Deicorp on track with $1.7b Metro North West property pipeline
Work will start within weeks on developer Deicorp’s $750 million Tallawong Village project in north-west Sydney following NSW government approval for the high-density development this week.
Tallawong Village is being built next to the Tallawong Metro North West station and includes 17 new buildings encompassing 987 apartments, 9000 square metres of retail and a 3500-square-metre park.
Planning Minister Rob Stokes said the approval was a step forward in addressing housing supply issues in western Sydney.
Deicorp has gone all in on the Metro North West rail line, which services one of Sydney’s major growth corridors, securing four sites next to Tallawong, Rouse Hill and Showground stations.
It has so far won the only two Landcom Metro North West tenders that have gone to market – Tallawong Station Precinct and the Doran Drive Precinct near Showground Station.
The other two sites – The Ashford, 300 metres from Showground Station, and Proximity, which is close to Rouse Hill Station – were bought privately.
Development of 375 apartments is well under way at Rouse Hill and work will start in late August at The Ashford, a 272-apartment project.
Meanwhile, Deicorp has lodged a development application for 440 apartments at Doran Drive with approval expected next February.
Robert Furolo, executive manager communications at Deicorp, said the company only built near transport infrastructure.
“We have a very clear strategy of developing close to transport hubs – it’s absolutely our priority,” he said.
Mr Furolo said the total gross realisation vale of the four Metro North West projects would be $1.7 billion across more than 2000 apartments and retail.
Landcom CEO John Brogden said the organisation was working with landowner Transport for NSW and further high-density land releases were planned at Kellyville, Bella Vista, Norwest, Castle Hill, Cherrybrook and Epping stations.
Mr Brogden said about 10,000 apartments will be delivered as part of the Sydney Metro North West Places program with proceeds going back to the NSW government, which has spent $8.3 billion on the project.
“Transport for NSW own the land and we’re developing it out for them, and this is how the government will recoup some of its expenditure on the rail line,” he said.
Mr Brogden said there had been spirited bidding for the sites but many major development brands had not been participating.
“What’s been interesting so far is it hasn’t attracted the tier-one developers,” he said.
“We don’t know why nor do we have a view whether it’s a good or a bad thing.
“However, it is a brand-new market and it’s a greater western Sydney market where traditionally the tier-two developers have played.
“This creates a broader market for high-density, for the economy and brings in different capital to the projects as well, that is also beneficial to the property industry in Sydney.”
