James Packer’s bold bid to help solve Aussie housing crisis

Rich lister James Packer has launched a $100m bid to help solve one of Australia’s most troubling issues.

Expatriate tycoon James Packer and his property development partner Time & Place are now seeking to secure affordable housing bonuses for their proposal to redevelop The Chimes complex at Potts Point.

There was a design proposal drafted by SJB scheduled for NSW Land & Environment Court consideration this week, but a higher and wider residential apartment project will now be sought under the NSW government state significant development process.

Packer’s NPACT Point Investments emerged in early 2023 as backing developer Tim Price’s Time & Place, which has been seeking since 2020 to purchase all 80 studio units plus 27 car spaces in the 1964 ­Macleay St block.

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The proposed redevelopment of The Chimes, a 1960s Potts Point apartment block, has moved closer.

Its been a long, costly haul, as the 75 per cent compulsory acquisition threshold under the state government’s strata renewal legislation was triggered several years ago.

Mopping up the remaining 25 per cent of the 11-storey complex only came last month after a court judgment, and at significant cost.

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James Packer. Picture: Scott Barbour/Getty Images

There was a $1.4m acquisition determination for the last holdout owner who’d been in residence since paying $44,000 in 1982.

Valuers had told the court its “as-is” market value for the 33sq m space in 2023 was $585,000 with the disturbance value calculated to be $126,000, totalling $711,000, and by 2024 its redevelopment value plus disturbance was revalued up to $900,000.

The first 82 settled lots were secured for $76.6m, with the last holdouts costing $24.1m including a rumoured $700,000-plus for a 26sq m car space.

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Investors who have since sold for windfall gains have included former Home & Away actor Erika Heynatz. Picture: Supplied

The initial 2020 compulsory buy-up offer for the strata building was priced at $85m, having attracted developer attention as it sits on less than a third of its 1289sq m holding.

Investors who have since sold for windfall gains have included former PM Paul Keating, retired stockbroker Greg Peacock and Home & Away actor Erika Heynatz.

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The Rushcutters Bay Third.i project.

Buoyed by affordable housing and design excellence bonuses, a 34-apartment, 13-storey, 50m-high block with a 5529sq m gross floor area is being sought.

By providing a 15 per cent affordable housing component for a 15-year period, the developer syndicate is seeking an additional 30 per cent in height and floor space above what was permitted under the City of Sydney’s 2012 local environment plan.

The developers face local opposition led by the Potts Point Preservation Group.

Ex-PM was another investor who sold for a handy profit.

On the other side of Kings Cross, the Packer camp, in partnership with developer Third.i, are awaiting approval for their eight-storey shop top project at Rushcutters Bay.

The Woods Bagot-designed building proposed for 51-57 Bayswater Road has been scheduled for Land & Environment Court hearing in June.

NPACT is headed by Todd Nisbet, a former Crown Resorts executive.

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