Besieged developer Nicholas Smedley is paying close to $1 million to walk away from the $9 million purchase of a Glen Iris home last May.
The property traded following an invite-only auction, with six bidders attending.
It is exchanging for $8.05 million – with Mr Smedley’s deposit, and additional payment, bringing the deal value to the $9 million price agreed a year ago.
The six-bedroom renovated period home set a suburban price record when it was acquired by Mr Smedley, also at an invite-only auction.
On a 2000 square metre plot capturing Stonnington Valley views, the holding includes a tennis court and pool.
The value smashed a suburban price record held since 2011 when a five-bedroom home at 25 Scott Grove sold for $6.55 million.
At the time Mr Smedley purchased 4 Fairview Grove, his construction company, Steller, was about to commence an $80 million renovation and extension of Sorrento’s high-profile Continental Hotel.
Mr Smedley bought into the Sorrento venture in 2017 – the same year Steller acquired a string of residential development sites including 200 Wells Street, South Melbourne, and the former Greyhound Hotel in St Kilda.
It is also understood Steller is seeking buyers, off-market, for some of its sites.