Darwin - palmerston area

[burty85]

Wonder if this is going to throw a spanner in the works, seems a little late from what I have read but then again stranger things will and do happen.......


http://www.ntnews.com.au/article/2009/02/12/32835_nt-business.html

 

[kina]

Darwin Palmerston the last frontier of profit

The Territory economy is still cruising along and looks like it will heat up not get cooler.

http://newsroom.nt.gov.au/index.cfm?fuseaction=viewRelease&id=5199&d=5

There actually might end up with too much money floating around the economy over the next 6 months with all these packages and developments. A bit sureal.

The real danger for Darwin / Palmerston is that because they haven't and probably won't be hit that hard by the recession is that they will accelerate into the stratosphere when the world economy actually does turn around.

Properties will go through the roof again and government simply wont be able to turn of blocks fast enough. I think at the moment the need is for 1,700 per year but government has only been releasing 700 blocks per year.

There is a huge backlog in demand pent up in the Dawin Palmerston area. That we burst onto the market once Inpex gets up and running or when the world economy gives a hint of recovery.

Decent Darwin properties are over $700k so the best bet would be those in the range in the Palmerston & Durack areas between $550k and $750k - they are usually fairly new, and modern designed and tend to be in the 'better' (more re-saleable / easy to rent) areas.

Darwin would be probably the only place in Australia safe to buy property at the moment, that has the prospect of good returns and capital growth.

 

[Andy]

What about purchasing land only in Palmerston area?

Great to read all your posts re house sales in this area but does anyone have any views on purchasing land only in this area?

Is this a good move for re-sale as the house prices in this area still seem to be going up so land sales should also follow?

Thanks and cheers

Andy

 

[aw1]

Definitely not in my opinion.

In late 2004 when I bought my block of land, a decent sized block in Rosebery was $60,000 and they were struggling to shift them. When demand picked up, they jumped to $160-180,000 literally overnight. They have now jumped again to the mid (sometimes even high) 200's. ~300% price increase in 4-5 years.

In addition to this, there is a lot of land being developed for release over the next few years. It will still probably be a reasonably slow process, but this is being done by the Government, so they won't have as much impetus to trickle feed it like developers do. A lot of the land coming up is right next to Rosebery in fact and will be low cost (including public housing and 'affordable housing').

Keep in mind that building a basic plan 4br house is a 400k proposition at the moment. It is much, much cheaper to buy established.

 

[Andy]

Thanks AW.

Would love to buy a house but the prices are SO HIGH and also they seem to get snapped up before the day has ended. (the ones around 450K+)

Hard to keep up with it from Sydney.

Thanks so much for your input.

Cheers

Andy

 

[Ajax]

Possibly another LNG gas plant for Darwin

http://www.ntnews.com.au/article/2009/06/03/55791_ntnews.html

"Darwin in race for another gas plant

NIGEL ADLAM

June 3rd, 2009

A DECISION on whether to build another multi-billion-dollar gas plant in Darwin will be made within a few months.

The gas would come from the Sunrise field, 450km northwest of the city.

The three options being considered are:

PIPING the gas 450km to an LNG plant in Darwin.

BUILDING a floating processing plant at the field.

PIPING the gas 150km to an LNG plant in East Timor.

The last option has all but been ruled out by the four venture partners who control Sunrise.

East Timor is still politically unstable and lacks a skilled workforce.

Also, there is a deep underwater trench between Sunrise and the country, making a pipeline a far greater engineering challenge than the other two options.

Don Voelte, managing director of Woodside Energy, which owns a third of the gas field, refused to speculate on what option would be chosen.

He said the process of choosing between a floating plant or a Darwin plant would begin at the end of this month.

The final decision would be made by the end of the year.

If Darwin is chosen, a LNG complex would be built within five years.

The project - pipeline and processing complex - would cost billions of dollars and create more than 1000 jobs in Darwin alone.

Darwin has one of only two LNG plants in Australia - the ConocoPhilips operations at Wickham Point.

Inpex is likely to build another plant at Blaydin Point - the final investment decision is due late this year or early next.

Mr Voelte, in Darwin for the oil and gas conference, said sentiment would not play a part in the final decision over Sunrise.

"The best commercial option will be chosen," he said.

Sunrise is estimated to hold nine trillion cubic feet of gas and 300 million barrels of condensate.

The Sunrise development partners are Woodside, ConocoPhillips, Shell and Oasaka Gas."