QLD Australia about to get tallest building in southen hemisphere!

Discussion in 'Where to Buy' started by big max, 24th May, 2017.

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  1. JDP1

    JDP1 Well-Known Member

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    The appeal of these buildings is that they will have a Cafe downstairs.. That serves...you guessed it...smashed avo.. Here you can wine and dine your millennial friends and show them how much of a hipster you are.
    This is more important than any capital gains - which will be next to zero for this kinda stuff in the next 3-5 years.:)
     
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  2. big max

    big max Well-Known Member

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    The appeal is proximity to beach.

    You could fit 500 apartments in a single building vs probably 500 houses total left in Mermaid Beach. Over time most people simply will not be able to afford a house for proximity to beach vs an apartment.

    Secondly is the ability for foreign buyer. Australia has limits on what non-Australian can buy.

    3rd are managed facilities. Security. Cleaning. Garbage collection. Pool. Gym. BBQ etc.

    4th is the ability to "lock up and go" if for example you are a frequent interstate or international traveller.

    5th is the increased demand for short term stays via airbnb etc.

    6th is proximity of shops right below such as cafe, 7/11, dry cleaning, massage. etc.

    7th is proximity to public transport (light rail station and bus etc).

    8th is security.
     
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  3. Foxy Moron

    Foxy Moron Well-Known Member

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    But points 2 – 8 would apply to a whole bunch of units at the GC. And in general I like the coastal skyline and the Q1 building for sure. But am I the only one that thinks this design is just crazy-high and lacking proportion ? Would have more appeal for me personally if they stopped at about that black banding about halfway up.

    By the way Max I love your input and passion for your town. This is just a personal opinion on the height v width of this one from the illustration. Interested in other POVs re this. :)
     
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  4. big max

    big max Well-Known Member

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    Noted on the height preference. What Gold Coast has done is basically allowed unlimited height restrictions for surfers paradise, Broadbeach and southport. This is going to lead to some stunnning high rises and an amazing skyline. As to who will live in these places that's up to the developers to consider. I'm guessing some will operate as hotels and serviced apartments. Some will be super luxury high end one unit per floor. Others will be quite affordable and many attract couples and singles who like this type of living. Not to mention all the Asians who are very used to this and indeed seek highrises and high levels.
     
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  5. Plutus

    Plutus Well-Known Member

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    Just as doable in a building that is 10-25 storeys tall.


    I'm not opposed to apartments, the gold & sunshine coast are both littered with apartments. I'm opposed to apartments where you are so ridiculously tall you can't even open a window to enjoy the coastal breeze or hear the ocean. There are still vast amounts of both coastlines that are undeveloped, build 2-3 towers vs 1 ridiculously over the top monstrosity.



    They can buy in smaller new buildings just as much as these.


    Again doable in smaller buildings, you could even build 2-3 towers and have shared resources (a few already do this). My issue is with ridiculous height not apartments as a concept.


    Same as any other apartment. If anything I'd think a smaller building without thousands of strangers coming and going would be more secure.

    Why would airbnb rentals prioritise ridiculously tall buildings over any other building.

    Can have ground floor commercial and be near the main strip without being ridiculously tall.


    Again this isn't a unique feature to a tall building.

    I fail to see how having hundreds more apartments makes it more secure than smaller buildings. No one is scaling 15 storeys to rob you in a regular apartment tower.


    To be clear when I say I don't understand the appeal of these buildings, I mean stupidly tall towers.
     
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  6. See Change

    See Change Well-Known Member

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    boom boom bust ....

    That's the standard cycle for Gold Coast .

    More of the same coming .

    Cliff
     
  7. big max

    big max Well-Known Member

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    Historically yes the Gold Coast has been volatile and at market peaks has peaked higher than any other city (and then also fallen bigger on market bottoms). This makes it the perfect market for investors if you know what you are doing.

    Gold Coast has not had its boom yet. On the boom bust clock with 12 being peak and 6 being bottom I put Gold Coast at around an 8 to 8-30. But mark my words a boom is coming.

    The question in most experienced investors minds is not so much of its coming (pretty much a certainty) but rather how sustainable it will be and when the peak will be. There is certainly a lot of planning around making this next boom decade long very strong solid growth story. This is my hope and what I think is most likely.

    In terms of growth I am forecasting 20-25%pa growth in some areas and perhaps 8-12% average across the entire Gold Coast. region. In terms of any possible bust the biggest possible correction after any boom might be beachfront property (which right now is historically still very cheap compared to prior cycles) and mass apartment developments in less than prime locations. Nice developments, close to infrastructure and/or proximate to beach should hold up ok. A lot of what happens in this next cycle depends on how well the Gold Coast executes on diversifying its economy and key industries, how much population growth we get, and how much interest from foreign investors we get (the potential from China, India, south east Asia, is massive!).

    Big money to be made over the next decade and now is a very good time to get in. I will let you know when I feel the market is approaching fair value. Bear in mind I am a value investor. That means I always buy assets and markets undervalue and then sell when I feel assets and market is at fair value (which by the way means I often end up selling too early, such as Sydney for example ...)
     
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  8. 2020vision

    2020vision Active Member

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  9. 2020vision

    2020vision Active Member

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  10. big max

    big max Well-Known Member

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    Wow that's nuts. Perfect example of a "buy and hold" that more than pays for itself whilst holding with eventual big payoff on development.
     
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  11. See Change

    See Change Well-Known Member

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    Not disagreeing the boom is yet to come though personally I think too much hope is centred around the games . I did say boom , boom before the bust

    My issue as you rightly pointed out is what happens after . Historically the falls have been hard and painful and with all the stock coming on line / planned I see no reason why this time won't be any different .

    My accountant had a client who invested heavily in the GC in the previous cycle and while things were going well he was fine but when the GFC hit he was having serious issues with vacancies , while our humble IP's in Logan stayed rented .

    While we were looking at Goodna this time around we did briefly look at something in the coast . Nothing flash . Older units in 2-3 story walk up blocks just behind the main drag . Low BC's etc . Saw a couple of interest but they went pretty quickly and then there were none . The sort that would be rented out by locals , not tourists .

    Just had a look at that last link and that's exactly the sort of property I would have been interested in ......

    Cliff
     
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  12. big max

    big max Well-Known Member

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