David Devine’s Metro group wins approval for $80 million inner-Brisbane project The Plaza

David Devine’s Metro Property Development group has increased its commitment to the inner-Brisbane apartment market, with approval granted for an $80 million project in South Brisbane.

The 12-level development, called The Plaza, has been designed by architects Deicke Richards and is due to be built at the corner of Russell and Manning streets on a 2,270-square-metre site and will feature 168 apartments.

Off-the-plan marketing of the project will begin later this month.

It will offer a mix of one- and two-bedroom apartments, ranging in price from $330,000 to $575,000.

The building will also feature a pool, gymnasium, outdoor dining area and garden reading room.

The Plaza site is situated just behind the Brisbane Convention Centre and close to the South Bank rail station and bus interchange, the Brisbane art gallery and cultural precinct, South Bank Parklands and the CBD.

The project will take the value of Metro’s approved apartment developments in Brisbane to more than $400 million.  Metro currently has 1,337 apartments under construction or approved for development in inner Brisbane and a further 950 apartments in the pipeline.

Metro is involved in three joint-venture projects with Indian-owned developer Pearls Australasia in the inner north:

• the 30-level Madison Heights project in Bowen Hills in the inner-north, where construction has just commenced;
• the 195-apartment The Chelsea also in Bowen Hills, which is sold out and
• Brooklyn on Brookes in Fortitude Valley  where construction is due to commence in August or September

In addition, Devine is also building the Riverside Hamilton Harbour project in partnership with Leightons.

Metro says it has received more than 200 registrations of interest for The Plaza project.

“We believe South Brisbane will continue to build on the reputation it has established as one of the city’s most popular lifestyle hubs,” says David Devine.

“With its proximity to schools, universities, hospitals, major entertainment venues and access to major transport, it is a great opportunity for buyers and investors.

“Apartments in the area are definitely undersupplied and there is great demand for an affordable, quality product that is sophisticated and stylish."

Metro marketing director Ken Woodley says there are more than 26,000 white-collar workers in the South Brisbane area and more than 80,000 students attend universities and colleges nearby.

“We anticipate demand for The Plaza from the local market will be very strong," he says.

Metro is expecting interest from young professionals, owner-occupiers and investors.

According to Urbis, the rental vacancy rate for apartments in Brisbane’s inner city sits at approximately 1.35% and is forecast to tighten to 1% or less by by December 2012.

South Brisbane recently ranked as top investment suburb, according to Your Investment Property magazine's Top 100 suburbs lists.

According to Resolution Research & Strategists managing director Diana Howes,  the South Brisbane apartment market is chronically undersupplied.

“Taking into consideration the forecast increase in resident population in the South Brisbane/West End neighbourhood plan it is evident that this market is currently chronically undersupplied and will remain so until such a time as significant development and construction is undertaken to service demand,” she says.

Metro Property Development was created in 2010 by Devine Limited founder David Devine and business partners Ken Woodley and Luke Hartman.

To find out more about new projects in the inner Brisbane, Download Property Observer’s free eBook: Brisbane's Inner-City Urban Renewal, which provides an overview and analysis of the current inner-Brisbane apartment market scene.