A family and a developer battle for Adelaide home in marathon auction with 85 bids between them

A spacious four-bedroom home in a blue-chip eastern suburb of Adelaide has achieved the nation’s highest reported auction result, selling well over reserve for $4.155 million.

The home at 4 Penarth Avenue, Beaumont, attracted 85 bids during a shootout between two interested parties over 40 minutes at the weekend auction, defying market trends.

Agent Peter McMillan from TOOP+TOOP Real Estate credited the strong sale price in a difficult national market to a smart sales strategy and a “perfectly executed” auction that attracted a large crowd.

SOLD - $4,155,000

4 Penarth Avenue, Beaumont SA 5066

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Three bidders registered, but only two competed on the day: a family wanting to live in the home and a developer interested in redeveloping the land with four new residences.

The reserve price was $3.85 million, and the auction progressed steadily with incremental bids until the developer withdrew, at which point the family secured the property.

“For the developer, it was a numbers game, while for the family it was an emotional purchase,” McMillan says.

He says the property was an older but well-maintained, spacious family home that one family had held for 33 years. He had a personal connection to the Penarth Avenue property.

“It is actually a home that I knew well because the vendor is a friend of mine and I’ve played tennis for many, many years on the tennis court there. It was always a welcoming home, with lots of family gatherings and friends gatherings as well,” he says.

The property spans 2116 square metres on a double block with two titles, offering rare development potential to build a new home or multiple residences – opportunities that appealed to both the purchasing family and the developer.

McMillan says Adelaide’s market, which recorded a 42 per cent preliminary clearance rate at the weekend, was relatively strong, especially for owner-occupied family homes that were well presented and correctly priced.

SOLD - $3,950,000

11 Wyuna Avenue, The Entrance North NSW 2261

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“In Sydney and Melbourne, things are looking a little bit shaky, and we get those reports, but Adelaide actually is quite resilient in terms of the market that we handle.

“We’re mainly handling properties that are not rental properties, not necessarily with investors buying them.”

He says the investor and rental markets have softened due to capital gains restrictions, but principal place of residence properties are still selling well.

SOLD - $2,704,000

15 Gwingana Crescent, Glen Waverley VIC 3150

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In Sydney, which had a preliminary clearance rate of 53 per cent, a six-bedroom home at 11 Wyuna Avenue, Entrance North sold at auction for the second-highest recorded price of $3.95 million.

In Melbourne, a four-bedroom property at 15 Gwingana Cr, Glen Waverley, sold under the hammer for $2.704 million.