Second developer pulls out of Showground precinct residential plans
A SECOND developer has scrapped plans for residential towers in the Castle Hill Showground precinct and will not proceed with buying houses surrounding the proposed development.
Hills Shire
Don't miss out on the headlines from Hills Shire. Followed categories will be added to My News.
A SECOND developer has terminated plans for residential towers in the Castle Hill Showground precinct.
CG Group told residents it would not proceed with the purchase of properties surrounding the proposed development at Chapman and Dawes avenues, Castle Hill — despite attempts to amend The Hills Shire Council’s environmental plans as late as January 8.
Last week, Mirvac Residential revealed that it pulled out of plans for the Showground because of tough restrictions set out in the finalised precinct plans for the Showground.
A Castle Hill development consultant, who did not wish to be named, said the state government and The Hills Shire Council were to blame.
“We have never seen anything like it — several developers are pulling out of their plans for the precinct since the release of the finalised precinct plans,” he said.
“The restrictions set out in the gazettal, including development setbacks and floor space ratios, makes the precinct totally unviable.”
The consultant said he would not be surprised if the Showground Metro Station was “a white elephant with two-storey homes still standing around it when it opens in 2019”.
“Other developers will join Mirvac and CG Group and pull the pin on their plans,” the consultant said.
“Developers are being expected to purchase property with the hope that some arbitrary panel will approve it — the prices that are being agreed on are not viable for what can now be built, so of course developers are pulling out.
“Council got what it wanted out of this — no further development.”
Four residential towers ranging from eight to 19-storeys in height, a cafe, childcare area, garden walkways and the expansion of Chapman Reserve were proposed in the development application for Chapman Gardens.
The Hills Shire Council did not respond to a request for comment.
Sellers fear they won’t be able to afford to buy in the Hills again
RESIDENTS in the Castle Hill Showground are convinced they will be unable to sell their properties to developers as developer proposals for the precinct are ‘dropping like flies’.
Residents told the Times there was no incentive for the majority of homeowners to sell their properties to developers due to the restrictions set out in the finalised precinct plans.
Showground Residents Matter Action Group representative Paul Cook said residents could be stuck next to 20-storey high rise towers because they are unable to sell to developers.
“We may not have a future transport hub with development surrounding it,” Mr Cook said. “There will be major development on one side of the road and single dwellings on the other.”
Guardian Realty director Stephen Giacomelli said buyers went out on a limb to secure properties in the hopes that there would be a good return.
“Most people that are selling up want to be able to buy back into the Hills and move up in the property ladder, but they need to get the right amount of money to do that,” he said.
“No one is going to sell for mathematically what their places are worth following the gazettal of plans.
“The average house price in the Castle Hill or Glenhaven region is sitting north of $1.7 to $1.9 million for a sought after family home.
“Why would they sell if they cannot buy back into the area, it doesn’t make sense.”
