Vermont South: Premium retirement developer Keyton acquires high-profile site
Keyton has acquired a new premium retirement site at 500 Burwood Highway Vermont South.
Vermont South retirees are set to get a lavish new housing option after plans for a $150m overhaul to a prominent site in the suburb were revealed.
The former home of the Australian Roads Research Board at 500 Burwood Highway, which used to liaise with the government from the site about transport matters, will be developed by luxury home provider Keyton who is aiming to provide homes worth $1.3m-$1.4m.
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The almost 26,000sq m of land is now earmarked for what the developer is calling high-quality retirement residences.
Keyton’s Chief Executive Officer Nathan Cockerill said the site is set to retain the Research Board’s former home in a heritage building that will become the new community’s centrepiece.
“We believe in maintaining the historical essence of the sites we acquire – the Vermont South site will blend nostalgia with modern living,” said Mr Cockerill.
“Despite the retirement living sector facing some challenges compared to standard residential developments – we want to create competitive and desirable housing options which include faster planning approvals under the national housing accord.”
The high-rises will have views looking onto the Dandenong Ranges.
The developer will build 211 apartments across six buildings, ranging from 77sq m to 125sq m.
“This development epitomises the premium end of the retirement living market,” Mr Cockerill said.
“The Vermont South project promises to offer retirees more than just a place to live; the strategic location and the adaptive reuse of the site’s heritage building will pave the way for a connected, vibrant community centred around wellness and independence for the residents.”
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Most of the homes are expected to go to locals already living within 5-10km of the site, amid high local demand.
“Most residents move from within a 5-10 km radius, reflecting strong local demand and demographics – the structure benefits retiring individuals by offering them significant financial flexibility and security.”
The developer offers various contract choices to suit different financial situations, but most residents will buy a 99-year lease upfront — usually paying with equity from the sale of a their prior home.
The site is 25,830sq m including the 13 existing buildings
“You buy the apartment and then rent the land,” he said.
“Purchasing the unit grants a 99-year lease over it and eliminates the need for ongoing land rental payments; our residents typically pay this lease upfront, often using the equity freed up from selling their previous homes.”
Residents can also opt for a deferred management fee paid upon exit, or they can choose to pay upfront and retain all capital gains when selling the unit.
A refundable contribution option also exists, where residents pay a bond upfront and receive it back upon exiting the unit.
The development is aligned with the federal and Victorian governments’ housing targets, contributing to the national goal of building 1.2 million homes over the next five years.
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