The Inner City Pad
In this section, we take a dive into the nitty-gritty of the property - 10/57 Lowanna Street, Braddon. We analyse the property itself, its surrounds and the numbers that matter. We also take a look at the comparable sales in the area and how they stack up against the property.
1 - Bedroom
1 - Bathroom
1 - Car space
Internal Floor Space: 50m2
Covered Terrace: 8.2m2
Courtyard - East facing (morning sun)
Logical Price: $345,000 - $360,000
Emotional Price: $360,000 - $370,000
Our Target Price: $350,000 - $360,000
(Last sold 04/07/2011: $388,000)
Estimated Rental Return
$400/wk - $430/wk
Gross Rental Yield
(target price and base rent)
Days on Market
6 (up until 27th Feb 2017)
1.2% of properties in Braddon are vacant. We like this to be under 2%
Ratio of Renters to Owner Occupied
71% are renters / 29% are owner-occupied and/or purchasing. We like renters to be under 35%. More owner occupiers generally mean properties are better looked after in the area and there is a greater demand for tenants
• Home & Contents Insurance
- Approx. $90/month
Property Managing Agent
We will confirm this closer to the time
Tax Depreciation Schedule
We have viewed a lot of apartments in Braddon and Turner and this one really took our fancy. It matches our apartment purchasing strategy of a smaller block (24 units) with character and owner-occupier appeal. A lot of developments are built with pure investors in mind, i.e low-cost finishes. However, we only look for apartments that are built for the owner-occupier market finished to a high spec.
The apartment itself is situated a 3min drive or 18min walk from the bars and restaurants of Lonsdale St and 7mins by car or 30mins by foot to the CBD. Stage one of the light rail runs straight down Northbourne Ave, with a stop at MacArthur Avenue - a 6min walk from the apartment. Although not in the hustle and bustle of Braddon, this side of Lowanna is a beautiful tree-lined street.
The street runs in a horseshoe, with one side boarding Northbourne Ave (the main arterial road into the CBD) zoned CZ5. This is a mix of commercial buildings (with a lot for lease as the brand-new commercial complexes are built in the CBD), new apartment developments and a hotel development. Although there are no pending development applications for these blocks yet, we feel it will be a matter of time before the buildings are developed.
The other side of Lowanna St (the side this apartment is on) is a mix of low rise developments, zoned RZ4 - Medium Density Residential. It’s a mix of boutique apartment blocks and freestanding homes (some nicely renovated), which could one day be developed. The opposite side of the street to the apartment is zoned RZ3 - Urban Residential, which (unless planning laws are changed) allows for low rise and medium density housing. There are some rundown homes, that according to land records are all private homes. As the area continues to gentrify, we anticipate these properties to be sold off and redeveloped.
The grounds of the building are well maintained, however, our only concern is the cracking in the concrete render which for a building of this age (2005) is not great. We would ensure a full building and strata report were carried out before committing to a purchase. The internal common areas and the garage were very well maintained.
The apartment is move in ready, with high ceilings and wall to floor windows on two sides, allowing an abundance of natural light from the east. The interiors have been freshened for sale with new paint, blinds and carpet throughout. The kitchen and bathroom (with a window, which is very rare) are well appointed. Off the living is access to a covered terrace and oversized courtyard garden that faces Lowanna St, perfect for entertaining.
The apartment would cater to a young professional person or couple working in a professional occupation in the city.
• Owner occupier built complex
• Well maintained gardens
• Ground floor access
• Minutes to new light rail stop
• Major gentrification of the area
• In a quieter area of Braddon
• The large public housing complexes that lined Northbourne Ave are being demolished to make way for the light rail infrastructure
• Not in the hub of Braddon
• Ground floor could detract female tenants due to security concerns
• A couple of undesirable properties up the street
• A close inspection of the concrete render
• Large number of off-plan apartments coming on the market
What We Recommend
We have the ability to be a little bullish on this property given the sluggish apartment market in Braddon. The logical price is between $345,000 - $360,000 and we believe a max offer of $360,000 is fair and reasonable. We would draw the offer process out here and start with a series of low ball numbers to gauge their interest. We'd then get more serious with a recommended final offer of $360k. The offers would always be subject to a bank valuation and building report, as we want clarity around some exterior build concerns.
• Fiona to review property details
• Provide advice to proceed or not and confirm max. purchase price
• Milk Chocolate to review COS with conveyancer and provide advice
• Milk Chocolate prepare offer terms for Fiona to approve
• Present offer to the sales agent
• Once accepted, engage a builder to undertake an inspection
• If ok, finalise and confirm offer with agent and exchange contracts
Housing Commission Heat Map
19% of residents rent from a state or federal housing authority in Braddon. The neighbouring suburbs of Ainslie, Dickson and Turner have 17%, 12% and 13% respectively.
56 Lowanna: The Kew a boutique development of townhomes
214 Northbourne Ave: The Decon Hotel development
36 Ijong Street: Consolidation of blocks and development of 5 dwellings
Wakefield Avenue: 4 x development applications for medium residential development
Comparable Recent Sales
Here we provide the most recent sales in the area that are no more than 1km from your property and not older than three months. We also provide a rating (superior, equal or inferior) of the comparable property against your property across three categories; market timing, location and overall. Generally speaking, if the property ranks overall inferior, then we can expect your property to be valued higher and vice versa if rated superior. Market timing refers to the strength of the market when the comparable property was purchased compared to now.
Inside the unit
What Social Media Is Saying
* Milk Chocolate price data used on this website is sourced and relies upon information supplied by a number of external sources (including governmental authorities). This data is supplied on the basis that while Milk Chocolate believes all the information provided will be correct at the time of writing, it does not warrant its accuracy or completeness and to the full extent allowed by law excludes liability in contract, tort or otherwise, for any loss or damage sustained by you, or by any other person or body corporate arising from or in connection with the supply or use of the whole or any part of the information on this website through any cause whatsoever and limits any liability it may have to the amount paid to the external sources for the supply of such information.