GOSFORD INVESTMENT REPORT - The Archibald
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GOSFORD
INVESTMENT REPORT
1 INTRODUCTION 6 FAVOURABLE LOCAL EMPLOYMENT CLIMATE
2 REGIONAL AND LOCATIONAL CONTEXT 7 POPULATION GROWTH
3 OVERVIEW OF THE CENTRAL COAST ECONOMY
8 WHAT DID THE CENTRAL COAST PROPERTY
4 CORELOGIC MOODY’S HOUSING REPORT 2019 MARKET LOOK LIKE IN 2018/2019?
5 ENHANCED CONNECTIVITY 9 TOP 10 REASONS TO INVEST IN GOSFORD
INTRODUCTION
With over $1B of government infrastructure spend in retail, health, entertainment, recreation and education.
current construction or planned for commencement
the Central Coast is experiencing an unprecedented The Gosford City Centre Masterplan will encourage
transformation. more people to both live and work in Gosford and with
a substantial population expansion and the creation of
With Gosford as the regional city focus Gosford 2.0 is thousands of jobs will confirm the emergence of a truly
set to create a new standard of liveability that’s more new city.
connected, more dynamic and more diverse in areas of
REGIONAL AND LOCATIONAL CONTEXT
The City of Gosford is located on the Central Coast of There is a significant quantum of retail, health services
New South Wales, approximately 73km north of the and general amenity in the Gosford CBD area to service
Sydney CBD. It offers the best of both worlds for a residential needs including:
residential address, investment or holiday destination – a • Gosford Hospital (700m from The Archibald)
coastal lifestyle with a CBD hub. It offers ready access • The Entertainment Grounds
to public transport (bus and rail) and the motorway • Town Centre including medical specialists,
M1 pacific Highway that takes you to Greater Sydney, retail, cafes
particularly northern metropolitan Sydney, and other • Parks and reserves
Central Coast centres. A 40 minute car journey to • Gosford Train Station
Sydney’s North Shore or a 1 hour 20 minute train ride to • Central Coast Stadium
Central Station.
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1 Gosford High School 10 Gosford Private Hospital 19 Gosford Tennis Centre
2 Gosford Public School 11 Kibble Park 20 Gosford Leagues Club
3 Henry Kendall High School 12 Waterview Park 21 Gosford Olympic Swimming Pool
4 Gosford East Public School 13 Rumbalara Reserve 22 Gosford Sailing Club
5 St Joseph’s Catholic College 14 Imperial Shopping Centre 23 Terrigal Beach
6 St Edward’s Christian Brothers 15 Erina Fair 24 Pearl Beach
7 Gosford TAFE 16 Gosford Golf Club 25 Sydney
8 Gosford train station 17 Central Coast Stadium
9 Gosford Hospital 18 Gosford RacecourseOVERVIEW OF THE CENTRAL COAST ECONOMY
Economic conditions on the Central Coast are strong • Population growth will encourage jobs growth
and the region is forecast to grow even further in the • The completion of the NorthConnex and other
years to come. Majors contributors to the Central Coast significant road upgrades will speed up travel times
economy include: between Sydney and the Central Coast, further
• A supportive tourism cycle reinforcing the economic strength of the region
• Growth in professional services and the
construction industry The NorthConnex tunnel will have a material impact
• Investment in public infrastructure including on the Central Coast region. The link will provide a
Gosford Hospital continuous motorway between the Central Coast and
• Urban renewal in the Gosford Town Centre which is Western and South Western Sydney and will allow a
coming to fruition quicker alternative journey. Essentially, NorthConnex will
• The affordability of property and comparative make it possible to travel by road from the Central Coast
price point to Sydney and the migration of first to Canberra without encountering a single traffic light.
home buyers to the area The efficiency will support commuting activity between
• An ageing population will boost demand for the Central Coast and Sydney as well as mobilise
retiree product businesses and freight movements.
CORELOGIC MOODY’S HOUSING REPORT 2019
Regarded as the leading voice in property trends, The region hits all the benchmarks of strong sustainable
forecasts and insights – Moody’s have placed the Central growth:
Coast as the No.1 region for capital gain in apartment • Substantial infrastructure projects
prices across the next 2 years in Australia. Their considered • Historically strong rental returns
growth forecast for 2020 and 2021 is in excess of 26%. • Population growth
• Increasing lifestyle opportunities
This is an exciting and understandable prediction based • Affordability
on the many factors influencing the property market • Government spending
that are no longer a story but an unfolding reality as you • Increased employment opportunities
drive into the Gosford region.
ENHANCED CONNECTIVITY
The Government has invested heavily in the region, for considerable traffic congestion from Wahroonga.
earmarking Gosford as the next significant growth A minority of 40 minutes is required for the trip from
centre in the Sydney Metropolitan Area. Investments Gosford to Wahroonga. The NorthConnex motorway
that have (or will) positively benefit the region include: would enable cars to bypass 21 sets of traffic lights
• NorthConnex Motorway along Pennant Hills Road. It is expected to involve travel
• Central Coast Highway West Gosford intersection time savings of about 6 to 15 minutes in 2019 and 9 to
• Local Government Infrastructure Renewal Scheme 25 minutes in 2029 compared to current conditions on
• Gosford Passing Loops Pennant Hills Road.
• Business Investment Schemes
Based on this guidance, the NorthConnex tunnel would
make the trip from Gosford to Macquarie Park (and
NorthConnex other centres of employment) close to one hour. The
reliability of traffic flows would be improved by the
The $3b NorthConnex is Australia’s longest road tunnel absence of traffic lights, allowing commuters to extend
project – a 9km tunnel that will link the M1 Pacific their movement along the M2 and the M7. The time
Motorway at Wahroonga to the Hills M2 Motorway at savings will also be considerable for people travelling at
West Pennant Hills. With interchanges to the north and weekends, improving the experience of holiday home
south, it will link Sydney’s north to the Orbital network. owners in Gosford.
NorthConnex will have a material impact on the
Central Coast region. The link will provide a continuous NorthConnex appears to be a major selling point
motorway between the Central Coast and Western for Gosford CBD apartments. There can be traffic
and South Western Sydney and will allow a quicker congestion on the coastal suburbs from Erina to Terrigal
alternative journey. Essentially, NorthConnex will make and north. A Gosford CBD location would obviate the
it possible to travel by road from the Central Coast to impact of traffic congestion to the east of the CBD. In
Canberra without encountering a single traffic light. This this sense, the subject site can help to make Gosford
efficiency will support commuting activity between the CBD become a travel destination for owner-occupiers
Central Coast and Sydney as well as mobilise businesses and as holiday homes.
and freight movements.
*MacroPlanDimasi
*At present, a weekday trip from Gosford CBD to
Macquarie Park is estimated to take 90 minutes, slowingFAVOURABLE LOCAL EMPLOYMENT CLIMATE
Over the five years to 2017, there were 12,000 job In terms of proportionate change, the largest change
additions on the Central Coast, encompassing the has been registered in other services (62% growth),
Gosford and Wyong LGAs. Prominent employment along with accommodation and food services (43%
growth has occurred in the following industries: growth) and education and training (37.6% growth).
Agricultural based jobs, followed by financial and
1. Education and training insurance services and arts and recreating incurred
the largest proportionate losses over the five year
3,800 jobs
period. It appears that retail, services and education
and training are dominating the economic environment
2. Accommodation and food services
on the Central Coast. Household facing industries have
3,700 jobs grown considerably over the period, given the nature
of population growth (i.e. growth in the elderly and the
3. Healthcare and social assistance young) as well as the weakness of the Australian dollar,
3,400 jobs enticing more tourists to the region.
4. Manufacturing The growth in manufacturing employment is unique to the
region. Typically, manufacturing based employment has
2,900 jobs experienced a decline in NSW over the last decade. The
Central Coast is strategically located along the M1 Pacific
5. Other services Motorway, with superior freight and rail lines connecting
2,800 jobs Queensland with NSW. Affordable rent (compared with
Greater Sydney), combined with a superior location, has
contributed to the industry’s successes over the period.
POPULATION GROWTH
According to the Central Coast Finance Department’s relocation Central Coast’s population
Regional Plan, the Central Coast’s to Gosford have resulted in a major
population is expected to increase increase in the local workforce,
by 80,000 in the next 15 years, as has the upgrade to Gosford
which will significantly impact upon Hospital. This population growth and 80,000
population
Gosford, being its regional centre. expansion of a skilled local workforce growth
will drive the need for quality next 15 years
The Federal Government’s relocation housing and will have a positive flow-
of the ATO and the NSW State on effect for local businesses.
WHAT DID THE CENTRAL COAST PROPERTY MARKET
LOOK LIKE IN 2018/2019?
The last year saw Australia’s property market take a more professionals migrated from Sydney in search
stumble, with the biggest players - Sydney and Melbourne of a laid back lifestyle
- the most affected by the crash. The downturn has been • A large number of new dwelling commencements
marked by a handful of contributing factors: were approved (an annual increase of 22% in 2017/18)
• Tighter lending criteria, particularly for interest
only loans However, employment growth is strengthening and
• A decline in foreign investor activity prices are more in line with local incomes.
• Fewer buyers in a saturated market
• The lowest clearance level rates in 20 years While Newcastle offers affordability, it may be too
• Unit oversupply in most Australian states far to commute to Sydney for the average employee.
The Central Coast benefits from a close proximity to
Despite this, the Central Coast have been bucking the trend. the capital and some areas have experienced strong
property price growth in the past 12 months. As Sydney
According to the CoreLogic Moody’s Housing Report fell by -5.1%, real estate in Central Coast grew 3.8% in
the Central Coast property market performed well over the past year, with prices set to continue to rise in 2019
the past five years to June 2018, with an average price and beyond.
growth well above the national average.
People are flocking to the Central Coast in search of
In fact, suburban Central Coast rental properties affordability and a better lifestyle, which has resulted in
provided some of the greatest investment returns in a dramatic increase in regional commuters.
the country in 2018. Signs point to a solid market with a Buyers squeezed out of the Sydney market and into the
strong foundation being laid: Central Coast will be happy as price growth figures are
• Vacancy rates tightened to 1.9% (June 2018) as expected to rise another 8% in 2019 alone.TOP 10 REASONS TO INVEST IN GOSFORD
1. CENTRAL LOCATION AND EXCELLENT AMENITY 7. EXCEPTIONAL RENTAL RECORD – Gosford delivers
– As the regional centre of the Central Coast, the strong rental returns, making it a particularly attractive
City of Gosford provides residents with proximity to investment prospect with a high gross rental yield.
a diverse array of amenities and lifestyle attractions.
These include convenient transport connections (bus 8. MAJOR HEALTHCARE PRECINCT – As a major
and train), extensive retail options, a busy dining scene, medical hub for the Central Coast region, Gosford
a waterfront precinct and sporting facilities such as is home to Gosford Hospital, North Gosford Private
Central Coast Stadium. and soon to be released Northside Medical Precinct,
along with a variety of specialist and support services.
2. UNPRECEDENTED INFRASTRUCTURE Gosford has just completed a $370M upgrade and
INVESTMENT – The State and Federal Governments continues to create up to 1000 new jobs.
have undertaken over $1B of infrastructure spend in
and around Gosford by 2021, which will significantly 9. HIGHLY REGARDED EDUCATIONAL FACILITIES –
enhance its appeal and connectivity. This includes As a desirable family oriented area, local educational
several revitalisation, entertainment and public amenities are abundant, with several institutions
projects. located in the centre of Gosford. Primary and high
schools, both private and public are highly regarded
3. RENOWNED LIFESTYLE DESTINATION – Gosford and a number of tertiary institutions are within close
lies at the heart of the Central Coast, one of NSW’s proximity.
best-loved lifestyle regions. The area continues to
grow and thrive as both a desirable place to live and a 10. ENHANCED CONNECTIVITY – Gosford is well
flourishing tourist destination. It’s home to renowned connected to both Sydney CBD and other reaches of
beaches such as Avoca, Terrigal and MacMasters, Sydney via the M1 Motorway and public transport. It is
expanses of national parkland and picturesque presently a 40 minute car journey to Sydney’s North
waterways such as Brisbane Water. Shore or a 1 hour 20 minute train ride to Central Station.
Extensive infrastructure investment in roadworks
4. HIGH CALIBRE OF NEW LOCAL RESIDENTIAL projects such as NorthConnex will further enhance
DEVELOPMENT – The high calibre of recent residential connectivity and reduce commuting times.
developments in Gosford has improved substantially,
with many well know architects designing buildings
here. This is a powerful drawcard for buyers, especially
design-conscious buyers relocating from the city or
purchasing investments properties or weekenders.
5. AFFORDABILITY – With soaring Sydney prices
over the past decade driving buyers out of the 400 metres 300 metres to
city, the Central Coast is an attractive, affordable to Gosford Gosford Train
option for cashed-up investors drawn to the areas Hospital Station
value for money, strong rental returns and positive
capital growth. Sydneysiders are one of the largest
demographic to invest in the region.
6. POPULATION GROWTH OUTPACING RESIDENTIAL
DEVELOPMENT – Gosford and the Central Coast
region are poised for substantial population growth
over the next 20 years, enhanced by the government
40 minute car 1 hour 20 minute
commitment to forming Gosford as the regions CBD.
journey to Sydney’s train ride to
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