What’s Happening in Newcastle
Newcastle has seen booming lately and this is due to significant investments in infrastructure and the city. This includes a rejuvenation of the city foreshore with the removal of the heavy rail. Newcastle University has moved in to the city with a new building and the NSW Government has invested $6.5bn in the boom town. Newcastle builders are busy!
Construction is booming in Newcastle with the value of approved developments up 70% last year. This took the total green-lighted projects to more than $3 billion.
The projected population growth is 33 per cent by 2036. While property prices are on the rise, they’re a viable option for cashed up Sydney buyers finding it hard to get into the housing market. The median house price for Newcastle as of March 2017 is $530k so there is significant interest from investors.
By the end of 2018 there will also be a permanent $13 million cruise ship terminal completed at Carrington. As Sydney reaches its capacity for cruise ships, this should significantly increase the existing $11 million that Newcastle gathers annually from cruise tourism.
Wickham; an inner city suburb is also seeing strong apartment growth. Coming from an industrial past it is close to the city and the new terminus for the heavy rail. With light rail soon to be added the area is benefiting from the infrastructure investment.
An application for the development of the inner city precinct was submitted in June by Iris Capital which includes the old David Jones building. The proposal is over 4 city blocks and is very important for Newcastle. This and the positive investment and sentiment toward the region will see strong property growth for some time to come.
The development is not only designated to large inner city developments and apartments. Townhouses in the greater Newcastle region are very popular and can be built for a reasonable cost providing a good return for the developer. The outer suburbs of Wallsend, Lambton and near the University offer land prices that are enticing for the right townhouse project. These areas are still close to town and the Hunter Valley where the wine region offers great entertainment.
Builder solutions has some excellent Newcastle builders specialising in townhouses who can offer very good construction costs. This as well as reliable practices and companies with long track records in the region will help your townhouse project in Newcastle succeed.
Newcastle Construction Costs
Due to the consistency of growth over a sustained period the collapse of construction companies here has been low. However there have been some failures which have caught out even some experienced developers. It is vital to have some local knowledge. Also there are a limited number of townhouse apartment builders in the area with scope to take on more work. This is due to the influx of projects. Some builders from Sydney have moved to the area and are performing well.
Construction costs are less than you would expect in Sydney where apartments are now hard to build for less than $300k per unit. Due to the lower development costs and decent selling prices the pressure to optimise the density with council is less, providing greater scope for approval success.
Our NSW office is based in Newcastle, we see and hear what is going on every day. We can recommend the builders performing well with capacity to be competitive and take on more work.
From houses to townhouses to apartments our Newcaslte builders will improve your network and project outcome.
We also have builders who have worked in the surrounding areas like Maitland the Hunter Valley and Nelson Bay.