more gladstone questions

Does it make a difference where you are buying an investment property in west gladstone, south gladstone,kin kora, barney point,clinton?

Also, what type of properties are the mining companies after?was told that they typically prefer houses that are 4 bedroom, lowset, brick; and the houses in the early 300000-350000 wouldnt likely to qualify with mining companies requirements?is this true?
 
yes info is pretty right but why the need to rent to mining company?

their presence sets the market rent value so all tenants have to pay roughly the same anyway.

quite a few dangers in renting to mining company

if everyone builds new 4 bedroom places for the mining companies what happens when they leave or just rely on their employees to choose and find on accommodation
 
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would there be enough demand to dry up the vast amount of supply?if ur not renting out to mining/gas companies are there much other players wanting rental in gladstone?
 
heaps of other services follow the money:

banking

real estate

medical

hospitality

sex workers ( my sister has one in her IP in gladdy, great tenant!)

architects., builders,


all the other miners etc that sub-contract and get there own rentals


i have 2 rented to mining companies there and a few on open market, pretty much same rent
 
would there be enough demand to dry up the vast amount of supply?if ur not renting out to mining/gas companies are there much other players wanting rental in gladstone?

Look at what the rental situation is like currently... Many, MANY properties sitting there vacant.

Also, mining/energy companies just don't target new houses. Air cond - yes, in good condition - yes, multiple bathrooms - not necessarily - depending on circumstances of tenant(s).

I wonder whether Gladstone is really going to be the golden goose that everyone is touting.. And yes, I have seen the list of future developments that have been planned in the area. Is there too much hype/development for the actual demand?

I guess we'll see over the next 5 years! :)
 
okay if we go back and look at the past history of gladstone real estate ive been told that it peaked in 2007.so at that time when demand was at its all time high; how much rental stock was out available in gladstone?.Today on real estate.com there is like 206 available rental properties; 476 property on sale; some of these will be the same property.Just to give me some perspective on if the excessive rental supply will dry up; how much stock was available prior to the last peak in gladstone's real estate history and during the boom in 2007.Has anyone followed gladstone's history long enough to share some light on todays situation by comparing it with the past data?And i know some will comment that theres more projects coming in the near future; hence demand will be greater; but just curious on if the stock did dry up last time round; and what did rental price go up to at that stage?
 
i know owners of 60+ plus in Gladdy, i don't believe any are currently empty, there where a few vacancies 10+ last year after the rio tinto dump of properties. You had to take lower rents but getting a tenant not to hard.

In last boom basically no rentals available, once the people start moving into town this year the rentals will dry up straight away. I am very bullish on gladdy but can't bring myself to pay 80% higher than in 2006, just a mental thing, i just paid $600k for one in Syd yesterday that would have been $450k in 2006 but i don't have any there so don't have that physiological issue. If i didn't have a few there i would buy again, rents at the peak were 10-15% higher than they are now and will no don't go beyond that in next 12 months.

cheers
 
at the very worst time i heard a couple of ppl had to drop their rents by $20 a week but then there was heaps of rentals that just got renewed at the same price. no real major dramas

you will never ever have a problem getting a tenant if you buy close to the central city - south and west gladstone
 
$20 billion LNG project put on hold

Heard on the news tonight that Santos is going to put on hold the $20 billion LNG project in Gladstone. The spokesman said that it was due to the uncertainty caused by the 40% Rudd supertax on resources.

If the project was shelved it could have dire consequences on the Gladstone housing market.
 
They also said they are still commited to the project, they are just making it known(proly for political reason) that they are reviewing the project in light of the Kruds announcement on the tax grab idea. It will have some negative effect on rentals i'd imagine in the short term. If they push the start up date back a while to wait and see how the election and the proposed tax pans out.
It was good to read psoitive news in the local paper today.
A $1bn coal terminal proposed

http://www.gladstoneobserver.com.au/story/2010/05/08/plans-for-1b-project/

Cheers

Dave
 
Location in Gladstone

Getting back to the original question posed in this thread - could anyone shed any light on the preferred areas of Gladstone to invest in or areas that are no go areas?

Thanks
Nick
 
Hi Nick

From what I have learnt from my DD thus far, there supposedly aren't any real 'bad areas' in Gladstone. If you listen to the local advice (mainly from REAs and PMs), the most in-demand rental properties from the mining employees perspective (and many locals also) are newer lowset 4x2 houses. The preferred areas mentioned are places like Kin Kora, Telina and Glen Eden. Apparently this is due to proximity to services such as schools, day care, main shopping centre etc... Also these suburbs are still closer to the cbd of Gladstone than areas comprising the new housing estates. Other suburbs like Clinton are said to be attractive in 'some parts'.

Having said all that (and being in Perth!) I would love to hear the thoughts of those who already invest in Gladstone or who have local knowledge of the area. Thanks.

Angela :)
 
Hi Angela,

I have recently moved away from Gladstone after living there for three years. I would agree with Kin Kora and Telina, not so much Glen Eden. We invested in Seaview Heights which is a part of Clinton and had no difficulty renting it out in December (when there were over 200 houses available for rent). West Gladstone (southern side of train line) is also a nice suburb with it's proximity to the CBD, good schools and nice streets (particularly the ones without power station views). We bought a house in a street that has majority owner-occupiers after listening to many friends complain about living in a street full of young industrial shift workers. I feel that's how we managed to rent out ours extremely quickly- those kind of streets are hard to find in Gladstone. Suburbs which are generally low socio-economic area are parts of New Auckland, Barney Point and Toolooa. Hope that helps a little.
 
Hi Island Girl

Thanks for the fantastic reply, that helps heaps! It is interesting to note your point about streets with more OO's than young shift workers. In regards to Kin Kora and Telina are there preferred pockets or streets within these suburbs that would be more appealing than others; or areas/streets to possibly avoid that have a lot of young shift workers? I really appreciate the feedback. Thanks!

Angela :)
 
We have 1 IP in New Auckland (Emmadale) We originally had it rented for $350 but have had to drop the price down for the last 2 tenants to $330.

The IP is our old PPoR 3x1x1. The street is mostly OO with I think 3 rentals in it.

Emmadale is a nice (Newish) area of New Auckland.

5 mins drive to KinKora mall shopping centre.
 
Getting back to the original question posed in this thread - could anyone shed any light on the preferred areas of Gladstone to invest in or areas that are no go areas?

Thanks
Nick


south/west gladstone, clinton and barney point.
 
In response to your question Angela, I've only heard positive things about Kin Kora and Telina- both nice suburbs, Kin Kora also has a primary school, closer to town and has the IGA complex which is very popular (especially because it's opened Sundays). We weren't specifically after a mining company to rent ours to, just bought in a street where you could forget you were living in an industrial town- consequently rented to professionals who had just moved from SE QLD. Depends who you want to target really, lower-end properties close to CBD rent well, especially when prices do creep up- not everyone in the town has money! Happy to be of some help:)
 
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