One of Erskineville's biggest sites for sale
One of Erskineville's biggest sites has been listed, with investors set to battle it out for the site with rare approved boarding house plans.
Savill's agent David Hickey suggested approval for boarding houses are scarce because councils face strong opposition through the approval process from surrounding residents.
“Current affordable housing operators and owners are having zero issues letting rooms on a longer term basis, as the security of income is making it an attractive prospect for investors and developers alike," said Hickey.
The growth in the Sydney residential market continues to make it difficult for students and middle age people to live in close proximity to the Sydney CBD.
The cost of living is now $600 per week for one bedroom apartments and this has made affordable living accommodation a much more appealing prospect.
Hickey said Erskineville is an area dominated by attached housing, so it is extremely rare to find a suitable site, especially as heritage conservation zones dominate most of the area prohibiting full demolition.
The Albert Street property on 450 square metres has 15 metres of street frontage is is located within 400 metres of Newtown, Erskineville and Macdonaldtown train stations.
Hickey and Nick Tuxworth at Savills Australia are marketing the property. Hickey said the City of Sydney Council is keen to promote properties with access to such amenity.
“Due to quantum value, leasing demand and low risk/low construction costs, we are experiencing high levels of enquiry for this asset class,” he said.
Currently, the property is a modernised five bedroom house with off-street parking and has the capacity to be rented out for $1,300 per week.
The existing tenants are on a temporary discounted rent and have agreed to allow the owner access to bring consultants through at short notice and will move out when building commences.
