Breakwater Quays property breaks record

A marina front residential lot in Townsville’s Breakwater Quays precinct has sold at auction for $1 million, setting a new price record for the city’s mainland market.

The successful bidder was a local businessman and well known property valuer.

The 414 sqm residential lot has 12 metres of protected water frontage and an 18 metre shared pontoon overlooking the Breakwater marina. The property sold $250,000 above its original purchase price of $750,000, which occurred in July 2006 when developer Consolidated Properties released a total of 26 neighbouring lots.

PRDnationwide Townsville director Bruce Goddard said the capital gain of $250,000 in only four months was proof of Townsville’s burgeoning waterfront property market.

"There aren’t too many places where you can pick up a capital gain of this magnitude in such a short time in the current market," Mr Goddard said.

"The fact that a property valuer purchased the site suggests that these lots are somewhat underpriced in the waterfront market. And there’s every chance for further capital gains once the residential lots are fully developed, the pontoons are added and some stunning houses are constructed," Mr Goddard added.

Positioned at the eastern end of Townsville’s world-class beachfront strip The Strand, the entire Breakwater Quays development has an estimated end value of around $1 billion and will cover roughly 70 hectares of mostly reclaimed land.

Proposed for the precinct is around 1100 apartments, 500 marina berths in an extended marina plus retail and commercial facilities. Planning is also underway for the reclamation of land seaward of the Jupiters Casino peninsula to house an international cruise ship terminal and an estimated 300 waterfront residential lots with surrounding parks and walkways.

National development companies Resort Corp, Mirvac and City Pacific have all bought into Breakwater Quays from principal developer Consolidated Properties.

Mr Goddard said he expects the first release of apartments and marina berths to occur in 2007.

Reprinted with permission. The Australian Property Review. http://www.apr.com.au