SHARE THIS POST
APARTMENTS in a popular Gold Coast suburb have earned trophy status by outperforming markets across Australia.
Broadbeach’s median apartment price growth in the past five years to March trumped every capital city except Hobart, independent market analyst Urbis found.
The bustling beachside ’burb notched 5.4 per cent growth per annum to land it a $579,000 median apartment price, according to Urbis’ figures.
Hobart gained 8 per cent per annum to its $388,000 median unit price.
The Glitter Strip as a whole posted a 2.6 per cent per annum lift to a $418,000 median, eclipsing Brisbane which recorded 0.6 per cent per annum to a $430,000 median.
A bumper year of new apartment sales in 2018 with 236 pads changing hands, was credited to the gains.
Urbis director Matthew Schneider said Broadbeach was “in its prime” being at the heart of the Coast and with $9.7 billion in infrastructure projects planned, underway or recently completed.
“When a large city like the Gold Coast experiences significant growth, areas that are centrally located and well connected receive the greatest benefit, which is often reflected in a lift in property values,” he said.
“Broadbeach apartments achieved prices during the March 2019 quarter that were on average 38.5 per cent higher than the overall Gold Coast median apartment price.
“This can be largely attributed to the suburb’s proximity to new and improved infrastructure and amenities.”
Mr Schneider said despite there being a number of new residential projects in the pipeline for Broadbeach, it still had a limited supply of apartments compared to its neighbours.
“Surfers Paradise has almost 39 per cent of the future apartment supply for the Gold Coast central precinct (Labrador to Broadbeach), while Broadbeach only has about 16 per cent,” he said.
“Broadbeach’s future supply should be absorbed by an increase in demand due to population growth, with the suburb expected to double its population to reach approximately 30,100 residents by 2041.”
The lack of supply isn’t just affecting Broadbeach with the Gold Coast as a whole struggling for stock.
Ray White Surfers Paradise CEO Andrew Bell said the upcoming spring selling season was only going to increase demand.
“From a buyers perspective the biggest challenge for markets is a lack of stock and we are definitely seeing this on the Gold Coast,” he said.
The Star Gold Coast recently fast-tracked the launch of its second residential and hotel tower in order to keep up with demand for Broadbeach units after the popularity of its first tower.
“The first residential tower, The Star Residences Gold Coast, saw a 92 per cent sell out across the 423 apartments within 19 months,” The Star Entertainment Group managing director and CEO Matt Bekier said.