Sass Brothers Spending Expense Now Covers Tri-State

Melbourne property developers Stephen and Tony Sass have expanded their traditional east coast stronghold with a strategic push into Western Australia.

The move marks a change in their investment strategy while aggressively acquiring properties in Victorian growth corridors.

Oreana Group, founded by the Sass brothers in 1999, has been steadily building a significant portfolio of assets in Melbourne’s growth corridors, but recent interstate expansion opens a new chapter in the company’s growth strategy.

Oreana, which owns diversified property business Wolfdene, has acquired a 72ha site in North Ellenbrook, Perth, for $30 million.

The site, located 28km from Perth’s CBD, is earmarked for an 800-lot site with the potential to accommodate 2,000 residents. Construction is scheduled to begin in 2029, with the final project cost expected to exceed $300 million.

Wolfden said it was one of WA’s largest private developers, with $100 million worth of greenfield acquisitions in Perth since 2020 and a pipeline to the west worth more than $2 billion (GRV).

Oreana managing director Tony Sass said: “Supported by population and job growth, we see huge growth potential in the Perth market.“

Oreana announced its move to Queensland this year, acquiring a 21ha site at 281-323 Petersen Road and 13-37 J Dobson Road, Morayfield, 45km north of the Brisbane CBD. Subdividing the land into 250 homes will help the developer “get to work” on establishing a permanent office in the state.

Closer to home, Oreana is strengthening its presence in Melbourne’s western growth corridor with the acquisition of a 29.6ha site at 160 Hobbs Road, Wyndham Vale, for $31 million.

The acquisition is adjacent to their 20.8-hectare holding at 290 Hobbs Road, purchased in May 2023 for $13.8 million.

Both sites run along the Werribee River and are part of the Ballan Road site structure plan. Their final value is $91 million and $65 million, respectively.

Add to this Oreana’s acquisition of a 29.5ha site at Thalia, Rockbank, with a capacity of 390 lots and an end value of $140 million.

The developer is buying properties at low prices as it anticipates renewed investor activity ahead of an expected cut in interest rates in 2025.

Sass said “the green shoots coming into the Melbourne market… gives us confidence that we can buy well and move ahead with supply.”

Oreana had approximately 400 townhouses across Melbourne, all with approved permits. These latest acquisitions will deliver around 900 new homes, according to developers.

Oreana’s Northern Corridors portfolio expanded significantly in April 2023 with the greenfield acquisition of the 125.3ha Donnybrook site for approximately $130 million.

The group has entered into a development agreement with Dennis Family Corporation to supply approximately 1,400 residential sites in the Peppercorn Hill area, which is approximately 30km north of Melbourne. It will feature a 6-hectare town center, high school and sports field, with an estimated cost of more than $700 million to complete.

Sass said: “The delivery of this large-scale village masterplan project will provide much-needed housing, community facilities and infrastructure in Melbourne’s northern growth corridor.”

Oreana has significant assets in Wollert, where it controls a variety of low- and medium-density residential projects, as well as strategic positions in Melbourne’s south-east growth corridor.

In addition to their commercial activities, the Sass brothers combined three clifftop properties in Sorrento, spending $61 million to create a family compound.

The 1.14ha site at 3440-3444 Point Nepean Road was acquired in three separate transactions over 20 months from the family of late property investor Stuart Carter.

The largest of these purchases in Sorrento was a property with an area of ​​3,695 sq. m. m at 3442 Point Nepean Road, purchased for $24 million in March 2023.

The historic Hindson House at 3440 Point Nepean Road, a circa 1870 heritage-listed mansion, was purchased for approximately $16 million and the 3,693 sq ft site. m at 3444 Point Nepean Road is expected to sell for $21 million.