Prices and interest in prestige properties have remained strong in recent months
Cashed-up Brisbane buyers are showing an increasing appetite for well-positioned premium waterfront properties, making a play for rare parcels of land and luxury homes along the city’s prestigious riverside.
Snaking its way through the Queensland capital city, Brisbane River was subjected to terrible flooding in 2011, which caused widespread and devastating damage to the city’s property market.
Prices dropped immediately between 5% and 10% across Brisbane, according to Australian Property Monitor figures, and the city has since staged a slow and steady recovery.
Several impressive blue-ribbon riverside properties have been listed for sale in the past six months, testing the strength and depth of the market, which has responded positively as buyers savor the choice of high-quality lifestyle properties available.
Real estate agents report they’re receiving multiple offers on prestige waterfront homes priced between A$4 million (US$2.84 million) and A$10 million. However, they’re cautiously optimistic, claiming the competition had led to steady results rather than a spike in prices.
“There’s not enough good quality properties out there,” NGU Real Estate principal Emil Juresic said of current market conditions.
“For those buyers who have A$4 million to A$10 million to spend, there are not enough prestige homes to suit their needs,” he said.
Those requirements, Mr. Juresic said, are specifically for new or renovated homes finished to the highest quality, for which there’s genuine buyer interest.
“The market is solid, it’s not going up or down … making it the best market for buyer and seller,” he said.
“Quality sells,” Mr. Juresic said. “If you’re a seller, don’t bother putting your house on the market unless it’s in a perfect condition because buyers in that price range don’t want to renovate or do anything to it. Make it perfect because you’ll get your money back or make a dollar on top.”
Brisbane doctors, husband and wife Chris and Tania Bradshaw, are asking A$11 million for Nareke, their waterfront home at Highgate Hill, 2.5 kilometers southwest of Brisbane’s central business district.
The three-level mansion was built in 1996 by the previous owner, who wanted to pay homage to Brisbane’s colonial architecture with its elaborate fretwork and wraparound verandas.
Occupying 60 meters of Brisbane river frontage, with a private jetty and boatshed, Mr. Bradshaw considers the home a value proposition for someone wanting to buy prestige waterfront.
“I honestly believe we’re selling it for about a third of what it’s worth,” he said.
“Taking into account the construction cost and land value, it comes to about three times the asking price. It’s a really good buy for somebody,” he continued.
Brisbane’s housing market has shown modest growth in the past five years, with median house values up 0.4% in the year to December 2018, figures from data provider CoreLogic show.
Brisbane’s dwelling values in 2016 and 2017 increased 1.6% and 1.8% respectively, weighed down by a glut of new apartments on the market.
In contrast, the residential housing markets of Sydney and Melbourne increased 18.4% and 13.1% respectively in the 12 months before prices peaked in 2017. Australia’s two biggest markets have since become the country’s softest markets, suffering double-digit price falls in the past year according to CoreLogic, with median house values at their lowest levels in three years.
A week before its expression of interest campaign ended on April 4, Sarah Hackett, principal of Place Estate Agents in Bulimba, sold a home on Wendell Street in Norman Park for A$6 million on behalf of the owner, Brisbane developer Tim Forrester. It last traded in March 2013 for A$3.9 million.
She said the exceptional standard of the renovation, along with its premium waterfront position and stunning city skyline views, had attracted three offers from Brisbane-based families.
“For good quality properties there are still multiple offers happening, which is a really good sign,” Ms. Hackett said.
“The empty-nester market is looking to move to areas that offer them a lifestyle connection to the water, cafes and a good quality home,” she said.“The other buyer market are families where both mum and dad are working and they have no time, so they want to be able to walk into a house that is fully done and requires no work.”
Balaam, an ultra-modern eight-bedroom home for sale on Harbour Road in Hamilton, was to test both the depth and growth in the prestige market when it went to auction in March.
However its failure to sell under the hammer hasn’t knocked the confidence of selling agent Ray White New Farm principal Matt Lancashire, who believes the three-level home, which occupies a 48.3 meter stretch of the Brisbane River, will set a new price record for the area. It last traded for A$11.8 million in 2015.
Mr. Lancashire has fielded genuine interest from five parties and his confidence was buoyed further by the success of an earlier auction in March when a waterfront mansion on Griffith Street in New Farm sold for A$7.75 million. It attracted competitive bidding from eight registered parties, selling during post-auction negotiations.
Prospective buyers interested in luxury waterfront homes are a mix of Brisbane-based locals trading up and interstate migrants, relocating to what is colloquially referred to as “the Sunshine State” for work and lifestyle.
The Australian Bureau of Statistics data show over the past decade, Queensland’s interstate migration grew by an average net figure of 11,000 people per year. It’s this figure real estate experts believe will underpin Brisbane’s forecast of moderate price growth in 2019.
“Anecdotal evidence from our agents suggests that we are seeing property buyers moving here from interstate, lured by the greater bang-for-buck proposition that is presented by our real estate,” REIQ chief executive officer Antonia Mercorella said.
“Quite simply, your real estate dollar goes further in Queensland,” she said.
Mr. Hackett said her average buyer in 2018 was 60 years old and spent A$4.1 million. This year, amid the calls she’s receiving from retirees are eager younger families from Sydney and Melbourne.
“We are dealing with two families a week who are moving back to Brisbane for cost of living and lifestyle,” she said.
“On average, they have $2 million to $3 million to spend. Brisbane is becoming a big city, a new restaurant is opening each week and there’s a lot of new development and that’s driving property,” she said.
Mr. Juresic, too, has found half his prestige buyers are Brisbane locals while the rest are coming from interstate or overseas.
“It’s an extremely liveable city at the moment,” he said of Brisbane.
“It’s not a little village anymore,” he added. “A lot of people might sell a house in Melbourne’s Toorak for A$12 million to A$14 million and they can buy a house in Brisbane that’s probably better and closer to the city for A$4 million to $5 million.”
Smart buys: Brisbane’s best properties under $800,000 for sale right now
Here’s our pick of the best buys in Brisbane and some of its surrounds at the moment — and they’re all under $800,000.
34 Ivy Street, Toowong
With tongue-and-groove floorboards, a cast-iron fireplace begging for love, a sunroom, and a prime position on 405 square metres, this three-bedroom original workers’ cottage is bound to catch eyes of inner-west renovators. No price has been set yet but agent Alex Jordan says as a vacant block on land it would achieve over $600,000.
McGrath, Alex Jordan 0410 424 749
81 Payne Road, The Gap
The rear of this multi-tone brick house surprises. There’s a single-garage-cum-workshop or home office between the double carport and an elevated timber sundeck, and there’s also a pool. It is fully fenced on a 625-square-metre block, and has three bedrooms with a further small room inside that could become a fourth bedroom or study.
Harcourts, Stephen Dangerfield 0412 145 802
48 Bringelly Street, Arana Hills
From its white picket fence to its flat sandpit-friendly backyard, the DNA of this three-bedroom, one-bathroom house is pure family. Set on a flat 607-square-metre block about 20 metres from the local bus stop, Grovely State School is 900 metres away and Arana Hills Plaza, restaurants and cafes are at the end of the street.
Coronis, Jo Dryden 07 3351 5151
19 Allamanda Crescent, Albany Creek
This substantial four-bedroom, double-storey house sits on a 1250-square-metre landscaped block. It has ample room for its pool and double garage, and there is a massive covered entertaining area and both casual and formal living and eating rooms. Two state high schools are located within 2.4 kilometres of the front door.
Style Real Estate, Claire Little 0422 755 171
40 O’Quinn Street, Nudgee Beach
This 54-year-old updated beauty on a double block opposite the beach offers three bedrooms, three bathrooms and 1000 square metres of land. Open-plan living and dining space, plenty of natural light, timber floors, and a second living area with clever built-in bench seating and storage are boons. The rear has a storage shed, two garden sheds and a single garage.
Calio & Scott Real Estate, Carl Calio 0416 145 288
6 Chase Crescent, North Lakes
Worth a look if a first-time home buyer, or investor watching budget-friendly growth areas, this super neat, modern three-bedroom, two-bathroom house also has a double garage. It is set on a low-maintenance and landscaped 486-square-metre block. It also has decent-sized, open-plan living and media rooms.
Hudson Property, Viv Robinson 0407 918 184
50 Windsor Place, Deception Bay
This two-bedroom, one-bathroom cottage on a 397-square-metre corner block has serious update or rebuild potential. Set three blocks west of Moreton Bay and one block to the suburban public primary school, it is liveable as a home or easily rentable with a modern kitchen and fenced backyard. It has a separate sunroom and a single carport.
Ray White, Lydia Robins 0438 166 763
441 Beenleigh Road, Sunnybank
This renovated, four-bedroom, one-bathroom house has parking space for two cars on a 708-square-metre block. The floor plan is open between living, dining and kitchen areas and the metro rail station is about 400 metres away. Its reserve price is unknown as required by Queensland auction laws, but it was found in a search for homes under $800,000.
Auction, June 29, 12.30pm
RE/MAX, Gary Dellios 0411 879 935
4 Parliament Street, Bethania
The federal election is done for 2019, but here is another way to get into Parliament. With three bedrooms and one bathroom, this brick-and-tile house also has a double carport and a double garage. On a flat 758-square-metre block, the back section is contained making for a fine play zone. Neutral timber-look flooring in the kitchen-meals area balances the retro swirl carpet in the living-dining.
LJ Hooker, Trina Wilson 0427 188 500
Cbus Property Plans $600m North Quay Tower
Cbus Property will partner with local Brisbane developer Nielson Properties to deliver a $600 million riverfront commercial building in the city’s CBD.
The 3,000sq m corner site, an amalgamation of 205 North Quay and neighbouring 30 Herschel Street, will now house the city’s latest A-grade commercial building.
The office development, to be known as 205 North Quay, will deliver 50,000sq m of net lettable area.
Cbus Property chief executive Adrian Pozzo said the site was ideal as it takes advantage of Brisbane’s strong economic outlook, employment growth and the state government’s infrastructure investment.
“205 North Quay is a major riverfront CBD site, ideally located to capitalise on the major infrastructure projects nearby such as the recently announced Roma Street Station, Brisbane Metro, Cross River Rail and Brisbane Live,” Pozzo said.
“Queensland’s economic growth also anticipated to continue to outperform the Australian average.”
“We will look to build on these strong economic foundations and our past success with 1 William Street, to deliver a premium and future-focused commercial tower for Brisbane’s CBD in collaboration with our partner, Nielson Properties.”
No stranger to Brisbane CBD’s commercial market, the project follows Cbus Property’s 46-storey “tower of power” at 1 William Street, home to the Queensland government.
The 205 North Quay development will add to the continued regeneration of the burgeoning North Quarter precinct, which will also include Mirvac’s 80 Ann Street tower to be tenanted by Suncorp, Shayher Group’s 300 George Street project and the recently completed W Hotel on George Street.
The development will also be located in Brisbane’s prime commercial district, capitalising on the major infrastructure projects nearby such as the recently announced Roma Street Station, Brisbane Metro, Cross River Rail and Brisbane Live.
“As a local Brisbane developer, we’re excited to be a part of the evolution of the North Quarter as it becomes a vibrant hub bolstered by outstanding connectivity to Brisbane’s CBD and premium infrastructure and amenity,” Nielson Properties director Ross Nielson said.
Cbus and Nielson have commenced preliminary discussions with the Brisbane City Council.
Last week, Brisbane-based Sentinel Property Group snatched up Makerston House, a neighbouring commercial property in Brisbane’s North Quarter precinct from investment management company Challenger for $103 million.
Further along the CBD riverfront, work has also commenced at the $3.6 billion Queens Wharf developed by the Destination Brisbane Consortium, a joint venture led by casino giant Star Entertainment Group, Far East Consortium and Chow Tai Fook Enterprises.
Work is also under way on Brisbane’s newest riverside public space, with the area between the Goodwill Bridge and 1 William Street to be developed into an above-water pedestrian walkway and recreational area called Waterline Park.
‘Why not Hendra?’ The luxury house that is poised to set a new benchmark for this Brisbane suburb
A prestigious new property in Hendra is tipped to break records when it goes under the hammer in a couple of weeks, setting a new benchmark for luxury in the area.
The five-bedroom, four-bathroom house may be located on General Street, but its myriad of bells and whistles means it’s anything but.
With a plethora of top-line features, including travertine tiles, state-of-the-art fixtures and a mosaic-tiled swimming pool, it includes a climate-controlled wine cellar as well as bespoke cabinetry throughout.
Marketing agent Patrick McKinnon of Place Ascot said the house was part of an emerging trend in the suburb towards luxury new builds. The developers behind the home, Innovare Builders, were quickly transforming the standard of Hendra homes project by project, he said.
“They’ve really lifted the benchmark for what’s expected in Hendra and set the tone for the quality that people look for here,” he said.
“This house should a set a record for the area for 405-square-metre non-racecourse property. The records are around the $1 millions and I think this is better than anything else comparable on the market right now.”
While perhaps not as well-known as its prestigious neighbouring suburbs of Ascot and Hamilton, Hendra’s gentrification is well underway, partly due to the redevelopment of Eagle Farm Racecourse.
The 379-square-metre statement home is within an easy canter of the racecourse as well as many cafe precincts.
Orazio D’Arro of Innovare Builders said Hendra’s multitude of attributes made the decision to develop there simple.
“In a nutshell, why not Hendra?” he said.
“We first chose Hendra because it is a gentrified living suburb with wide, tree-lined streets full of traditional and modern character houses and dotted by cafes, boutiques, other community businesses and gorgeous local parklands.”
Mr D’Arro said the design inspiration was Hamptons exterior meets modern European interior.
“Modern life requires thoughtful use of space and automation as well as comfort and this was at the forefront of each and every design and inclusion decision,” he said.
Located within easy commute of the Brisbane Airport as well motorways north and south, the home can be controlled from anywhere in the world via state-of-the-art automation and electrical integration.
“Part of a busy modern family’s lifestyle demands convenience – even while travelling – and the electronic aids offered up here deliver convenience in spades,” Mr D’Arro said.
Other features of the home include a rear patio designed for al fresco dining and summer barbecues, with a built-in, custom outdoor kitchen that features a barbecue and beverage centre.
The home also boasts an in-ground swimming pool lined with mosaic tiling and a manicured, drought-resistant lawn with landscaped gardens.
The property is located at 6 General Street, Hendra, and will go to auction on Saturday, June 22.
- Developments1 year ago
Brisbane and interstate investors drawn to up-and-coming King Street precinct
- Real Estate4 years ago
Brisbane’s 5 most affordable suburbs within 15km of the CBD
- Market Place1 year ago
How to make $1 million ‘flipping’ houses
- Opinion3 years ago
Are we headed for a housing crash — or not?
- Market Place1 year ago
Seaside suburbs the star performers of southeast Queensland property market
- Market Place1 year ago
Looking for a property to rent? Good luck finding something here
- Opinion1 year ago
Ignore the Press: Brisbane on the Cusp of a Once-in-a-Generation Boom in Infrastructure Investment
- Market Place3 years ago
Brisbane real estate: Most expensive homes see growing sales results