The Block's Darren and Deanne Jolly sell their controversial Kew East investment property for more than $2.9 million

DARREN and Dea Jolly have pocketed a massive payday from the sale of their controversial Kew East knockdown.

The Block's Darren and Deanne Jolly have sold their controversial Kew East investment property at auction.

Dea and Darren Jolly have pocketed a hefty windfall from the sale of their Kew East knockdown rebuild — with the controversial project fetching just shy of the suburb record at auction.

The property at 14 Irymple Ave sold for $2.908 million under the hammer on Saturday as three families competed for the four-bedroom california bungalow.

The big sale topped the couple’s reserve of $2.85 million by more than $50,000.

Bekdon Richards auctioneer Paul Richards said a huge crowd of about 300 people watched the price rise to its selling point, which he believed set a new benchmark for Kew East.

The Block's Darren and Deanne Jolly have sold their controversial Kew East investment property at auction.

He said a family relocating from Canterbury won the keys.

“They loved the outdoor area with the cathedral ceilings opening up out over the pool and deck and the marble benchtops in the kitchen were really popular,” he said.

Mr Richards added the Jollys were satisfied with the final result: “They were very happy and look forward to getting on to their next project.”

CoreLogic records show the May 2016 $3.1 million sale of a luxury home at 40 Bennett Pde, Kew East, as the record residential price for the suburb.

The master bedroom.

The kitchen and living area.

The Block winners Darren and Deanne spent a year and about $1 million rebuilding their 1920s Kew East California bungalow as a four-bedroom family house with multiple living areas and a pool, after purchasing it in a rundown state for $1.395 million last June.

But the renovation landed the Jollys in court and facing fines of up to $180,000, after they levelled the heritage-listed property despite being required by their City of Boroondara permit to leave the front part of the house intact.

Council director of city planning John Luppino said the couple’s building and design company DJJ Promotions was placed, without conviction, on a two-year good behaviour bond by the Melbourne Magistrates Court in December and ordered to “pay costs” over the illegal demolition.

The pool and outdoor deck.

The bathroom.

The Jollys were also required to rebuild the house to the same detail as the original, reusing the property’s existing roof tiles, bricks for the porch and chimney, front door and windows, after being granted retrospective approval for the knock down by the council.

Mr Luppino said the council was satisfied the Jollys’ rebuild had achieved this.

The Jollys said at the time they had no choice but to knock down the entire house after discovering extensive rot and termite damage.

Speaking on their behalf, selling agent Paul Richards of Bekdon Richards, Hawthorn, said the house would have “blown over in the wind” it was in such poor condition.

“How could anyone argue with what they’ve done to the house?” Mr Richards said.

“It’s tasteful, the facade fits in with the streetscape — it’s got the original roof, windows and door, all fully restored of course.”

The demolition angered residents of Irymple Ave, which falls within the Oswin Street Heritage Precinct — one of the more intact areas of 1920s and 1930s housing in Melbourne.

Resident Debbie McColl-Davis, also a Kew Historical Society member and retired architect, said many locals didn’t believe the Jollys’ reconstruction adequately replaced the original.

“It’s got the California bungalow facade ... but it’s a fake, bottom line,” she said.

Ms McColl-Davis said the outcome set a “dangerous precedent” that suggested heritage renovators “didn’t need to fuss about building permits”.

The old exterior of the house.

The new exterior of the house.