Suburb spotlight: Neutral Bay's demand rising but potential growth remains

Suburb spotlight: Neutral Bay's demand rising but potential growth remains
Jennifer DukeSeptember 2, 2014

Five kilometres north of Sydney CBD, Neutral Bay in the North Sydney Council area is a blue chip area popular with capital growth investors.

It's on the lower north shore, and is bound to the East by the Warringah Freeway. Largely serviced by buses, it also has two wharfs, Neutral Bay Wharf and Kurraba Bay Wharf, for those taking the ferry.

Statistics to know

Houses

  • Median house price: $1,658,000

  • Median weekly advertised rent: $950

  • Five year growth: 16.97%

  • Quarterly growth: 6.25%

Units

  • Median unit price: $723,000

  • Median weekly advertised rent: $550

  • Five year growth: 38.94%

  • Quarterly growth: 0.35%

Source: RP Data

Including Neutral Bay Public School, Forsyth Park and a couple of reserves, the main daily attraction remains the busy Military Road shopping strip or Neutral Bay Junction, around which Woolworths and a Caltex are placed. The Big Bear is another focal point for locals, including a medical centre, Coles, restaurants and specialist grocers. Other popular spots include The Oaks Hotel, as well as Maisy’s Café – a 24 hour coffee spot. In the past few years, low-rise commercial development has been strong in the area, bringing a surge of restaurants and outlets.

On Military Road, it seems that some are attempting to capitalise on the centrality of their property. One development application in particular stuck out for Property Observer. A proposal for the demolition of the single storey commercial premises at 128 Military Road and the re-build of a mixed-use commercial/retail and residential building was approved subject to conditions. The apartments will include three studios, seven one-bedroom, eight two-bedroom and four three-bedroom apartments, as well as communal facilities on roof level, including a gym. The property is owned by Lexeno Pty Limited.

The development is expected to bring two commercial tenancies on the ground floor, 22 apartments on the upper levels and basement parking for 16 cars. It will cover five storeys.

Meanwhile, for something a little different, The Tier on Premier is a brand new offering, marketed through CBRE. It includes two- and three-bedroom apartments from $1.33 million, with a grand opening this weekend at 2 Premier Street, and is offering just seven boutique apartments with views of North Sydney CBD. It is being developed by Moore Development Group.