A tight rental market has prompted a developer to take a strong investor focus for its latest Sippy Downs project on the Sunshine Coast.
Habitat Development Group is constructing High Street Apartments, which consists of 47 two and three bedroom apartments.
Its next project, One Tree, will also focus on the investor market, with construction set to start soon.
“We are experiencing a zero per cent vacancy rate on current properties (145 apartments) under management in the area … with less than a three day turn around in between tenants vacating and moving in,” Habitat Development Group sales and marketing manager Michael Schenk said.
“Subsequently we are seeing very strong rental yields. Our average tenant profiles are young professional couples and families, which is interesting given our immediate proximity to the Sunshine Coast University.
“As such our next project release – One Tree – is being adapted to suit this audience even further with larger apartments and greater level of communal amenity.”
Mr Schenk said strong sales in the area had prompted them to fast-track their projects, with Habitat expecting to finish the High Street Sippy Downs precinct 2.5 years earlier than anticipated. Other developments to be constructed within the High St precinct are the Forest Edge and Botanica apartments. A fourth apartment complex, yet to be named, is also to be built by Habitat.
The Sunshine Coast had a vacancy rate of just 0.7 per cent in the December quarter, according to the latest REIQ Residential Vacancies Report. The average rent is $360, according to CoreLogic. Brisbane had a vacancy rate of three per cent.
The High Street Apartments complex was designed by architects OGE Group and K Architecture. Construction is expected to be completed by the end of July.
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