Current Projects
Seaford Beach – Victoria
The Area
Seaford is located on Port Phillip Bay, north of the city of Frankston which is the gateway to the Mornington Peninsula and surrounding beaches.
The Nepean Highway follows the coast through Seaford, with shops and residential areas on one side, and the coastal foreshore and beaches on the other side. The Seaford Pier is located opposite Seaford’s main commercial precinct and is a popular spot for fishing or swimming in the surrounding calm waters. Seaford has over 5 kilometres of sandy beaches which are clean and safe for swimming along an essentially straight section of coastline.
As well as the beach, Seaford offers visitors a number of other natural attractions. The Kananook Creek Reserve is a lineal park which follows the route of the creek and features native bushland and a 6 kilometre walking track. The extensive Edithvale-Seaford Wetlands features 300 year old river red gums and a large collection of rare and endangered migratory bird species. Walking and cycle tracks surround much of the wetlands, with an elevated viewing platform accessible via Austin Road. SOURCE: travelvictoria.com.au/seaford
Seaford has shown very strong capital growth over the last five years as the Current Median house Price graph from the REIV demonstrates.
The Property
Four x 1 bedroom & One x 3 bedroom strata titled units
Typical un-renovated kitchen & lounge room
Un-renovated bedroom & bathroom
Renovations will commence mid September 2010 and be completed by the end of October 2010. Refer Renovation Example for standard of renovation.
There are 5 units on the block, the whole block has been purchased in one line we now have control of the body corporate (owners corporation). An investment in a fully renovated 1 bedroom unit with extensive common property enhancement within 1 km to the beach will be around $260,000.
The units are all strata titled (4 one bedroom and 1 three bedrooms).
All 1 bedroom units are the same.
All units have private backyard, individual parking spaces and water meters, electrical hot water system, stove and heater, new ceiling insulation.
Block 920 sq.m
Building 320 sq.m
Total Rent June 2010 approx. $46,667 pa
City Council rate $3584
Land rate $299
Insurance $1210
Water $2037
Banks Property Group will oversee the running of the owners corporation. The Owners Corporation fees will cover building insurance, public liability, gardening and maintenance of the common areas etc. We would expect around $200 -$250 per quarter per unit to cover the Body Corporate fees.
The property was acquired by Scott Banks Real Estate Group on behalf of a group of property investors. The external makeover and internal renovation will be carried by kerbsideappeal.com.au in conjunction with Banks Property Group. You can have a look at some of past projects, all completed in the last few months at kerbsideappeal.com.au.
As an example, a recently completed renovation of an apartment in Glen Iris, this is the standard of the renovation we would propose for Seaford, the link to the property is… Renovation Example. The photos show the standard the renovation at Seaford will be completed to by kerbsideappeal.com.au on your behalf.
The Future
Once renovated inside and outside the rent for the one bedroom unit would be expected to be around $225 – $250 per week. If a rent of $250 is achieved this equates to $$13,000 per year and would give a return of around 5%, which is higher than the average return on a residential units in Melbourne which on average is currently 4.3% according to rp-data.
Our recommendation is to buy and hold for the long-term.
ALL ENQUIRES PHONE: Scott Banks 1300 537 274 or 0411 700 099 email: scott@scottbanks.com.au
It is very easy to get excited about Melbourne’s residential property as the following Victoria State Government projection details:
Projections for Melbourne
Melbourne is experiencing record population growth. It grew by 273,000 between the 2001 and 2006 censuses.
Overseas migration is the main contributor to Melbourne’s growth, with almost a quarter of migrants coming to Australia settling in Melbourne.
Melbourne’s share of Victoria’s population has been increasing reflecting a worldwide trend to urbanisation.
Melbourne is projected to grow from 3.744 million in 2006 to 5.525 million in 2036, an increase of 1.781 million.
The number of Melbourne households is projected to increase by 51 per cent between 2006 and 2036, compared with a 41 per cent increase in population.
This will continue to support strong growth of property prices for the years to come.
Stockland managing director Matthew Quinn, in a speech in Sydney recently, said Australia’s current shortage of 200,000 homes and an annual shortfall of 60,000, could balloon to 800,000 by 2020 putting huge upward pressure on prices.
Commercially in Confidence
Confidentiality – Due to the sensitive nature of the information you are privy to in this confidential report we request that you keep everything where possible private and confidential. We respect your right to a fair and reasonable due-diligence process and understand and encourage you to discuss the contents with your various professional and personal contacts in order for you to satisfy yourself of the suitability of this investment for you.
Independent Advice – It is recommended that you seek independent legal and financial advice for your personal situation to assist you in determining the suitability of this style of investment for you. There are risks involved in all property investment, markets change and unforeseen factors affect property and financial markets, that can and do adversely effect property values from time to time. This must be taken into consideration when assessing the suitability of this investment for you.
NO GUARANTEE – is given in relation to the success of this investment what so ever.
GST – The figures in this report are quoted without reference to GST. The impact of GST on your individual situation is unknown. It is recommended investors seek independent professional advice in order to assess the impact of GST on this investment, and the impact on potential returns.
Fees & Charges - Scott Banks Real Estate Group Pty Ltd, kerbsideappeal.com.au and other associated companies in the Group will derive professional fees as a result of the work to be undertaken for this project. These fees will be fair and equitable and derived on a commercial basis.
Disclaimer – The information contained in this report is by no means conclusive. Its purpose is simply to outline general information to assist parties in deciding if they are sufficiently interested in this project to carry out further investigation on the property. This information is intended as a general guide only.
Opinions of Value & Cost Estimates – opinions of value expressed here-in are purely that, opinions. Although all care has been used to derive the various figures and cost estimates contained in this report they cannot be relied upon, and are in no way to be used or relied upon as being true and correct. No opinions of value are to be considered as a registered valuation nor are they to be relied upon by any third-party.
Omissions and or Errors – Fair and reasonable attempts have been made to verify information provided in this report. No responsibility is assumed for errors, omissions or contrary interpretations of the subject matter, it is solely the responsibility of the purchaser/s to satisfy themselves as to the suitability of this investment.
Future Sales Figures – Past performance is no guarantee of future
