[CAN] New Mayfield | 41-61m | 11-17lvls | Mixed Use

[Ben]

Sounds semi promising.

[Blimp]

So they've found a new builder? Any word on who they've gone with?

[boony87]

No builder announced as yet but given the letter, the banks are keen to get it moving so that they can continue selling stage 2. Keep in mind that stage 1 is 85% funded so once this block comes out of the ground then it will give stage 2 and 3 more security. Also remember that half of stage 2 is the hotel so they don't need to sell that many units.

I'll agree that the units are on the pricy side but looking at the rest of the market they seem inline (Bohem, Vue, west on Franklin, one). Looks like the lead in rate for a bedder now is $410k + (inc car park).

Thoughts?

[EBG]

No action on site as yet (12 June 16).

[Jaymz]

There was a worker on site today, moving around some bits and pieces inside the compound.

[serca]

I was having a beer with someone involved in this development and the above is true, should see the ball rolling again soon

[AdelaideGo]

New Mayfield is going to be another Palladium on Light. They have a debt of 25/26 million, while the land is only worth less than 10 mill.

Unless they can find a way to separate the basement parking of stage 1 from the later stages, the build cost of the 1st stage alone is already more than $70 million. Their gross revenue from the approximate 100 apartments in 1st stage is less than $50 million.

Sunset date for their sales contract is another issue. I believe they are terminating in either late 2018 or early 2019. Given that their stage 1 will need at least 20 months to build plus at least 9 more months as bank contingency, unless they start building now, their sales contracts will sunset/expire before it can complete, meaning it would not even start.

[Jaymz]

New Mayfield is going to be another Palladium on Light. They have a debt of 25/26 million, while the land is only worth less than 10 mill.

Unless they can find a way to separate the basement parking of stage 1 from the later stages, the build cost of the 1st stage alone is already more than $70 million. Their gross revenue from the approximate 100 apartments in 1st stage is less than $50 million.

Sunset date for their sales contract is another issue. I believe they are terminating in either late 2018 or early 2019. Given that their stage 1 will need at least 20 months to build plus at least 9 more months as bank contingency, unless they start building now, their sales contracts will sunset/expire before it can complete, meaning it would not even start.

Yes. And given that the settlement date is mid 2018, this project is looking more unlikely to go ahead. Although i'm not convinced of it needing a 20 month build time, they would need to get cracking very soon for it to have any chance of completion in time.

If and when this is decided to not proceed, I truly hope that common sense prevails and customers have their deposits returned quick smart.

[Ben]

I think this is dead.

[Nathan]

I think this is dead.

No no it's not dead, it's, it's restin'.

[[Shuz]]

Resting in the coffin before it goes six feet under.

Wait, they already dug out the basement...

[Pikey]

Funnily enough, there are at least three excavators working on site right now.

[Dvious]

Really? That could be a good sign!

[Pikey]

Really? That could be a good sign!

Two were delivered on site this morning, much to the surprise (and delight) to the barristers at "East of Norman."

[Nathan]

Two were delivered on site this morning, much to the surprise (and delight) to the barristers at "East of Norman."

I guess the cafe is pretty close to the legal precinct.