ALMOST three million pounds for a bungalow? That's the kind of money property in Sandbanks is attracting these days.

Estate agent Tailor Made sold the Banks Road chalet bungalow in question on Friday but said it could not reveal the buyer's name.

The purchaser, is a publisher, bought the bungalow and two garages underneath for £2.75million.

He paid the next door neighbours £200,000 for their garage, which, although it was owned by them, is alongside the other two underground.

Francis Payne from Tailor Made said: "The new owner plans to knock it all down and replace it with a New England-style house.

"This is when money doesn't mean anything to people anymore and they will pay the price for the location."

The four-bedroom property to be built will have a "shiplap-look" - which means the outside sports cladding which looks like overlapping wood.

The bungalow was built in the late 1950s by a local boat yard owner who had other properties in the area.

He and his brother lived in the bungalow, while his cousins lived next door - and still do.

Somehow they ended up owning the garage which was attached to their cousin's house - the one they have now sold for £200,000.

This comes shortly after Savill's sold a property in Panorama Road, Sandbanks, for £4.75m last month. The owner of that house is to knock it down and replace it with two new homes.

In May this year a plot near the house of Harry Redknapp - manager of Southampton Football Club - sold for £2.2million.

Matthew Lawrence, the owner of Amiri Developments, bought land at Panorama Road to build a £4m, four-storey glass and granite house with an "infinity" swimming pool - designed to seem part of the sea.

Green Island in Poole Harbour was sold earlier this year to Edward Iliffe and his family - the son of publishing magnate Lord Illiffe - for more than the asking price of £2.5m.

First published: November 2