UPSIDE DOWNSIZE

Developers switch course as homebuyers buck traditional home trend

THE Gold Coast is Queensland’s downsizer capital, with homebuyers bypassing the traditional residential house for apartment living.

Retirees and families are snapping up the mod- ernised units, which now make up about 20 per cent of the off-the-plan market. It has forced developers to move away from cramming in units in new apartment buildings and providing more spacious, luxury accommodation.

Property industry figures say downsizers are seeking more spacious living arrangements which require little maintenance but offer high-quality facilities.

THE Gold Coast is Queensland’s downsizer capital, with homebuyers bypassing the traditional residential house for apartment living.

Retirees and families are snapping up the modernised units, which now make up about 20 per cent of the offthe-plan market.

It has forced developers to move away from cramming in units in new apartment buildings and providing more spacious, luxury accommodation.

The trend was fuelled by interstate buyers looking for more than a two-bedroom, one-bathroom traditional sale – and they are happy to pay more for the privilege.

The averange price for these units ranges from $1 million to $1.6 million.

Palm Beach and Broadbeach are leading the way, according to new data compiled by Realestate.com.au.

Burleigh Heads, Biggera Waters and Bilinga were also among the top 10 most indemand areas.

Property industry figures say downsizers are seeking more spacious living arrangements which require little-tono maintenance but offer high-quality facilities that are close to major shopping centres.

These boutique towers generally come equipped with pools, gyms, high-end kitchens and large bedrooms.

The data, covering the final quarter of 2018, revealed the three major factors which motivated downsizers buying off the plan were:

● The novelty that nobody has previously lived in the unit.

● The buildings meet current safety standards.

● Buildings which were more energy efficient and with sustainable features.

Among those developers who have changed their approach is long-time Gold Coast fixture Sunland Group, the company behind the Q1, the southern hemisphere’s tallest residential tower.

Late last year, it replaced plans to build a 34-storey tower in Labrador with a 16storey boutique project.

Sunland managing director Sahba Abedian said more than 70 per cent of buyers in Magnoli, the company’s Palm Beach development, were downsizers, while at its Marine Concourse project at Royal Pines it was as high as 80 per cent. “The downsizer market continues to emerge as a prominent buyer segment,” he said.

“The apartment sector has evolved significantly in recent years and Sunland in particular has been designing for owner-occupiers for some time, providing larger living areas, generous balconies, ample storage and the highquality craftsmanship sought by this segment.

“The demographic isn’t limited only to retirees but also includes families and professional couples.”

New figures released last month by Treasury predicted the Coast would grow by 14,670 people annually for the next 25 years, up from the average of about 10,000 per year.

The Gold Coast’s population is set to hit 1 million people by 2045.

And this market is set to keep growing, according to leading real estate agent Andrew Bell.

The Ray White Surfers Paradise boss said there had been a surge in interstate interest in January.

“It primarily came from Sydney and Melbourne people who were looking to move out of houses and downsizing but want sizeable apartments and this is what we are steering toward,” he said. “There has been a snowballing effect in the past five years and as long as we can maintain the lifestyle and not get too expensive we will continue attract these buyers.”

Realestate.com.au chief economist Nerida Conisbee said there was significant interest in the Gold Coast from interstate and overseas.

“The Gold Coast is emerging from its place as a holiday destination and it is evolving and changing as the business world grows,” she said.

THE DEMOGRAPHIC ISN’T LIMITED ONLY TO RETIREES BUT ALSO INCLUDES FAMILIES AND PROFESSIONAL COUPLES SAHBA ABEDIAN