ARIA Property Group has launched the third stage of its $120 million urban renewal project in Brisbane, after selling $59 million off-the-plan apartments well ahead of schedule.
Sales for the earlier developments, Eden Lane and Ivy Terrace, came fast, prompting ARIA to keep a close eye on the new bank lending rules for investors.
The regulating authority, the Australian Prudential Regulation Authority, limits how much is lent to investors for off-the-plan property moves, and to developers, in an attempt to minimise the risks associated.
“We saw some issues with potential investors 12 to 18 months ago so we made a specific call to limit self managed super funds and foreign investment,” says development director Brent Lidell.
“While I think it will be harder for developers to get sales it also means less projects are likely to come to fruition and that is a good thing for established developers,” Liddel continues.
Of the first two stages, the 56-apartment Eden Lane development brought $31 million in sales, comparable to the second state, 50-apartment Ivy Terrace, at $28 million.
Both developments are backed by Suncorp, and priced between $388, 000 for the cheapest one-bedroom unit, to $695, 000 for a two-bedroom unit.
“This is the first string of significant developments in Woolloongabba which celebrate its unique history and pave the way for an exciting future,” says Lawson Royes of Rothelowman, the architecture firm behind the third stage.