Idalia – Top Price Property Of The Week – 8 Waterbury Terrace – $725,000

This week’s winner – 8 Waterbury Terrace Idalia

In Idalia, falling in love with the house of your dreams on a waterfront lot with designer opulence fused with beautiful indoor and outdoor characteristic causes the heart to beat above the normal resting rate.

This excitement is especially so for the buyers of this property who are returning home to Townsville from the Gold Coast to collect the keys with their young family.

It’s the beginning of a new chapter for the couple in a place they know and love because they too were raised like so many families drawn to Townsville for city’s excellent education lifestyle.

Image: Patio and pool view of 8 Waterbury Terrace Idalia
Photo: Ray White Douglas

And what a great bonus, absolute waterfront living is a dream lifestyle for many home owners.

Although everyone has the opportunity to reach these dreams if they choose, not everyone gets to realise the reality of the fulfillment and joy that a quarter of the million dollar property brings to the great Australian dream.

Now, even though the buyers may not realise this fact as they are buying a lifestyle home, they have acquired a property in a corridor that is set to benefit from an explosion in population growth to the South-west of Townsville in the coming 15 years.

This local Townsville family have worked hard, and as Townsville’s economy sprouts fresh pickings of a recovery with arguably the best educational facilities in the nation, there is no better time to buy in Idalia as the median house price has fallen back to near 2008 prices.

The location is a non-coastal suburb boasting a median house price below $400,000. Yet we are featuring a quarter of million dollar property here as TREN’s top price property of the week winner. So achieving a sale price above the market benchmark is, of course, the envy of owners and sales professionals in the property industry.

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In an exclusive interview with TREN, we will hear from the real estate agent who sold the property with over 15 years experience, Ms. Nicole Plozza from Ray White Douglas.

But firstly, let’s put the suburb into context. Idalia was developed from a light industrial suburb to become one of Townsville’s fastest growing suburbs. The Fairfield Waters development saw the construction of nearly one thousand homes. Many of the homes are designed to executive standard with large floor areas, ensuites, 4 bedrooms and quality finishing.

This week’s residential property Top Price Winner of the Week has all of the features families have come to enjoy and need such as space, comfort, convenience, security and lifestyle.

The property sold for a cool $725,000 which is $327,000 above the current median house price for the suburb at $398,000.

If it were not for this positive price outcome in properties of this calibre, Idaila’s unimpressive drop in median house prices of 25 percent since Dec 2015 could have been much worse.

These positive sales stimulate improvement in the recovery and even verify that TREN’s predicted short to medium term recovery is in full swing.

We asked the real estate agent, Ms. Plozza, what are some of the highlights for you selling this home?

Ms. Plozza said; “The greatest highlight for me was that this is the third property I have worked on with these sellers after meeting them over 10 years ago when they bought their first 2 properties from me”.

“The home is pure opulence with absolute waterfront to the lake. It’s the perfect lifestyle home that fuses the outdoors with the indoors. It was great that the buyers were coming home to Townsville from the Gold Coast.”

With a sense of excitement and pride in serving the Townsville community with more free appraisals than she can remember, the veteran real estate professional voluntarily provided a comprehensive description of the features of this gorgeous home for TREN.

Ms. Plozza said;

The property

“Spanning over an impressive 412sqm of opulence that must be seen to be believed, careful consideration has been given to the design in order to create the perfect fusion of indoor and outdoor living spaces resulting in a one of a kind lake front masterpiece.

“This property is a genuine opportunity like no other to own a statement home, meticulously designed to enhance the sprawling views over the lake toward Mount Stuart.

Image: Pool view of 8 Waterbury Terrace Idalia

Photo: Ray White Douglas

“The property has been entirely repainted internally allowing the new owners the opportunity to move right in and enjoy this stunning location. The property also has:

• Absolute lake front allotment has uninterrupted views of the lake, Mount Stuart and mountain ranges.
• Grand entrance complete with stunning chandelier, study nook, vaulted ceilings, large picture windows to maximize the natural light, high gloss porcelain tiles throughout
• Striking modern kitchen with stone bench tops, glass splash backs, walk-in pantry, double oven, instant filtered hot and cold water, feature colour accents and cabinetry

“For families, the home offers uninterrupted views of the patio, pool and back garden from the kitchen, dining, lounge and master bedrooms, ideal to watch the children at play.

“In addition, the property has:

• Expansive open plan living and dining room with cathedral ceilings, large frameless picture windows overlooking the pool, cascading natural light
• Central theatre room with step up seating and fully equipped with surround sound system, projector, screen and eight single theatre chairs all inclusive
• Master suite with walk-in robe and shower, separate toilet, Balinese inspired cabinetry, floor to ceiling tiles, direct access to the patio and pool
• Three additional bedrooms fully carpeted, second bedroom features void to allow additional light and louvers to capture the breezes
• Main bathroom dressed in opulent floor to ceiling tiles, seamless glass shower, separate bathtub and chic feature accent tiles
• Resort style oasis pool with waterfall, glass fence surrounds and wooden decking which extends onto the patio
• Spacious wrap around patio with spectacular lake side views and direct access to the pool, lounge room and master bedroom, the ideal entertaining space
• Fully fenced irrigated gardens and lawns, private gate access to the lake side walking tracks, low maintenance manicured gardens
• Third separate toilet near kitchen, 2.5KW solar system, split system air-conditioners throughout, internal laundry, oversized double remote lock up garage with internal storage
• Minutes walk to Fairfield shopping centre, and a short drive to the CBD, Lavarack Barracks, Townsville Hospital and James Cook University.” Ms Plozza said.

Investment Profile

TREN’s research has identified that the suburb of Idalia had a population of approximately 3600 people as defined in the 2011 census. Between 2006 and 2011, the suburb grew in population by approximately 1600 people. Based on the 2016 census, the current population has increased to 4438.

The residential increase in the population of Idalia occurred when the Fairfield Waters housing estate was created in 1998. The most significant growth occurred when the Fairfield Shopping Centre was developed in 2008.

The suburb represents excellent value. Yet first home buyers of established homes are not eligible for the first home buyer’s grant if they were to buy this property. In spite of the $20,000 new home buying incentive, the discounts being experienced in Idalia are worthy of both investor and first home buyer attention.

Image: Google Map of Idalia Townsville

The suburb has a current median house price of $398,000, down approximately 12 percent from $460,000 over 12 months ago. Units in Idalia have a median unit price of $238,000 down a massive 40 percent over the past 12 months from $405,000.

The sale price achieved for this property of $725 thousand will have a positive impact on the median house prices in Idalia as it exceeds the current median house price for the suburb. Approximately 69 house sales have been recorded in Idalia over the past 12 months.

The median rental price for houses in Idalia is $410 per week producing a yield of approximately 5 percent from 194 tenanted properties in 12 months. Units have a median rental price of $330 per week producing a yield of approximately 3.7 percent from 31 tenanted units in 12 months.

Idalia has a desirable lifestyle for couples and families with shops, schools, university and well established landscaped streets and water side walking and bikes paths in the area.

Maturing, established and older couples and their families make up 58% of the population. Independent youth, make up 11% and established independent people make up 11% of the population respectively.

The old Ross River meat works in Idalia is of heritage significance. It closed down in 1995 after 103 years of operation and demolished. However, the chimney of the old meatworks has been retained.

The suburb supported workers in the meat industry, including the establishment of a meat experiment station in 1914 until it was taken over by the CSIRO in 1932. During the Second World War, a military camp was established in Idalia.

The Oonoonba Primary School has taken enrolments since 1920. The current location of the school is approximately 600 metres walking distance of this property which was established as a new school in 2002. Southern Cross Catholic School is 1.4 kilometres and three other schools are located 2 to 2.5 kilometres from the property.

James Cook University and Australia’s largest army base, Lavarack Army Barracks, is approximately 5 minutes drive from the property.

The demand for housing in Idalia has increased over 100% since prices have reduced over the past 12 months.

Over the same period, demand for rental accommodation has been steady. Prices for rental properties have also been steady while house sale prices have reduced by nearly 12 percent and unit prices have reduced by nearly 40 percent.

Further reading:

Property Law – The Concept Of Property And Its Ridicules History

North Ward – Top Price Property Of The Week – 49 Alexandra Street – $752,500

Major Projects Feasibility Ranking: $22 Billion Investments In Townsville North Queensland

Trading On The Seas; North Queensland And China Steaming In The Fast Line

Mount Low – Top Price Property Of The Week – 6 Newell Court – $560,000

Guide to selling a luxury home

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Property Law – The Concept Of Property And Its Ridiculous History

Property Law

Land can be defined as any area of three-dimensional space. It is not confined to earth’s surface area and may extend above or below. Cuius est soum eius est usque ad coelum et ad inferos in Latin maxim that governs the rights of the landowner. Basically, this means the person who owns the land, owns it from the heavens above to the centre of the earth.

Of course, over time this has been changed by statute as we now have the common law view. Obviously, if we had this view of Maxim today it would literally open a lot of interpretation such as how wide, height and width etc. If any object flew over such land then this would be considered trespassing of one’s land.

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This, of course, would be ridiculous as to where would it stop. What about building sites where some object may impose at height. Thank goodness that common sense prevailed. 

However, it did not stop a case in which a plaintiff took the defendant to court as the plaintiff accused the defendant of trespass on his land whilst the defendant took photos from an aircraft above the defendant’s property. Basically, the outcome was that the landlord’s right incorporates only height necessary for the ordinary use and enjoyment of the land so common sense prevails.

What about native rights of the indigenous people with regards to property history? In a well-known case in Queensland took the view that a member of a tribe was charged by the magistrate’s court for breaching the 1974 Fauna Conservation Act for using a traditional harpoon to catch two juvenile crocodiles without a permit. This member and the tribe has a connection with the land that existed before the common law and continued as their custom. Did the Native Title Act 1993 contravene the 1974 Fauna Conservation Act? According to s109 of the Constitution, the tribe in question has a right to exercise those rights and interest.

The word property according to Leeson CJ, Kirby and Hayne JJ held (at 264), is often used to refer to something that belongs to another. But the Fauna Act, as elsewhere in the law, ‘property’ does not refer to a thing. It is a description of a legal relationship with a thing. Usually, it is treated as a ‘bundle of rights’. What they are referring to here is property does not always mean full ownership of a thing but rather the degree of power exercised over a resource or land.

Of course, property and indigenous rights have had the fair share of problems in history the Anglo-Saxon point of view was different to the Australian indigenous viewpoint of property and ownership, historically this was not reflected in English law. This is no longer the position since the famous case of Mabo that set a presentence; on native title been recognised by the common law.

It seems the concept of property is tied to the relationship of property and the ownership of it. This implies rights of use, possession, and rights of transfer. It is an ownership that gives the right to enforce laws against the world at large.

If our history is anything to go by we are in for a rocky ride into the future of property and ownership.

It seems that Common Law, on one hand, has improved some situations and others made things more difficult. Who knows what the future holds, but let’s hope that common sense prevails and that future history will learn from the past.

Author: Kathleen Dale, Business Advisor and Founder of Compass Business Advisory.

Further reading:

Construction boosts Townsville short to medium term prospects

Development frenzy  emerging between local builder alliance and national property retailers

Kirwan – Top Price Property of the Week – 1 Crown Close – $655,000

Commercial property in Townsville found gasping for owner-occupiers

Magnetic Island – Top Price Property Winner of the Week – 3-5 Endeavour Road – $520,000

Durie Is Out! Gay And Green Thumb Poster-Boy Snapped Duplicity Of Premier On Townsville Water Security

Guide to selling a luxury home

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Development Frenzy Emerging Between Local Builder Alliance And National Property Retailers

Development Local Alliance

A development frenzy has emerged between Townsville City’s local builders, State government subsidiaries and the “Big 3” major shopping centres who are upgrading brands, defending loyalty and seducing retail tenants with competitive prices against the central business district (CBD) around the North Queensland Cowboys Stadium.

Townsville’s CBD revitalisation initiative was identified as a Priority Development Area (PDA) by the State government in 2015. As the next iteration of Townsville’s rebranding and call to action initiative, the Waterfront Priority Development Area (WPDA) is delivering the $250 million North Queensland stadium project as it gets under way with earthworks this week.

Local builder and developer, Lancini Developments has invested in the vicinity of $50 million in the CBD Revitalisation. The cornerstone of the CBD development is the City Arcade retail area mixed use development including a Woolworths, City Lane restaurants, boutiques, and service stores connecting to Flinders Street Mall.

Embarrassed by the low appeal of the CBD after David Jones left the city in 1993 to set up at Stockland’s Aitkenvale Shopping Centre, the State government and local Council decided on the city’s Flinders Street upgrade in 2010 attempting to reintroduce traffic into the mall and drive further development of mixed use space.

Synonymous with the City’s development over the past 30 years and as determined as a legendary Cowboys halfback, the less conspicuous Lancini Developments’ Chairman, Lawrence Lancini has led the CBD revitalisation and city’s resurgence strategy.

The local builder has also constructed the Ergon Energy building on the corner of Flinders and Stanley Streets and the site of the new McDonalds restaurant located on Stanley Street.

In addition, the local businessman is redeveloping the old Woolworths site at the corner of Sturt and Stokes Streets. Lancini Development is close to completion of its $10 million mixed use shopping centre which will produce over 1 acre (4693sqm) of space.

The City Point centre will be the developer’s new Townsville office. Large retailers in electrical appliances, homewares, sporting goods and a variety retail stores will move into the double storey building. Zambraro’s has already announced they are relocating to the site from Flinders Street East.

Big 3 retailers pushing back

And now we are seeing the “big 3” commercial and retail players this week push back firstly Willows, and the Stockland and Castletown centres are set to follow.

Dexus Property Group, owners of the Willows Shopping Centre launched its $70 million expansion of retail space this week. The first big retail property owner leading the charge over the Lancini-backed CBD, Fairfield Waters and QIC Properties Domain Central retail property expansions.

And the impact is substantial as these big brands and many others are now occupying an extra 2 acres (8000 m²) of space at the shopping centre. The Willows Shopping Centre expansion to the north-west of the city has secured the tenancy of big retailers such as Harris Scarfe, Cotton On and other fashion stores, Surf Dive n Ski and Urban Wear.

Government backed capital investors

But the local players are not intimidated because they have musted their own big capital hitters.

The Queensland Treasurer, the Hon Curtis Pitt announced that the Government-owned Queensland Investment Corporation (QIC) is investing another $6 million on top of the existing $140 million of its acquisition of the Domain Central Shopping Centre at Garbutt.

More developments on this site are to come after QIC’s subsidiary company QIC Properties Pty Ltd acquired the shopping centre and land from Lancini Property and Development in 2015.

The acquisition by the State government-owned entity sparked free market concerns in the retail property market, as the property development is in direct competition with the privately owned commercial shopping centres across the City. Of course, in a global investments marketplace, the State government has every right to invest its assets and capital through commercial capital funds under the current free trading environment.

As exciting as the 2015 Cowboys grand final win, Willows, Stockland and Castletown are hitting back and a serious showdown for field position and ultimate glory among the property developers and big retail players is alive and kicking in Townsville.

What about the consumers?

While consumers may get a slice of the pie in the form of great bargains and deals, the intense competition between the property developers is directed at the relationship between brands and bandwidth as the large international retailers like Aldi, Costo and Amazon enter the market in the capital cities.

Shoppers have already seen specials and promotions at many of the retailers of up to 70 percent on a consistent basis over the past few years. The promotions have been aimed squarely at retaining loyal shoppers in the big 3 centres. The impact has continued to be felt on CBD retailers struggling to attract foot traffic.

The cost of stock in a fast moving branding supply chain demands rigorous seasonal turnover of apparel to protect cash flows and minimise liabilities. Keeping the cash flowing is the life blood of business. During the Townsville market slump, retailers have been finding these key deliverables very tough indeed. There have been no exceptions in the CBD and in the suburban retail space.

The CBD and international broadband retailers have become a considerable threat to the big 3’s market share. And therefore they have no alternative except to fight back the best way they know how; drawing big brands, more space and aggressive promotions.

Consumers are set to win big time from the intense competition with additional choice and the aggressive promotions likely to create better bang for the buck from the discounts and ongoing sales.

Smaller retailers in CBD and convenience hubs

So the tough retail conditions are tempting retailers to shop around like their coal face customers have done. For retailers and brands, joining the State government and Lancini Developments CBD revitalisation has become a serious alternative.

The locally aligned and government policy sensitive suburban retail outlets at Fairfield Waters and Domain Central look on the face to be strategic in winning strong retail brands on the basis of diversity and convenience.

Retailers could leverage better value, and of course profits in a marketing mix driven by distribution around a revitalised cosmopolitan cultural and entertainment precinct created off the back of the NQ stadium development.

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Business is about getting more foot traffic through the CBD gates, and as the City’s 50,000 to 100,000 population growth is projected around the convenience hubs of Fairfield Waters and the CBD corridor to the south-west, the Lancini alliance has a strong distribution position for growth and cash flows.

The ever insightful Shari Tagliabue wrote in her Townsville Bulletin column a clear testimony for the smaller convenience shopping centres, tempered concern for the CBD revitalisation that might fail unless the old rail yards are developed as a night market modelled on the friendly rival in Cairns. Hint, hint…

Ms Tagliabue said, “Supermarket brands have ousted most of the necessities I consider indispensable, which means trips to smaller convenience stores that will carry real brand names.” Competitors under one roof are options but not the principal desire of sophisticated shoppers like “Shari”.

This “prices all over the shop” narrative fit perfectly with the local developer alliance vested in the CBD revitalisation and suburban convenience supermarkets strategy. One can only imagine the critical retailers who have been smashed on price and overheads in the big shopping centres are listening.

Could there be an announcement that Target, being remodelled at Castletown for Coles, might make a move to the CBD? What about a Kmart or Big W moving in the heart of the city?

The Domain Central QIC properties development at Mount Louisa will include an IGA convenience supermarket and six other retailers.

Fairfield Central shopping centre owners’ Landel Pty Ltd and Fairfield Land Pty Ltd, in alliance with Lancini Developments, have lodged a further development application to extend on its $24 million stage 3 development at Idalia on the Bruce Highway to the south-west of the City. The expansion will be anchored by Coles with space for speciality stores and the local builder will carry out the extension works.

The Fairfield investment will add another 2400 m², including 1650 m² for a major tenant, and more speciality stores along the western and southern side of the Coles supermarket.

Effectively the big 3 have matched the $50 million invested by Lancini Developments in the CBD. This in itself is enough antidotal evidence that the CBD revitalisation and State government subsidiaries strategic alliance is a credible threat.

As employment picks up in the next couple years in Townsville, discretionary spending by customers will increase too. The loyal tenants of the big 3 retail property giants have been doing their part retaining customers in tougher times.

Now they have been given a tough choice; stay with the mega space, high-value suburban shopping centre or go affordable, convenience and diversity in the CBD and growth corridors?

Well, the early birds are already moving. Brands including the Fashion Gallery, Foot Locker, Rockmans, Cotton On, Crossroads, City Beach and Barefoot have moved to make way for H&M at Stockland.

Townsville’s biggest retailer

Stockland Shopping Centre, partly owned by AMP Capital, is seeking to maintain its position as the leading retailer in the Townsville market, Stockland’s Commercial Property CEO John Schroder said.

Mr Schroder stated, “Securing H&M at these centres is a great example of how we’re investing in new shopping opportunities and experiences that lift the calibre and quality of our retail portfolio”.

The emerging 15-20% retail and commercial vacancy rate across the CBD precincts has lowered the price of retail space. Some reports identify prices as cheap as $110-130m2. Tenants are being offered to start up incentives of 3-month rent free deals.

Meanwhile, the big retail centres who control their own pricing and management, are fetching premium prices over $300-400m2 plus outgoings and mandatory refurbishment terms.

But to retain these prices, they must maintain their foot traffic and improve the buying power of customers. To these astute high-end shoppers, there is nothing more appealing than big brand retailers offering new product lines, brands and promotions.

Big retail brands like H&M, Harris Scarfe, and the destination and convenience stores such as Coles, IGA, etc. are what the Townsville market is seeing making moves across all of the shopping centres. It’s an intense branding and market positioning frenzy that is making Townsville a very exciting place to shop.

Protecting the turf splits Council

Meanwhile, McConaghy Properties, owner of Castletown Shoppingworld at Hyde Park also lodged a development application for the shopping centre’s $40 million reconfiguration.

The plans cover 5750m² of space including the retail giant Target, with an additional 3750m² for a supermarket and various small speciality stores, food outlets including basement carparks. The expansion plans may also include a new Coles.

As a direct rebuttal to another locally grown builder and developer, Parkside Developments who built the Parkside and Woolworth’s shopping centre at Kirwan, McConaghy mounted court action to stop a community-focused proposal to develop the largest Coles supermarket in Townsville at Currajong.

Before the distasteful court proceedings,  the giant food retailer Coles had been offset with Parkside Developments as the new cornerstone tenant in the local developer’s failed development on the site of the Townsville and District Rugby Union grounds.

The development application and approval split the Council in 2015. But the majority of the Councillors approved the initial Parkside Development application.

The appeal of the development to the community saw the majority of Councillors approve the initial Parkside Development application. However, the Planning and Environmental Court challenge later overturned the Council decision.

As a measure of the value of the retail property market, McConaghy’s action to protect its market share and viability of its Castletown asset keep Parkside Developments out of the next phase of Townsville’s big retail growth.

It was a bitter pill to swallow for the long time local property investor and developer. Commenting to Mr Tony Raggart from the Townsville Bulletin, Parkside Development director Mr Peter Tapiolus said “It’s unfortunate that opponents to the development put their vested commercial interests in front of a great outcome for rugby union in North Queensland and the 400 construction jobs and 250 full-time jobs that would have been provided with this development”.

Ironically, the pro-development Mayor Jenny Hill and Deputy Mayor Les Walker voted against the initial Council decision to approve the Coles supermarket development application.

Such events demonstrate the high stakes being played in Townsville’s property development marketplace since 2015 when the Mayor won the election and changed the landscape and personnel at the local government authority.

The outlook for local corporations willing to invest in the revitalisation of the city heart could now be infiltrating the bastion of consumer spending that moved with the sprawl of the city. But the “big 3” are not taking it lying down. And the winners, well, this is looking a lot more positive for the local residents who have been doing it very tough over the past few years.

Further reading:

Rangewood – Top Price Property Of The Week – 2 Raja Aho Road – $720,000

Kirwan – Top Price Property of the Week – 1 Crown Close – $655,000

Commercial property in Townsville found gasping for owner-occupiers

Hotel managers slam Townsville Council over Double Tree exclusive

Agricultural and water security boost for North Queensland; Hells Gayte Dam $2.2 million feasibility study 

Magnetic Island – Top Price Property Winner of the Week – 3-5 Endeavour Road – $520,000

Guide to selling a luxury home

Free Subscription Offer

You’re fired! The best summer. Bugger – Go Digital. Join TREN. It’s Free. Explore more..
Click on image above to Join TREN

How to stay up-to-date

Do you have an opinion about Townsville retail developments?

The TREN community wants to hear your story.

Become a subscriber to TREN eMagazine and be the first to receive local breaking stories, analysis and opinions on the Townsville real estate market.

Disclaimer