This article is from the Australian Property Journal archive
METRO Property Development's Central Village project in Brisbane's Fortitude Valley has received more than 1,000 rental registrations.
Tenants rushed to take advantage of the National Rental Affordability Scheme, which has been scrapped by the federal government.
Metro’s $450 million Central Village has one of the final allocations of NRAS apartments and rental rates in the first building, Cambridge Towers, are 30% below the market value.
Managing director Luke Hartman said the volume of rental enquiries for Cambridge Towers was the largest of any Metro development to date.
“Since the end of the NRAS scheme this year, renters have rushed to snap up the last remaining NRAS rental properties in Brisbane’s inner-city,” he added.
Central Village will eventually comprise five towers and 970 apartments. The project is expected to take approximately five years to complete.
Resolution Research director Diana Howes said the rental response at Central Village was not surprising considering that there had only been two major residential developments completed in Fortitude Valley over the last five years.
“Even with the number of projects planned in the inner northern corridor we expect there will still be an undersupply of approximately 2,000 apartments. This undersupply has been one of the key drivers for the valley market with yields currently sitting at in excess of six% while vacancy rates are very low at less than 2%,” she added.
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