Greenhills Beach helps Australand report “solid” residential sales activity in 2013 first quarter
Australand’s residential division had an “encouraging” start to 2013 with “solid sales activity” recorded over the first three months of the year, managing director Bob Johnston told shareholders at yesterday’s annual general meeting.
Johnston said Australand has built on its “strong contracts on hand position at the start of the year” to average around 190 sales per month for the January quarter.
“This is an encouraging start to the year and puts us in a good position to achieve our full year targets,” he said.
Australand has one of the biggest residential lot portfolios in the country with 20,400 lots under management with an estimated end value of $8 billion.
Johnston highlighted that “importantly” most of its residential projects (master planned communities and inner city apartment developments) are zoned and weighted to the biggest housing markets of Sydney and Melbourne.
“We see our ability to create and deliver new product at our below the median price in each of our markets as a key competitive advantage.
“This is particularly important as homebuyers are confronted with a lack of new, affordable housing options,” he said.
Johnston added that the residential sector continued to be a “deep and undersupplied market” noting that affordability had improved “significantly” with the fall in mortgage rates.
Projects selling well in 2013, Johnston said, were its medium density “Local” project in Carlton, in inner Melbourne which will deliver 675 apartments when completed and its Greenhills Beach master planned development (pictured below) in Cronulla, in Sutherland Shire, Sydney.
Local delivered 97 sales over 2012 at an average price point of $500,000 with a further 89 sales recorded at year end.
Greenhills Beach managed 136 lots sales in 2012 at an average price of $830,000 and “has continued to deliver solid sales in the first quarter of 2013”.
Other projects continuing to sell well include Hamilton Reach on the Brisbane River and Cockburn Central, 20 kilometres south of the Perth CBD.
