Record-breaking Sydney apartment sale follows a trend

Market Insights
7 years ago
2 minutes
The Australian record for the highest priced apartment has just been broken, with a luxury apartment sold off-the-plan in Sydney’s Circular Quay for a mind-blowing $27million.
This tops the previous record, set only last week at $26million – for another penthouse in the same building. Well, what’s a million between neighbours?
The record-breaking apartment is planned for the upcoming Opera Residences development located in the iconic harbourside precinct. With views overlooking the Sydney Harbour Bridge and Opera House the penthouse will enjoy some of the best vistas in the city.
The future of larger apartments
With every residence in the Opera Residences project already sold, there is clearly a demand for larger apartments in the owner-occupier market.
And it’s indicative of a growing shift towards larger apartments in general. The auction hammer recently came down on the finale of this year’s The Block, Channel Nine’s apartment renovating juggernaut. Young couple Will and Karlie from Brisbane took home the win with their apartment selling for $2.6 million – $715,000 over the reserve price.
Whilst Will and Karlie’s apartment was never in danger of matching Australia’s previously highest priced apartment just down the road – prior to the Opera Residences sale the penthouse in Melbourne’s ‘Australia 108’ sold for $25million – the size of the apartments on this year’s The Block are another indication of a growing trend. More and more people in Australia’s capitals are ditching the home and quarter acre block scenario in favour of a large, inner-city apartment.
If apartments truly are the solution to a more highly populated future, those apartments will have to meet the needs of families who would otherwise have been in the market for a three bedroom home in the suburbs. That also includes some outdoor space, whether it be a private balcony, a communal courtyard or garden area.
This expectation of increased living space will have to be met if the shift from suburban homes to suburban apartments is going to be successful.
No, we can’t all afford $27million for a luxury apartment. But we can probably expect a future where larger, family-friendly apartments are the norm.