Singaporeans pull out of Yarraville development deal
Singapore-listed restaurant operator ABR Holdings has pulled the plug on a $20 million deal to develop a former insulator factory in Yarraville in Melbourne’s west.
The food group was the latest in a wave of Singaporean companies trying their luck at Australian property development as housing conditions tightened in their homeland island state.
ABR Holdings’ first-time venture in Australia has been truncated early after the company announced its due diligence over the derelict property on a 1.5-hectare site at 2 Banool Avenue had come up short.
“The group has decided to terminate the contract for the purchase … accordingly, the deposit of $1.9 million has been refunded,” it said in a statement to the Singapore exchange.
ABR Holdings signed the initial deal for the Yarraville land with the Stambo’s Group, a local family-run food services business.
It was subject to obtaining a planning permit within 300 days to develop a minimum of 81 dwellings on the site.
ABR Holdings’ chief business is running a popular Singaporean ice-cream restaurant chain called Swensen’s.
At the time of the purchase, the group said it had been looking at several development opportunities and intended to convert the site into residential homes.
Nearby is the former Bradmill denim factory, at one stage owned by developer Colin De Lutis’s De Group.
Mr De Lutis sold the 24-hectare site, renamed Yarraville Gardens, to Chinese-born developer Tommy Jiang’s Fortune Property Group last year for $160 million.
The story Singaporeans pull out of Yarraville development deal first appeared on The Sydney Morning Herald.