3 Sep 2019
The Gold Coast new apartment market recorded 153 sales, according to the latest Urbis Apartment Essentials results released.

Though a decrease from the previous quarter which saw 231 sales recorded, Lynda Campbell, Senior Consultant at Urbis, stated that this can largely be attributed to the type of new projects being launched to the market. 

“The majority of new projects being launched recently are smaller in scale than previously seen, particularly in the Southern Beaches Precinct. The larger owner-occupier apartments tend to take longer to sell as prospective buyers usually have a home to sell and are more invested in choosing the right apartment,” Ms Campbell said. 

The Southern Beaches Precinct recorded the highest level of sales of the four precincts during Q2 2019 with 74 sales, equating to 48 per cent of total sales. The Gold Coast Central Precinct followed with 55 sales (36 per cent of total sales). The Coastal Fringe Precinct recorded 22 sales and North Shore recorded only two sales. 

“The Southern Beaches Precinct is dominated by projects ranging in height from six levels up, with an average height of around 14 levels,” Ms Campbell said. “The average number of apartments in these projects is 84 and they are mainly targeted towards owner-occupiers. In comparison, high rise projects in the Gold Coast Central Precinct have an average height of 27 levels and an average of 130 apartments.” 

This quarter recorded the highest weighted average sale price since Urbis began monitoring the new apartment market in Q4, 2013. A figure of $875,817 was recorded and has eclipsed the previous high of $812,045 during Q2, 2014. The increase in price was driven by premium apartments selling across the Gold Coast Central and Southern Beaches Precincts. These two precincts achieved a weighted average sale price in excess of $900,000. 

At a product level, two-bedroom, two-bathroom apartments, which make up the majority of sales, increased in average price by 11 per cent.  

The number of new apartments remaining for sale across the Gold Coast has fallen for the fourth consecutive quarter. One year ago, supply levels reached a peak of 2,594. Since this time, 24 new projects have been released to the market, containing 1,992 apartments. Despite these new project launches, the overall supply level has fallen to 2,033 apartments at the end of June 2019. 

Urbis are currently monitoring 210 potential projects – an increase of 13 projects from 12 months ago. However, while the number of potential projects has increased, the number of proposed apartments has declined by around 2.2 per cent. “This highlights the shift away from large-scale projects to more boutique projects,” Ms Campbell said. “Of the 14 developments that we expect to launch to the market before the end of the year, only one of them is greater than 100 units.” 

  • Weighted average sale price of $875,817 recorded  
  • Seven projects with 936 apartments launched in the quarter 
  • Two-bedroom, two-bathroom apartments most popular product type, achieving 64 per cent of sales 
  • 530 apartments approved in the quarter 

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