Gone are the days of dilapidated old houses & drunken down-and-out men & women drinking on the steps outside.
Enter the new age of boarding houses, which in fact are not that at all! New generation boarding houses or luxury micro apartments are all the buzz about town attracting key workers & young professionals. This style of efficient, contemporary accommodation is hugely appealing to corporates & executives, shift workers, short term secondments, singles, students & those needing emergency accommodation or micro style, hassle free accommodation.
These’ luxury studios’ range in size from anywhere between 25-35 sqm per room & include such amenities as kitchenettes with european style laundries (in some cases), balconies, built ins & a sleek, private bathroom. Most are stylishly furnished, which attracts an even high rental. These rooms attract a long term renter with rents ranging anywhere from $350-$500/week/room!
Michael Burgio from Novak Properties is an expert in managing these style of boarding houses, a very niche market, whereby his specialised advice & management in this area is making the attraction for owners of these new age boarding houses all the more appealing. “Novak Properties are the connoisseurs when it comes to managing this new style of boarding house & it is critical that you know what you’re doing when managing this style of property, as it’s not your normal run of the mill rental. There’s really no other agency that has the experience & capacity that we do to manage this style of project, which we have down to a fine art”.
Michael, our head of Commercial Real Estate here at Novak Properties together with Mark Novak have jointly just listed two new age boarding houses to manage & both have had intense attraction from the general public, where we have seen these luxury studios being rented out in lightening speed!. Michael says “we have had people lining up down the hallways at opens & more often than not they’re exceeding the advertised price due to the high demand of tenants”.
Such examples of the new age boarding houses that we currently have on the market can be found here:
434 Pittwater Rd, North Manly – a 15 room boarding house – available now.
257 Harbord Rd, Dee Why – a 33 room boarding house – ALL ROOMS RENTED WITHIN 7 DAYS, currently wait-list only for this property!
a brand new 31 room boarding house in Belrose – pre-enquiries being taken now.
Here’s the best news!
If you own a house, you can build a boarding house!
Under the current R2 zoning – low density (i.e a suburb where mostly houses are), you are able to build one. The block size doesn’t matter however is dependent on how many rooms you are allowed – the scope will vary depending on your block size.
Michael Burgio says “to give you an idea, on a 500-600sqm block, we have seen boarding houses with approx. 15-20 studio apartments”. He goes on to say “this many rooms will generate an income of approx. $380k – $500k per year in comparison to a normal house rental which would return around $50k per year rent. That’s up to 10 times the amount!, not a bad return huh?”
Unlike a residential development, the usual scale for parking is: if you build 10 apartments, you require 10 car spaces. Under the boarding house classification, you would only be required to have 4-6 car spaces, so the need to excavate is almost non existent, saving you literally hundreds of thousands of dollars!
Novak Properties are the largest managing agents on the Northern Beaches & intrinsically understand the management process of this style of property.
Burgio says, “We are boarding house management machines, successfully managing boarding houses & renting them out in lightening speed thanks to our unrivalled marketing including exclusive priority on Realestate.com.au, professional in-house photography plus videos for every property. We also do 8am – 8pm showings & our unprecedented processes are beyond compare. We have this style of management down to a fine art, thanks to our extensive systems in place from managing over 1500 residential properties – no other agency has the capabilities of doing what we do here all under the one roof – residential plus commercial, it’s poetry! Oh & we’re available 24/7 – we never sleep!”.
We are also currently on the hunt for a potential boarding house site of approx. 500-1000sqm. We have a client who can proceed with this purchase immediately & is interested anywhere on the Northern Beaches! THIS IS A LEGITIMATE REQUEST & NOT A MARKETING PLOY.
For all enquiries regarding the above please contact –
Michael Burgio on 0430 344 700 or Mark Novak 0421 111 111 24/7.
Further details on boarding house legislation can be found here:
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Have a great week, from all the team at Novak Properties.