Land values rise across Tweed Shire

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LAND VALUES continue to increase across the Tweed according to the latest land value report released by the NSW Valuer on January 13.

The Tweed Shire land has been independently valued on behalf of the Valuer General, and reflect the property market on July 1, 2016.

Valuer General Mr Gilkes said when determining land values, property sales are the most important factor considered.

“Land values do not include the value of the home or improvements to the land,” he said.

From July 1, 2017 land values will also be a factor used to calculate the Emergency Services Property Levy (ESPL) which will replace the current levy on property insurance and help fund fire and emergency services across NSW.

Landholders will receive a Notice of Valuation showing their land value before it is used by Council for rating and gives landholders time to consider their land value. Tweed Shire Council calculates rates based on the unimproved land value.

Landholders can find more information about their Notice of Valuation at www.valuergeneral.nsw.gov.au or by calling 1800 110 038. Landholders who are concerned about the land value recorded on their Notice of Valuation have 60 days to lodge an objection. The last date to object is printed on the Notice of Valuation.

Land values rise 20 per cent in two years

Valuers analysed 1,674 sales and from 2014 to 2016 the total value of all property in the Tweed Shire increased from $9,582,246,441 to $11,541,344,641, approximately 20.4 per cent.

According to the report, “The change reflects an increase in value of property which was experienced predominantly as a result of improved demand and capped/diminishing supply.”

“The main factors influencing values in Tweed Shire in the present market are strong demand, reduced supply, temperate climate, natural beauty and appeal of the area, proximity to South-East Queensland, substantially reduced transit times between the Tweed and Brisbane and proximity to the Coolangatta International Airport.”

The majority of residential development has occurred in the north-eastern sector of the shire with the majority of recent development along the coast, between Pottsville and Kingscliff.

The report noted that Tweed Shire has the greatest number of dwelling approvals across the North Coast Region with 704 in total compared to the next closest number being 198 in Ballina.

Residential

Residential land values have shown a strong increase of 11.5 per cent over the past year due to increased demand and diminishing supply levels.

From July 1, 2015 slight to moderate (8 per cent to 25 per cent) increases in value were experienced in the majority of coastal residential localities including Tweed Heads, Banora Point, Casuarina, Salt, Kingscliff, Bogangar, Cabarita, Pottsville and Fingal Head.

Rare direct beachfront land at Cypress Avenue Cabarita Beach increased by 44 per cent in one year.

The value of average quality canal lots throughout the shire remained steady while canal frontage lots at Pottsville increased slightly.

Steady to slight value level increases were experienced in the majority of other non-coastal towns and villages. Residential properties in new estates in Murwillumbah have generally remained steady due to an oversupply of land along with demand for flood liable residential properties in Murwillumbah.

Rural properties generally experienced steady value levels to slight increases in values throughout the year.

Commercial land

Commercial land values increased across the board due to limited supply.

There has been a limited number of sales with a total of 35 reliable sales since July 1, 2015 that were analysed.

Over the year to July 1, 2016 the total value of commercial land in Tweed Shire increased by approximately 10.8 per cent overall.

Values in Murwillumbah generally increased moderately (by approximately 12 per cent) while values in Tweed Heads and Tweed Heads South increased slightly to moderately (by approximately 2 per cent to 22 per cent, depending upon location and zone).

The value of B4 Mixed Use zoned land in Kingscliff increased moderately (by around 15 per cent) while B2 zoned land in Pottsville, Bogangar and Casuarina remained steady although the value of larger sites (around 1,000m² and greater) in Pottsville increased by around 20 per cent.

Industrial

Industrial land values have generally seen a moderate increase and can be attributed to the limited supply of industrial property in Tweed Heads South, Tweed Heads West, and Murwillumbah.

There were only eight reliable sales that occurred between 2015 and 2016 with values remaining steady (+/-2 per cent) or increasing slightly.

The Murwillumbah industrial estate performed well according to the report, “where value levels have again increased moderately (23 per cent) from 2015 to 2016, primarily due to being recognised as being of good value compared to the poorly located but more modern Industry Central Estate where values increase substantially (from a very low base) from 2014 to 2015.”

Rural

“The majority of rural zoned land parcels, especially close to the coast, are purchased for home sites, therefore the value of rural land is predominantly driven by residential/home site based factors rather than rural based factors,” the report reads.

“An exception to this is land suitable for Sugar Cane growing, although in recent years returns from Sugar Cane have been low and better located properties have been purchased as home sites rather than for genuine cane production.”

Value levels generally increased slightly (6.7 per cent overall) from 1 July 2015 to 1 July 2016. The predominant factor influencing values was improved demand for home sites.

The value of sugar cane land increased moderately from 2015 to 2016, largely due to increases in the value of the home site element, with the majority of land suitable for sugar cane production being well located, close to Murwillumbah and with good access to the coast.

Best performers

Level density land at Kingscliff – 41%
Koala Beach at Pottsville – 31%
Seabreeze Estate at Pottsville – 31% to 33%
Shirewide R1 zoned Land
Density sites on Marine Parade Kingscliff – 43%
Density sites in Seaside City – 210%
Oceanfront Density Sites – 76%
Larger Shire wide density sites – 31%.
Non beachfront land at Casuarina/Salt/Seaside City – 38% to 42%.
Tweed Head Southern Fringe Commercial – 39%.
B5 Business Park Shirewide (4 properties) – 59%.
B4 Kingscliff
IEA – Industrial Murwillumbah Ex Industry Central – 54%.
IEK –Industry Central Murwillumbah – 77%.
Englobo Residential Shirewide – 43%