05 Jun Melbourne’s Inner-West Continues To Attract Investors And Developers
While Melbourne’s Inner-West might no longer be on the radar for some investors and developers, the area is continuing to offer great returns and unique opportunities – especially in small growth pockets like Footscray.
Investors and developers are always looking for the best returns, and a good indication of where to find this is to look for suburbs where government, council and local businesses are investing heavily – in Melbourne’s Inner-West, this location is Footscray.
All signs are pointing toward Footscray becoming the next urban hub and investment opportunity, especially given the high levels of infrastructure investments made in the area over the past five years.
Footscray has seen a new major railway station and millions of dollars spent on infrastructure in the area within the last five years, and it has also seen an increase in local businesses seeking out the area to operate in due to public opinion on the area becoming more positive.
According to Malcolm Schapel, Managing Director at Scharp, since it is only 4 kilometres from the CBD and has a high rental and young population, Footscray offers something a lot of other Melbourne suburbs don’t: the opportunity for growth.
“We have found that suburbs like Fitzroy and Prahan were the mecca of art and design culture in Melbourne 20 years ago. Now, with how gentrified they have become, young professionals and young families are being priced out due to inflating house and apartment prices,” Mr Schapel said.
“5 years ago, Brunswick was the spot to be – now it’s also untouchable from a price point of view for first home buyers. That’s where Footscray offers unbelievable value for money. Where else can you find apartments 4 kilometres from the city being sold for just over $300,000?”
“Footscray’s value for money means that it is a draw card for a wider group of potential purchasers (including first home buyers and young professionals) – making it a great opportunity for developers and investors to jump on.”
Victoria University is also a big part of Footscray’s reason for high rental demand and a young population, and it provides the area with a strong young professional focus that boosts the area’s rental market enormously.
Alongside the young professional demographic, the area is also becoming a hub for young families looking to secure a home in such close proximity to the CBD and other infrastructure and amenities – another indication the area is set for growth.
As the demographics of the market continue to change, Footscray is beginning to see a shift in the types of developments offered in the area, with some developments now focusing on the area’s strong art and design culture to target both renters and buyers to secure the best investor returns.
“We’re now seeing projects like Cowper Residences appear in Footscray, and this is a great example of what types of developments suit the area – being a location with such an eclectic background, developers need to be creating memorable and unique projects in Footscray,” Mr Schapel.
“Cowper Residences has worked to capture the essence of art and design in Footscray by offering a number of different living options and a lifestyle that is in line with the demographic of the area – young families and professionals. This is a tactic the developer has used to widen the project’s appeal to investors, owner occupiers and future renters.”
Footscray is one of the only growth pockets left in Inner-West Melbourne, and its unique position as far as demand, council and government investment and current house prices mean that it presents a unique opportunity for good returns for developers and investors alike.
Malcolm Schapel is the Managing Director at Scharp, a leading property marketing and 3D visualisation studio that is focused on providing the best quality print, digital and 3D marketing collateral to the property and architecture industry.
Scharp has worked on a number of residential property marketing campaigns throughout inner Melbourne including in the suburbs of Richmond, Carlton North, Brunswick, South Yarra, Prahan, Fitzroy and Collingwood. To find out more about how Scharp can help with your next project, visit their website at www.scharp.com.au.