Five strong Queensland markets and the developments driving them
There are five apartment markets across Queensland that recorded strong median price gains over the past 12 months and recording a strong number of sales (over 200) as per RP Data's latest available information.
These two figures together suggests the price growth may be the result of new, more expensive, stock is being purchased, rather than accelerating values for established properties.
Property Observer looked to see whether there were any major residential apartment developments in these areas over the past 12 to 18 months.
Biggera Waters recorded a 14% median price jump with 312 sales recorded.
The Harbour Quays development, which includes a number of apartment developments including Sirocco, Levanto, Zephyr, Aquilo, Etesian and a number of others, clearly is behind some of the strong numbers being seen in the latest statistics. The new Harbour Quays from Emandar Group is still classified as Biggera Waters, and Zephy at Harbour Quays was finished in 2014, bringing 75 apartments to market, as was Aquilo, which brought another 55 apartments.
The 2013 completions of Etesian and Sirocco saw another 61 and 60 apartments created.
Brisbane City recorded a 12.2% median price jump with 667 sales recorded.
In February, the interest in Brisbane apartments was being widely discussed. However, there have been some significant recent developments that could be contributing to this strong figure.
Prestige Abian Botanic Gardens, from Sunland Group, which launched 147 “luxury residences of extraordinary calibre”, including penthouses, sold 108 residences in the first quarter of 2014 to a value of $144 million, and two sky homes priced up to $5 million. The trend towards luxury offerings in the inner city apartment market was recently noted by Urbis.
Labrador recorded a 12.6% median price jump with 426 sales recorded.
In January, Coast Broadwater, a $100 million highrise, hit the market. Stage one of the multi-tower development included 124 apartments for sale, located on Labrador’s Marine Parade. It is being developed by Queensland’s Heran Building Group.
New Farm recorded a 12.8% median price jump with 245 sales recorded.
Sydney on Sydney, at 166 Sydney Street, New Farm, is a sold out development with 57 apartments offered. A number of similar small boutique developments have also been launched and sold. 170 Bowen Terrace features 12 new luxury apartments with significantly high prices and construction due mid-2014.
Silverstone Developments has also been active in the New Farm market, purchasing two sites on Brunswick Street with plans to build mixed use apartment buildings, and having completed two previously.
Palm Beach recorded a 10.9% median price jump with 243 sales recorded.
Pavilions Palm Beach, a project from Australian Property Growth Fund, saw 104 apartments sell in stage one in 2011/2012, and launched a final stage of 98 apartments in late-2013, early-2014.
Palm Beach’s apartment building growth is expected to continue with the recent purchase of a 4.7 hectare urban renewal site by Sunland Group. They’re planning to create 162 luxury apartments and 86 town homes.