By Knight Frank Tasmania’s East Coast team, Adele Plunkett, Leanne Dann and Jim Playsted.
Confidence in the real estate market on the East Coast is certainly on a high and in line with the Tasmanian economic boom.
After a great 2017, with sale numbers being equal to that of the last peak in 2003, this year has continued to show similar traits with record sale prices being achieved in many of the coastal towns.
Contract numbers in 2018 are marginally down, but that is due to less properties being listed rather than a lack of enquiry from prospective purchasers. This in turn has helped with sale values appreciating.
This year we have also received an increase in the number of enquiries from investors seeking land for future development, i.e. subdivision, tourism ventures etc, which again confirms that there is confidence in the East Coast market.
As with other areas in Tasmania, the Knight Frank office on the East Coast, has seen many clients looking to invest in property that will provide good returns. Both holiday and permanent rental properties that have been listed have certainly attracted good interest. Holiday homes that are managed well are achieving in excess of $40,000 per year.
Knight Frank was privileged to be involved with this year’s East Coast Tourism awards and we were very impressed with the number of new business ventures that were nominated.
Award categories included Accommodation, Visitor Experience, Food, Wine and Retail, New Great Eastern Driver, Destination Action Plan Initiative, Great Eastern Drive Event of the Year, and 2018 Great Eastern Driver, with a total of 52 entrants in all.
The night was well celebrated at White Sands Resort with a record number of over 140 people attending. All were very excited and enthusiastic about the current East Coast business climate.
During 2017-18, through government initiative and driven by East Coast Tourism, many of the coastal townships have now developed their own Destination Action Plans. This process has involved local input, which in turn has been developed into a strategy to help progress growth in these regional towns. The Plans are driven by the citizens and local businesses and we are now seeing some positive results and works beginning to take place.
The increase in tourist numbers together with the more stabilised economy has seen several existing businesses change hands, new ventures initiated, and existing commercial premises upgraded.
Being a key driver, the promotion of the Tasman Highway to ‘The Great Eastern Drive’ has certainly helped growth in tourism. There is commitment from the current government to put some funding towards the improvement of the highway infrastructure over the next 12 months.
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