I'm only interested in potentiality, not sentimentality. The Frankston-Seaford locality reminds me of suburbs surrounding Marina Del Ray in California back in the 80s. For many years locals thought that the long promised marina would never happen. The terrible recession of 1983 made them all the more cynical - at the time, it was the worst slump since 1929 and everyone seemed convinced that the world would end. But when construction of the marina began, the naysayers disappeared and prices rose massively over a 5 year period. I know of one dumpy old house that increased four-fold (albeit from a low base) during the period 1984-1989. In fact, prices around Marina del Ray have remained strong, even in the current economic environment.
Frankston is the cheapest beachside suburb in Australia. The smart money is moving in silently. There are whispers of a Japanese consortium wanting to build a 200 bed retirement home in either Seaford or Frankston. The weak Aussie dollar is a huge bonus for them. Foreign investors also want to participate in the tender for the marina (subject to FIRB). I'm told that interests associated with the Sultan of Brunei have been doing their due diligence. Again, the weak Aussie dollar makes this a sound investment for them at a time when putting money in the bank is no longer safe. The Sultan is one of the world's richest men and $75m is loose change for him.
And Monash University has been deluged with enquiries from overseas nurses who want to do a course that's only available at the Frankston campus! There is talk of this program being expanded.
Like property gurus Terry Ryder and Margaret Lomas, I have a 5 year outlook for Frankston. It will take time before the locals realize that they are sitting on a goldmine. Pity those who sell out prematurely - in 5 years time they'd never be able to afford to buy back in.
