BIG GAINS IN SMALL COMPLEX
Large apartments in inner-city boutique complexes are hot property, with the latest research report showing demand for these apartments will soon outstrip supply.
The Matusik Property Insights report finds while Brisbane’s wider unit market is entering a downturn, large apartments in small inner-city projects are holding firm, with demand from downsizing owner-occupiers on the rise.
The report finds boutique apartments stack up financially, with small projects in prime positions – on the river, in high-street locations or with uninterrupted CBD views – delivering better gains in 2016 (3.9 per cent) than other inner-city apartments (-1 per cent).
It also shows larger apartments are the ones to buy, with three-bedroom apartments across inner Brisbane averaging gains of 9.6 per cent per annum over the past decade, more than double the average of 4.6 per cent.
Report author Michael Matusik said innercity locals looking to downsize locally, more couples without children staying in or returning to the inner-city, and fewer people living alone were contributing to the growing demand for boutique apartment living in the city. “There is a need to build more owner-resident oriented housing stock across inner Brisbane that is largely fuelled by residents looking to downsize and, importantly, stay in their area,” he said.
Bulimba is identified in the report as a suburb with rising demand from downsizers. Mr Matusik points to just a handful of boutique projects on Bulimba’s riverfront that will deliver apartments to suit discerning downsizers.
They are: Amara Residences, with 13 two and three-bedroom apartments; Barca, with 31 units; 29-31 Byron St, with 16 apartments; and 27 units in The Boatyard. “This strongly suggests that, unlike other locales across inner Brisbane, the Bulimba area is undersupplied with appropriate housing choice,” Mr Matusik said. “We believe there is considerable local pent-up demand, as most locals cannot find the appropriate product to downsize to.”
The Boatyard at Bulimba (left) will help cater to pent-up downsizer demand in the suburb, alongside Amara Residences (right) and Barca (below right).