Toowoomba townhouses, The Clifton, lays down first concrete slab
The Clifton, a townhouse project in Queensland’s Toowoomba expecting significant investor interest, has seen the first concrete slab put down at one of its three sites.
In total, there will be 43 townhouses delivered within The Clifton development, with this first site, Clifton on Blake, delivering eight. The other two sites are called Clifton on Anzac and Clifton on Vacy, and they will all be started and completed at separate times. However, these final two are expected follow the completion of the Blake site very quickly, in an estimated six to eight weeks.
The builder for the sites is Arden Vale Homes, who are located in Toowoomba.
The next stage will be site drainage, after which the frames and roof trusses will be installed as the sewer line is replaced. This is expected to take five weeks.
This week, units one to four will see work beginning on replacing the sewer lines.
The Clifton on Blake is located at 5 Blake Street, Wilsonton, and has four three-bedroom townhouses and four two-bedroom townhouses. Special mention is given that it is located outside of a flood area.
Clifton on Vacy is located at 81 Vacy Street, Newtown, and includes six three-bedroom townhouses and 20 two-bedroom townhouses.
Clifton on Anzac sits on 86 Anzac Street, Newtown, and offers three three-bedroom townhouses and six two-bedroom townhouses.
Photo: Clifton on Blake
They include stainless steel appliances and open plan designs split over two-levels, starting from $299,500 and 117.5 square metres. They vary in prices up to $355,500, however most seem to sit around the $320,000 mark.
The median sales price in Newtown, Queensland for a house is $268,250 with $300 per week in rent, while the median units sits at $236,500, with $268 in rent, according to RP Data.
Meanwhile, in Wilsonton, Queensland, the median price for a house is recorded at $274,000, with $290 per week in rent, with unit median prices sitting at $235,000, achieving $265 per week in rent.
They are being developed by Thirdi Property Group, who said that they identified an undersupply of quality medium density dwellings in this area, that may underpin strong demand for these homes. Thirdi focuses on providing investor stock, so it would be fitting that these properties may see a large number of investor purchasers.
Rental estimates from Colliers International place achievable weekly rent at $320 to $330 per week on a two-bedroom townhouse, and $370 to $380 per week on a three-bedroom townhouse (estimates for Clifton on Blake). You can see the rental appraisals online here. Similar rents are achievable at the other two townhouse stages.
This comes to an estimated 5% to 6% yield unfurnished - however, promotional material suggests that adding a furniture package could boost this higher. The vacancy rate in the area, according to SQM Research, has been slowly on the incline for some months, yet it does still sit at a low 2%.
They have also, in conjunction with BMT, produced depreciation reports for the properties. The Clifton on Blake depreciation report explains that the total depreciation estimate for year one of ownership for the two-bedroom townhouses is from a minimum of $8,207 to a maximum of $10,030, decreasing gradually through the years held. This amount is slightly higher on a three-bedroom townhouse.
NextHotSpot, who are connected with Thirdi, produced the following video of the area, showing developments that they believe will “turn Toowoomba into a logistics hub”.
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Toowoomba has also seen itself secure a place on a number of magazines' lists as a hot suburb; some multiple years in a row.
Clifton on Blake is expected to be completed in July/August this year, while Anzac and Vacy have August/September 2014 and September/October 2014 completion expectations respectively. Each is located near arterial roads and key shopping centre hubs.