The land for this project was purchased at a good discount in 2008, however the project was put on hold after we had secured the DA & CC approvals whilst we watched and waited to see what impact the Global Financial Crises may have on Australia. Work recommenced in late 2010 and the construction of the duplex moved along very quickly and without delays. Building works were completed ahead of schedule.
Equity Created:
The project ended with an equity result of $60,571 after the project management fee.
Clients received strong depreciation benefits of approximately $15,000 in Year 1
Rental Returns
The 2 villas are leased for $380 per week each:
Total rental return (in 2011): $760 per week or $39,520 pa
Gross Yield: 6.5%
The land for this development was purchased in October 2008. The purchase price was $153,000. This property was carefully chosen for the client by Property Bloom for development for two main reasons:
- The land is an 882sqm block with good northerly aspect, a perfect duplex site.
- The location. The land is situated in Vineyard Grove, a premium estate at the foot of the Hunter Valley. Elevated with views across to Kelman Estate and is very peaceful.
Total Open Space for villa 1: 120sqm
Total Open Space for villa 2: 105sqm
Project Costs:
| Purchase price for 822sqm land: | $153,000 |
| Set up costs | $ 6,575 |
| Cost to construct duplex | $439,854 |
| Total Costs | $599,429 |
Final Valuations in 2011:
| Villa 1: | $345,000 |
| Villa 2: | $345,000 |
| Total: | $690,000 |
