80 Awaroa Road Sunnyvale, Auckland - Building the Most Liveable Country - Williams Corporation
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80 AWAROA ROAD 80 Awaroa Road Sunnyvale, Auckland 1 & 2 Bedroom Townhouses Elegant outer-city living. Our townhouses, located on fee simple titles, are the most popular products our company has created. With several projects selling down in record timeframe, we are excited to be releasing 80 Awaroa Road. Contents Design Page 3 Location Page 4 Floor Plans Page 5 Specifications and Internal Colours Page 6 About Williams Corporation Page 7 Meet the Team Page 8 How we Build Homes Better Pages 9–10 Build Specifications and Chattels List Pages 11–12 Landscape Plan Page 13 Price List Page 14 Valuation Pages 15–16 Survey Plan Page 17 Summaries of a Residents Agreement Page 18 and a Body Corporate Proposal for Administrative Services Pages 19–22 Rent Appraisals Pages 23–24 Why buy in Auckland? Pages 25–27 Testimonials Page 28 Contact Us Page 29 Building the Most Liveable Country Page 2
80 AWAROA ROAD 80 Awaroa Road Design We are very proud of the design appeal of this development. With designer series mixture of woodgrain wenge natural, smooth cream and grey urban panelling, extensive landscaping and elegant pergolas identifying the formal entrance way. This simple but tasteful design is market leading with townhouse construction, resulting in a highly appealing visual aspect, while maintaining extreme functionality and low maintenance. Page 3
80 AWAROA ROAD Located on Awaroa Road in Sunnyvale, these Location Townhouses are perfectly positioned for trains, buses and motorway connections and are walking distance to local shops, cafés, other amenities. There is no doubt that finding new homes at an affordable price point is getting increasingly harder as the Auckland population grows. 3 2 80 1 What’s nearby? 1 Parrs Park 1km 2 Pak ‘N’ Save Henderson 2.7km 3 Auckland Central 13km Building the Most Liveable Country Page 4
80 AWAROA ROAD The open plan nature of the kitchen, Outside is your own low maintenance, Floor Plans living and dining provides everything private courtyard with ample space for you need for comfortable living. Our a barbecue, table and chairs. The outdoor extremely functional kitchen will area also includes a storage shed along impress you with a separate laundry with an outdoor power supply. storage space under the stairs. Upstairs is either 1 or 2 full size bedroom/s and bathroom with a very large built in wardrobe/s in the bedroom/s. Ground Floor First Floor (2 bedroom) Page 5
80 AWAROA ROAD Quality is paramount in our homes and Finishing with European tiles, washable Specifications only the best products are going into paint and upgraded magnesium oxide the construction and fit out of our flooring, giving the first floor that concrete developments. Starting with an engineered feel. All our products are purchased from gravel base and concrete raft foundation, large industry leading companies, to ensure then laminated veneer framing, coupled with reliability and quality. double glazed windows, solid air barriers, compression proof polyester insulation and aerated concrete intertenancy walls. Images used throughout this Information Pack are indicative only. All townhouses are painted in beautiful Colours Internal modern tones to create a feeling of warmth and space throughout. The neutral tones allow you to add your own unique touch with furniture, artwork and other accessories. Tiles Carpet Kitchen Kitchen Splashback Ceiling / Blinds Cabinetry Bench Trim / Doors / Walls Building the Most Liveable Country Page 6
80 AWAROA ROAD Williams Corporation do property development and Corporation About Williams investment in Auckland and Christchurch. Our well-built townhouses and apartments are the future of New Zealand housing and a desirable solution to the housing crisis. Williams Corporation see both Auckland and Christchurch as world class cities with exceptional value moving forward. We are committed to building Auckland and Christchurch into the most liveable cities. Meet our team below and reach out to discuss your next property investment. Page 7
80 AWAROA ROAD the team Meet Matthew Blair Stephen Horncastle Chappell Pike Managing Director Managing Director Sales Consultant Matthew manages, on a daily basis, Blair is responsible for product and Stephen has over 15 years experience land acquisition, development design, contractor procurement, pricing, in property sales and has helped over resource consents, development site management along with building 1000 customers either invest or own sales, marketing and finance. consents. As a qualified business residential real estate. Stephen’s Matthew is a qualified builder and analyst and having been in the professional approach and strong has been in the construction industry construction industry for over knowledge of market opportunities, for over 9 years. Matthew is extremely 7 years, Blair loves everything about ensures that his customers get the high energy and passionate about development, including watching a best advice and information to Williams Corporation’s purpose to development go from an idea on a set enable a sound decision is made. build Auckland and Christchurch of plans to a finished product, complete Achieving financial security for his into the most liveable cities. with home owners and tenants. customers is of utmost importance. Matt Kathryn Scott Withington Marshall Barclay Sales Consultant General Manager Group Accountant As a licensed builder, experienced Kathryn has a 32 year career in Scott manages all the finances new-home consultant, homeowner construction. Kathryn overviews including creditors, purchase orders, and property investor, Matt brings a the company finances and cashflow payments, office administration and wealth of technical know-how to the position and is responsible for company IRD compliance. As a qualified Williams Corporation team. Matt has systems, processes, controls and Accountant, Scott has had extensive a trusted reputation, built on positive oversees legal and technical documents. experience in the construction communication and assists customers Kathryn has a Bachelor of Agricultural industry, having prior roles with both with options that will perform best now Science Degree, including business main contractors and suppliers. In and into the future. Matt genuinely loves subjects. Kathryn creates the vision, previous lives, Scott worked as a Market talking about property and is passionate along with Matthew and Blair and forms Gardener and High School Teacher. about helping people achieve their goals. highly skilled teams to deliver the outcomes ethically. Greg Maxine Hannah Freeman Thomas Turner Sales Consultant Sales Consultant Customer Relations Manager Greg has 11 years of relevant Maxine has over 10 years experience Hannah is responsible for client experience and proven history in in property investment, including relationships, assisting sales and directing and selling investment acting as a buyer’s agent sourcing general enquiries. As a recent property, helping over 1000 clients suitable property, enabling others to University graduate with a Bachelor from around New Zealand. Greg loves grow their wealth. Prior to property, of Arts, Hannah contributes a high helping others to achieve their dreams Maxine travelled the world as a Flight level of literacy and communication and believes with having the right Service Manager. Maxine is extremely to the team. Hannah is passionate advice, plus the correct structures passionate about people and property about helping people gain a firm implemented, these factors are key and gets immense satisfaction foothold on the property ladder and to making this happen. combining the two together to ensuring customer satisfaction achieve exceptional results. remains a priority and a point of difference for Williams Corporation. Building the Most Liveable Country Page 8
80 AWAROA ROAD How we build homes better 1 2 3 Gravel Raft Engineered Slab LVL Frames Soils are stripped down and replaced Constructed on top of the gravel raft an LVL stands for laminated veneer with compacted gravel, the entire engineered slab provides the benefits lumber, LVL timber is dimensionally process is signed off and overseen by an of the concrete foundation sitting on accurate, straighter and meets or engineer. A gravel raft provides a stable the ground instead of in it. Constructed exceeds equivalent stress tests when platform and strengthens the ground with concrete, steel and polystyrene compared to standard SG8 and SG10 under your home. pods, with the process being signed off pine framing. by an engineer. 4 5 6 Plywood Flooring Insulation Hebel Intertenancy Wall Manufactured from sustainably grown With warm dry homes being paramount Hebel Powerpanel XL is made out of New Zealand Pine, plywood flooring for our construction methodology, we aerated concrete and provides fantastic has improved structural benefits when use a R3.6 ceiling batt with an R2.2 acoustic and fire resistant properties. compared with particle board flooring ceiling blanket on top, providing nearly This ensures the product separating you and feels fantastic to walk on. double the building code requirements. from your neighbours is of the highest For the external walls, we use a R2.6 quality in the market place. Because the wall batt to achieve 30% over building Hebel sits between the timber framing code requirements. With a 70 year you have full use of the intertenancy product warranty and being owned by wall in your home without comprising CSR Group, we have partnered with your fire and acoustic rating. Bradfold Gold to provide this industry leading insulation solution. 7 8 9 Solid Air Barrier LVL I-Joists Safe Building Envelope It is no surprise that the building Manufactured from sustainably grown All of our homes have longevity in code requires a solid air barrier in New Zealand Pine, LVL I-joists are half mind, we do not use internal gutters, extra high wind zones, when compared the weight of conventional softwood flat roofs or other high risk design to building paper a solid air barrier joists and are straight, uniform and elements. We use leading products both offers a more robust cavity and extra dimensionally stable. This provides a on the walls and behind them to create structural bracing on the home. lighter, stronger midfloor that has less a low maintenance home that will last chance of long term deflection. the test of time. Page 10
80 AWAROA ROAD Build Specifications Specifications, Colour Schedule and Chattels List General Specifications Internal Doors Paint finish flush panel MDF doors Gib sliders to robes Entry Door Latitude panel Hardware Miles Nelson S Range Windows Double glazed, powder coated aluminum Electrical LED lighting, sockets, general connections, phone and tv jacks, heated towel rails and bathroom fans. Heating Fujitsu 5kw heat pump Water Heater 180L hot water cylinder Paint Resene Spacecoat Roof .4mm Colour Steel corrugated roofing Fascia Colour Steel Gutter Colour Steel Downpipes Colour Steel Cladding Mixture of Designer Series panelling Interior Lining Insulation Batts R 2.6 wall batts, R 3.6 ceiling batts Gib Walls and ceilings, standard gib to engineer requirements Gib Stopping Level 4 finish, square stop to ceiling Skirting and Architraves MDF 60mm square finish skirting, 40mm square finish architraves, pine skirting to wet areas Kitchen Oven Fisher and Paykel 60cm built-in oven Hob Fisher and Paykel 60cm ceramic cook top Dish draw Fisher and Paykel stainless steel dish draw Rangehood Fisher & Paykel built in Power Pack Washer/Dryer Fisher and Paykel Washer/Dryer (1 bedroom units only) Laundry Super Tub (2 bedroom units only) Bathroom Shower Acrylic shower tray, tiled walls Vanity Brighton 900mm wall hung vanity white gloss Heating Chrome heated towel rail Mirror Mirror over vanity Tapware Metro series basin, shower, kitchen mixer Toilet Back to wall soft close with integrated bidet Page 11
80 AWAROA ROAD Build Specifications Specifications, Colour Schedule and Chattels List Internal Colours Tiles European off white tile Carpet Virga Cloud Kitchen Cabinetry Bestwood Dusky Elm Kitchen Bench Engineered Marbello Snowdrop Splashback Clear glass Ceiling/Trim/Doors/Walls Resene Half Black White Blinds Black block out blinds External Exterior Cladding Mixture of woodgrain wenge natural, smooth cream and grey urban panelling Roof, Fascia, Gutter, Downpipe colour Ebony Soffits Resene Half Black White External Joinery and Front Door Ebony Chattels List Letter box Clothes line Garden/bike shed Blinds Cook top Range hood Dish draw Fixed floor coverings Light fittings Heat pump and remote Bathroom heater Towel rail Mirrors above vanity Wardrobe joinery T.V. antenna Washer dryer combo (1 bedroom units only) Super Tub (2 bedroom units only) Smoke alarm/s pursuant to Building Code requirements Building the Most Liveable Country Page 12
80 AWAROA ROAD Landscape Plan Page 13
80 AWAROA ROAD Price List Internal and Number of Number of Site Unit Number Outdoor Price Bedrooms Carparks Measurements Measurements 76.42m2 (internal) Unit 1 2 1 88m2 $625,000 47.08m2 (outdoor) 57.72m2 (internal) Unit 2 1 0 56m2 $450,000 22.45m2 (outdoor) 70.00m2 (internal) 74m2 Unit 3 2 1 $610,000 20.67m2 (outdoor) (66m2 net) 70.00m2 (internal) 100m2 Unit 4 2 1 $620,000 28.46m2 (outdoor) (89m2 net) 70.00m2 (internal) 100m2 Unit 5 2 1 $620,000 28.46m2 (outdoor) (89m2 net) 70.00m2 (internal) Unit 6 2 1 135m2 $630,000 40.01m2 (outdoor) Building the Most Liveable Country Page 14
80 AWAROA ROAD Valuation Page 15
80 AWAROA ROAD Valuation Building the Most Liveable Country Page 16
W W PROPOSED MEMORANDUM OF EASEMENTS DISCLAIMER: W W WWMH THIS DRAWING SHALL ONLY BE USED FOR THE PURPOSES AGREED BY ENVIVO LTD AND ITS (Approximate CLIENT. SERVIENT TENEMENT DOMINANT TENEMENT location from ENVIVO LTD ACCEPTS NO LIABILITY OR RESPONSIBILITY WHATSOEVER FOR, OR IN RESPECT OF, PURPOSE SHOWN (BURDENED LAND) (BENEFITED LAND) Council Records) ANY USE OF, OR RELIANCE UPON THIS DRAWING BY ANY THIRD PARTY. SCALE WITH CAUTION. THIS DRAWING MAY HAVE DEFORMED DURING REPRODUCTION. IF A LOT 1 LOT 2 W CLARITY IS REQUIRED, REFER TO ENGINEER. W THE CONCEPTS AND INFORMATION CONTAINED IN THIS DRAWING ARE THE COPYRIGHT OF B LOT 2 LOT 1 ENVIVO LTD. USE OR COPYING OF THIS DRAWING IN WHOLE OR PART WITHOUT WRITTEN PERMISSION OF ENVIVO LTD CONSTITUTES AN INFRINGEMENT OF COPYRIGHT. C LOT 3 LOT 4 W 81 W PARTY WALL NOTES: D LOT 4 LOT 3 DP 75063 n · BOUNDARY DIMENSIONS SHOWN ARE SUBJECT TO SURVEY APPROVAL BY 5 W LAND INFORMATION NEW ZEALAND. E LOT 5 LOT 6 W 25 Waari Avenue 9.0 · NOT ALL PUBLIC & PRIVATE DRAINAGE INFORMATION IS SHOWN ON THIS F LOT 6 LOT 5 13 1° PLAN. SYMBOLS AND MODELS OF SERVICES ARE SHOWN 39 DIAGRAMMATICALLY ONLY AND NOT TO SCALE. G LOT 3 LOTS 4-6 '50 (A "1 · THE POSITION AND ALIGNMENT OF SERVICES SHOWN ON THIS PLAN HAVE RIGHT OF WAY ON FOOT H LOT 4 LOTS 5 & 6 pp W 6.1 BEEN OBTAINED FROM COUNCIL RECORDS AND ARE SUBJECT TO THE ro W 15 5 xim 0m ERRORS OR OMISSIONS OF THAT DATA, THEY SHOULD NOT BE USED FOR I LOT 5 LOT 6 DESIGN PURPOSES. ALL SERVICES SHOULD BE LOCATED BEFORE ANY WW at mØ e lo RIGHT OF WAY J LOT 7 LOTS 1-6 caWWWas DESIGN OR CONSTRUCTION BEGINS. tio te · UTILITIES INFORMATION IS NOT SHOWN ON THIS PLAN. n f wa RIGHT TO PARK MOTOR VEHICLE K LOT 7 LOTS 1-6 ro te m rM · ADDITIONAL EASEMENTS, COVENANTS AND OTHER LEGAL INSTRUMENTS CoWW a PERTAINING TO THIS SITE MAY NOT BE REPRESENTED ON THIS PLAN. WW un in · AREAS AND MEASUREMENTS ARE APPROXIMATE ONLY AND SUBJECT TO cil Re 16 FINAL SURVEY. co W .09 5 rd W LOT 6 s) 6.2 AMALGAMATION CONDITIONS (Pursuant to S220 Resource Management Act 1991) W W 135 m² THAT LOT 7 HEREON (LEGAL ACCESS) BE HELD AS TO SIX UNDIVIDED ONE SIXTH SHARES BY THE OWNERS OF LOTS 1-6 HEREON AS TENANTS-IN-COMMON IN THE SAID SHARES AND THAT INDIVIDUAL W W RECORDS OF TITLE BE ISSUED IN ACCORDANCE THEREWITH. 6 W IT W LOT 5 F 2 UN 1 7.7 100 m² E 5 DP 44037 Net 89m² + R.O.W. 11m² 6.2 78 Awaroa Road W W 5 16 W W IT .09 UN W W I 8 W 5 16 4.5 W ) .09 6.2 .29 LOT 4 (50 W 0" 100 m² W '48 °5 Net 89m² + R.O.W. 11m² 36 W W DRAFT ISSUE FOR DISCUSSION W 4 D W IT LOT 3 SW LEGEND UN C H W 5 74 m² W LOT BOUNDARIES 6.2 Net 66m² + R.O.W. 8m² ROAD BOUNDARIES SW W ABUTTAL BOUNDARIES ) 16 W .80 Page 17 .09 EASEMENT BOUNDARIES .29 12 ( 50 MAJOR CONTOURS (1m INTERVAL) 20 3 W 0" W IT SW MINOR CONTOURS (0.2m INTERVAL) 8'4 PROPOSED CARPARKS °5 UN MEASUREMENTS (METRES) 25.67 36 K G PROPOSED BUILDINGS (EXTERIOR CLADDING) 8 SW W 4.5 BUILDING EAVES (TOP OF GUTTER) 80 AWAROA ROAD W EDGE OF CONCRETE WW FENCES // // W SW W WASTE WATER LINE WW WW STORM WATER LINE SW SW W WW W Survey Plan OVERHEAD POWER LINE P P SW LOT 7 TREES 256 m² W 7.5 W TRUNK SURVEYED, DRIPLINE ESTIMATED 1 Access Lot 1 SW SURVEYED DRIPLINE & TRUNK W DP 127319 W HEDGE 82 Awaroa Road SW W W .37 11 J 4.5 SW 8 LOT 1 www.envivo.co.nz SW 88 m² A REV BY DATE APP'D REVISION/ COMMENTS UN B P1 SC 22/01/19 BT ISSUED FOR DISCUSSION I SW T1 LOT 2 .49 25 56 m² SW TITLE UN CONCEPT PLAN .99 ) 7.5 IT 11 ds 4 2 or .36 ecSWR PROJECT/LOCATION 12 cil t un Co er 13 1° (20 80 AWAROA ROAD, SUNNYVALE m 40 .12 ) ro SW wa 2) '15 Ø n f rm " E LEGAL DESCRIPTION 0.1 16 .1 atio Sto (2 c 5 U lo m 4.5 ate SW5m 9 AW EN LOTS 1-7 BEING SUBDIVISION OF o xim 22 r V LOT 2 DP 44037 pp AR (ASW IA LOGIN NAME: BOYD THOMSON CERTIFICATE OF TITLE OA R NA20C/1059, 809 m² SW 4.0 SURVEYED DRAWN DESIGNED APPROVED 1 RO - SC BT BT AA DATE DATE DATE DATE - 22/01/19 21/01/19 23/01/19 AD W SW SCALE @A1; @A3 ZONING 1:100; 1:200 RESIDENTIAL-MIXED HOUSING URBAN Scale m PROJECT ORIG ZONE LOC TYPE RL DRG No SUIT REV 0 1 2 3 4 5 10 SW 30404 -SUR - XX - XX - DR - G - 100 - S2 - P1 DATE: 23/01/2019 11:08:29 a.m. LOCATION: \\Envfs01\30000\30404 - 80 Awaroa Rd, Sunnyvale\Surveying\12D CAD\30404-SUR-XX-XX-DR-G-100-S2-P1.dwg
80 AWAROA ROAD Summaries of a Residents Agreement and a Body Corporate Summary of a Residents Agreement Summary of a Body Corporate Townhouses, on fee simple titles, are Apartments, are titled as unit titles and by a safer and better long term ownership/ law, require a Body Corporate Management investment, when there is a Residents Agreement. Agreement in place. Purposes of a Body Corporate Reasons to have a Residents Insurance: The Body Corporate is Agreement responsible for the insurance of the Insurance: The Residents Agreement building, as well as any common areas. ensures there is an insurance policy in Future Maintenance: The common areas place for each home, each year. There include the maintenance and repair of any can be significant savings by getting the walkways, access areas, fences, gardens, homes insured through the same walls and roof of the building, rubbish Insurance Broker/Company. collection, lighting and retaining walls. Future Maintenance: The Residents Compliance: Compliance is required Agreement’s purpose is also to ensure for the building, such as access and fire any common areas are maintained and compliance requirements. repaired, to protect the value of the homes throughout their life. The common areas include any walkways, access areas, fences, Benefits of a Body Corporate gardens, walls and roof of the buildings, lighting and retaining walls. Does this A structure is set up, in advance, to control section allow for the inclusion of building the management of the insurance and any elements and internal retaining walls-these common areas. Funds are put aside, in are detailed in the table attached to the advance, to pay for these. Encumbrance-just checking. How does a Body Corporate Work Benefits of a Residents Agreement The rules are stated in a Body Corporate A structure is set up, in advance, to control Agreement. the insurance and the future maintenance The Body Corporate annual costs are shown of the common areas. Funds are put aside, in the Body Corporate Agreement. in advance, to pay for these. The Residents generally meet on an annual basis, and can vote and agree to use a How does a Residents different Body Corporate management. Agreement Work Residents can also vote on the matters that affect them. The Residents Agreement states what is to be done. The Residents Agreement requires a common account to hold any funds for future repair of any common areas. The residents vote, using a majority vote, at an annual meeting of the residents. Building the Most Liveable Country Page 18
80 AWAROA ROAD Proposal for Administrative Services Page 19
80 AWAROA ROAD Proposal for Administrative Services Building the Most Liveable Country Page 20
80 AWAROA ROAD Proposal for Administrative Services Page 21
80 AWAROA ROAD Proposal for Administrative Services Building the Most Liveable Country Page 22
80 AWAROA ROAD Rent Appraisal Rental appraisal Property address: Units 1 and 3-6 – 80 Awaroa Road Suburb: Sunnyvale – Auckland Bedrooms in main dwelling: 2 Bathrooms: 1 Sleep out / Rumpus rooms: N/A Garaging: One outdoor parking space provided per unit except for unit 2 Main Features: Brand new modern units offering tenants luxuries not seen in typical older homes. We like the open plan, warmth and layout. Great area close to all amenities Road front / down a drive: Common access and road front Current state of property: Off plan to be constructed Proposed renovation (if any) Appraised rent range: $495 - $525 per week (approx.) unfurnished $530 - $560 per week (approx.) furnished Kind regards, Anyos Gonczy (B.Bus) Director 0212722073 - anyos@inspireproperty.co.nz DISCLAIMER -While care has been taken in the preparation of these, this appraisal is an indication of the rental value based on the information received and the judgement of the Property Manager. Neither the company nor the Property Manager accepts any legal liability for same. Inspire Property Management Limited I P.O. Box 17251 Greenlane - Auckland 1546 Head office – 185D Marua Road, Mt Wellington – Auckland I inspireproperty.co.nz Page 23
80 AWAROA ROAD Rent Appraisal Rental appraisal Property address: Unit 2 – 80 Awaroa Road Suburb: Sunnyvale – Auckland Bedrooms in main dwelling: 1 Bathrooms: 1 Sleep out / Rumpus rooms: N/A Garaging: Off street parking Main Features: Brand new modern unit offering tenants luxuries not seen in typical older homes. We like the open plan, warmth and layout. Great area close to all amenities Road front / down a drive: Common access and road front Current state of property: Off plan to be constructed Proposed renovation (if any) Appraised rent range: $445 - $475 per week (approx.) unfurnished $480 - $510 per week (approx.) furnished Kind regards, Anyos Gonczy (B.Bus) Director 0212722073 - anyos@inspireproperty.co.nz DISCLAIMER -While care has been taken in the preparation of these, this appraisal is an indication of the rental value based on the information received and the judgement of the Property Manager. Neither the company nor the Property Manager accepts any legal liability for same. Inspire Property Management Limited I P.O. Box 17251 Greenlane - Auckland 1546 Head office – 185D Marua Road, Mt Wellington – Auckland I inspireproperty.co.nz Building the Most Liveable Country Page 24
80 AWAROA ROAD Why buy in Auckland? Here’s how New Zealanders get rich. Article originally appeared on stuff.co.nz on February 26, 2019 Property investment is probably the closest anyone can get to He said many people felt there was more domestic control a legitimate “get rich quick” scheme. over housing than other forms of investment, such as buying It’s generally not all that quick to begin with, but once the shares. returns start rolling, investors increase their net worth at “Housing is driven by local construction, bank lending and speed. the like, whereas stock markets can shift based on sentiment Success often goes something like this: You save a deposit to and a critical news story.” buy an investment property (or use the equity in your own Olsen said the stock market crash of 1987 had influenced a home). You ride the wave as property values rise and give you generation of New Zealanders away from shares. more equity, or you renovate and add value to the place “They were uninformed about shares then and made bad yourself. investment decisions, are still uninformed about shares, but You then use the equity in that property to buy another, then feel that they understand property much better, or at least feel possibly another. they have better information or control over their There are risks, of course. The market could tank and you investment.” could be left holding houses that are worth less than the But investor Graeme Fowler, author of 20 Rental Properties in mortgages you owe against them. You might have dodgy One Year, cautioned there was a lot to learn about investing. tenants trash the place. “There are a lot of potential things that can go wrong. If you But it’s the main way that most New Zealanders get from look at any product, service, industry, there are people that “average” to “pretty well-off, thanks for asking”. become multimillionaires through it and also those that don’t do well or even lose everything.” Of the top 20 people on New Zealand’s rich list, almost half built their wealth through property investment. WEALTH CREATION Among them is Sir Michael Friedlander, worth $1.85 billion Mortgage adviser Glen McLeod, of Edge Mortgages, said there with an “empire of office buildings, retail strips and industrial was a “direct corrWelation” between property investment and properties,” according to the Rich List. wealth creation. Even Rod Duke, who is better known for his investment in “The wise investor tends to know when to purchase and retail business Briscoe Group, owns $50 million of residential collect property. They also know when to develop and sell to and commercial property. continue to be able to grow the portfolio. Not every investor understands what is required to build wealth. WHY? “I believe that property has been for a long time the best way Property is such an effective route to wealth because to build wealth. When the market has dips and recedes, the you don’t always have to have a lot of money to start off with. investor can ride it out with time and continue to grow the Unlike shares, which you generally buy outright, asset value.” you can borrow a significant amount against a property. He said the most important thing was to reduce debt and have That leverage brings risk - if you had a 10 per cent deposit strong cash flow to enable the portfolio to continue to grow. and prices fell 10 per cent, your money would be wiped out. But it also amplifies gains. If you had bought a median-priced WOULD A CGT CHANGE ANYTHING? Auckland house in 2012 with a 10 per cent deposit, you’d have McLeod said he was unconvinced that a capital gains tax, as turned that $55,000 deposit into $300,000-odd of equity. recommended by the Tax Working Group, would mean any Economist Brad Olsen, of Infometrics, said people who hit fundamental change. major financial success usually did so via property or a “It may just be a mindset change, and realising that paying successful business. But starting a business is less accessible tax on profit would now be part of the state rug. If losses are to most. ring-fenced to the company that may yet offset any tax “A small business is also a lot more intensive in terms of liability faced. I’m personally not a fan of CGT. I feel that if a workload - you have to continue to innovate, otherwise New Zealander works hard to get ahead and builds wealth by you’ll be left behind or a competitor will muscle you out, working hard and taking a risk to invest in property and uses and to be fair you also need a dose of luck with business their income to reduce debt and see their capital value grow generally. Whereas with housing you can simply just sit then those are the perks of working hard.” there and watch it increase in value - in a growth market - Olsen said it should not be assumed a lack of capital gains tax after you’ve invested. was what had fuelled investment in property. “The effort to reward ratio is a lot lower for housing, “Investing in property in New Zealand is often seen as a final so it’s simpler to invest and make good returns for nest egg people can invest in. It’s viewed as more secure.” limited effort compared to small business.” Page 25
80 AWAROA ROAD Why buy in Auckland? What the property market holds in store for 2019. Article originally appeared on nzherald.co.nz on December 29, 2018 Auckland home buyers need to get in quick - city house Dominick Stephens, chief economist with major bank prices could leap to record highs by this time next year, Westpac, also believes a fall could be coming. one property pundit predicts. He said while there had recently been a small uptick in Infometrics economist Paul Barkle says that while Auckland prices due to buyers having access to record Auckland house prices have stagnated for close to two low interest rates, his team “unambiguously” anticipated years they are set for an almost 10 per cent jump next year this would be temporary. followed by sustained increases through to mid-2022. “Later next year, changing tax policies will impact the Behind the forecast price rise is an acute shortage of market, and we firmly anticipate that house prices will houses. By Barkle’s estimate the city needs at least fall when mortgage rates (eventually) rise,” Stephens said. 45,000 more homes. OneRoof editor Owen Vaughan also believed the greatest But the news is not so rosy for homeowners outside the risk to prices could come from the introduction of new Super City, with national prices poised to ease next year taxes. from current record highs. “The big unknown for Auckland, and the rest of the New “By the end of next year we expect house prices in Zealand, is whether the Government will apply a capital Auckland to be 9 per cent higher than in December 2018 gains tax across the board and remove the current tax compared to a slight decline in national prices of roughly breaks property investors enjoy,” he said. 1 per cent over the same period,” Barkle said. “Both moves could suck the oxygen out of the market.” Should Barkle’s forecast play out, it would push Nick Goodall, head of research for analysts CoreLogic, Auckland property values to new highs. on the other hand, expected prices to gently rise across Last month, the city’s median price reached $867,000 - New Zealand by between 3 to 5 per cent next year. or 3.7 per cent below the record price of $900,000 set in He said Government moves to ban foreign buyers, March 2017, according to the Real Estate Institute of NZ. impose new taxes on home owners and ensure landlords National house prices, meanwhile, are already at record spent money on their properties so they were healthy and highs with a November median price of $575,000. warm for tenants all acted as brakes on house prices. Not all pundits agree with Barkle’s upbeat forecast. However, he tipped these would be offset by continued low interest rates in 2019, a slight loosening on lending Devon Funds managing director Slade Robertson said criteria allowing banks to more easily approve home New Zealand’s housing market was due for a fall, with the loans and Auckland’s continued undersupply of housing. real question being: ‘Will it be a crash or a correction?’ The key thing to watch would be whether new He said strong economic growth since the Global Government taxes and regulations drove property Financial Crisis had been driven by central banks investors out of the housing market or not, he said. cutting interest rates and printing money. James Wilson, valuation director for analysts Valocity, This access to cheaper loans helped send house prices echoed this sentiment, saying he expected Auckland skyrocketing in many Western countries, including property values to remain subdued in 2019. New Zealand where Kiwis have become so heavily mortgaged that they labour under a household debt to “Overall value growth will be in line with what we saw in income ratio of 166 per cent. 2018 - between 1 per cent and 2 per cent,” he said. Robertson noted that the growth cycle had turned in “However, we may see more growth in fringe suburbs and Sydney, Melbourne, London, New York and Vancouver in certain sub-markets, such as flats and apartments, where property prices were falling. which are comparatively more affordable than other property types.” If this sag in investor confidence hit New Zealand and combined with rising interest rates, then the housing market could take a slump as Kiwi families falter under their high debt loads, he said. Building the Most Liveable Country Page 26
80 AWAROA ROAD Why buy in Auckland? Population fast approaching five million this year. Article originally appeared on radionz.co.nz on January 10, 2019 New Zealand’s population could hit five million “There are these year-to-year fluctuations in the by the end of the year. components of population growth, so in the last year our population grew at 1.9 percent, but it was only as At the moment, according to the Stats NZ population far back as 2012 that the population grew at 0.5 clock, the number is closing in on 4,934,000. percent over the year. Stats NZ senior demographer Kim Dunstan said “It was growing as fast as 2.1 percent in 2016 and 2017.” given current trends, New Zealand’s population could reach the five million milestone by the end However, when overseas visitor numbers are taken of 2019, or early 2020. into account, in a measure of how many people are physically in the country at a particular point in time, Based on forecasts around births, deaths and net Mr Dunstan said the five million mark has probably migration, Stats NZ estimates that the country’s already been hit. population increases by one person every five minutes and 26 seconds. “In the summer months, that is when we have relatively high numbers of visitors from overseas and The 4,000,000 milestone was reached back in 2003, relatively few New Zealanders overseas, hence the but Mr Dunstan said that over the last few years, the number of people physically in New Zealand tends to population has grown particularly quickly. peak in those summer months.” In the year ending September 2018 the population New Zealand’s population reached one million in had grown by 90,000, he said, but net migration was 1908. The second million was reached in 1952. trending down and the population estimates would be revised once the final Census results were out. The population hit three million in 1973 and four million in 2003. Page 27
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80 AWAROA ROAD With limited options available, make sure you enquire today. Office Unit 4, Level 1, 245 St Asaph Street, City Centre, Christchurch 8011 Phone 03 260 0604 Contact our Sales Consultants Stephen Pike +64 27 524 5002 stephen@williamscorporation.co.nz Matt Withington +64 27 496 6524 matt.withington@williamscorporation.co.nz Greg Freeman +64 21 220 9290 greg@williamscorporation.co.nz Maxine Thomas +64 21 990 252 maxine@williamscorporation.co.nz Find us on online facebook.com/WilliamsCorporation williamscorporation.co.nz Page 29
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