BY MARK McKELVEY

The boundaries of Omagh and Killyclogher are set to expand even further into the countryside following the recent purchase of a 6.47 acre development site for £5.8 million in a Belfast auction by estate agents Osborne King.

A site at 41 Ballinamullan Road Killyclogher is approximately two miles from Omagh town centre was given development status within the Omagh Area Plan 1987-2002 and is zoned for housing.

What sounds like a staggering amount for this plot, perhaps may not by as big as first anticipated. It is felt by estate agents locally that "this is not the top of the market" and that there are other sites in similar areas going for a couple of million more.

This was confirmed by the auctioneer who sold the residential plot Mark McCarron, when he revealed the value of the land £5.8 million equates to £850,000 per acre, which is under the £1 million to £1.1 million per acre average estimate for similar plots around the North.

Mr McCarron said, "This is 6.5 acres of zoned land for housing, if any site at the moment can get residential planning that will be its highest value.

"It is hard to say how many houses could be erected on an area this size as any developer looking at it would be hoping to get planning for an apartment scheme as they would be able to get many more units on it, so their end value would be much stronger. It is very open at the moment what they will allow as there is yet to be a planning application on it."

Mr McCarron continued, "The auction is a fast efficient and effective method of buying and disposing of land. The balance has swung in favour of sites and lands designated for residential development, which is reflected in the headline prices achieved for sites right across Northern Ireland.

"Again, this is pretty much indicative of how buoyant this sector is at the moment."