Part three in our series of area reviews, David and I will cover off on some of the more active inner western suburb locations which investors may be looking to invest in. Area Overview Under the City of West Torrens and City of Charles Sturt, the inner western suburbs traditionally were view as working class areas with lower than average incomes, significant community housing and limited infrastructure. Over time however the area has grown in desirability, now with an ongoing increase in demand, especially inner ring character houses which are still below the medians of any other North, East or Southern suburb. New retail and hospitality has emerged, from small independent stores to big box retail including Adelaide’s only Ikea. Median Prices Demographics Overall, median household income across the suburbs is fairly level, with Brompton, Lockleys and Mile End being the highest for the region, and Seaton the lowest. Seaton’s figure in particular would be influenced by significant older unit stock providing low cost rental accommodation. The average ages provides a significant variance in two examples: Fulham and Mile End. Fulham represents a median age substantially above the metro average (38.8 years), likewise Mile End shows itself to have a younger, well paid population. Why West? A few of the reasons why an investor may consider the western suburbs: Lower than average medians comparative to the other Northern, Southern and East based inner suburbs Tree lined, character home filled streets with strong gentrification potential A moderately relaxed development plan, allowing infill development to cater for the increasing population Increasing retail, hospitality and general business in the area – Henley Beach Rd, Sir Donald Bradman Drive etc, all have updated modern commercial fitouts. Mile End Home Centre provides a modern hub for trade to cater for the higher expectations growing in the suburbs A short drive to the beach – CBD to the beach is a 11 minute drive, so all suburbs are only a short distance away from employment and amenity Corey’s Suburb Pick Mile End renovated Mile End home Bordering the western park lands – Mile End is as inner suburbs as you can get for the Western Suburbs. The area is filled with large blocks with character stone façade homes and an increasing ‘yuppie’ vibe. Driving into the CBD is simple, especially since the underpass was completed in the 2000’s. This area used to be seen as a very average area with a reasonable working class component, however it has increasingly become ‘discovered’, with new businesses, restaurants and higher median income families moving into the area – causing ongoing gentrification. There is a substantial renter population currently in the area, which the age demographics shows is a younger population, no doubt professionals who can benefit from the easy direct access to the CBD. As the values and desirability in the area rises, it is likely that many renters could be priced out of the market and owner occupiers increase in ownership percentage. The area will still retain a desirability in anyone needing to access employment through the CBD. Just ask David – his property management office is located in Mile End. Investment strategies which might suit the area: renovations, buy and hold gentrification play, development Corey’s “what to avoid” Properties on and surrounding arterials. The western suburbs have a far higher density of arterial roads comparative to the other parts of Adelaide. The areas are used as a transport corridor of North-South, as well as from the port and airport to Adelaide. Keeping away from these arterials will limit valuation issues from noise pollution and decreased desirability. Roads to be mindful of: Henley Beach Rd, Sir Donald Bradman Drive, Marion Rd, Richmond Rd, South Rd, Airport Rd, Grange Rd, James Congdon Drive.