Latimer Central Apartments, 272 Barbadoes St, Christchurch,
Well designed, high quality, low maintenance apartments in prime Christchurch CBD location
Total 38 x off-the-plan 1 & 2 bedroom apartments development
Opportunity for additional capital growth before settlement in Feb/Mar 2020
Prices: 1 bed $329k - $539k, 2 bed $435k - $649k
The Christchurch market is undervalued based on the historical growth performance and growing gap between Christchurch and national average. In the last 10 years the market grew 40% in value compared to 80% in the prior 10 years. The earthquakes in 2010 and 2011 and city rebuild have interrupted the growth cycle.
Strategy: Off the plan
Upside: Growth prior to settlement
Rent: Furnished / Unfurnished
Lending: 80% LVR
Deposit type: Cash, equity
Beds/Baths: 1+1, 2+1, 2+2
Valuation: 18 sold at retail prices
Price per SQM: $TBC
Internal floor area: 1 bed 48 - 56 sqm
Internal floor area: 2 bed 66 - 94sqm
Market rents 1 bed: $367 - $415 p.w.
Market rents 2 bed: $400 - $482 p.w.
Median gross yield: 5.3%
Median sale price 10 years: +40%
Median sale price 20 years: +120%
Capital growth (20 years): 4.2% p.a.
CHRISTCHURCH CENTRAL APARTMENT MARKET PERFORMANCE
Apartment median sale price July 19: $407,000
Apartment sales volume: 620 per year
Apartment days to sell: 44
Apartment sales value: $43 million per year
Market data sources: Real Estate Investar, Tenancy Services, REINZ, One Roof
Assessed rent 1 bed: $350 - 400 p.w
Assessed rent 2 bed: $420 - $570 p.w
Year 1 cashflows: 1 bed (+$7 p.w.)
Year 1 cashflows: 2 bed (+$83 p.w.)
Gross yield: 4.6% - 5.4%
FIRST HOME BUYERS
Dwelling: 1 bedroom apartment
Purchase price: $409,000
Weekly cost to own: $463
FIRST HOME INVESTORS
Dwelling: 2 bedroom apartment
Purchase price: $499,00
Weekly cost to own: $324
Occupancy: With flatmate/s
PRICE AND AVAILABILITY SUMMARY
To reserve a property, request a contract, provide the details requested in the form and we will issue a conditional contract to you for signing. You have up to 48 hours from receipt of the contract to sign, or the property may be released to another buyer. This is not a binding commitment until the contract documents are issued and signed by both parties. Your contract will include a conditional period to enable you to complete due diligence and confirm finance. Until your contract goes unconditional, you are not obligated to purchase the property.
Loan length: 30 years
Interest rate: 3.75%
LVR: 100% Investors / 90% Home Buyers
Capital Growth: 4.2%
Valuation: 18 sold at retail prices
Legal/Loan fees: $2,000
Rent: Market rents appraised by property manager
Body Corporate: $2,200 - $3,200 as per budget
Property Manager: NIL
First Home Buyers/Investors current rent: $400 p.w.
Christchurch is the largest city in the South Island of New Zealand and the heart of the Canterbury Region. The Christchurch urban area lies on the South Island's east coast, just north of Banks Peninsula. It is home to 404,500 residents, making it New Zealand's third-most populous city behind Auckland and Wellington.
The city suffered a series of earthquakes between September 2010 and January 2012, with the most destructive of them occurring at 12.51 p.m. on Tuesday, 22 February 2011, in which 185 people were killed and thousands of buildings across the city collapsed or suffered severe damage. By late 2013, 1,500 buildings in the city had been demolished, leading to an ongoing recovery and rebuilding project.
The city experienced rapid growth following the earthquakes. A Christchurch Central Recovery Plan guides rebuilding in the central city. There has been massive growth in the residential sector, with around 50,000 new houses expected to be constructed in the Greater Christchurch area by 2028 as outlined in the Land Use Recovery Plan (LURP). The rebuild of Christchurch and population growth has created significant investment opportunities for investors. Read more