"Inner Ring" apartments near Sydney's CBD have seen big drops as supply rises and investment fades, but is it too early to label a trend?
Empty-nesters moving out of large family homes to buy luxury apartments in boutique-sized blocks are now making up a sizeable swathe of the prestige market.
Looking for spacious open-plan living, with good views and close to water or parkside in suburbs where they can walk to cafes, restaurants and shops, they’re also demanding excellence in design, security and comfort.
“They definitely favour smaller blocks because they don’t want to be in big buildings with a lot of activity, and people coming and going,” says Cobden & Hayson agent Samantha Elvy, who’s selling our cover property, a four-bedroom apartment in a six-unit waterfront building in Sydney’s Birchgrove. “They love intimacy and the privacy, and particularly that of whole-floor apartments.”
2/29 Washington Street, Toorak, VIC Photo: Domain.com.au
It’s a trend that’s happening around the country. In Melbourne, Kay & Burton agent Andrew Sahhar says people love the sense of individuality that smaller blocks can offer. “They’re a bit more exclusive and they like that boutique kind of feel,” he says.
Sydney downsizer Kay Robins sold her five-bedroom house, with pool, in Mosman to move into a large apartment in a boutique block in Rushcutters Bay. She believes it’s the best move she ever made. “It’s a huge thing for anyone to move out of the family home and get rid of so much furniture, but I’ve never regretted it one bit,” she says.
“We absolutely love it. There’s no more gardening or pool-cleaning, you can just lock the door and go away on holiday, and it’s great to be so much closer to everything. My advice to anyone thinking of it is, Don’t leave it too late. It’s just wonderful!”
1 Musgrave Street, Mosman, NSW, is just six metres from the water. Photo: Domain.com.au
This is a discerning market, however, and there are some features most of these empty nesters on the hunt for prestige apartments demand. They often want large house-size rooms, one-level living, good outdoor space with balconies, terraces or communal landscaped areas, and outstanding design by high-profile architects.
Melbourne-based Architects EAT find they’re working on an increasing number of boutique apartment projects for older buyers. “Developers do like to leverage off our brand and I think a number of their clients are willing to pay extra for quality design,” says associate director James Coombe.
“They like smaller buildings with a sense of community, they like communal terraces or landscaping or pools and gyms, but they always want at least one bathroom per bedroom and plenty of square meterage overall.”
2/38 Louisa Rd, Birchgrove, NSW, is part of a six-apartment harbourside block. Photo: Domain.com.au
In Sydney, William Smart of Smart Design Studio, adds good solar access, high ceilings and open plan living – in particular for a strong connection between the kitchen and living areas – to the list.
“This market is more design conscious,” he says. “They often have a strong focus on design in these buildings. They certainly prefer small and intimate, too, as that tends to be more personal so everyone knows each other, and become involved in the management, and it’s more community-minded.
“They also love living in areas closer to the city so they can walk to restaurants and galleries and they don’t have to get in their cars and park.”
The apartment for sale at Louisa Rd, Birchgrove, takes up all of the second level of the building. Photo: Domain.com.au
Favourite areas in Sydney for these kind of upmarket developments tend to be the Lower North Shore, Birchgrove and Rushcutters Bay – according to the 2016 Domain Liveable Sydney – while Double Bay is also now a focus. In Melbourne, Coombe picks out Toorak, Brighton, South Yarra and Bayside as Melbourne top drawer apartment-developer favourites. In Brisbane, says Colliers International director of residential Andrew Scriven, it’s Newstead, Teneriffe, New Farm, St Marys and anywhere else along the Brisbane River.
“Empty nesters are looking for apartments in good locations and of a good size in those smaller blocks,” Scriven says. “They like water or park views too, in close proximity to amenities like restaurants.”
What the experts say: “Empty nesters are looking for apartments in good locations and of a good size in those smaller blocks.” Andrew Scriven, Colliers International
Residents at the Louisa Rd property share a pool and a jetty. Photo: Domain.com.au
What’s on trend: “They like smaller buildings with a sense of community, they like communal terraces or landscaping or pools and gyms.” James Coombe, Architects EAT
What to look for: “They certainly prefer small and intimate … that tends to be more personal so everyone knows each other.” William Smart, Smart Design Studio
Feature property
2/36 Louisa Road, Birchgrove
$4,495,000
4 bedrooms, 4 bathrooms, 3 car spaces, pool
Taking up the whole of the second level of a six-apartment harbourside block, this four-bedroom, four-bathroom home on more than 300sq m has its own private lift to its foyer. It also shares a jetty and a pool and has three security car spaces on title.
“The biggest market for an apartment in a complex like this is definitely empty nesters,” says Cobden & Hayson agent Samantha Elvy. “This is just seven years old whereas most other apartments in the area tend to be older blocks with rooms of smaller proportions, and walk-ups, with no lifts. This apartment has the kind of space you’d normally find in a free-standing house.”
The apartment has a frontage of 30 metres with lots of tiled balcony space, and a large kitchen, lounge, living and dining areas. All the bedrooms have ensuites and the master also has custom robes and a C-bus system, while the fourth could be used as a TV or media room.
Private treaty
Samantha Elvy, Cobden & Hayson 0408 664 774
See more at Domain
2/29 Washington Street, Toorak
$6,295,000
3 bedrooms, 3 bathrooms, 3 car spaces, 1 pool
Another boutique development of just six apartments, this time by architect Stephen Jolson and developed by Orchard Piper, No. 2 lies over 360sq m and has another 230sq m of external space, with multiple terraces across the full length frontage. For sale off the plan, the north-facing apartment will also have its own private swimming pool and gardens, landscaped by Rick Eckersley. “It’s also in a great position in Toorak, within walking distance to the village,” says Kay & Burton agent Andrew Sahhar. “It’s proving very popular with empty nesters who come from larger homes and are looking for a bigger apartment.” Completion is due winter 2017.
Private Treaty, Off the plan
Andrew Sahhar, Kay & Burton South Yarra 0417 363 358
See more at Domain
Clifford Residences, 1 Musgrave Street, Mosman
$5.95 million – $6.05 million
3 bedrooms, 2.5 bathrooms, 2 parkings, 0 pools
On the tip of Mosman Bay, this complex of four whole-floor, three-bedroom-plus-study apartments now being sold off the plan is only six metres away from the water. “You’re so close, it’s amazing,” says LJ Hooker agent Tim Abbott. “In the living room, you feel you’re floating.” Each is about 185sq m internally, with 34sq m of outdoor terrace, and 180-degree water views. Architects are Fortey & Grant who designed the classic facade and its art deco references, while the interiors are by First Marque Design, and the developers are Rahnch Constructions. The Musgrave St Wharf is just 20 metres away, and completion will be late 2017.
Private treaty off the plan
Tim Abbott, LJ Hooker Lower North Shore 0425 285 833
See more at Domain