Wangara Enterprise Park still a winner
After doing a number of blogs about residential and apartment sales, the team at PropertyESP thought we would deviate for the start of 2017 and look at industrial lots and in particular, the Wangara Enterprise Park.
This estate was established in 1989 by LandCorp and actually very little sales occurred until its sixth anniversary. But regardless of its start, the Enterprise Park has since performed -and is still doing so – some 27 years later.
Our research of sales for this time period showed that vacant land had an average sale price $120,000 higher in the Enterprise Park in comparison to the Wangara industrial land located in close proximity.
But because the Enterprise Park lots were larger, vacant land in this precinct sold for approximately $410/sqm compared to the rest of Wangara at $449.
Yet the Enterprise Park certainly had some areas that performed well.
Enterprise Park factory units achieved $1773/sqm compared to the remainder of Wangara which was $1600/sqm.
Plus vacant land that was resold undeveloped in the Wangara Enterprise Park achieved 44% capital growth per annum in comparison to 22% for the remainder of Wangara.
And property that was redeveloped between purchase and subsequent sale in the Enterprise Park secured a capital growth on average of 63% per annum.
The analysis we conducted also demonstrated that those that purchased in the Wangara Enterprise Park tended to stay there, with only 28% properties sold more than once. This compared to 42% of the properties outside this locale exchanging hands more than once.
To us, this suggests a high level of satisfaction from owners within the Enterprise Park concept and its robustness to meet their business needs over the 27 year history.
It also tends to indicate that precinct planning has its key benefits, with the ripple effect benefiting neighbouring properties and the multiplier upshot coming into play.
It also tends to argue the benefits of Agencies such as the MRA and LandCorp leading with these kinds of projects so that they can gain the traction and provide ongoing investment returns.
Overall the Enterprise Park has been a worthy investment and we look forward to examining the newly launched Nambeelup Estate in the next 10 years to see if it follows suit!
Did you learn something new today? Then just imagine what we can do for your potential investments and projects.
If you are curious, call Sam Reece on 0452 067 117.
Because at PropertyESP, we make sense of property.