RESIDENTIAL development may be booming in the northside hub of Chermside, but it seems the market may just be playing catch up as demand continues to outweigh supply.
Brisbane City Council reports that development applications for new apartment projects have increased from 2013 and are now averaging more than two per month in Chermside and Chermside West.
Neighbourhood planning and development assessment chairman Amanda Cooper said the suburbs had been steadily growing in popularity as high-density residential areas for the past decade.
Cr Cooper said expansion of the shopping centre since the 1980s had seen continued interest around the regional husband the Chermside Centre Neighbourhood Plan, adopted in 2013, had offered more choice for families wanting to be close to jobs and services.
Developer Open Corporation has seen the demand for new residential development from all segments of the market – owner-occupiers and investors, both local and interstate.
Chermside and Chermside West are booming
Managing director Matthew McAndrew said Chermside had benefited from infrastructure and upgrades such as the AirportLink tunnel.
“The Chermside market has been undersupplied for the last few years, I think we’re just playing catch-up to the market at this point,” he said.
“There has been some holding in the area for a while and now the market has improved (the projects) have come to the market.”
But the key sites around Westfield shopping centre are starting to “dry up” according to Mr McAndrew, who is marketing the $34 million Evolve Apartments through his real estate company McAndrew Properties.
The 72-apartment project at 39 Thomas St offers a mix of one, two and three-bedroom apartments from $340,000.
Quest Serviced Apartments senior sales consultant Ian Hughes said his company showed confidence in Chermside with its second apartment project in the suburb currently under way.
Chermside on Playfield, at 38-40 Playfield St, is a $22 million investor-only development of 78 apartments.
Mr Hughes said buyers would have a guaranteed rental income, whether or not their apartment was occupied.
“This is the second Quest building in Chermside so that shows our confidence,” he said.
“We see a 25-year period there at least which provides investors with guaranteed income.”
Lennium Group operations manager Andrew Boyd doubted Chermside would become oversupplied, particularly in the townhouse market.
“There is huge demand at the moment due to a lack of buyer activity over the last five years,” he said.
“Townhouses are a scarce offering and the market, so far for us, has been highly accepting of it.”
Mr Boyd is marketing a 37-townhouse project at 853 Hamilton Rd, Chermside West.
The $18.5 million Hamilton 853 is under construction with prices starting at $484,900.
In the apartment market, Franchi Realty managing director Adrian Franchi said bigger was better and that the $18 million Affinity development would satisfy buyer needs.
Chermside and Chermside West are booming
“A lot of people are wanting to move into areas like Chermside but can’t find big enough apartments,” he said.
“Buyers are looking for quality, the kind that gives long-term growth.”
The project at 15 Kingsmill St will comprise 39 apartments from New York-style studios to large three-bedroom options, priced $239,000 to mid $600,000s.
Down the road, at 27-29 Kingsmill St, The Woodstore is also offering larger than average apartments.
About half of the project’s 45 apartments have sold. Which Property business development manager Mark Montague said buyers were drawn to the floorplan size, boutique nature of the project and competitive pricing.
Two-bedroom options start at $455,000 and three-bedroom at $675,000.
Amanda Carle, sales agent for Carbone Developments which is delivering Nature’s Edge, said Chermside’s owner-occupier market was largely downsizers.
She said the $32 million parkside project was selling fast.
“It seems that people are downsizing their homes for low maintenance and lifestyle-location living with all its fine trimmings and luxuries,” she said.
Nature’s Edge at 107 Kittyhawk Drive backs onto parkland and offers two and three-bedroom apartments from $370,000.
Source News.com.au 30 December 2014
Kaufland acquires third Queensland site
Kaufland Australia is pressing forward with its Australian expansion with the acquisition of its third Queensland site, in a location that may concern local players.
On Wednesday, the German retail giant confirmed that it has taken ownership of Morayfield Village Retail Centre at 177-189 Morayfield Road, a suburb of Moreton Bay Region in north Brisbane.
The property listing on the Commercial Real Estate website indicates that the center is next to Morayfield Regional Shopping Centre, which houses major market players including Coles, Woolworths, Target, Kmart and Big W, with an Aldi store and two additional Woolworths supermarkets also situated in the precinct.
The 16,690sq m site, described as “a well-established, modern, single-level retail center”, includes a 6,939sq m building which is more than enough for a Kaufland supermarket, which generally occupies a total store area of 4,000 square meters.
Earlier this month Kaufland announced that it was making its first foray into the Toowoomba region in southern Queensland, along with the purchase of a site at Burleigh Heads on the Gold Coast.
A spokesperson for the retailer said that it is planning to explore further opportunities in the area.
“We are committed to long term, sustainable investment in Queensland, and we are delighted to be looking at all sites and opportunities that are available, ” a Kaufland spokeswoman said
“We look forward to continuing to work together with Moreton Bay Regional Council and all key stakeholders with the goal to deliver high quality, great service, and amazing value to the wider region.”
Kaufland has advised that its supermarkets will be stocked with local, regional and international products at discount pricing, with each store including a bakery, butcher and liquor areas.
In March, Kaufland Australia received planning approval for its first three stores in Victoria at Chirnside Park, Dandenong, and Epping as well as its Melbourne headquarters and Australia’s largest distribution center to be located at Mickleham.
The following month, the retailer was granted development approval to build its first South Australian store in Prospect, an inner northern suburb of greater Adelaide.
Nielson Properties Lodge Plans for $350m Burleigh Heads Project
The fast-growing Gold Coast hot spot of Burleigh Heads may soon welcome two 23-storey towers and its first five-star hotel after developer Nielson Properties lodged a development application last week.
Nielson Properties has teamed up with Chris Vitale of Brisbane’s Pointcorp group to develop the $350 million project, which comprises a 132-key luxury hotel and 92 residential apartments.
Managing director of Nielson Properties, Ross Nielson, told The Urban Developer that it made sense for the two to collaborate.
“Otherwise there would have been four or five separate towers not really related to each other, while our [scheme] has a fully-integrated ground plane which leads to much better community and design outcomes.”
The proposed beachfront development on The Esplanade at Burleigh Heads includes the amalgamation of two sites—the existing 49-unit White Horses apartments and the four-unit Burleigh Court—for a total site area of 4,039sq m.
Nielson Properties has a put-and-call option on the White Horses site for $22 million, while Vitale has ownership control of the adjoining Burleigh Court at 5 First Avenue.
The existing unit blocks will be demolished to make way for the two 23-storey towers, which include a three-storey podium structure and 394 car parks over three-levels of basement car-parking.
“One of the big issues in and around Burleigh is car parking, so we’ve delivered 216 more car parks than what is required in the town plan,” Nielson said.
The parking allotment, including 162 paid car parks available to the public, will increase car parking availability in the area by 24 per cent.
The developers have committed to significant landscaping and street “beautification” in its submission to council, pointing out that vehicle access will be via First Avenue—removing car movement from The Esplanade.
The developers have signed a heads of agreement with a five-star hotel brand—which has hotels in New York and Los Angeles—to operate the purpose-built 242-bed hotel and marks the brand’s entry into the Australian market.
“The Burleigh market is quite different to what you see in [neighbouring] Broadbeach and north,” Nielson said.
“It’s a more sophisticated international and interstate market that tends to visit Burleigh.”
The 132-room hotel and 92 “luxury” residential apartments will be in separate towers, connected by a three-level podium which will house a hotel lobby, porte cochere, cafes and restaurants.
The 92 units are comprised of 39 two-bedroom, 50 three-bedroom and 3 four-bedroom build-to-sell residential apartments. The development will not offer short-term accommodation.
The median unit price in Burleigh Heads grew 4.5 per cent in 2018 to $533,000.
In its submission to council, the developers said the project will generate 150 construction jobs in the area for the two-year build period. The proposed resort complex will employ 248 full-time staff to manage the hotel operations.
In Brisbane, Nielson Properties has partnered with monied superannuation fund Cbus Property to develop a $600 million riverfront commercial building in the city’s CBD.
A heavy-hitting architecture shortlist was announced for the 205 North Quay project in August, with the winner set to be announced shortly.
Pesdev Group get DA for big retirement complex north of Brisbane
A massive resort-style retirement complex with almost 400 units has been approved for sites near the South Pine River at Albany Creek, 21km north of Brisbane CBD.
Moreton Bay Regional Council has given the nod to two applications by Pesdev Group, (a privately-owned Brisbane-based property development company) – one for 287 units at 85 Greensill Rd and one for 121 units at 110 Greensill Rd.
Each unit would have two or three bedrooms and the complex, described as an independent and assisted living over 55 resort project, would house about 600 residents in total.
The larger development will consist of six four-storey residential buildings, while the smaller one, on the opposite side of Greensill Rd, will have four three-storey buildings.
Pesdev said they would operate as a combined development, with residents of both having access to a library, a function room, a cafe, a gym, baths and yoga/pilates room and a pool at 110 Greensill Rd.
There are also plans to possibly add aged care facilities in the later stages of the development.
The council approved the 287-unit application, despite it exceeding the dwelling density by having 91 dwellings/ha on the 6.25ha site.
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