TENERIFFE CASE STUDY

Craig and Michelle Purdy at their house in Abercrombie Road in Teneriffe. Pics Tara Croser.


Teneriffe has defied a downturn and international pandemic to turn into Brisbane’s first $2 million suburb.

Information from Realestate.com.au reveals the inner-city suburb’s common home value smashed by means of the elite milestone in June earlier than peaking in July at $2.025 million.

But brokers say that after a bumper quarter of gross sales, different suburbs, corresponding to Ascot, New Farm and Hamilton, are heading in the right direction to overhaul Teneriffe as being the most costly place to stay.

Teneriffe from the river.


Throughout the board the will increase present that Brisbane’s status property market has emerged comparatively unscathed from the COVID-19 disaster and could also be headed for a sustained interval of development.

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Over eight years, the typical home value in Teneriffe has risen a whopping $1.35 million. Final yr the typical home value for the suburb was $1.85 million, 5 years in the past it was $1.37 million, whereas in 2012 it was solely $500,000, in accordance with Realestate.com.au.

Realestate.com.au chief economist Nerida Conisbee stated the truth that Teneriffe was a comparatively small suburb on the river helped enhance its desirability, pushing up costs.

The wool shops buildings add character to the suburb.


“The placement of the suburb, near the town, adjoining to New Farm and with considerable native and close by amenity additionally provides to its desirability,” Ms Conisbee stated.

“Whereas we could also be in the course of the primary recession in nearly three a long time the extraordinarily low value of borrowing and restrictions on how individuals can spend is resulting in elevated demand and costs in lots of the blue-chip areas of main capital cities, and Teneriffe isn’t any totally different.

Architect designed 15 Abercrombie Road is on sale by means of Heath Williams, Place New Farm.


“The character of this recession is such {that a} typical purchaser of properties in Teneriffe has felt little, if any, influence. Potential borrowing capability could have even elevated for some as a result of low borrowing prices and never with the ability to spend on luxuries like home or abroad journey. Patrons are proving extra inclined to place this more money into a greater house.”

Giant gross sales in neighbouring suburbs pushing up common home costs may imply Teneriffe is stripped of its costliest suburb crown. Windermere at 14 Sutherland Ave in Ascot, offered lately for $13.15 million.


Aaron Woolard, an property agent at Place New Farm, stated Teneriffe’s dimension had helped push up its common value.

“The factor about Teneriffe is that’s as developed as it may be, so the market comes down to produce and demand. The demand has all the time been there however the provide is getting tighter and tighter,” he stated.

Whereas Teneriffe has held the title of costliest suburb for a while, main Ray White property agent Matt Lancashire stated a number of neighbouring areas may smash by means of the $2 million common home value barrier as soon as the subsequent quarterly gross sales outcomes had been tallied in December.

This house at 109 Industrial Rd, Teneriffe, is on sale by means of Daring Residential.


“These suburbs with the potential to surpass the $2 million mark could be these now transacting within the excessive one tens of millions, that are New Farm, Hamilton and Ascot. Others might be Clayfield and Paddington.”

He stated whereas Ascot’s common home value was hovering round $1.5 million, there had been some huge gross sales lately that will push that common up within the subsequent quarter, presumably to the $3 million mark. One such sale was Windermere, a landmark historic property at 14 Sutherland Ave, which went for $13.15 million final month.


“Cash is ridiculously low-cost proper now. As a result of persons are staying house extra, they’re saving cash, giving them way more shopping for energy, so the one issue that might have an effect on the present momentum is a scarcity of inventory coming to market. Will probably be attention-grabbing to see what occurs.”

McGrath property agent Brett Greensill stated it was nearly like Teneriffe was designed to be Brisbane’s No.1 suburb.

REA chief economist Nerida Conisbee stated Brisbane’s status market has did not be affected by COVID-19.


“I might be shocked if Teneriffe loses its crown. I believe it’s geographically designed to be the right location. The one factor holding its common home value again is provide,” Mr Greensill stated.

“There isn’t any additional capability to develop the riverfront and the identical goes for the Hill, so there’s a critical squeeze taking place.”

Mr Greensill stated whereas that saved the typical home value up, it did push consumers unable to discover a house in Teneriffe into neighbouring suburbs.

“In Teneriffe persons are actually difficult structure”

Craig and Michelle Purdy moved to Teneriffe from an acreage property in Fig Tree Pocket eight years in the past and have by no means appeared again.

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Mr Purdy, who’s the manager director of Purdy Developments, stated you possibly can’t beat Teneriffe in order for you a progressive inner-city suburb, full of facilities and a group really feel.

“The facilities are so good. Inside 500m we could be in New Farm, the Valley, Teneriffe or Newstead and get any service we would like,” he stated. “It’s a stupendous inexperienced suburb with extra timber than you’d anticipate. On the Hill you get the breezes off the river after which there’s the fantastic character that the wool shops convey.”

TENERIFFE CASE STUDY

Craig and Michelle Purdy love the dwelling in Teneriffe. Photograph: Tara Croser.


Whereas there are lower than 400 homes in Teneriffe, a big quantity are architecturally designed, and you may see the signature stamps of Joe Adsett, Tim Stewart, Shaun Lockyer, BVN Donovan Hill and Craig Channon clearly dotted in regards to the suburb.

Tim Stewart designed the Purdy’s house in Abercrombie St, with their trendy suspended fire making its manner into shiny house magazines.

“Teneriffe has some gorgeous houses,” Mr Purdy stated.

“It’s slightly bit extra conservative in neighbouring components however in Teneriffe persons are actually difficult architectural ideas and the highest architects are designing some lovely stuff.”

Coming from an acreage, Mr Purdy stated he anticipated an inner-city suburb to be fast-paced and remoted, however for Teneriffe that couldn’t be farther from the reality.

“I’m shocked how a lot of a group the internal metropolis is. Everybody is absolutely pleasant and there’s an actual sense of group.

“Twenty years in the past if you happen to lived in Teneriffe, property brokers would say you lived in New Farm, now it’s the opposite manner round. I really like a little bit of 4007, 4005 competitors.”

TENERIFFE AT A GLANCE

– The median property value is $1.962 million for homes; $565,000 for items.

– There may be at the moment 73 properties available on the market and 59 properties accessible to hire.

– Homes in Teneriffe hire for $880 every week with an annual rental yield of two.3 per cent, whereas items hire for $543 every week, with a rental yield of 5 per cent.

– The suburb could be very widespread attracting 842 visits per property on listings web site realestate.com.au, in contrast with the state common of 708.

– It’s primarily populated by younger professionals and established households.

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