A new apartment tower built in the Greater Springfield region has outperformed its Brisbane city counterparts and is being touted as “a major milestone” for the area.
Just 30 minutes south-west of Brisbane CBD, the $200 million Park Avenue project is part of an eight-stage development masterplan by Plus Architecture which will see a total of 605 apartments delivered across Springfield in the coming years.
To date, the tower alone has settled 66 of its apartments between owner-occupiers and investors alike with valuations underpinning presales maintained across all 66 apartments, marking not only a major milestone but an “overwhelming success story” for the satellite city.
Maha Sinnathamby, chairman of Springfield Land Corporation, said Park Avenue represented an exciting next step in the evolution of the region as an alternative to Brisbane CBD, with “greater housing and work choices, highly-evolved infrastructure and significant government investment”.
“We can now confidently say, with our valuations coming through on par, that confidence in the Greater Springfield economy is growing and our economic plan is working,” said Mr Sinnathamby.
Findings revealed that Park Avenue was delivering rental returns of over 6 per cent – far outpacing the Brisbane CBD market, which has experienced a downturn in rental prices.
A report released by Pace Project in January, The Road Ahead for Inner Brisbane’s Rental Market, found that median rental prices over the last 12 months for one-bedroom apartments in Brisbane fell by 4.8 per cent, with two-bedroom apartments experiencing the strongest fall in values, decreasing by 5.2 per cent to $550 per week.
Mr Sinnathamby concluded by saying that while Brisbane’s property market had experienced a downturn, he expected Greater Springfield’s market to remain strong in 2017, particularly for new apartments.
“Buyers and tenants alike are continuing to seek out well-appointed residences in high amenity locations with direct access to infrastructure, transport and employment – all of which have been proactively considered in the planning of this nation-building project,” he said.