NEW COST OF CONSTRUCTION "Steels" APARTMENTS.
A worrying trend emerged when I spoke at the PROPERTY COUNCIL OF NEW ZEALAND apartment update at the Auckland Club on 28 July this week.
As the guest speaker (around 130 Auckland heavyweights meaning banks, valuers , quantity surveyors, financiers, developers and architects as well as some nervous Auckland City Council staff whom I had warned would come under intense criticism from City Sales Ltd) I spoke of the very poor standards the Council as accepting designwise - City Sales turns down project after project because we won't promote them off the plans.
The slightly stunning thing that came out of the evening is that construction costs are rising hugely based partly on our prosperity but mainly on the dramatic expansion of the mainland Chinese economy which is skyrocketing the world steel market.
You heard it first at City Sales Ltd - the bottom line is that replacement costs of what developers are currently offering are not now affordable.
You will have (or should have) heard of a multitude of Apartment developments that now cannot be built for the prices that they were CONDITIONALLY sold off the plans for.
These projects are now being cancelled with the buyers having their deposits refunded.
The Brain Surgeons can see my staff and simply buy a Statesman suite.
The rest of you...please see Gary Hendrick or one of his team and commit to a purchase.
Anywhere in the City but particularly The Statesman.
Yes, it can't be built again for these prices.
Yes, my Rental & Management Staff are screaming for stock.
Yes, this is going to be YOUR YEAR of decision making and the timing is perfect.
And I'm always available personally, 0274-984.097.
(And Spring's in the air!!!)
Thanks for looking at our website.
MARTIN
