Ex-Barker train station trades between developers

The Barkers Road site is earmarked for c100 apartments over six floors.

EXCLUSIVE

Hisense – known in Australia for its electrical products, but globally recognised as a developer – and Montezuma Group have sold a prominent blue ribbon development site after several attempts.

The now defunct apartment proposal, with 45 dwellings.

The 7799 square metre block, 139 Barkers Road, Hawthorn – the ex-Barker train station, later the California Hotel – collected $26.4 million including GST from Sun Property Group.

Permit ready for 48 apartments and two houses, all across four levels – a project the vendors failed to get out of the ground after an off-the-plan campaign in 2019 – SPG is planning something denser, appointing Cera Stribley to pen a six storey project with c100 units.

CBRE’s David Minty, Jing Jung Heng, Nathan Mufale and Trent Hobart, the agents, closed an expressions of interest campaign in June.

Development at last for prominent site

For 70 years until 1957, 138 Barkers Road, also facing exclusive Hawthorn Grove, housed the Barker train station, which extended from Camberwell to Kew, specifically, the Denmark St site now accommodating the former VicRoads headquarters.

The California Hotel replaced it in 1960, closing in 2008, soon after Alex Waislitz chaired, Pratt family part-backed Thorney Investment Group bought it for $13.4m.

The motel was razed in 2013 – development not taking place, in part because the economy was recovering from the (2007-2009) Global Financial Crisis.

Montezuma paid Thorney $18.5m in early 2014; the property came permit-ready for an 87-unit retirement village obtained via the Victorian Civil and Administrative Tribunal (story continues below).

The Hawthorne apartments were for pre-sale in 2019.

A redesign was then approved (by the City of Boroondara) for a 45-unit aged care complex atop a car park.

A Williams Road, Toorak, complex SPG is proposing.

In 2016, the land was unsuccessfully offered for sale with a $40m-plus guide.

Three years later, Montezuma and Hisense, which is China based, launched a marketing campaign for a luxury residential project.

Branded The Hawthorne, targeting “wealthy downsizers”, the 45 dwellings around Jack Merlo designed gardens, starting from $2.5m, didn’t generate enough pre-sales for construction to begin.

CBRE listed the parcel last May after a former agent failed to sell after a lengthy off-market campaign with a $33m-$35m guide.

North Sydney based SPG is expected to start building soon, the project recently appearing on its website as upcoming.

In Melbourne it is behind two Toorak projects, one, 226-228 Williams Road, which was permitted last year.

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Marc Pallisco

A former property analyst and print journalist, Marc is the publisher of realestatesource.com.au.