northlake, wanaka, house & land development
Build your own investment property in desirable Wanaka. The Northlake subdivision is all about location, location, location. It provides a unique opportunity to build an investment property in one of the most desirable locations in New Zealand. Not only does Wanaka provide a stunning landscape for your investment but the Wanaka market provides exceptional investment conditions. Economic indicators are showing strong population growth, a huge shortage in rentals, and significant investment in infrastructure in the region, which points to excellent capital growth potential.
Furthermore, Northlake is showing that it is the area's most popular subdivision with 45 sections selling within 3 hours of their release. These six Stage 1 sections ensure that you are investing at the beginning of such a large development project; where stages are planned to be released over the next 15 years. This allows our investors to get into this market before the prices start to escalate, which they normally do with each new release. This and the high owner-occupier appeal of the Northlake Village centre should further add to its Capital Growth potential.
Key investment results
Release date: September 2015
Results date: June 2018
Stock quantity: 10
Timeframe: 2.7 years
Equity gain through land value growth and build margin.
House and Land
Purchase price: $500,000
Value at end: $720,000
Deal profit: $220,000
Deal profit: 44%
The Property Factory has selected what we believe are the premium sections for investors. They are located in the ‘pre-designed’ facet of the subdivision. This guarantees that neighbouring houses are of the same superior quality in both look and feel. They are also in close proximity to the planned Northlake Village, so the houses will be within a short walking distance to integral facilities.
These pre-designed houses and location make them ideal accommodation for the long term unfurnished rental markets with rents ranging $400 to $600 per week depending on 3 or 4 bedroom configurations. On top of this, we have sourced Icon Project Management to deliver the build at a price cheaper than Stonewood and with specifications designed to appeal to tenants without expensive upgrades.
Wanaka is being transformed from sleepy lake town to desirable work-life centre. Wanaka's GDP grew 8.4% in 2015 and the amount of business units in Wanaka increased 5.1% in 2015 to 2,223. Consequently we have seen rents increase 20.5% in the last year as the Wanaka median house price reached $975,000 in October 2016. This investment is all about timing: these are still the first release stages of 1,200 Northlake sections and getting in this early optimises capital growth potential. Titles for these 6 sections are expected as soon as February/March 2017 so building can commence imminently.