A new construction contract in Sydney’s south has been revealed by the Australian Financial Council, and it could potentially lead to a major house price rise.
Key points:A contract has been put in for a “potential” $9.4 million home in Caulfield, south of Sydney, that will see the city’s largest single-family home demolished and rebuilt with new foundations, and a “strict” minimum standard of living for the new owners.
The contract includes a $10,000 deposit for the purchase of the property, and $1,000 per month rent to live in the home until the house is built.
A new construction company has been contracted to build the project.
The project was approved by the NSW Department of Planning and Primary Industries (DPI), but there is no date set for completion.
“The Caulfords have expressed interest in the construction contract,” a DPI spokesperson told the ABC.
“We are reviewing the project as part of our ongoing work to assess the feasibility of the project and will work with the Caulfields as part the process.”
Caulfield is a suburb of Sydney and is a popular location for construction companies to park their bulldozers, and the company behind the new home, Caulford Constructors, is based in the area.
The new home has been designed by the architect and is located at the end of a cul-de-sac in the suburb of Wollongong, where the first home was constructed.
A large portion of the new development will be located in Cavenfield, and there are plans to build an office and residential tower on the site.
The construction contract, signed in April, gives the CCC the right to negotiate a price with the owners, and to set minimum standard living requirements for the home, according to the DPI.
“Caulfolds are built on a site with limited land and water, and limited infrastructure for their design,” the DPIs website says.
“Therefore, the property will need to be designed to provide for the highest standard of community living and comfort within the site.”
The new Caulfort house will be built on what is known as a “permanent ground floor”, which is the first floor of the home.
In the future, the COO will oversee the design and construction of the homes, and will also oversee the demolition of the first house.
“If the property does not meet the above requirements, the DP will have the right of first refusal to demolish the property,” the site reads.
Caulford is also a prime location for the demolition and rebuild of older buildings in the city, such as the Carlton Hotel, the iconic Sydney Opera House and the Sydney Opera building.