A prime development site in the waterside suburb of Ōrākei provides equal opportunity for owner-occupiers, land bankers and developers, Bayleys salespeople say.
The 863sq m site at 37 Awarua Crescent features Residential – Mixed Housing Urban zoning, enabling reasonably high-intensity development of up to 11m.
Bayleys Auckland City & Fringe Director Alan Haydock says the property benefits from an approved resource consent for a boutique apartment development comprising eight residences.
“Project feasibility has become more challenging in the high inflationary environment. However, new opportunities emerge as participants facing financial constraints withdraw from the market.
“Given current dynamics, motivated purchasers increasingly look to multi-dimensional assets with upside value potential as a buffer against inflation.
“Owner-occupiers and land bankers will take confidence from the flexibility of more intensive zoning provisions in regard to this property, whilst a developer need only look to the success of comparable builds completed and sold in the vicinity for an indication of buyer appetite.
“The residential property market has potentially turned a corner, evidenced by consecutive months of improved transaction activity. At the same time, the number of new dwellings consented in the three months to June fell 20 percent compared with the previous quarter, which will exacerbate a supply-demand imbalance, resulting in value growth for quality assets.”
Mr Haydock is marketing the property for sale with colleagues Damien Bullick and Jock Kooger through Mortgagee Tender, closing at 4:00 pm on Tuesday, 19 September 2023 (unless sold or withdrawn prior).
Bayleys residential, investment and development specialist Jock Kooger says the property features a two-level family home with four bedrooms plus multiple living areas totalling 343sq m (more or less).
“There are two bathrooms, a large rumpus room, internally accessible double garage, and a sizeable deck off the lounge, which provides attractive water views over the Ōrākei Basin.
“The existing home is of good quality, presenting a new purchaser with an opportunity to occupy or let out to generate immediate income.
“Ōrākei is one of Auckland’s most desirable communities, with a quiet village feel and waterside position, strategically located within four kilometres of the CBD.
“The subject property is proximate to the Eastridge Shopping Centre, schooling options and the Meadowbank Train Station, with a high level of local amenity attracting solid residential demand amongst owner-occupiers,” he says.
Several high-end apartment developments have been completed and sold successfully in the area within the last five years, including the Mia Apartments developed by Mansons TCLM on Coates Avenue and Ngaiwi Street.
Bayleys Auckland City & Fringe Associate Director Damien Bullick says a lack of luxury homes in desirable locations plays into the value proposition for a new purchaser.
“Off-the-plan property sales in the lower quartile price band have dipped in the last 18 months. However, the luxury homes market has remained remarkably resilient, and a lack of modern homes built to high specifications underpins a steady level of purchaser demand.
“Development fundamentals are also becoming more attractive, with a flattening out of residential construction costs and government incentives for those supporting densification in urban areas.
“Should the new purchaser proceed with current plans, the architect’s concept drawings show a series of attractive terraced apartments over six levels, with a graduated setback from boundaries and tasteful landscaping.
Plans for two and three bedroom apartments range from 55 to 211sq m (including balconies).
All residences will benefit from this elevated position and offer attractive water views
“Ultimately, a new purchaser stands to benefit from flexible use options for the property, including the ability to immediately proceed with the consented development or tailoring the project to suit their requirements. Additionally, land banking the site for future use can potentially deliver future capital uplift.
“However, a new purchaser may choose instead to create their own dream residence, taking advantage of the preferable vantage point in one of Auckland’s most sought-after communities.”