The month in review: Darwin

By Herron Todd White
May 2015

When you think about prestige property, waterfront dwellings instantly spring to mind and Darwin is no different. It’s got a wealth of waterfront suburbs, with the top inner suburbs including Larrakeyah, Fannie Bay, Parap, Nightcliff and Bayview boasting sales over $1 million. But it’s not just waterfront properties commanding the big price tags.

Rural residential locations of Knuckey Lagoon, Marlow Lagoon and Howard Springs regularly have seven figure sales. The quieter lifestyle afforded on an acreage block has proved very popular in recent times. Knuckey Lagoon is considered the premier rural residential location with sale prices well and truly supporting. Since the beginning of 2014 there have been five separate sales in excess of $1.5 million.

Arguably Darwin’s finest two streets are Larrakeyah Terrace in Larrakeyah and East Point Road in Fannie Bay. Properties in these streets enjoy views across Darwin Harbour and Doctor’s Gully and across the foreshore in Fannie Bay. These locations are held very tightly, with very few on market transactions occurring. Three properties with positions to East Point Road have sold in excess of $1.5 million in the past 12 months, with the highest being $3.488 million. We have also seen a number of high end sales in Larrakeyah, with three separate, single residential dwellings selling for above $4 million over the past 18 months.

Taking advantage of the Top End tropical climate is also another major feature of prestige dwellings. High end properties in Darwin boast excellent outdoor living spaces, often centred around swimming pools, established gardens, barbecues and outdoor cooking facilities. With the climate allowing for outdoor living all year round, the increased outdoor living space is an attribute of prestige dwellings in Darwin unlikely to be given such prominence in prestige dwellings in the southern states.

While not yet been taken to market there are a lot of brand new larger dwellings being constructed in the greater Darwin surrounds. This is a strong sign for the prestige market, with a number of interstate builders and architects challenging the norm for high end dwellings in the Top End and giving further strength to the market.

The market for prestige dwellings in Darwin’s inner suburbs is quite stable at present with the traditionally popular suburbs previously mentioned being less volatile than mortgage belt locations. These areas continue to be underpinned by proximity to the CBD and standard of dwelling. It’s expected that the prestige dwelling market in Darwin will remain fairly stable. The lack of waterfront locations, coupled with the desire to occupy the inner suburban locations as mentioned, will continue to underpin the value associated with these areas in the medium to long term.