With operating estates in key growth corridors in the thriving land markets of Melbourne and Brisbane, CFMG Capital topped 200 sales in the first half of FY 17/18. With new land releases, particularly in South East Queensland, CFMG Capital are now on track to go past 400 individual land sales for the year.
Managing Director Scott Watson said that it was important to strike a balance between price growth and sales volumes to maximise the ultimate success of any residential development.
“Through most of calendar year 2017 we saw significant spikes in both enquiry and ultimately sales, and as a result we were able to achieve incremental price growth across multiple projects without noticeable impact on sales rates. Particularly in the back half of 2017, there was a strong appetite for land registering in early 2018 which could attract a premium price and through the good work of our respective development teams we have been able to deliver a level of confidence to our end users that we will deliver titled stock in the time-frames advertised and thus achieve those premium prices where possible.”
With six operating residential land developments across multiple markets, CFMG Capitals strategic acquisition strategy is beginning to show significant rewards for the business and CFMG Land & Opportunity Fund investors. The recently announced acquisition of a strategically located 6.8 hectare parcel, 12km north of the Brisbane CBD at Bridgeman Downs will further contribute to the land sales volume for the business and will provide further opportunity for the CFMG Capital investor base.
CFMG Capital now maintains a pipeline of 1,000+ residential allotments and will continue to seek out quality strategic development parcels in key growth corridors to service the significant demand for new vacant land surrounding major capital cities. With the $202 billion Australian property sector now the largest employer in the country, according to the AEC Group, with employment in the industry having risen 22% since 2013-14. The sector contributed nearly $90 billion in taxes in 2015-16, with $34 billion of that sum going to State Governments. Property Council of Australia CEO Ken Morrison has called on governments not to "overtax" the sector.