Is Helles St, Moorooka a good place to invest for Capital Growth?

[Cautious]

We're from Melbourne and looking to buy our first IP in Brisbane. I need help with the "good" suburbs to invest in there, places with a good name. Moorooka has been recommended, along with Hawthorn, Chernside and Annerley.
Whats the best areas to rent/live in and for best long term Capital Growth?

 

[sujmano]

All of them are fairly good suburbs, although Moorooka does have a bit of a rep for having high crime

 

[Investor78]

I've been looking at Moorooka too recently, it looks pretty cheap for such a close suburb to the CBD.

However, remember that parts of Moorooka were flooded in January 2011 but it was mostly confined to the western side of Ipswich Road.

Helles St appears to have been spared, but I think it is somewhat in the firing line if an event like this happens again.

Check out this flood map from Brisbane City Council:

Moorooka Flood Map

 

[Cam1]

Helles St appears to have been spared, but I think it is somewhat in the firing line if an event like this happens again.

2 Helles St, Moorooka is the lowest property in the street. The 20m contour touches the highest edge of this property. The flood level in January didn't even reach 10m in the area. The only chance of riverine flooding in Helles St would be if the dam wall at Wivenhoe collapsed when the dam was at near full capacity.

However, there is a chance of stormwater flow through parts of some properties after very heavy rain as shown in the map that Investor 78 attached.

 

[tcocaro]

This is irrelevant. Council perceives 2 Helles St, Moorooka is stormwater affected, flood affected in the eyes of council. The owner had all three blocks, this and the two adjoining for sale (for ages, 12months+) and this is after buying it from someone else for sale also for (12months+). Numerous agents have tried to sell it and I even had a look at it because on paper it looks like a good buy (per sqm rate).

Years ago there was an application over this site for a car yard and council even rejected that due to flooding\stormwater concerns and thats only a carpark so imagine a house.

I wouldnt touch that block but just a few lots up and your clear.

2 Helles St, Moorooka is the lowest property in the street. The 20m contour touches the highest edge of this property. The flood level in January didn't even reach 10m in the area. The only chance of riverine flooding in Helles St would be if the dam wall at Wivenhoe collapsed when the dam was at near full capacity.

However, there is a chance of stormwater flow through parts of some properties after very heavy rain as shown in the map that Investor 78 attached.

 

[tcocaro]

You have been given a good list of sites however Hawthorn is a little on the high side in terms of pricing. If the purchase if for an investment I would think Annerley\Moorooka are you best bet.

Chermside is great (3 years ago) however since then a lot of development has occured around the Westfields there compared to say Moorooka\Annerley.

A lot of development has also occured in Moorooka\Annerley but this has been limited to smaller builder construction i.e. 6 packs etc unlick the mid-rise developments in Chermside.

Regardless I dont think you will go wrong buying in Chermside but from a price point perspective relative to the distance to the City I think Moorooka\Annerley provide a better opportunity.

*Let me qualify my statements*
I have developed a 4x townhouse site in Chermside
I have developed a 3 house + 18 unit site in Annerley
I am (currently) developing a 8x unit site in Moorooka
I havent developed in Hawthorne but looked at numerous sites there (but for owner occupier market)

I state this so there are no accusations of bias or hideen agenda.

Regardless of your choices I hope you buy well, good luck.

We're from Melbourne and looking to buy our first IP in Brisbane. I need help with the "good" suburbs to invest in there, places with a good name. Moorooka has been recommended, along with Hawthorn, Chernside and Annerley.
Whats the best areas to rent/live in and for best long term Capital Growth?

 

[tcocaro]

The issue with (2 Helles st) is not so much the flooding but the heavy overland flow path that runs to the back of the block heavily restricting development potential and thus buyer interest. (shows as a yellow line on the flood maps)

Moorooka was virtually spared from the floods aside from the fringe very low lying areas near the train tracks. No body in Brisbane sees Moorooka as a flood prone area just the suburbs that surround it namely Rocklea.

You can look at all the flood maps in the world but nothing brings it home better than an aerial photo of the actual floods;

I've been looking at Moorooka too recently, it looks pretty cheap for such a close suburb to the CBD.

However, remember that parts of Moorooka were flooded in January 2011 but it was mostly confined to the western side of Ipswich Road.

Helles St appears to have been spared, but I think it is somewhat in the firing line if an event like this happens again.

Check out this flood map from Brisbane City Council:

Moorooka Flood Map

 

[willair]

The issue with (2 Helles st) is not so much the flooding but the heavy overland flow path that runs to the back of the block heavily restricting development potential and thus buyer interest. (shows as a yellow line on the flood maps)

Moorooka was virtually spared from the floods aside from the fringe very low lying areas near the train tracks. No body in Brisbane sees Moorooka as a flood prone area just the suburbs that surround it namely Rocklea.

You can look at all the flood maps in the world but nothing brings it home better than an aerial photo of the actual floods;

View attachment 7839

Interesting block that one,or a least the last few people that bought it thought so,development is not going to stop in that area Annereley-tarragindi.moorooka,the ones to try and buy in Moorooka are the several that are on the market on the main rd,and there are several both listed and private who bought in at the peak,unable to find funds to develop on their otp terms and with no-experience .. 25k-boot-camp mindsets..

http://flood.brisbane.qld.gov.au/fl...Report.do?dispatch=showReport&reportType=HTML

 

[Cautious]

Is Clayfield another good suburb to invest in?

Wow,thanks for all those replies! I have also been told to look at Clayfield. Any opinions on that?

 

[tcocaro]

I was under contract to buy the site too but pulled out in due diligence after seeing how many issues. The owner then split it up (I feel a mistake) and sold the only block that had the least issues.

I doubt we will see any meaningful development occur on these blocks but obviously development in Annerley\Moorooka will in general will power ahead due to its location etc.

I myself have developed 18x units\3 houses in Annerley (franklin residences) - sold off most to another developer.

I have a site in Moorooka right now which I will commence marketing later this year for 8x units on Mayfield rd with city views, near the shops and NOT on Beaudesert Rd. I feel those developments on this main rd are really handicaped because it is a very busy\noise rd.

Interesting block that one,or a least the last few people that bought it thought so,development is not going to stop in that area Annereley-tarragindi.moorooka,the ones to try and buy in Moorooka are the several that are on the market on the main rd,and there are several both listed and private who bought in at the peak,unable to find funds to develop on their otp terms and with no-experience .. 25k-boot-camp mindsets..

 

[tcocaro]

Yes it is but I feel you need first decide what your looking for... There is a big difference between your proposed options e.g. Clayfield versus Moorooka are miles apart in terms of price for instance.

What are you looking for? What are you trying to achieve? I think you need to narrow your search.

Wow,thanks for all those replies! I have also been told to look at Clayfield. Any opinions on that?

 

[tcocaro]

This comment is gold. Hahaha really cracked me up thanks for the laugh.

25k-boot-camp mindsets..

 

[willair]

I was under contract to buy the site too but pulled out in due diligence after seeing how many issues. The owner then split it up (I feel a mistake) and sold the only block that had the least issues.

I doubt we will see any meaningful development occur on these blocks but obviously development in Annerley\Moorooka will in general will power ahead due to its location etc.

I myself have developed 18x units\3 houses in Annerley (franklin residences) - sold off most to another developer.

I have a site in Moorooka right now which I will commence marketing later this year for 8x units on Mayfield rd with city views, near the shops and NOT on Beaudesert Rd. I feel those developments on this main rd are really handicaped because it is a very busy\noise rd.

That's the pricless part of that area,and if it comes with rare city views
all the better ,but i know what you are saying about all the new developments on that road,only so many blocks left in that strip..

 

[quoc]

To open an old thread I have also looked at the site on Helles St

Has there been anything found in due diligence
with the overland flow and effect for future development.

Any help would be gratefully appreciated

 

[MIW]

We're from Melbourne and looking to buy our first IP in Brisbane. I need help with the "good" suburbs to invest in there, places with a good name. Moorooka has been recommended, along with Hawthorn, Chernside and Annerley.
Whats the best areas to rent/live in and for best long term Capital Growth?

A family member lives in Moorooka and the member had great growth for the last 16 years there...
However, I wouldn't classify this suburb as best for long term Capital Growth...some premium suburbs would be:
- Ascot, Hamilton, Bulimba, Fortitude Valley, Bowen Hills, Newstead, Kangaroo Point, South Brisbane, West End, and New Farm...(these would be more prestigious suburbs though). But no one has a crystal ball into the future, right?

 

[Cassandra]

A family member lives in Moorooka and the member had great growth for the last 16 years there...
However, I wouldn't classify this suburb as best for long term Capital Growth...some premium suburbs would be:
- Ascot, Hamilton, Bulimba, Fortitude Valley, Bowen Hills, Newstead, Kangaroo Point, South Brisbane, West End, and New Farm...(these would be more prestigious suburbs though). But no one has a crystal ball into the future, right?

Add Yeronga to that list. Some good value to be found in a neighborhood largely inhabited by professional people.