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China Daily Website

Property developer to purchase land in Melbourne

Updated: 2013-10-09 15:07
( Xinhua)

CANBERRA -- Australia's leading racing club Victoria Racing Club (VRC) announced Wednesday that it has signed a Memorandum of Understanding (MoU) with Greenland Holding Group Overseas Investment Company Ltd, a division of China's leading property developer, to prepare a Development Concept for two parcels of land adjoining Flemington racecourse in Melbourne.

The MoU requires both parties to devote resources to the preparation of a sales contract for the two parcels of lands of approximately 10,500 square meters and 30,174 square meters respectively.

The negotiation process is expected take up to six months, during which applications for Planning Approval will be prepared.

VRC Chairman Michael Burn said the understanding reached with Greenland was in line with the Club's Masterplan announced in 2010, which aimed to unlock the significant value in the two parcels of land to assist in funding racecourse improvements.

"This is an exciting opportunity for the VRC and Greenland to deliver a major project in one of Melbourne's main growth corridors," Burn said.

"Flemington is committed to continuous improvement. It is an oasis in a big city, which showcases the best in horse racing, culture, world-class fashion, entertainment, hospitality and city living," he said.

The racecourse is located north-west of the Central Business District (CBD) and within a corridor experiencing significant population growth. Burn said that the immediate proximity of existing public transport and Flemington's recreational facilities will ensure the two properties to occupy a premium market position.

The managing director of Greenland, Sherwood Luo, said his company has identified the land for its first development in Melbourne and decided to negotiate directly with the VRC, following the announcement of its Masterplan.

Greenland has already announced its first Australian project in Sydney. If the negotiations with the VRC goes successful, this could be the company's first project in Melbourne.

"The location of the parcels of land, close to Melbourne's CBD in such a lively suburb as Flemington, makes the area ideal for a development that will contribute considerably to the community and to the precinct," Luo said.

During the negotiations, reviews will include analysis of impacts on cultural heritage, transport, as well as flora and fauna. Any sale will be subject to approval from the Foreign Investment Review Board.

Burn said that the MoU clearly outlined that the VRC retained the right to approve draft versions of the Development Concept before planning approvals were sought from government authorities.

"The document states the concept must be of suitable quality and design to complement and respect the Flemington Racecourse precinct," he said.

 
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