Elizabeth, Salisbury and Seaford precinct
- Thread starter rstephenp
- Start date
What state are you talking about?
I grew up in Seaford and still visit there from time to time. The worst (but not ghetto) area would be the older area with some housing/ex housing trust homes on the western side of Commercial Rd, but these houses can command higher prices because they're only a 5-10min walk to the beach. Quite a few are on 8-900m2 blocks so they have subdivision potential. Next would be Seaford Rise which was mostly built around 1995-2000 followed by Seaford Meadows which is only a few years old and construction's still going. There's two new train stations being built as part of the track extension so it might be good to buy/build a place as close as possible to one of those.
My speciality 
I've grown up in the Salisbury area for most of my life, and built my PPoR in Elizabeth recently.
Out of the two areas I would be looking more into Elizabeth, as this is becoming the major hub competing with the CBD. Large amounts of job creations through industrial expansion, high growth potential property, low prices and high rental yields.
Highest paid unskilled labour jobs are located in this area, and high proportions of tradesmen so your tenants do have the money to stump up if you cater to the right people. You can still buy a property around here for $150k on a 750sqm block, which for Adelaide is exceptional. LARGE developments are emerging, creating a gentrification, with the commercial precinct also having a complete revamp.
The list goes on really, transport hub, police, fire, ambulance all regional hq's, largest hospital for the region has been massively upgraded and noted to be second only to the CBD.
In essence it has a lot going for it, so consider what you believe the market is doing currently, and also consider the people of the area. You have a lot of lower-socio types here, but these are rapidly being shunted further afield as costs increase.
Salisbury on the other hand was 'Elizabeth' 20 years ago. Prices have increased to push out most of the lower socio types, however this isn't what I would considered gentrified by any means. Salisbury benefits a lot from what was mentioned about Elizabeth as they are only 10 minutes apart in most cases, however the infrastructure and precinct development isn't there, so what you see is what you get. If you're looking for alright tenants and a more expensive property, maybe this is the place for you.
Better yet, come down this way, have a look for yourself. Take a gander at the types of housing, precincts, infrastructure and see what takes your fancy. I think both these areas over the long term will do well, however not at the same pace.
I've grown up in the Salisbury area for most of my life, and built my PPoR in Elizabeth recently.Out of the two areas I would be looking more into Elizabeth, as this is becoming the major hub competing with the CBD. Large amounts of job creations through industrial expansion, high growth potential property, low prices and high rental yields.
Highest paid unskilled labour jobs are located in this area, and high proportions of tradesmen so your tenants do have the money to stump up if you cater to the right people. You can still buy a property around here for $150k on a 750sqm block, which for Adelaide is exceptional. LARGE developments are emerging, creating a gentrification, with the commercial precinct also having a complete revamp.
The list goes on really, transport hub, police, fire, ambulance all regional hq's, largest hospital for the region has been massively upgraded and noted to be second only to the CBD.
In essence it has a lot going for it, so consider what you believe the market is doing currently, and also consider the people of the area. You have a lot of lower-socio types here, but these are rapidly being shunted further afield as costs increase.
Salisbury on the other hand was 'Elizabeth' 20 years ago. Prices have increased to push out most of the lower socio types, however this isn't what I would considered gentrified by any means. Salisbury benefits a lot from what was mentioned about Elizabeth as they are only 10 minutes apart in most cases, however the infrastructure and precinct development isn't there, so what you see is what you get. If you're looking for alright tenants and a more expensive property, maybe this is the place for you.
Better yet, come down this way, have a look for yourself. Take a gander at the types of housing, precincts, infrastructure and see what takes your fancy. I think both these areas over the long term will do well, however not at the same pace.
You might also want to look into the large redevelopment of Elizabeth that was announced some time in the past couple of months. There's an article about it somewhere in The Advertiser from a couple of months ago but I can't find it.
I read that there are plans to add another 9000 dwellings in the southern suburbs around Seaford. I'm assuming that along with the rail extension, there will be an increase in business activity as the government put actions in place to encourage the satellite city effect. The question I have is will this increase in dwellings exceed the poulation growth expected with the increase in Infrastructure and busienss activity? If so, on a macro level this seems to suggest a weakening of the supply/demand ratio, and keep prices down. I've only read briefly about the area, but I'd be interested to hear what the poulation growth forecasts are for the area, and where these new dwelligs are coming from. Are the re-zoning or new land releases? Thoughts??
If you google 'Onkaparinga City Development Plan' you'll find a comprehensive document detailing the planned development for this area. There are also many other documents you can find that provide excellent reading. Over the next 20 years the population in the Onkaparinga area is expected to grow from 160,000 to 200,000.
Adelaide advocates a strategy of infill instead of urban sprawl and has been extremely proactive in rezoning areas to accommodate this strategy. There are a number of huge infrastructure drivers such as the southern expressway duplication and the extension of the railway to Seaford that will bring the area closer to the city.
There is an interesting article in the May edition of the API that gives an excellent account of what's going on down in Adelaide.
I visited the area about 5 weeks ago to conduct some DD. I was so impressed I purchased a property close to the beach (Western side of Commercial Rd). I settled yesterday ☺. It’s a great time to be buying property at the moment and I was able to secure a deal below what I think is the market value for instant gains. As already mentioned on this thread this area offers good-sized blocks with the added bonus of renovation either now or at a later stage to increase value and yield to the property.
Recently Adelaide has shown some of the strongest figures in relation to population growth in the country and with huge investment into infrastructure and proactive city councils I see great long term potential.
JT
Won't get into the whole debate as I don't know the southern suburbs well enough to comment. Lifestyle wise I think people like it, my brother loves it down there (living, working and former Onkaparinga Councillor).
I will say this though, and I think it should be carefully considered before deciding on north vs south. I've heard it mentioned a few times now and one person a couple months back put it across very plainly to me. Something along the lines of:
"Elizabeth gets a bad rep as lower socio economic people who are trouble. A lot of people don't realise that people down south are just as rough. The main difference in the two areas is, if you live up north and want to work - you can work. If you live down south, it's not so easy."
I'm sure down south near beach etc can be a great lifestyle. However industry set-up, job creation, transport corridors etc in Adelaide are focused on the northern suburbs, not southern. I know where I have/would put my investment dollars.
I will say this though, and I think it should be carefully considered before deciding on north vs south. I've heard it mentioned a few times now and one person a couple months back put it across very plainly to me. Something along the lines of:
"Elizabeth gets a bad rep as lower socio economic people who are trouble. A lot of people don't realise that people down south are just as rough. The main difference in the two areas is, if you live up north and want to work - you can work. If you live down south, it's not so easy."
I'm sure down south near beach etc can be a great lifestyle. However industry set-up, job creation, transport corridors etc in Adelaide are focused on the northern suburbs, not southern. I know where I have/would put my investment dollars.
I personally do not buy anything north of Ethelton or Semaphore for the Adelaide area.
I like Seaford and right up to Christies Beach - the demographic changes in Christie downs but beach is OK.
The business development areas for our buyers agency are Ethelton and Semaphore for North and Seaford, Christies Beach, Port Norlunga for South areas. That is off course assuming that people can't buy in the CBD or close by Eastern/Western Suburbs because they are the best properties to buy. 5 K from CBD is always my first choice - but more expensive.
If you stick to the more up market suburbs, the capital growth is greater, they are easier to manage and much much easier to sell and liquidate if you need cash. we've sold a lot of properties off our rent roll in the last 18 months due to the GFC and investors being cash poor and unable to hold on.
5 K from CBD sell well and at good prices, Western Suburbs are superb, we personally like to purchase subdividable large blocks in the city of west torrens or charles sturt council areas.
Northern suburbs Elizabeth, Salisbury North etc are harder to sell, harder to manage and do not appreciate as much.
Personally I would go for fewer nicer properties than lots of little more affordable but difficult to move or manage type properties.
Quality not quantity.
I like Seaford and right up to Christies Beach - the demographic changes in Christie downs but beach is OK.
The business development areas for our buyers agency are Ethelton and Semaphore for North and Seaford, Christies Beach, Port Norlunga for South areas. That is off course assuming that people can't buy in the CBD or close by Eastern/Western Suburbs because they are the best properties to buy. 5 K from CBD is always my first choice - but more expensive.
If you stick to the more up market suburbs, the capital growth is greater, they are easier to manage and much much easier to sell and liquidate if you need cash. we've sold a lot of properties off our rent roll in the last 18 months due to the GFC and investors being cash poor and unable to hold on.
5 K from CBD sell well and at good prices, Western Suburbs are superb, we personally like to purchase subdividable large blocks in the city of west torrens or charles sturt council areas.
Northern suburbs Elizabeth, Salisbury North etc are harder to sell, harder to manage and do not appreciate as much.
Personally I would go for fewer nicer properties than lots of little more affordable but difficult to move or manage type properties.
Quality not quantity.
If you want to talk about best options in greater Adelaide then yes, we can all rattle off a hundred better suburbs - I couldn't agree with your more about the western suburbs. Would love to live around Fulham Gdns, Kidman Park etc. Let's throw in Unley Park and Springfield as well.
However the topic if far north vs far south. Without sugar coating it too much, you're going to have dregs in both areas, the question is which is better for investment dollars. Cap growth could do well in both, however I'd opt for the area with higher industry and jobs growth with the resulting low vacancies and rent increases that have gone hand in hand with it.
I don't follow southern suburbs, so can't comment on whether or not rent increases have been good down there last few years. Anecdotally I know my brothers rental in Aldinga Beach hasn't increased much in rental last couple years.
However the topic if far north vs far south. Without sugar coating it too much, you're going to have dregs in both areas, the question is which is better for investment dollars. Cap growth could do well in both, however I'd opt for the area with higher industry and jobs growth with the resulting low vacancies and rent increases that have gone hand in hand with it.
I don't follow southern suburbs, so can't comment on whether or not rent increases have been good down there last few years. Anecdotally I know my brothers rental in Aldinga Beach hasn't increased much in rental last couple years.
By $ amount you would be correct but if you mean that as by % then it really is a very poor statement.........
As an investor I would hope the OP would be looking at the % return on investment.
You're definately correct there Gools. In the case of the investor, what makes the north attractive is not only the same return % wise but the better yield too. Investing is about numbers after all.
I also agree with Steve in regards to the north re. jobs and job creation.
http://www.investsmart.com.au/property/search.asp?Suburb=elizabeth&Units=1&Houses=1&OrderBy=1
Has the various suburbs in their with profiles of demographics etc.
Not sure if its 100% up to date but a cursory glance seems fairly accurate.
Commission housing is largely being removed from these areas as the government restructures its housing plan. In my suburb, there is something along the lines 20 or so pairs of duplexes that I can think of which are currently being removed for new private property. The government strategy seems to be to remove slum areas and instead place singular commission houses amongst greater privately owned communities, to break up the public vs. private dichotomy.
In my opinion I'd be looking around the Elizabeth South, Grove, East and Park areas. Vale if there is an extremely good deal, but its really of the periphery.
Elizabeth North is right next to Davoren Park which is the worst suburb in Adelaide for crime, socio etc. So there is a bit of that in Elizabeth North. Elizabeth Downs is a bit too far away, close to Smithfield also which has some issues of its own. Stick close to the hub, large block and you should do fine. The transport corridors have around 50m of parkland and heavy tree distributions to reduce noise pollution and the like so I wouldn't worry too much about being near Main North Rd etc. Free standing over Duplex unless you buy the two, also. Other than that, happy camping. Feel free to flick me a message if you have any other questions about the area, happy to help.
Has the various suburbs in their with profiles of demographics etc.
Not sure if its 100% up to date but a cursory glance seems fairly accurate.
Commission housing is largely being removed from these areas as the government restructures its housing plan. In my suburb, there is something along the lines 20 or so pairs of duplexes that I can think of which are currently being removed for new private property. The government strategy seems to be to remove slum areas and instead place singular commission houses amongst greater privately owned communities, to break up the public vs. private dichotomy.
In my opinion I'd be looking around the Elizabeth South, Grove, East and Park areas. Vale if there is an extremely good deal, but its really of the periphery.
Elizabeth North is right next to Davoren Park which is the worst suburb in Adelaide for crime, socio etc. So there is a bit of that in Elizabeth North. Elizabeth Downs is a bit too far away, close to Smithfield also which has some issues of its own. Stick close to the hub, large block and you should do fine. The transport corridors have around 50m of parkland and heavy tree distributions to reduce noise pollution and the like so I wouldn't worry too much about being near Main North Rd etc. Free standing over Duplex unless you buy the two, also. Other than that, happy camping. Feel free to flick me a message if you have any other questions about the area, happy to help.
I've got one in Eliz Nth, don't be too quick to discount it.
- Directly next to town centre, Elizabeth City Centre etc. walk or 2 min drive.
- Still well priced compared to other Eliz's.
- Close to railway stops.
- Very good yields available at the moment (seen some selling for around 7%).
- Semi's or some stand alone properties.
- Good rental demand.
- Old highschool demolished and individual allotments already sold off for new development.
- Directly next to town centre, Elizabeth City Centre etc. walk or 2 min drive.
- Still well priced compared to other Eliz's.
- Close to railway stops.
- Very good yields available at the moment (seen some selling for around 7%).
- Semi's or some stand alone properties.
- Good rental demand.
- Old highschool demolished and individual allotments already sold off for new development.
No trains stop at those stations! Just giving you a ribbing Steve.
Elizabeth North can be alright, I'm just looking at the future perspective of gentrification, the other candidates seem to be on their way sooner and have some other benefits.
On another note, Elizabeth Park has two schools which have also been removed and turned into private developments, and one school has been refitted.
Elizabeth North can be alright, I'm just looking at the future perspective of gentrification, the other candidates seem to be on their way sooner and have some other benefits.
On another note, Elizabeth Park has two schools which have also been removed and turned into private developments, and one school has been refitted.
No trains stop at those stations! Just giving you a ribbing Steve.
Elizabeth North can be alright, I'm just looking at the future perspective of gentrification, the other candidates seem to be on their way sooner and have some other benefits.
On another note, Elizabeth Park has two schools which have also been removed and turned into private developments, and one school has been refitted.
Haha nice! They slow down and you do a running jump.
Oh absolutely, and just to clarify I'll cede to your knowledge over the general area CJ. I haven't looked around up there for a couple years now. Just wanted people to be aware that Nth is not necessarily a write off as it may have been years back. Has a few things going for it.
I do remember that Eliz Park school going a while back. From memory I was surprised how much the blocks sold for as well as the sizes ie. only high 200m2 for many of them.
PS Haven't followed the other Eliz's but I've been surprised at how well the rental prices have done in Nth. The one I got was on $165pw when I started it. That was under market, fair price at the time would have been $180-185pw. But even after that, it's now risen to currently being advertised at $230pw. Similar story for most of the stand alones in the suburb, and don't follow them as much but semi rentals seem to have made the same trajectory.
That's the good thing about relatively high paying ditch digger jobs for this area. The amount of good quality jobs which have been pumped into here is astounding. As a result, the low percentage of retail/hospitality jobs is giving that nice rental boost.
I do like the investment prospects for this area, as the area rapidly is torn down and redeveloped you and anyone else's holdings in the area will do very nicely.
I do like the investment prospects for this area, as the area rapidly is torn down and redeveloped you and anyone else's holdings in the area will do very nicely.