ALAND set to deliver over 675 apartments amid New South Wales supply shortage
ALAND has welcomed the first crop of residents in two of their Western Sydney projects; Lotus and Breynia in Schofields and The Hoxton in Liverpool.
Delivering 677 homes to market at a time when New South Wales is facing one of the most dire supply shortages in decades, a majority of the stock has been taken up by first home buyers, looking to get their foot in the property market door.
According to the 2022 Apartment Supply Pipeline Report just delivered by the Urban Development Institute of Australia (UDIA) NSW, the state’s current apartment deficit of 48,000 units is expected to get worse before apartment completions would eventually reach demand.
The report shows that New South Wales would need to produce 25,000 new apartments each year for the next 13 years to balance the scales.
ALAND founder and director Andrew Hrsto said despite the sobering outlook and the rising interest rate environment, the grroup has forged ahead this year to settle 374 apartments in stages five and six of its staged Schofield Gardens project along with 303 apartments at The Hoxton, a 32-storey apartment project in Liverpool.
“We have been able to find the formula for creating quality homes at affordable prices in locations that are future growth centres,” Hrsto said.
“We’ve been very encouraged that the apartments are settling – the valuations have held up, and our buyers are able to lock in the finance and that’s exceptional news,” Andrew Hrsto says.”
ALAND will have over 1300 apartments under construction in 2023, with 652 apartment units expected to be completed in the second half of the year, as well as progressing the planning of a further 5500 homes.
Currently under construction is ALAND’s Carson on the Park in St Marys that will bring 289 apartments priced from $475,000, Paramount in Parkes in Parramatta will deliver 331 apartments with prices beginning from $655,000.
In Merrylands, The Gladstone Village offers 363 apartments starting at $482,000, while Archibald in Gosford offers 363 apartments starting at $475,000.
“We are dedicated to making a positive contribution to the future of Western Sydney and both Schofield Gardens and The Hoxton, Liverpool are a reflection of that promise. Our commitment is to deliver quality homes that represent true value for money for all buyers,” he added.
Both the Schofields Gardens stages and The Hoxton Liverpool are sold out with more than half of the apartments bought by first-home buyers. At Schofield Gardens, where sale prices were between $430,000 for a one-bedroom and $800,000 for a three bedroom, approximately 56 per cent of the apartments were purchased by first-timers. The Hoxton Liverpool, where prices ranged between $432,000 and $709,000, approximately 55 per cent of apartments were sold to first-home buyers.
“At ALAND, we see an opportunity to help even up that disconnect between supply and demand while delivering quality homes and investment opportunities in Western Sydney, specifically in areas supported by great infrastructure.”
“Liverpool and Schofields are two vibrant communities offering residents a wealth of amenities including lifestyle facilities, great transport connections and employment hubs. We’re delighted to have created these landmark properties which will provide high quality accommodation for hundreds of people for decades to come.”
NSW Treasury data has revealed Liverpool and Schofields were the top two in-demand suburbs for first home buyers over the last financial year. Both developments fell within the price thresholds for a variety of government assistance schemes, therefore allowing hundreds of buyers to get onto the property ladder sooner.
In the year to July 31, the NSW Government assisted first-home buyers with almost $566 million in grants, duty exemptions and concessions.
From January 16, eligible first-home buyers purchasing a home under $1.5 million can also avoid a hefty up-front stamp duty fee by opting into an on-going property tax instead.
ALAND CEO George Tadrosse said by supplying the market with a variety of quality affordable housing stock, both first-home buyers and investors are able to tap into the power of real estate as a source of wealth creation.
“Investors have been turning to these projects in Schofields and Liverpool in the knowledge that there is a genuine need for more rental stock in Sydney. With low vacancy rates and an influx of post-pandemic immigration on the cards, investors are filling an incredible need for accommodation,” Tadrosse said.
In stages five and six of Schofield Gardens approximately 26 per cent of the apartments went to investors while at The Hoxton Liverpool investors accounted for 34 per cent of the sales.
“Our goal moving forward is to continue to help Sydney meet this growing demand by releasing more stock into the marketplace. There are ongoing challenges including the impacts of a complicated planning environment, but we remain hopeful that we’ll be able to continue to progress the additional 5500 homes we have in the earliest stages of delivery next year,” George Tadrosse added.
