Surry Hills/Potts Point/Woolloomooloo Terraces

[nsy]

Been studying the above areas for a while (not hard - hasn't been much stock!) and was wondering if anyone has any views on the relative attractiveness of terraces in the areas above for investment purposes?

A significant part of Woolloomooloo is affected by the train line and its a small area so hard to come across anything worthwhile considering.

Most people relate potts point to apartments - does this devalue terraces in the area?

Surry Hills prices have increased quite significantly of late - suspect this is driven by shortage of supply. I think volume in terraces year to date is about a third of hat it was in the last few years.

Views?

Thanks

 

[mja]

Hi nsy,

Herron Todd White's Month in Review (August 2009) has a good read about gentrification and renovation. It specifically mentions Surry Hills and Paddington:

http://www.htw.com.au/Downloads/Files/210_August_2009_Month_In_Review.pdf

HTH.

 

[HappyCamper]

Hi nsy,

I've been looking in similar areas. For me, the attraction of Potts Point and Woolloomooloo is the short walk to the CBD compared to the inner city areas further south. I read somewhere that Potts Point is the most densely populated area in the country. Surry Hills has some nice leafy streets. I went to an auction on Arthur St a couple of weekends back and the house sold for a princely sum.

Did you see the listed terraces in Brougham St Potts Point? If so, I'd be interested in your thoughts on them.

garbage.

 

[Propertunity]

Been studying the above areas for a while (not hard - hasn't been much stock!) and was wondering if anyone has any views on the relative attractiveness of terraces in the areas above for investment purposes?

Yep, always a good investment long term.

Most people relate potts point to apartments - does this devalue terraces in the area?

Nope.

Surry Hills prices have increased quite significantly of late - suspect this is driven by shortage of supply.

Yep, coupled with high demand.

Views?

Yes, at the risk of being labelled self-serving, I think we are past 7 o'clock on the economic clock now in Sydney (my only experience) and from my oberservations on the ground is that we are in the first stages of a RE boom. But that is just my opinion fwiw.

 

[nsy]

Hi nsy,

I've been looking in similar areas. For me, the attraction of Potts Point and Woolloomooloo is the short walk to the CBD compared to the inner city areas further south. I read somewhere that Potts Point is the most densely populated area in the country. Surry Hills has some nice leafy streets. I went to an auction on Arthur St a couple of weekends back and the house sold for a princely sum.

True..though Arthur St is on the expensive end of Surry Hills. Has good bones too. The places at Ridge also sold for serious $ compared to the other end of Surry Hills closer to Central Station.

Did you see the listed terraces in Brougham St Potts Point? If so, I'd be interested in your thoughts on them..

I haven't seen it. Been spending more time in Surry Hills. I believe it needs a bit of work and the street number suggests it has no views and stares at a block of apartments - some terraces along Brougham has views so I believe the price should reflect that. Did you see it? What do you think?

 

[HappyCamper]

I haven't seen it. Been spending more time in Surry Hills. I believe it needs a bit of work and the street number suggests it has no views and stares at a block of apartments - some terraces along Brougham has views so I believe the price should reflect that. Did you see it? What do you think?

I've only seen one of them and yes, it was in front of the apartment block but had glimpes of the city from the second level. It needed a fair bit of work though, probably a bit more than I'd want to do. There was another one further up the street with city views that sold for almost $1m.

 

[travelbug]

B
Most people relate potts point to apartments - does this devalue terraces in the area?

When I was looking for a unit in Potts Point I walked past an open home for a terrace and thought I'd have a look. $3M It WAS massive and had been leased as group accom. Heaps of rooms and bathrooms.

My friend has a penthouse apartment in Potts Point. Paid $950K. Now valued at over $2M.

So in answer to your question- No.

 

[nsy]

Parking

Most terraces in the area have no parking. What are your views as to the importance of this for investment? Will the premium for parking widen over time?

 

[HappyCamper]

Most terraces in the area have no parking. What are your views as to the importance of this for investment? Will the premium for parking widen over time?

My thoughts are that if on street parking becomes scarcer, the premium for offstreet parking will increase. So if there's potentially a block of units going up in the vicinity of the terrace or if the area becomes more vibrant, then the premium will widen. Rental returns-wise, I'm not quite sure.

 

[nsy]

Garbage, saw the place on brougham over the weekend. the power pole right in front of the first level is a big turn off for me!

 

[Oscar]

I've seen terraces in brougham st in the past (I'm talking 2006/2007). Couldn't believe the value back then, for ~ 750K you got large terrace with city views walking distance to CBD, botanic gardens etc.. Have no idea what they go for now....What scared me then was the proximity to the council housing... I visited at night (dark), and the place looked dodgy as hell. I didn't want to be walking the streets at that time alone and I'm a pretty robust kind of guy...I suggest you do some night visits if you get real interested in buying a particular place.

 

[HappyCamper]

Garbage, saw the place on brougham over the weekend. the power pole right in front of the first level is a big turn off for me!

I think there's two on Brougham - was it the one next to Butler Stairs?

 

[nsy]

I think there's two on Brougham - was it the one next to Butler Stairs?

nope. its the one further up. nice bones but the power pole really bugs me and there is absolutely nothing you can do about it!

 

[nsy]

Exchanged contract on a terrace in surry hills week and a half ago. 126 sqm, 3br, 2 car spots.

search is over....at least for a while. rental yield is poor - but i am can handle the -ve gearing and really in this for CG.

 

[travelbug]

Congratulations.

2 car spots there is great.

Do you need to do any work to it?

Maybe get some instant equity that way and increase the rent.

 

[nsy]

like most places, could be better but in reasonably good condition. Prob better off just renting and getting DA for attic conversion and do all work at once. hidden cost during periods without rent is prob higher than rent uplift i'll get.