28 March: 15-17 Irving Road, Toorak – Warwick Anderson, RT Edgar

James Auction Report: Big crowd of 120 saw auctioneer Warwick Anderson replicate another RT Edgar Irving Road auction of late last year and sell this 950 sq metre property strongly for $4.6 million. On the market at $3.875 million, there were four bidders.

James Comment: This was a key sale in showing everybody, especially Toorakites that the market may be back – it wasn’t so much a surprise as a strong market statement.

 

 

 

9 May: 40 Lambeth Avenue, Armadale – Justin Long, Marshall White James

Auction Report: With rain falling, an indoor crowd of around 100 saw Justin Long entertain four bidders to an on-market price of $2,000,010. So what did it eventually go for? $2.2 million? Nope. $2.4 million? Nope. $2.6 million? Nope. It went for a gobsmacking $2.86 million. We are meant to be balanced and it was a great home but WOW, how did that happen? What is it with Justin Long, Dean Gilbert and Marshall White in these streets around the Armadale shops? $2.86 million! What recession? It's over on this one buy."

James Comment: I remember hearing this from Chris Koren, as I was there for most of the auction but had to go to another one and I believed him because you could see the shock in his manner and, for the rest of the day, I thought about that result – it was the equal first most gobsmacking result of 2009 and it was the catalyst or the signal that drove Armadale to the dizzying heights reached in 2009.

 

 

 

16 May: 58 Argyle Road, Kew – Maurice Di Marzio, Jellis Craig

James Auction Report: A very large crowd of 120 people turned out to see Maurice Di Marzio conduct considerable traffic for this well-elevated block of land in a good Kew street. Opening with a genuine bid of $950,000, things crept along to be on the market at $1.1 million. Intense bidding from five bidders saw this sell very strongly at $1.631 million. A great result for vendor and agent alike. Land in this council area and in the right condition is certainly coveted at the moment.

James Comment: There were many bigger sales in Boroondara but this sale made a major statement: the Chinese were definitely here to buy and things in the marketplace were going to be different.

 

 

 

1 June: 38 Central Park Road, Malvern East – John Chartres, Thomsons. More than $3.9 million.

James Comment: WOW – this was one hell of a private sale result and about $700,000 over what I thought would be achieved. Like Lambeth in Armadale, this had a huge effect on the entire Gasgoine estate for months to come – eg Hocking Stuart auctioned no 25 a week or two later and that got $350,000 more on a $2 million sale simply because of Thomson’s 38 Central Park Rd result.

 

 

 

13 June: 32 Grange Road, Toorak – Paul Williamson, Jellis Craig

James Auction Report: A bit of deja vu: August 2008 – a very strong and well conducted auction by auctioneer Paul Williamson with a realistic quote ($3.3 million), on market at the quote and competitive bidding from five bidders until it sold for a strong price of $4.15 million. June 2009 – a very strong and well conducted auction by auctioneer Paul Williamson with a realistic quote ($3.3 million), on market at the quote and competitive bidding from five bidders until it sold for a strong price of $4.16 million.

James Comment: This was a great yardstick auction, having also been held a year before in the GFC. Both 2008 and 2009 were at the same time of year – one year apart – by the same agent, the very good Paul Williamson, and both had about the same bidder numbers and the same result. There was no more conclusive proof that the market had been to hell in a handbasket in late 2008 but it was now back towards the peak and improving.

 

 

 

25 July: 49 Urquhart Street, Hawthorn – Gerald Delany, Kay and Burton

James Auction Report: Three bidders, with an opening bid of $1.5 million, which, a month or two ago, I would have said was correct money to do the deal. This is, after all, the Urquhart Estate, not Grace Park. On the market at $1.775 million and sold under the hammer for $2.11 million. Normally, I'd say well done to Gerald Delany and Sam Wilkinson but, being frank, I think the fact that there were no other homes in Hawthorn to buy today (at auction) was the catalyst for this incredible result. Crowd was around 100."

James Comment: Bloody hell, Mal, how can you be so far out? My best guess on this home six weeks before was $1.55 million and that was because this was a weaker part of Hawthorn and Hawthorn had really lagged behind Canterbury and Balwyn and Kew, where the Chinese money was dominating. Well, this woke everyone up and completely recalibrated the Hawthorn market. This was the most influential transaction of the year. Hawthorn prices flicked the switch and began to catch up to neighbouring markets on this one sale.

 

 

 

8 August: 2 Cole Street, Brighton – Julian Augustini, Hodges

James Auction Report: As expected, a very strong auction on a beautiful sunny day with a crowd in excess of 150. Julian Augustini from Hodges started proceedings off in the low $5 millions and it progressed slowly with three bidders until a stronger bidder entered the arena and got it on the market in the high $6 millions. A difficult late bid situation, with the call of $50,000 a milli-second prior to the hammer coming down at $7.25 million. Bidding continued with one more $10,000 bid after the $50,000 was accepted (and rightfully so - although there were murmurings in the crowd) saw it sell under the hammer at $7.31 million. Five bidders in total.

James Comment: The Golden Mile leads Brighton and Brighton leads Bayside which, in turn, affects Portsea and Sorrento, which, in turn, affects the Peninsulas. Apart from Toorak, there is not a more influential suburb, so this result reverberated among the Brighton set and said very publicly that the Bayside Market which had been lagging Toorak and Hawthorn was back towards the 2007 peak.

 

 

 

15 August: 9 Heathfield Road, Brighton East – Rod Richardson, Hocking Stuart

James Auction Report: Good crowd of around 70 saw Rod Richardson run a very strong auction. Started slowly with a bid at $2 million, then a vendor bid at $2.25 million and, with three bidders, it moved to on-the-market at $2.515 million. Half an hour later, it finished at $2.830 million, after a memorable, respectful, at times humourous, and very well-controlled bidding duel. Both bidders are to be congratulated and shook hands afterwards. That's what we like to see–- toughness but with respect. Rod Richardson is not a glamour auctioneer but he is a very good one. Never lost his place, or the bid or his patience and we rated this auction a 7.7, which is right up there."

James Comment: This sale didn’t get the coverage it deserved but, within the industry, it made it all right to pay $2 million outside inner Brighton. It confirmed publicly (with Cole St the week before) that Bayside was on the move as was fringe Bayside.

 

 

 

5 September: 10 Vista Avenue, Kew – Tim Fletcher, Fletchers

James Auction Report: A huge gathering of 200 people here. Auctioneer Tim Fletcher opened proceedings with a vendor bid of $2.4 million and five bidders joined in. This sold for $3.936 million.

James Comment: The market was showing some signs of faltering or lack of direction. Bang! Almost $4 million. On we continued. Agents talked about this Vista sale for months.

 

 

 

17 October: 221 Beaconsfield Parade, Middle Park – Hocking Stuart and Kay and Burton

James Auction Report: Opening bid of $3.8 million and three bidders took it to a bought price of $4.6 million. 50 people. Andrew Stuart of Hocking Stuart presiding.

James Comment: Not our most riveting auction report but the fact there were three bidders around and over $4 million in a high-end market (Middle Park to Port Melbourne) that just had not produced in 2009 gave all in the market confidence to buy again at this level in this area and there has been a steady flow of multi-million dollar results since, including Ferrars, McGregor, Nimmo and Canterbury.

 

 

 

November 2009: Avon Court, Hawthorn – more than $22 million – Ross Savas Kay and Burton – Private Sale

James Comment: Wow! This may have changed all of Melbourne’s, and possibly the world’s, view on how Melbourne’s property market is viewed going forward. The equal most gobsmacking result with Lambeth of 2009, and possibly as influential as the Urquhart result – not enough time has passed to tell.

 

 

 

STOP PRESS: 10 December: Just heard that Nick Renna of Hocking Stuart sold 6 Clee St McKinnon for $2 million. McKinnon - $2 million – fringe - $2 million. Hello 2010.