1. Brisbane
Residential
Property
Market comes
in to focus
Brisbane is fast becoming a hot spot for property
investors. Southern state investors from Australia are
looking north to the Queensland property market as
Sydney and Melbourne markets become too expensive
to gain a foothold.
But it’s not just Australians who have
turned their interest to Brisbane,
with international investors switching
focus also.
Brisbane is Australia’s third largest
capital city with an estimated 2.3
million people living in Brisbane’s
metropolitan area.
With its easy accessibility to quality
universities, major employment
hubs and enviable climate, it is
gaining interest on a global scale.
Brisbane also boosted its momentum
as a destination of choice in the
Asia Pacific region, with the world
watching as it hosted the hugely
successful 2014 G20 leaders’ summit.
Brisbane’s apartment market is also
in focus, after the March Quarter
2015 data released by the Real
Estate Institute of Australia showed
that Brisbane ranked the second
most affordable apartment market
in Australia with a median price of
$385,000.
According to this data, Brisbane’s
median apartment price is $98,300
lower than the national median.
When compared with Sydney
median apartment values, Brisbane
apartments are $162,100 cheaper,
and are $114,000 lower than
Melbourne.
Source: Resolution Research
Real Estate Institute of Australia – June 2015
Source: Core Logic
CoreLogic June RP Data Hedonic Home Value Index Results
Released: Wednesday, July 1, 2015
One of Brisbane’s premier research
companies, Resolution Research has just
released a report (Brisbane’s overview and
population – Dated April 2015) highlighting
the opportune position that the Brisbane inner
city apartment market offers versus Sydney
and Melbourne.
The Brisbane inner city market comprises of 21
suburbs which sit within a 5 kilometre ring of
the CBD. Currently the demographics of these
suburbs show that one third of all residents
are aged between 20 and 35 years of age.
This is significantly higher than that recorded
across Queensland. This demographic trend
is consistent with all inner urban markets
whose populations are predominantly
comprised of Gen Y and Gen x residents
who have a strong lure towards the lifestyle
and convenience on offer in high-density,
mixed use locations within close proximity
to major employment nodes. According to
the Queensland Government’s South East
Queensland Regional Plan 2009-2031, an
additional 156,000 dwellings will be required
to house the increase in Brisbane’s inner city
population over the next 20 years.
With the Brisbane
median house
price coming in at
$455,000 at the
end of June 2015, it
is looking a lot more
affordable than
Sydney $772,200
and Melbourne
$560,000.
AUSTRALIAN CAPITAL CITIES
MEDIAN UNIT PRICES
MARCH QUARTER 2015
CHANGE IN DWELLING VALUES TOTAL
GROSS
RETURNS
MEDIAN
DWELLING
PRICEREGION MONTH QRT YOY
Sydney 2.8% 3.1% 16.2% 20.6% $772,000
Melbourne 2.9% 1.9% 10.2% 14.0% $560,000
Brisbane 1.7% 1.4% 3.4% 8.2% $455,000
Adelaide 0.4% 1.8% 4.5% 9.0% $405,000
Perth -0.4% -0.2% -0.9% 3.3% $510,000
INDEX RESULTS AS AT JUNE 30, 2015
Brisbane CBD

2. INNER CITY RESIDENTIAL APARTMENT
MARKET PROPERTY CLOCK
SYDNEY VS. MELBOURNE VS. BRISBANE
Resolution Research states,
“Kangaroo Point’s apartment
market has been relatively
constrained principally due
to a lack of available land for
redevelopment within the
area. 2014 saw the release of a
handful of new developments
that recorded rapid rates of
absorption”.
Analysis of long term (10 year) median
price performance of Kangaroo point
reveals an average annual lift in values
of 2.7%. This rate of growth has been
heavily influenced by older, secondary
nature of stock situated through the area.
Over the past three years, consistent with
the broader residential apartment market
trends throughout the inner city, the
average annual rate of growth has lifted
to a healthy 3.4% per annum suggesting
the market has entered its next growth
phase.
Kangaroo point’s proximity to the CBD
has also made it popular with renters.
Over recent years, median weekly rental
growth throughout the suburb has been
particularly strong. The median weekly
rent for a one bedroom apartment has
grown on average by 4.1% P.A. over the
past 3 years acquainting to $10.00 a
week. Two bedroom apartments have
grown by 3.6% in the same period.
Resolution Research has
stated, “Kangaroo Point
is currently achieving a
particularly health yield of
6.5% making it the highest
yielding suburb with inner
Brisbane”.
Craig Northey has extensive experience
consulting to the major Australian
financial institutions in the Asia Pacific
region.
He specialises in Sales and Marketing,
corporate strategy, product
development, compliance and research.
Craig has held senior executive
positions in some of the most respected
Fixed Interest, Stockbroking and
Research institutions in the Australian
financial markets (Aegis Equities,
Austock Securities & Lewis Securities)
and has served on a number of fund
management Boards. Craig is also
a regular panel member at industry
conferences.
Craig has a Certificate of Financial
Markets from Securities Institute of
Australia and has undertaken other
studies with Cambiste International
and AGSM. He also currently sits on
the Adelaide Universities advisory
board, International Centre for Financial
Services and Listed Investment
Companies Association.
Craig Northey
Head of Sales & Marketing – Quantum Group,
and the very successful QReal program.
Contact Craig via email on
craign@quantumgroup.com.au
Information herein is based on sources we believe to be accurate and reliable as at the date it was made.
We reserve the right to revise any information herein at any time without notice. No offer or solicitation
to buy or sell property, nor investment advice or recommendation is made herein. In making investment
decisions, investors should not rely solely on this material but should seek independent professional
advice. Investment involves risks, in particular, risks associated with investment in emerging and less
developed markets. Past performance is not indicative of future performance. Investors should read the
fund prospectus for further details, including the risk factors, before investing.
This material has not been reviewed by the Monetary Authority of Singapore (MAS), and is published for
information only. MAS authorisation/recognition is not a recommendation or endorsement. The issuer of
this material is Quantum Funds Management ACN 086 965 684, Level 5, Fairfax House, 19-31 Pitt Street
Sydney, Australia. Australian Financial service licence – 237301.
Brisbane CBD
Kangaroo Point CliffsBrisbane River
The Gabba
Woolloongabba
Kangaroo Point
Kangaroo point is one inner
Brisbane suburb in focus
KANGAROO POINT IN THE CONTEXT OF
BRISBANE’S INNER CITY
YEAR ENDED MARCH 2015
Source: Resolution Research
Queensland Government – June 2015
Situated less than 2
kilometres from the
Brisbane CBD, Kangaroo
Point occupies a prime
position on a peninsula
around which the
Brisbane River flows. The
geographic attributes of
the suburb offer a range
of river and city views
unmatched in Brisbane. It
is traversed by the iconic
Story Bridge and home
to one of Brisbane’s most
revered natural assets –
Kangaroo Point Cliffs.