Abandoned Chinese mansion in Perth’s south sells for mystery price

A dilapidated Chinese-style mansion in Perth’s south that reportedly cost its billionaire owner $75 million to build on the fringe of suburbia has sold at auction – likely for a fraction of that cost.

The two homes, spread across 4.5 hectares in Banjup, include more than 80 rooms including 20 bedrooms with ensuites, multiple large conference halls, a library, multi-functional theatre, museum, economic trade cultural exchange centre, and several kitchens with private dining halls.

The building, built by Apex Construction, uses materials sourced from China to maintain the authenticity of the folk-style architecture while the four courtyards encompass the traditions of Feng Shui teachings.

Effective Property Solutions managed the sale of the properties on Coffey Road and Beenyup Road on behalf of electronics and magnetics giant Superworld Holdings – run by Chinese billionaire James Tan.

Agent Leon Siew said he had anticipated significant interest in the property.

“While somewhat dilapidated, this Chinese-style mansion is majestic, apparently costing the owner approximately US$50 million to construct in 2014,” he said.

“After its completion, the owner returned to China for family reasons and the property has, sadly, never been used.”

Founder Erwin Edlinger said the team had been receiving enquiries day and night from around the globe including from high-net-worth Asian buyers, institutions, and associations across Australia.

“This includes multiple cash offers and requests for quick settlements, with some buyers even willing to purchase sight unseen,” he said.

“Never have I seen personally, such rampant demand on a property campaign in my 20-year real estate career.”

The price paid for the property has yet to be disclosed but was expected to fetch only a fraction of its construction cost.

RP Data estimates the property on Coffey Road to be worth $3.2 million while the Beenyup Road mansion is estimated to be worth $1.68 million.

But its sale is likely to be higher than if it had gone to market a year ago.

Ray White Group head of research Vanessa Rader said property prices continued to rise, with significant growth in both metropolitan and regional areas in WA.

“Western Australia stands out, surpassing national averages,” she said.

“Perth has become Australia’s fifth most expensive housing market, overtaking Adelaide with a median house price of $821,093, reflecting a 3.6 per cent monthly increase and a remarkable 26.7 per cent annual growth.”

Rader said looking forward recent inflation data had reignited discussions about potential interest rate hikes, which could impact property listings.

“The ongoing imbalance between housing supply and demand continues to drive price increases, while affordability concerns grow amid persistent inflationary pressures,” she said.