Frasers Property Australia, a division of Singapore-listed Frasers Property, yesterday exchanged contracts to acquire The Grove housing estate in Melbourne from developer Stockland for A$202.5 million (S$198 million).
The purchase is under deferred payment terms, with settlement to occur in stages over the next three years.
The Grove, in the Tarneit suburb, is a partially completed community project with about 850 lots already sold and developed.
Frasers Property will acquire the balance of the project, which covers 167ha and will yield 1,780 residential lots. Of these, about 460 lots have been sold, with revenue of about A$130 million to be received by Frasers Property within 18 months.
The firm will deliver on the existing masterplan vision for the large-scale mixed-use project, which on completion will have more than 2,600 homes, a town centre retail precinct, proposed primary and secondary schools, a neighbourhood activity centre, a sporting oval and community facilities expected to include medical and childcare ones, as well as a series of cycle paths, parkland, creeks and waterways.
Mr Anthony Boyd, executive general manager, residential, of Frasers Property Australia, said: "There's already a strong sense of community established at The Grove and we'll look to build on this, working with existing and new residents to create a place everyone can be proud of."
Past and future home buyers at The Grove will be invited to join Prosperity, Frasers Property's loyalty and customer care programme.
Frasers Property will formally take over the project's sales and marketing functions next February.
The Grove is located 31km west of Melbourne central business district within the City of Wyndham. It is situated on either side of Davis Road and is bordered by the Werribee River and Davis Creek.
Launched by Stockland in 2014, The Grove is expected to be completed by Frasers Property in 2025.