Apartment living on the rise in the ACT

November 14, 2011 | Residential | Project Marketing | Commercial

Colliers International welcomes the ACT Government’s plans to make urban densification part of its strategy for the future and says consumers are already showing their support through a change in property preferences.

“Traditionally detached houses have been the main type of dwelling in Canberra,” Colliers International State Chief Executive Paul Powderly said. “However, according to our latest research on the apartment market in the ACT, this trend has started to shift, with medium density dwellings gaining in popularity. In 2010 the number of medium density dwellings approved exceeded the detached dwelling market.

Over the past 10 years units have presented a growing percentage of the whole market increasing from 31 per cent to 44 per cent.

“We have had a significant number of new apartment projects come onto the market in the past 12 months and these have all sold well. More projects are expected to begin construction in the coming year and we also expect strong demand for these.

“The inner north and south are proving most fashionable in terms of apartment living and this makes sense when you consider that these two areas account for over 50 per cent of the city’s total employment. The number of jobs located in each of these centres is nearly twice that of any other town centre. Smart developments along the Northbourne Avenue corridor are a start in the right direction.

“It was pleasing to see the ACT Government’s Draft Planning Strategy has recognised this shift and looks at expanding the volume and type of accommodation options available around town centres and along transport routes.

“The Strategy targets include ensuring 50 per cent of new housing is within the established urban areas of Canberra in the next five years and a 25 per cent increase in the number and percentage of dwellings in each district that are not detached houses.

“We know that in major cities overseas people have embraced apartment living as a way to reside close to work and amenities and Canberra looks to be following suit. This will have significant environmental benefits as it reduces commuter traffic and help protect the capital’s bush setting against urban sprawl.

“Colliers International will submit to the ACT Government that in order to meet its Strategy’s targets it needs to reconsider further amendments to the newly introduced Lease Variation Charge (LVC) in order to encourage future urban densification projects.

“We mustn’t forget that Canberrans must have accommodation options. While higher density living is increasing in popularity there are many people who still need and want a house on its own block.

“I commend the ACT Government for not forgetting about this segment of the population and also planning to provide more choice in housing locations and types, including new residential developments. We know new land releases in the Molonglo Valley and Gungahlin are continuing to sell well and new house blocks must continue to be available in the future.”  

 

For further information please contact:

Andrea Kopatsy, Marketing Manager

Marketing & Research, Colliers International

Tel: 0423 298 461

Email: andrea.kopatsy@colliers.com.

 

Paul Powderly

State Chief Executive, ACT

Colliers International

Tel: 0413 122 877

Email: paul.powderly@colliers.com

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