Worth buying to hold - one duplex on potential development site?

Hi, I looked at a property today that is one house in a duplex pair on total size 1200 square metre LMR block, suitable for 4-6 story low-rise type development.

One part of me thinks it's a great opportunity, I have no plans to undertake anything of that nature any time soon, it would just be a buy and hold, but the potential is there, half the street is built out with that type of development.

The downside is that I couldn't do anything without buy-in from the other duplex owner. Apparently they have said they would sell to a developer for the right priceone day, but obviously nothing is set in stone. I am flexible, I could hold and sell in 1 year or 20 years.

Would you buy a property like this?

 

Kind of land banking. What is the opportunity cost of buying and holding until other duplex ready to sell or JV?

 

It all depends on the neighbour. Personally I wouldn't because it's too much of an unknown risk for me. I'd just look for other sites.

 

I came to that conclusion too and decided to pass, its under offer now so need to keep looking.

 

If you have a town planner, maybe keep in close contact with him and ask about sites which he comes across. It can work out well.