Development Victoria has caved to community pressure regarding the redevelopment of a former school in Keilor Park, about 17 kilometres north-west of the Melbourne CBD.
The state government development arm acquired the ex-Keilor Park Primary School from the Department of Education and Training in 2009.
A subsequent plan to build 72 townhouses on the 1.84 hectare parcel at 46 Eliza Street drew opposition from more than 400 local residents and an appeal by the Member for Niddrie, Ben Carroll, to Minister for Major Projects, Jacinta Allen.
Development Victoria later undertook a community engagement process regarding the site – in mid-last year.
This week, it announced that it would sell-down the ex-school as 28 standard blocks.
Without knowing the size of each plot, or the infrastructure investment required, it is difficult to ascertain the windfall coming to Development Victoria.
According to this research on website realestate.com.au, the median house price in Keilor Park is $770,000.
Assuming each block is valued at about $450,000, a sale campaign could return a total about $12.6 million.
Last week, we reported that the former Calder Rise Primary School, a two hectare block, was sold by the DET to a local aged care provider for $8.2 million.
Mr Carroll unsuccessfully lobbied for this site, 32A Green Gully Road, Keilor, to make way for a community project.
In 2013, Embracia Communities paid the DET $5 million for the former Milleara Primary School site in North Road, Avondale Heights – not far from Keilor Park.
This 1.85 hectare parcel has since made way for a 170-place aged care facility, Embracia Moonee Valley.