This article is from the Australian Property Journal archive
METRO Property Developments new project in South Brisbane, The Plaza, has notched up 101 apartments sales worth more than $43 million just four weeks.
The $80 million Plaza project includes 168 apartments over 12 levels and sales to date represent 56%.
Metro Property Development founder and chairman David Devine said The Plaza development had been designed to meet the needs of today’s buyers.
“Before we created The Plaza, we undertook six months’ worth of research…We also wanted to build an apartment development in a high-growth, inner-city area of Brisbane that would provide buyers with a solid, long-term investment.
“First and foremost, we found that buyers were looking for quality, affordability and location. The Plaza fits the bill on all levels – it is located in one of Brisbane’s most vibrant and fast-growing suburbs,” he added.
Metro marketing director Ken Woodley said South Brisbane was one of Brisbane’s highest performing inner-city suburbs and The Plaza was well positioned to capitalise on the area’s strong growth.
“Demand for rental dwellings within South Brisbane have seen the area outpace the broader inner city with our research revealing a prevailing vacancy rate across South Brisbane’s apartment market of just 0.6%,” he said.
Urbis associate director Jon Rivera said South Brisbane had a lot to offer both investors and owner-occupiers.
“Its solid infrastructure means that it delivers a high rental yield for landlords and a great lifestyle for those who live there,” he said. “On average the rentals in South Brisbane are achieving a rental premium of approximately between 20 to 30% above inner city Brisbane rentals. This indicates the strong demand for accommodation in the suburb and more specifically the shortage of residential supply which may be pushing rental rates,”
Rivera said the demand and supply imbalance has been placing extreme pressure on the suburb over the past 10 years.
“Over this period the population growth has increased by about 200 new residents per annum. This rate of growth over the period fluctuating above the average upon the delivery of new supply entering the market – the scarcity of new projects since the GFC has only tightened the supply generating an increase once again in demand in residential property for the region,” Rivera said.
The Plaza development will take the value of Metro’s approved apartment developments in Brisbane to more than $400 million. Metro currently has 1,337 apartments under construction or approved for development in inner-city Brisbane and a further 950 apartments in the pipeline.
Property Review
