You may be chasing more affordable prices, dreaming of a lifestyle change, or spotting investment potential in a different market altogether. No matter the reason, buying property in another state can be pretty tempting. But let’s be clear: buying interstate isn’t quite the same as finding a place down the road. You may have to […]
Tasmanian Property Development: Upcoming Projects and Opportunities
By Deltos Finance on November 20, 2024
Tasmania’s property market continues to show signs of strong improvement, offering exciting prospects for investors, first-home buyers, and developers. As we look towards 2025 and beyond, several projects and initiatives impact property development across the island state. So, if you’re interested in Tasmania properties for sale, read on to gain more insights before making a major purchase.
Major Developments in the State’s Capital
As the state capital, Hobart experiences significant development activity, transforming its skyline and creating new opportunities for residents and investors.
Here are a couple of approved projects and developments in the pipeline:
Former Spotlight Site Redevelopment
In a boost to Hobart’s urban renewal, the Hobart City Council has approved a major development for the former ‘Spotlight’ site on Liverpool Street. This $40 million project will include a 12-storey building with a basement level for car parking and ground level for entry spaces and end-of-trip facilities for office workers, including changing rooms, bicycle parking, and a potential retail tenancy. It will also have a rooftop with landscaped areas. The rest of the floors will house office spaces.
This development is expected to revitalise the area, providing much-needed commercial space in the heart of Hobart. As the city is expected to attract thousands of office workers, the CBD and surrounding neighbourhoods are primed to be Tasmania’s real estate hotspots for first and second-home buyers & investors.
The Macquarie Point Multipurpose Stadium Development
The Macquarie Point Multipurpose Stadium is a significant infrastructure development project that plays a vital role in redeveloping Mac Point. It is set to become an iconic landmark for Tasmania, attracting locals and visitors.
With a capacity of 23,000 seats, the stadium will be fully roofed and serve as the home ground for Tasmania’s AFL team. It will also function as a versatile facility for the arts, entertainment & various gatherings that will welcome thousands of people.
Once complete, this area is expected to be busy all year. So, if you’re looking for real estate opportunities to invest in short-term rental properties in Tasmania, consider neighbourhoods near this multipurpose stadium development in Mac Point.
Launceston Experiences Its Own Growth & Development
With several initiatives to improve Launceston, this city will likely attract new residents and businesses in the coming years. Here are some of the most notable projects that can shape the real estate of Launceston, Tasmania:
Urban Renewal Initiatives
The City Heart Project plans to redevelop Launceston’s CBD. With a $19.4 million budget, the project’s first stage was already completed and brought new life to the city through streetscape improvements, new public spaces, and initiatives to attract businesses to the city centre. The second stage of the City Heary Project is underway.
Such projects often lead to increased property values and rental yields in surrounding areas, making them attractive to all types of property investors.
New Housing Developments
Legana Grove Estate is a good example. Located just a few kilometres north of Launceston, Legana Grove Estate is the closest new land estate to Legana’s shopping hub. The Tasmanian Government is also constructing a new Primary School and Community Sports Precinct in Legana. The Legana Primary School’s construction is expected to finish in the latter half of 2024, with operations set to begin in 2025. Notably, the new primary school will be situated less than two kilometres from Legana Grove Estate, making it more attractive to young families.
Devonport Undergoes a Significant Transformation
With a vision to turn Devonport into a thriving and welcoming regional city that attracts new residents, businesses and tourists, the City Council has invested in many development plans. Here are some of them:
- Waterfront Redevelopment Plans: This project will revitalise Devonport’s waterfront and CBD, which will positively impact the real estate market in Devonport, Tasmania.
- The Stony Rise Development: A new residential subdivision in Stony Rise is expected to offer a range of lot sizes to cater to different buyer needs. The Tasmanian government has also backed the residential development with a $40 million retail precinct for a range of stores and businesses in Devonport.
- Showground Redevelopment: The Devonport Showground Redevelopment is Tasmania’s largest private urban infill project. Developers plan to create a vibrant community featuring a mix of family homes and apartments designed for affordability. It also plans to have an urban farm, a sustainable initiative to provide fresh produce for residents. This redevelopment will likely enhance the local community while addressing housing shortages in the region.
Richmond’s Developments Focus on Historic Charm & Modern Living
Richmond is seeing carefully planned developments that respect its heritage and natural beauty. Just take the Richmond Village Development, for example. The master plan is designed to complement the town’s historic character while providing modern amenities. It sets out a long-term vision for Richmond Village by developing its streetscape and public spaces to improve amenities for residents and visitors—all while respecting and celebrating the area’s unique heritage and history.
Regional Hotspots: Emerging Areas of Interest
Beyond the major cities, Tasmania has several emerging areas primed for growth:
East Coast Developments
Areas like Swansea are becoming increasingly attractive for holiday home buyers due to their stunning coastal scenery. Recent developments include luxury apartments that cater to investors and those seeking a second home by the beach.
Tamar Valley Projects
The Tamar Valley region continues to attract attention from buyers looking for Tasmania properties combined with agricultural opportunities. With picturesque landscapes and proximity to Launceston, this area offers potential for residential growth and investment in rural properties.
Government Initiatives Supporting Development
The Tasmanian Government is actively supporting property development through various initiatives:
New Housing Schemes
Homes Tasmania, a government initiative aimed at increasing the supply of social and affordable housing, is making significant strides. For instance, in Park Grove, Burnie, approximately 55 lots are expected to be delivered in 2025. This project addresses housing affordability while creating opportunities for first-home buyers and investors interested in the rental market.
Infrastructure Investments
The Tasmanian Government’s 30-year infrastructure strategy outlines investments that will support property development. These include transport infrastructure upgrades & urban projects, which are likely to boost property values in different areas.
Real Estate Opportunities for Different Buyer Types
First-Home Buyers
The First Home Owner Grant for eligible buyers purchasing or building a new home continues to make entry into the market more accessible. This grant, combined with the government’s focus on affordable housing developments, presents incredible opportunities for first-time buyers to realise their dream homeownership in Tasmania.
Investors
Areas like Launceston’s suburbs and the North-West coast are identified as potential growth areas for investors. For example, the suburb of Invermay, just north of Launceston CBD, attracts attention due to its developing infrastructure and affordability.
Holiday Home Seekers
The East Coast, including areas like Swansea and Bicheno, continues to attract holiday home buyers. Bicheno, in particular, has seen substantial property growth driven by the area’s natural beauty and increasing tourism infrastructure.
Summing It Up
In conclusion, Tasmania’s property development landscape offers diverse opportunities across the state. From urban renewal in major cities to carefully planned developments in regional areas, the market caters to a wide range of buyer preferences and investor strategies. As always, thorough research and due diligence are essential when considering property investment in Tasmania. That’s where Deltos Finance will gladly step in—our mortgage brokers in Hobart, Richmond, Launceston, Devonport & the rest of Tasmania are ready to offer expert guidance.
Contact us today to learn more about the property market in Tasmania.
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