inconjuction with Sotheby's agent Graham Bowie.
The partially built so-called Taj on Swan mansion was demolished under council orders in 2016.
The mansion with Swan River views had sat unfinished after the Oswals quit Australia in 2010.
It is now being marketed as "the most famous block in Australia."
Initially there was a $30 million asking price for the super block, which over the years has been subject of international media attention.
The 6582 sqm site, which could fit six homes, then came with reduced $19.5 million hopes last year.
The Oswals bought the consolidated block for $22.7 million in 2007 and started construction a year later.
The Oswal family, who controlled the $700 million Burrup Fertilisers gas-processing plant on the Burrup Peninsula, planned to build a "two- storey, Indian-infused luxury residence" on the eight lots they bought from property tycoon Warren Anderson in the heart of Peppermint Grove.
Anderson's super block sat vacant for many years. He created it in 1986 when his company bought 11 houses and demolished most of them. It was subdivided into 22 blocks of which the Oswal bought eight for $22.7 million
Sydney had the dearest weekend auction result when 18 Rutherford Av, Burraneer fetched $4.75 million pre-auction through estate agent David Highland.
The deep waterfront 1150 sqm parcel of land came with house set over three substantial levels with expansive views over Gunnamatta Bay.
There were 400 auctions held in Sydney returning a preliminary auction clearance rate of 61.3 per cent.
Sydney's prior week saw 408 auctions held with a final clearance rate of just 46.9 per cent, the lowest clearance rate the city has seen since December 2012.
This time last year, 70.3 per cent of the 625 Sydney auctions held were successful.
Melbourne was the busiest capital city for auctions, with 612 homes going under the hammer, returning a preliminary clearance rate of 62.3 per cent, compared to last week when 56.2 per cent of the 559 auctions were successful.
Over the same week last year, there were 833 auctions held in Melbourne, returning a clearance rate of 73.8 per cent.
Melbourne's dearest reported sale was $2.74 million in Albert Park for a three bedroom, two level modernised terrace at 18 Page Street. There had been $2.5 million to $2.7 million price guidance through Greg Hocking Holdsworth.
The highest preliminary clearance rate was recorded in Adelaide where 75 percent of the 48 reported auctions were successful.
The nation's cheapest weekend sale was in Perth where a three bedroom brick and tile home sold for $165,000 at Armadale, located on the south-eastern edge of Perth's metropolitan area.
The 1970s house has a renovated kitchen, new carpet in the bedrooms and a fresh coat of paint, Professionals Armadale selling agent Shane Denniston noted.
It had last sold at $270,000 in 2007 and at $185,000 in 2005.
Perth's 38.5 percent success rate was the weakest auction market sitting behind Brisbane's 44 percent.
Perth's best auction clearance rates saw a 60 percent plus peak in 2013 and before that in the 50s in 2010.
Perth dwelling values were 0.7 percent over the three months to June 2018 and 2.1 percent lower over the past year.
Dwelling values in Perth are now 11.4% lower than they were at their peak in June 2014, CoreLogic advise.
The national weekend auction volumes increased slightly over the week with 1,246 homes taken to auction across the combined capital cities, up from the 1,178 in the prior week, according to CoreLogic.
The preliminary clearance rate was recorded at 60.6 per cent this week, after finalised clearance rates have held around 52 per cent for the last three weeks.