Ray White Canberra was engaged by the ACT Government Land Development Agency to take the 4,607sqm site to market for sale through an Auction sale process.
The property had a restricted range of uses, primarily revolving around medical and community use. This meant the site was more likely to be purchased by owner occupiers, rather than normal property developers.
Due to the target market, we heavily weighted our efforts to identifying a target list of approximately 200 medical and community use operators that could potentially have interest in the site. We contacted all of these groups via phone or email, to advise them of the opportunity.
At the conclusion of the Sale process 5 of the 6 registered bidders originated from our target list.
To ensure potential buyers saw the property advertised in multiple mediums and competition was created, we engaged in significant public marketing including press, signage and internet. Once potential buyers in the site were contacted directly by us, then saw public marketing, their levels of interest increased.
The 5 week marketing program was broken into the following blocks:
1. Weeks 1 & 2 – Primarily involved dissemination of information to potential buyers and ensuring the whole potential buyer base had sufficient time to assess the property. No discussion on price happened at this point. We had approx 50 interested groups at the conclusion of this stage
2. Weeks 3 & 4 – Narrowing down to interested parties, having face to face meetings, ensuring that any detailed questions were answered. Feasibilities were being completed by buyers. Down to approx 15 interested parties
3. Week 5 – Ensuring interested parties were ready to bid at auction. It was our expectation that between 4 – 6 groups would be ready to bid.
There were 6 bidders at the auction, with significant competition between the 2 most motivated buyers.
The final price for the site was $3.51m, which was over $2m above the reserve price.