This article is from the Australian Property Journal archive
INVESTORS looking to buy ahead of potential changed tax changes resulting from the upcoming federal election outcome have snapped up a string of Sydney apartment blocks.
CBRE’s Gemma Isgro said buyer interest had increased substantially in 2019, with the firm having fielded over 5,000 enquiries for available assets in the past three months.
Recent significant deals have been headlined by a private high net worth family from Dover Heights paying $5 million for a block of seven units at 686 Old South Head Road in Rose Bay, while a block of five units at 70 Blair Street in North Bondi was picked up by a Hong Kong-based family for $5.75 million.
Isgro said each campaign had generated over 300 buyer enquiries.
“We believe the spike in interest for apartment blocks has been spurred by the potential changes in negative gearing and capital gains tax, with buyers looking to invest before any new legislation comes into effect,” she said.
CBRE is marketing a block of 27, two-bedroom units built in the early 1970s on behalf of the Bergman family, which held the asset since construction. The block in a 2,309 sqm parcel of land at 10 Henrietta Street in Waverley, and is believed to be one of the largest unit blocks in Sydney’s eastern suburbs.
Heaton said the blocks are traditionally held by families for decades and are passed down through the generations.
“Investors like these assets because they provide security of cashflow and are easy to maintain for long-term family ownership.”
Australian Property Journal
