Urbex buys $45m+ oceanfront Adelaide site for master-planned community

Approved plans for 169 lots and coastal reserves

Urbex – the national property development arm of the $2 billion Brisbane-born multinational BMD Group – is expected to transform the elevated site into a new residential neighbourhood, with planning approval already in place for 169 residential allotments, two super lots for high-density housing and numerous public reserve spaces. Residential lots will range from 194 square metres to 1012 square metres.

The vacant landholding was reportedly held by the Roche family, one of South Australia’s wealthiest families, which has divested its property empire in recent years.

Urbex has created a webpage for the project. However, exact timings are yet to be released, while detailing “an exciting new coastal community is taking shape at Hallett Cove” in the City of Marion.

“Spanning 12 hectares, this highly desirable neighbourhood boasts spectacular, elevated ocean outlooks across Gulf St Vincent, seamlessly connecting residents to pristine local beaches, established shopping amenities, public transport, and surrounding conservation areas,” the Urbex website reads.

Urbex aims to achieve best practice in project development, environmentally-sensitive design, community integration and development management.

High demand for shovel-ready land amid housing shortage

Juers says the property’s rare combination of scale, stunning coastal frontage and planning approvals generated exceptional buyer interest, amid housing shortages across the state.

“We received significant interest from local, national and international markets, ranging from residential developers to land lease community and lifestyle village operators,” he says.

“The campaign showed there is extremely strong demand for shovel-ready residential development sites across Adelaide and South Australia, given the current housing crisis and limited supply of land and quality sites across the state.”

A recent Grattan Institute report found Adelaide house prices had surged by more than 90 per cent since the COVID-19 pandemic.

“Adelaide now has less-affordable housing (relative to incomes) than Melbourne, a city more than three times its size. On that basis, Adelaide now ranks as having the sixth most expensive housing in the world,” the report states.

According to Domain Insight, a typical three-bedroom home now sells for about $900,000, attracting young families and interstate buyers seeking a beachside lifestyle within easy reach of the CBD. That’s up from about $855,000 when the property was listed in February, prior to its March acquisition.

Juers says Urbex will be able to kick off the residential subdivision without delay.

“With all the approvals in place, the purchaser is able to get to the market and release the end product quickly,” he says.

Lambert says the site’s breathtaking oceanfront views and strategic elevation were also key drawcards for buyers.

“This was one of the last remaining coastal locations for a land development in Adelaide’s south, and offered a generational chance to shape the future of a high-growth, high-demand region,” he says.

Hallett Cove is known as one of Australia’s most significant geological and archaeological landscapes, while also ranking among Adelaide’s most sought-after southern suburbs. 

According to the South Australian government, the “magnificently developed glacial pavements along the northern cliff tops are recognised as the best record of Permian glaciation in Australia and being of worldwide significance.”

Future residents will enjoy direct access to Hallett Cove Headland Reserve and the 7.2-kilometre Marion Coastal Walkway, which links north to Marino through Hallett Cove Conservation Park, offering one of the state’s most dramatic coastlines. The fast-growing suburb is bordered by Marino to the north, Trott Park and Sheidow Park to the east and Lonsdale to the south.

The dramatic north-facing cliffs preserve geological formations of international significance, recording glaciation from about 280 million years ago. In comparison, the broader landscape dates back more than 600 million years and has yielded more than 1700 Indigenous artefacts.

The triangular clifftop site, opposite the Adelaide Desalination Plant, has extensive frontages to Burlington Road, Sigma Road and Fairbairn Drive, providing multiple future access points. It is also close to established shopping, sporting clubs, schools, beaches and cafes.

Residents will benefit from access to the upgraded South Road corridor and Southern Expressway, while Hallett Cove Beach Railway Station – supported by a connecting bus service – provides rail links along the Adelaide-Seaford line to and from the CBD and surrounding suburbs.

The acquisition expands Urbex’s South Australian development pipeline. It follows the developer’s planned boutique residential project about half an hour away in Sellicks Beach, where it is preparing about 65 home sites around 300 metres from the beach near the McLaren Vale wine region.

Urbex forms part of the 1979-founded BMD Group, which describes itself as Australia’s leading integrated engineering, construction and urban development business, employing more than 2300 people through its five specialist companies, BMD Constructions, BMD Urban, Empower, JMac and Urbex. 

BMD has widespread experience in the state, delivering more than 2700 residential lots across more than 40 projects, including developments at Mount Barker, Angle Vale, Aldinga and Riverlea, while also delivering major infrastructure projects including the Palmer Wind Farm and the SA Water Pipeline Partner Program. BMD also operates in the Philippines and the UK, and in March announced plans to expand into the US, in a partnership with global professional services firm GHD, employing more than 12,000 employees in 160 offices across five continents. 

BMD chief executive Scott Power says the company sees strong opportunities in Texas, a state with a robust heavy civil pipeline and a business culture that aligns closely with BMD’s values and work culture.

“After exploring the North America market over the past two years, we are excited to bring BMD’s capabilities and way of doing business to the US market,” he announced via a company statement. “We genuinely believe there is a strong synergy between BMD and the Texas market. Our values, focus on relationships and the way we approach projects align closely with the way Texans do business.”

Since its establishment in 2003, Urbex has developed residential communities across Australia, with its portfolio including the 2,000-lot Capestone community at Mango Hill north of Brisbane, the 2,000-plus-lot Mandalay estate at Beveridge in Melbourne’s northern growth corridor, the 1000-lot Georges Fair community in Sydney’s south-west and Darwin’s 815-lot Zuccoli Village.