Brainfood

2022 WITH STEVE HUNT | MEDIAHUNT.COM.AU MARKET UPDATE

COASTAL SHIFT

Accelerating the Queensland Dream.

Glasshouse Coast

FOR MANY around the world and around Australia, the desire to live in Queensland has been a distant pipedream.

But recent data shows that the dream has become a reality for many, and this has underpinned Southeast Queensland – with the exception of perhaps Sydney’s prestige market – as the premier property destination in Australia throughout this period.

In fact, latest data shows Queensland continues to be the most popular destination in the country for property investment with the most settlements in the past three quarters than any other state.

Let’s face it, a lot of people have benefited.

Even first homebuyers who bought near the start of the boom have gained significant equity against their loans.

If you owned a house or apartment in early 2020, chances are it is worth 40-50 per cent more now than it was back then.

If you were an investor anywhere in the Southeast, you will have done well on paper.

If you are a property developer, you probably have a very healthy balance sheet with incredible sales to report in some projects during this period.

One thinks of Sammut Group’s ‘Coast’ project which sold almost $200 million in product at an average price of more than $4 million – a record for the Gold Coast.

Or Spyre Group’s $77 million Natura at Burleigh Heads which sold out of its apartments on one weekend in 2020.

Or S & S Projects’ Flow apartments at Rainbow Bay that sold out rapidly at an average price of $3.5 million.

I could go on – there are many projects that have sold out giving developers incredible balance sheets and new investors to Queensland stunning new abodes in which to not only accelerate, but accommodate the dream.

It’s not all beer and skittles however, and there are certainly some developers putting projects on ice because they no longer stack up against the spectre of rising construction and materials costs.

Regardless of this – the dream continues to become a reality for many with Queensland recording its highest migration numbers last year in almost two decades.

What is most notable is the quality of the investment coming into Queensland.

Rich listers like Harry Triguboff, Max Beck (Beckdev), Eddie Hirsch (Hirsch and Faigen) and Sam Arnaout (Iris Capital) have combined investments on the Gold Coast in the billions of dollars.

And these players have the balance sheets to resist any headwinds.

Hirsch and Faigen only recently announced Queensland’s leading construction company Hutchinsons to build its third Gold Coast project in 18 months – Yves at Mermaid Beach which has been one of the sales standouts of a softening off the plan market.

Sammut Group has also announced Australia’s largest construction company Multiplex as the builder of Coast.

The migration into regional areas out of the traditional live-to-work pods of Sydney and Melbourne is profound.

In the past, the biggest hindrance for growth in the state was a lack of unemployment.

But with unemployment now at around 4 per cent there is certainly an economic case to move to the Sunshine State.

Add to that comparative value – we are still in some areas three times better value than some areas of Sydney and Melbourne – and you have all the ingredients you need for the boom to continue.

The creep up the coast is starting to percolate as well.

It’s been almost 20 years since a large scale residential and marina project has been added to Queensland’s coastline, but a South Australian

Yves Flow

V & A Natura

consortium has just unveiled a $350 million marina and resort project that is set to transform Airlie Beach in the Whitsundays.

The approved project aims to convert the pristine prestige pocket of Shute Harbour into a world-class destination featuring a new resort hotel and residential precinct with restaurants and retail outlets, complemented by a 400-berth marina.

Shute Harbour Marina, the first port and resort residential precinct since the $250 million Port of Airlie was built in 2006, will create the ultimate waterfront lifestyle for residents and tourists in one of the world’s most pristine sailing locations.

The multi-use marina, located on a prime 41ha waterfront site, will tap into a critical shortage of secure boat moorings in the state’s north.

Most importantly for the regions, the project will provide a much-needed boost for post-Covid tourism in the Whitsundays region and create 700 jobs during and post-construction.

Shute Harbour Marina Resort will also include a new commercial hub known as Pier 61, as part of a master-planned marina plaza that will create a range of new retail and commercial outlets for the waterfront development.

“This is a development of regional and state significance that will deliver enormous benefit to the local economy.”

“In particular, we’ve seen growing demand for marina berths in recent years and this is an exceptional offering that delivers a highly accessible mainland residential resort with a superb range of amenities and supporting services,” said Project Director Mark Daniels, who heads a consortium developing the project

The Shute Harbour Marina Resort master plan comprises 58 managed resort dwellings, each with their own private marina berths of 25 metres at their doorstep; a retirement resort of 70 apartments with resort club facilities; and a 100-plus room resort hotel, including function and meeting rooms, bars, restaurants, swimming pool and undercover parking.

The plan also includes a 44-room international backpackers accommodation offering with reception, lounge, games room and amenities.

The re-birth of areas from Coolangatta to Cairns is a blend of rapid and slow, but it is sustainable as long as the dream of southerners to live here continues.

Barring circumstances out of our periphery, I believe we are still in the early stages of a transformational shift that will benefit Queensland for many years to come.