Property Observer – Montrose

Oct 10, 2012

5 October 2012

Sydney first-home buyer interest picking up – but not silver screen-worthy – in wake of government grant

“Emerging buying interest is again expected from Sydney first-home buyers this weekend for off-the-plan projects, due to the $15,000 government grant available for new home purchases, which kicked off October 1.

However, because many developers were forced to offer incentives in the three-month “vacuum” between its NSW state budget announcement and its October 1 introduction, the initial response has not been as dramatic as might have been anticipated. The grant is available for first-home buyers buying or building a new home up to a value of $650,000.

In addition, first-home buyers pay no stamp duty on new homes valued up to $550,000, a maximum saving of $20,240. One project, the Montrose development in North Sydney (pictured below), which features a rooftop cinema, sold 25 apartments off the plan last weekend, six of them to first-home buyers in a pre-launch VIP sale.

The official launch of Montrose will be this weekend.

Curtis Field, director of project marketing at Colliers International, which is marketing Montrose, tells Property Observer a rooftop cinema is fairly unique for an apartment project in Sydney, but they are more common in Melbourne.

He says the cinema was included in the design to appeal to younger couples and singles who are expected to show interest in Montrose and which will “add some vibrancy” to the project. “It’s set up like a home cinema. Residents or tenants book it through the body corporate. It could be a great place to watch the grand final.” Field says inquiries levels have been “really good”, with 25% to 30% of them coming from first-home buyers. More than half of the 104 apartments in the 10-storey project have been deliberately priced under $650,000.

Studios measuring 40 to 48 square metres are priced from $435,000, with weekly rental potential of about $450 to $500 – a gross yield of about 5.4%. Prices rise to $920,000 for bigger apartments with better views.

Montrose has been designed by Mayoh Architects and is being developed by Sydney-based Legacy Property led by Princeton University graduate Matthew Hyder and Stewart Nettleton, former NSW state manager for retirement living at Stockland. Recently completed Legacy projects include the boutique, high-end The Avenue apartment complex in Collaroy on Sydney’s Northern Beaches and the 88 apartment Kantarra project in Lindfield. Legacy has also completed a number of projects in the US”

Exerpt from article by Larry Schlesinger