Apartment developments booming in Brisbane
Brisbane is one city that should be on your watch lists if you are considering buying property as an investor or a home buyer. Not only is it one of the most affordable east coast capital cities to buy property right now, but it is also one of Australia’s fastest growing capital cities and its population is expected to reach 3.18 million by 2031.
This increased population is mainly down to overall infrastructure spending and job growth which is contributing to a high level of growth in the apartment development market with many more brand new apartment developments taking to the skies, especially within inner city Brisbane.
Brisbane as a whole is undergoing a complete transformation with many infrastructure projects underway. Earlier this year, Destination Brisbane Consortium won the Queens Wharf bid, a project costing over $2 billion which will completely transform Brisbane’s North Bank as well as revitalise seven city grid squares which will envelope Queen, Elizabeth, William, Margaret and Alice Streets.
Attitudes are changing and today people want to have convenience at their doorstep. This means many more apartment developments need to be situated in close proximity to important amenities including train stations, bus stops, shops, eateries and services and schools to assist with this lifestyle choice.
According to Walkscore.com, Brisbane is the fourth most walkable large city in Australia, and the most walkable neighbourhoods include Brisbane City which scored 95 out of 100, Fortitude Valley (94) and Spring Hill and South Brisbane both scoring 92.
Over 2 million people currently live within the Greater Brisbane region and almost 70 per cent of the population are of working age between 15 to 64 years, which is higher than the Australian average and equal to more than 1.4 million people.
Brisbane is also home to a multicultural community with a quarter of the population born overseas and is home to a large Chinese community as well as many residents born in the UK, New Zealand, South Korea, Taiwan, Singapore and Vietnam.
Brisbane’s residents are also well educated with over 330,000 residents (20% of the adult population) holding a university degree. The majority of those who work are employed within managerial or professional occupations which perfectly suit the apartment demographics who are looking for both convenience and lifestyle.
According to a Financial Times publication last year, fDi Magazine, Brisbane was rated within the top 10 of its “Global Cities of the Future” rankings for “human capital and lifestyle”. Brisbane was also placed eight out of 62 major cities assessed throughout the world.
The Economist Intelligence Unit’s Global Liveability Ranking also ranked Brisbane in 18th place out of 140 cities, with Melbourne taking the number one spot for the fifth year running. And if that’s not enough, then Brisbane has also been ranked the world’s eighth most beautiful city by Rough Guides.
One of the attractive aspects of Brisbane for property investors is the affordability compared to property prices in both Sydney and Melbourne right now, where you can still purchase brand new units for approximately $400,000, whilst a unit in Sydney would be almost $700,000.
Rental yield is also another appealing factor and according to CoreLogic RP Data, Brisbane is seeing a rental yield of approximately 5.9 per cent, compared to Sydney and Melbourne which are seeing rental yields of 4 per cent or less.
Brisbane right now is the best place to buy for capital growth and with an average of 261 days of sunshine a year, plenty of opportunities for water views overlooking Brisbane River and easy access to the Gold Coast with brilliant golden sandy beaches, Brisbane truly is a great place to invest in property.
Published on 10th of December 2015 by Marty Stanowich