Sunday, 5 January 2014

Just when you had doubts about the property bubble...

Introducing a recent addition to the $100 million house club...
Australia's most significant property listing does not officially hit the market until late January, but already the international marketing campaign has begun.
The Fairfax family's decision to sell the historic Victorian mansion Elaine was announced in September and has dominated talk in the prestige real estate market since, with agents speculating on how to value the trophy property.
There is no official price guide on the Point Piper estate but experts say it could sell for $100 million. Only a handful of Australians could afford to buy the property, let alone maintain it.

That's the Fairfax mansion at Sydney's exclusive Point Piper (link here).

Meanwhile across town there is nothing like the shine of a new landmark building project coming to life in a falling market:

THE Sydney skyline is set to be transformed across the next three years with a host of office buildings planned, but some in the industry warn that an oversupply looms as these developments enter a tough leasing market.
An analysis by one of Australia's leading property consulting firms LPC Australia has suggested that the spike in developments could lead to 355,000sq m being released between next year and 2017: between five and seven years of supply.
Sydney already has about 437,000sq m of unlet office space, about 9 per cent of the market, as the city has struggled with the contraction of the banking sector since the global financial crisis (here).

1 comment:

  1. the commercial real estate portal is expected to boom more this year as compared to the residential one. this is because the supply of residential flats is more and demand is less while its the reverse for commercial one.