City fringe sub­urbs next res­i­den­tial hot spots

Auckland City Harbour News - - NEWS - By TOM CARNEGIE

Auck­land’s next wave of res­i­den­tial hot spots could be push­ing into the city fringe sub­urbs.

New re­search has iden­ti­fied the sub­urbs of Mt Welling­ton, Glen Innes and Three Kings as among those top­ping the list of ris­ing stars by prop­erty an­a­lysts.

The fore­casts, made by the re­search di­vi­sion of Bay­leys Real Es­tate, were based on track­ing three years of res­i­den­tial sales data and took into ac­count Auck­land Coun­cil’s pro­posed uni­tary plan and feed­back from open home at­ten­dees re­lo­cat­ing within the city fringe.

Bay­leys Auck­land res­i­den­tial manager Hay­den Stan­away says as hous­ing val­ues rise across Auck­land’s in­ner city fringe sub­urbs, more buy­ers are hav­ing to look at the next ring of ar­eas that are within their bud­gets.

‘‘Within the last 12 years we have seen home buy­ers un­able to af­ford Pon­sonby and Herne Bay then move their ex­pec­ta­tions west­ward.

‘‘In a domino ef­fect the cost of homes in Grey Lynn and West Lynn then rose sub­stan­tially. Then West­mere, Point Che­va­lier, then Water­view in the past three years.

‘‘We are now see­ing the seedlings of price growth push­ing into Avon­dale.’’

Stan­away says once Mt Eden be­came un­af­ford­able for the av­er­age home buyer in the mid 2000s, lo­ca­tion op­tions started to edge a few kilo­me­tres fur­ther away from the CBD to the likes of Mt Al­bert and San­dring­ham.

‘‘In the last 11 months we have seen that bound­ary squeez­ing into Three Kings.’’

Stan­away says it’s only a mat­ter of time un­til the wave reaches sub­urbs like Glen Innes with its high pro­por­tion of state hous­ing on flat land, a shop­ping cen­tre wait­ing for up­grades and im­me­di­ate prox­im­ity to har­bour recre­ational ameni­ties.

Most of the sub­urbs iden­ti­fied in the Bay­leys re­search as up-and-com­ing were within the coun­cil’s spe­cial hous­ing ar­eas, he says.

While the prices of homes in Mt Welling­ton, Glen Innes and Three Kings were still rel­a­tively at­tain­able at around the $500,000 mark, it would only be a mat­ter of time un­til they started nudg­ing $700,000 as the av­er­age val­ues, Stan­away says.

Photo: MICHAEL BRADLEY / FAIR­FAX NZ

Mt Welling­ton, Glen Innes and Three Kings are among those at the top of the list for up-and-com­ing sub­urbs.

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