Stage Two of Denman Prospect in the Molonglo Valley will be developed by the same company which constructed the first stage, in a $135.85 million deal with the ACT Government.
Capital Estate Developments, part of Capital Airport Group, won the right to negotiate for Stage Two as part of its successful tender for Stage One.
Stage Two consists of land for 1200 dwellings, with the suburb to eventually contain about 4500 dwellings.
Land Development Agency acting chief executive officer Neil Bulless said having the same developer continue on to the second stage would allow for a consistent approach to design, coordination and efficiency of delivery.
Denman Prospect Stage One was sold to Capital Estate Developments in 2015 for $241.3 million, and consisted of land for about 1000 single-residential dwellings and up to 1500 multi-unit dwellings.
Mr Bulless said most of the 1200 dwellings in Stage Two would be single residential, with 20 per cent required to be affordable housing.
It would also include a community park, a school site and playing fields.
Mr Bulless said construction of Stage Two was expected to start in 2018 and take about five years, with the first land releases due in 2019.
Capital Estate Development’s Project Director for Denman Prospect, Nick McDonald Crowley, said the high aesthetic quality and amenity of Stage One would be maintained across Denman Prospect for residents and the wider Molonglo Valley community.
“Our aim is to deliver a master planned community with thoughtful design guidelines to create an elegant, impressive and memorable suburb that imparts a sense of place. We will have the right infrastructure in place to meet the needs of residents before the critical mass arrives,” Mr McDonald Crowley said.
He said that as in Stage One, every home will be powered by a minimum 3kW solar system, saving households around $500 a year in electricity costs.
He said the developer would also be looking to incorporate battery storage options in this new stage.
“This development will also support Homes for Homes, a social housing project focused on reducing homelessness in the ACT. A donation of 0.1% of the proceeds of all land sold will go towards the project,’’ he said.
Denman Prospect’s Display Village, featuring designs by 12 of the region’s leading builders, was due to open in spring.