Property Business Blog

July 2010

A noticeable increase in enquiries over the past fortnight has strengthened our work rate and proved once more that ‘one can learn something new every day’.

Also noticeable are the number of selling agents alerting us -  on a daily basis - of available and new listings, an obvious sign that vendors are becoming ‘testy’ when their properties have been sitting idle, with little, if any responses to costly, prominent marketing campaigns.

On a very positive note, buyers are enjoying successful purchases across a variety of locations.

We have witnessed finance approved and ready first home buyers and investors capitalise on the recent restrictions now placed on borrowers by the banks, swoop upon properties in areas such as beach side Buddina, Currimundi, Cotton Tree and Mudjimba and quality on top Buderim, Cooroy and Aroona, securing homes under the $450 000 mark that previously have sold for between $500 000 to $600 000.

Meanwhile, in the mid range of the market, and located in one of the top 10 predicted growth area in Queensland by Residex, the announcement of the massive Sippy Downs town centre is expected to pump 1500 jobs into the region. The Woolworths-owned project, awaiting council approval, will present a gigantic 4000sq supermarket and an 8000sq m Big W as part of the $150 million project.  

The proposed plan is only a few hundred metres from the Chancellor Park Woolworths store. The project will offer 600 jobs during construction, expected to take about 18 months. A further 900 jobs will be on offer as shops and commercial firms open.

The precinct will also include 40 specialty shops, 4400sq commercial space and 210 residential units in a six-storey complex built above the shopping hub. The first sod could be turned as soon as next year if Sunshine Coast council moves swiftly to approve the plan. The development application is the largest plan submitted this year.

Simon Berger, speaking on behalf of the supermarket mega-chain, said the Sunshine Coast was growing so quickly that it justified the scale of the undertaking.

“The financial crisis has put the brakes on development but Sippy Downs – it can’t afford to be stalled,” he said. “And by having open space, you create a hub.” Sippy Downs councillor Christian Dickson said he was hesitant to talk timeframes for the project’s approval but stressed how imperative it was for the booming area.

 “(Woolworths) have shown us what they plan to do and they’ve met with us a few times,” he said.

“We’re glad to see there’s progress on the site and anything that brings more local facilities for retail shopping will mean less travelling.

“And the high density residential close to services is a good idea.”

Mr Berger said the Chancellor Park Woolworths would not be affected by the new shopping centre.

WHAT’S IN THE BAG?

600 jobs in construction, to begin in 2011

900 jobs created once the retailers and commercial space opens

Project worth $150 million

Currently awaiting council approval

164 units, aimed at students, to be built in a six-storey complex above the centre.

To be built on the 39-acre site at the corner of Stringybark Road and Sippy Downs Drive

Source: SCD 08/07/2010

As for the ‘top end’ of the market, some wonderful examples of ‘one persons loss is another’s gain.

Last Friday evening an auction of a luxurious penthouse apartment at Marcoola changed hands for $1.6m.

In other exciting news for the future of the region, RGD Property Group’s latest $78 million multi-residential development on Kawana Island had sold out ahead of the official opening tomorrow night.

RGD Property Group, in which Grabbe and Rob Gowland are partners, built Ocean Reach at the height of the global financial crisis.

But instead of struggling to find buyers, it has proven a winner.

Mr Grabbe said yesterday that the complex, built on a two hectare waterfront site, was the first he had been involved with for the past seven to nine years that had 100% sales commitment before the launch.

The final contract was signed on Tuesday for the last of 100 apartments that sold at an average $585,000.

Prices ranged from the high $300,000s for a one-bedroom unit through to $890,000 for a three-bedroom waterfront apartment.

“It’s pretty exciting,” Grabbe said.

“It’s not luck. It’s a combination of what people are looking for combined with waterfront ocean access and water views.

“It is usually harder to sell towards the end of a project, but the features sold it.”

Ocean Reach features a lagoon pool just less than 500sq m in area, a heated lap pool, lanai, spa that fits 14 and a theatre with cinema quality sound and 14 tiered leather recliner seats.

RGD Property Group will announce plans tomorrow night for a 44-apartment boutique multi-residential development on Birtinya Island.

The property group also has begun marketing nine, gated waterfront homes to be built at Ocean Reach, each of which will have a pontoon and marina access.

Source SCD 06/2010

On the Sunshine Coast in the month of May we have noticed more properties coming onto the market under the $400000 price range. Not units, free standing houses. This week in the township of Nambour, which has always been one of the more affordable suburbs on the coast, a Post war home on a 1500m2 block was listed for $280 000, yes it needed work but still a great buy! Very liveable properties, mostly 3 bedroom, one bathroom and single lock up garage, in Aroona, Cooroy and Maleny have also come in under $400 000.

For investors: the weekly rental returns in these areas on just 2 bedroom homes are Nambour $280, Aroona $295, Cooroy $ 290, Maleny $300.

Speaking with a leading Rental Management Agent she informed us, as the rental market is historically slower at this time of year combined with people leaving the area for work reasons means the length of time properties are on the rental market has extended. The most recent data shows for the March Quarter 2010, 3497 new bonds were lodged with RTA (residential tenancies authority). Interestingly the highest (1007) was for 2 bedroom units and, second (992) for 3 bedroom houses. If you need more data or want to get in on some powerful statistics, contact us today.