July 2009 

Inevitably when there is a market downtown the prestige sector of the market will undoubtedly be hit hardest by any decline.  This has certainly been the case on the Gold Coast but whilst the Gold Coast’s prestige property market has seen a tumultuous end to 2008 and beginning of 2009 it was a price correction that was inevitable and justly needed.  Despite this the prestige market has dusted itself off and it is making a resurgence.  This resurgence has been lead by recent prestige sales including:

• 1 Albatross Avenue, Mermaid Beach for $18m. The vendor commented that “the sale represents a reasonable result given the current economic environment”.

• Sorrento’s iconic property ‘Bartinon’ in Marseille Court for $8m prior to auction. The property was purchased two years ago for around $6.5m and drew a lot of interest from around the country and the successful buyer felt it was in their best interest to conclude a deal before it reached auction day.

• 1/101 Albatross Avenue, Mermaid Beach, as a mortgagee in possession sale. The three-bedroom plus study apartment is on the ground floor of a particularly tightly held beachfront building of just six whole-floor residences and sold for $2.75m at auction which was $250,000 above the sellers reserve.

• 1/161 Hedges Avenue, Mermaid Beach for $4.2m and 2/161 Hedges Avenue for a deal that would see the seller net $4.085m.

• 19 Hedges Avenue, Mermaid Beach for $4.75m which represents land value.  The four-bedroom, three-level beach shack has all the charm of a traditional holiday house yet all the comfort and convenience of a contemporary home.

• 250 Pacific Parade, Bilinga for $2,160,000. 

• 5/351 Golden Four Drive, Tugun for $2,800,00. 

• 2152 ‘Ambience’, The Esplanade, Burleigh Heads for $2,750,000.

• 36 Hedges Avenue, Mermaid Beach for $2,900,000.

Enquiry for the prestige property market has been increasing over the last couple of months and whilst prices are definitely not where they were 12-18 months ago there are some amazing opportunities available in the prestige property market and those purchasers that are in a position to take advantage of them will experience good capital gain over the coming years.