Mt Hotham to sell prime mixed-use site in village

Michael Belby
AFR Tuesday 20 September 2016

The management board of Mt Hotham is selling a 1905-square-metre mixed-use development site in the Victorian ski resort's main village.

The site, on 28 Great Alpine Road, can be built up to five storeys and the board wants it to incorporate new commercial, medical and ski patrol facilities in addition to residential accommodation, real estate agent John Castran said.

"What they want is to find a suitably qualified developer that can share with them the vision of unlocking the value in the site," he said.

"What the resort board would like to see is a developer that will reincorporate the medical centre and ski patrol into a new building."

The value of the site, if it were offered on the same long-term lease without the requirement for medical centre and ski patrol, would be "somewhere between" $1.5 million and $2 million, Mt Castran said. The expected development cost of the new centre would be between $20 million and $30 million.

The worst may have passed for the mountain's property market.

Real estate sales at Mt Hotham - Victoria's third largest resort by skiable terrain after Falls Creek and Mt Buller - are making a slight recovery after more than halving in volumes since 2009.

Total sales slumped to $3.8 million worth in 2014 from the $14 million of 2009, resort figures show. Last year they picked up to $6.4 million. Prices remain subdued, however, with the 2015 median sale price of $143,000 the lowest since 2014, when it was about $120,000.

While the board, which oversees and manages the resort, was keen to see development work begin on the site as soon as possible, it was willing to consider a staged development, Mr Castran said.

"They would like to see something happening on the site by next year."

It was the last available site for development in the resort's central village, he said.

Expressions of interest close on October 7.

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