Off the Plan in South Yarra

[Melbournian]

Melbourian, you seem to be an expert on the inner city market and rennovations of this type

I only keep an eye on houses so have no idead

however, is this sort of deal hard to find? and this this owner just get a bit lucky? and to me since your are only doing cosmetic rennovations, it seems easier then say dual occ for a house!

I wouldn't say i am an expert but i do got to many many inspections. Deals like this are not hard to find if you put ur mind to it. I do comestic and structural renovations as well such as putting in bathrooms bringing down all the walls etc.

This owner (interior designer) has done this before - it's her 3rd one from what i have been hearing. Yes owner is lucky as well - but like i said - it is a different target market here (you have very very high net worth buyers) Trust me - i met one last weekend myself.

And this has happened to me before and many others. Buyers like these won't be around in frankston. I have done dual occ for house, build home and land packages - too much work and effort for minimal return. I do recall the times when interest rates were so high, and it rained in melbourne so badly that construction was delayed thereby pushing the interest payments up there. If i was self employed - it would be different but i have a fulll time job - so it really depends on social and various factors. For me this suits my lifestyle. Off the plan - forget it.

 

[Melbournian]

a lot of people will bag inner city units - but let me tell you this true story when you have a multimillionaire who is a mining industry from china coming down and buy a house in brighton and felt bored and decided the drive from the casino was a bit too much since majority of his time is spend gambling
and wants a place just to sleep when he finishes gambling - u figure frankston
or city?

 

[zed_kid]

a lot of people will bag inner city units - but let me tell you this true story when you have a multimillionaire who is a mining industry from china coming down and buy a house in brighton and felt bored and decided the drive from the casino was a bit too much since majority of his time is spend gambling
and wants a place just to sleep when he finishes gambling - u figure frankston
or city?

Wouldn’t that guy be getting comped suites at the casino? Or helicopter transfers?

Anyway I see your point though mate. Just a quick question without derailing the thread. Are walls hard to remove? Non load bearing ones obviously.

Thanks

 

[Melbournian]

Wouldn’t that guy be getting comped suites at the casino? Or helicopter transfers?

Anyway I see your point though mate. Just a quick question without derailing the thread. Are walls hard to remove? Non load bearing ones obviously.

Thanks

Dunno - all i know is he got a penthouse. maybe he likes to have personal escorts or likes to keep to himself when he loses money. some people do prefer privacy. but beats me.

Walls are not difficult majority of internal walls are non-load bearing within ur dwelling you can check it on the original architect's drawings - which should clearly identify them. It only gets more tricky when you have the electrical switchboard on one of the walls you wish to remove. Also careful not to bust a sprinkler - i have heard stories where the whole floor got flooded - u would be liable for a fair bit if that happens.

 

[Melbournian]

Wouldn’t that guy be getting comped suites at the casino? Or helicopter transfers?

Anyway I see your point though mate. Just a quick question without derailing the thread. Are walls hard to remove? Non load bearing ones obviously.

Thanks

Are you looking at one inner city unit zed?

 

[zed_kid]

I have 2 apartments in SY that need to be modernised. Want a more open plan style and let in some more natural light. They are both in old 70s brick blocks though, is that going to be harder to smash through?

In the future though I’d love to try what you described. Mostly coz sub-diving land is so painful. Dealing with councils, surveyors, drafters, architects, retard neighbours... ehhh sorry needed to vent

 

[Melbournian]

I have 2 apartments in SY that need to be modernised. Want a more open plan style and let in some more natural light. They are both in old 70s brick blocks though, is that going to be harder to smash through?

In the future though I’d love to try what you described. Mostly coz sub-diving land is so painful. Dealing with councils, surveyors, drafters, architects, retard neighbours... ehhh sorry needed to vent

Brick walls are going to be needed to be have steel beams - gonna cost a bit to have that done. Actually apartments need council, drafters as well as dealing with the owners corporations. it ain't easy. Aren't you a melbourne person - SY i assume is in sydney.

 

[zed_kid]

Brick walls are going to be needed to be have steel beams - gonna cost a bit to have that done. Actually apartments need council, drafters as well as dealing with the owners corporations. it ain't easy. Aren't you a melbourne person - SY i assume is in sydney.

Ahhh dang I though it was just get a sledgey and go nuts. I guess anything worth doing is hard...

SY as in South Yarra.

 

[Melbournian]

Ahhh dang I though it was just get a sledgey and go nuts. I guess anything worth doing is hard...

SY as in South Yarra.

it's not that hard if you know your way around it.

 

[RobW]

One of the exciting things with OTP is that you can't tell how it's doing until it is nearly completed... There always seems to be quite a few on the market because that's how developers and all the marketing infrastructure behind it make their profit on the sale of each unit....

Are you intending to live in it or rent it out?


The Y-man

Rent out - the one we signed for has a 25m courtyard - not huge but it brings the 1Brm up to approx 70sqm I think the rent garentee is 1500pm

 

[Melbournian]

how much did you pay for your courtyard 1 bedder ?

 

[The Y-man]

the rent garentee is 1500pm

Alarm bells.....

The only time an apartment needs a rent guarantee is.....


The Y-man

 

[Melbournian]

rent guarantees are often built into the purchase price. Either way developer wins.

 

[RobW]

how much did you pay for your courtyard 1 bedder ?

under $400k - as long as market rents wind up somewhere around or over $350 per week that would be fine. the rent gaurentee only goes for 6 months but I dont think renting will be a big issue (I may be worng). as far as I know the building is sold out now with only some high end Penthouses left

any thoughts would be appreciated - I havnt bought OTP before : )

 

[Melbournian]

under $400k - as long as market rents wind up somewhere around or over $350 per week that would be fine. the rent gaurentee only goes for 6 months but I dont think renting will be a big issue (I may be worng). as far as I know the building is sold out now with only some high end Penthouses left

any thoughts would be appreciated - I havnt bought OTP before : )

under 400K should be OK then. That is reasonable for a 1 bed with courtyard not cheap neither expensive.

Many buildings - always put all sold out 70% sold out 90% sold out but they're all gimmicks just to tease you. They do it all the time to the overseas investors

 

[zed_kid]

Which development did you buy into Rob? ILK?

 

[RobW]

Which development did you buy into Rob? ILK?

Yep, ILK South Yarra

 

[RobW]

under 400K should be OK then. That is reasonable for a 1 bed with courtyard not cheap neither expensive.

Many buildings - always put all sold out 70% sold out 90% sold out but they're all gimmicks just to tease you. They do it all the time to the overseas investors

Thank u - (no car park though with mine) - yes agree with the "sold out" comments as well - but I noticed the web site now only shows Penthouses for sale (eg all apartments have been removed from marketing material). Body Corp is quite low from memory. Am not sure when completion date is - I guess thats when the evals tell the story.

 

[Goofy]

Alarm bells.....

The only time an apartment needs a rent guarantee is.....


The Y-man

No alarm bells.... I work in large scale developments with rental guarantees, the developer may win on some and lose on others and at the end of the day it pretty much works out even. The benefit of having a RG with any large development is that it takes the pressure off the owner for a little while. 200 properties do not lease overnight. Even whent eh RG is built into the purchase price, it means that the owner is getting protection included in the overall cost of the loan instead of having to fork out a few months rent when they settle on the property.

 

[Melbournian]

Thank u - (no car park though with mine) - yes agree with the "sold out" comments as well - but I noticed the web site now only shows Penthouses for sale (eg all apartments have been removed from marketing material). Body Corp is quite low from memory. Am not sure when completion date is - I guess thats when the evals tell the story.

OK without the carpark that is a bit high.