Thoughts on Westminster?

[la0]

Hi, new to the forums and interested in your opinions.

I know of a block in Westminster coming onto the market soon. 728m? zoned R40. Very standard block for the area, suitable for a triplex development. It currently has an old 3 x 1 house and a large 1 x 1 granny flat. Total rental would be between $500 - $600 per week for both in their current state (more with a reno but I probably wouldn't renovate a development block).

I haven't seen a lot available in Westminster so interested in thoughts. It may go to auction so how much would you expect to get something like this for? Is this an area you would consider for a triplex develpment in the next 12 months? How much would a triplex development cost in Perth at the moment (ball park)?

Thanks everyone

 

[INVSTOR]

She's a nice girl, quick thinker, very bright.

 

[mrdobalina]

I think you've missed the boat on Westminster. It's gone gangbusters in the last 18 months, like other suburbs with development potential.

 

[HD_ACE]

She's a nice girl, quick thinker, very bright.

Ahh too quick

 

[MTR]

I think you've missed the boat on Westminster. It's gone gangbusters in the last 18 months, like other suburbs with development potential.

Agree, the boat has sailed.
Also, have been told that villas are harder to sell at the moment in Balga and Westminster.

 

[westminster]

Hi, new to the forums and interested in your opinions.

I know of a block in Westminster coming onto the market soon. 728m? zoned R40. Very standard block for the area, suitable for a triplex development. It currently has an old 3 x 1 house and a large 1 x 1 granny flat. Total rental would be between $500 - $600 per week for both in their current state (more with a reno but I probably wouldn't renovate a development block).

I haven't seen a lot available in Westminster so interested in thoughts. It may go to auction so how much would you expect to get something like this for? Is this an area you would consider for a triplex develpment in the next 12 months? How much would a triplex development cost in Perth at the moment (ball park)?

Thanks everyone

It really depends on the price.
Triplex cost at the moment for everything inc demo through to strata would roughly be $650k (+/- 10%)

Development + block + profit >= sales value
eg
650k + 500k + (20% of $650k + 500k) >= 1.4m
650 + 500 + 230 = 1.38

So we can see that if a block is greater than 500k and the end value is 1.4m then it's a no go. (Well not for me) Here's hoping I did my maths right and I may or may not have put my <> the right way

She's a nice girl, quick thinker, very bright.

Nawww thanks

 

[stumpie]

Agree, the boat has sailed.
.

2nd that... so has girrawheen.

 

[DaveM]

I dont really like westminster, she always wants things her own way and has a million questions on every topic for us to answer.

Or do you mean the suburb?

 

[Truly Exotic]

It really depends on the price.
Triplex cost at the moment for everything inc demo through to strata would roughly be $650k (+/- 10%)

Development + block + profit >= sales value
eg
650k + 500k + (20% of $650k + 500k) >= 1.4m
650 + 500 + 230 = 1.38

So we can see that if a block is greater than 500k and the end value is 1.4m then it's a no go. (Well not for me) Here's hoping I did my maths right and I may or may not have put my <> the right way



Nawww thanks

Hmmmmm.. How can we take you seriously when there is clear bias in your post

 

[westminster]

Hmmmmm.. How can we take you seriously when there is clear bias in your post

People take me seriously?!?!?!?

 

[MTR]

It really depends on the price.
Triplex cost at the moment for everything inc demo through to strata would roughly be $650k (+/- 10%)

Development + block + profit >= sales value
eg
650k + 500k + (20% of $650k + 500k) >= 1.4m
650 + 500 + 230 = 1.38

So we can see that if a block is greater than 500k and the end value is 1.4m then it's a no go. (Well not for me) Here's hoping I did my maths right and I may or may not have put my <> the right way



Nawww thanks

Blocks in Westminster are now heading over $550-580K, your figures above I think are pretty close, though I would add 10-15% more for holding costs, stamp duty etc. It really makes no sense to buy in this area.

There is also additional risk now of an oversupply of villas in Balga and Westminster therefore prices of villas may start to fall back??.

I believe those who are now buying assume the market will continue to rise a risky proposition.

MTR

 

[perthguy]

There is also additional risk now of an oversupply of villas in Balga and Westminster therefore prices of villas may start to fall back??

Nollamara too?

 

[Chomp]

I have been advised that anything less than 750m2 is not good for triplex (design wise). That is for your standard rectangle block with a 20m frontage.

 

[perthguy]

I have been advised that anything less than 750m2 is not good for triplex (design wise). That is for your standard rectangle block with a 20m frontage.

Would that depend on the r-code and single storey vs double storey? I know in my area they do R40 triplexes on less than 750.

 

[Chomp]

That is for 3 single storey 3x2 with a double garage. I cant see numbers stacking up for town houses but maybe that's just me.

 

[westminster]

I have been advised that anything less than 750m2 is not good for triplex (design wise). That is for your standard rectangle block with a 20m frontage.

Nollamara, Westminster and Balga have a common standard block which is 728m2 with an 18.1 frontage. It's the cookie cutter size for the area and is ok for an R40 3 x 2 triplex with double garage.

 

[Chomp]

Just repeating what I was told by someone with 25yrs experience in the business, I am not experienced in this field.

I went for a 728 and was told go for 750 if I could.

Once it settles and floor plans are done I will put them up, see what you think.

 

[MTR]

yes, standard block is 728 for the area. I would also include Nollamara at peak, prices too high for deve block, end value just does not stack up.

 

[westminster]

Just repeating what I was told by someone with 25yrs experience in the business, I am not experienced in this field.

I went for a 728 and was told go for 750 if I could.

Once it settles and floor plans are done I will put them up, see what you think.

Bigger is always better Especially if you want to stand out from the cookie cutters
My Westminster block is a corner with 809 sqm - so I had oodles of room to play with.

 

[la0]

Thanks everyone. I had no idea that a block in Westminster would go for $550k plus! I haven't seen a lot sold so didn't really know what it might be worth. I appreciate the advice