Sydneysiders turning their backs on Central Coast help drive south coast apartment boom

A real estate principal says Sydney professionals are turning their back on the NSW Central Coast in droves, as they look at key suburbs on the south coast for a change of lifestyle.

The construction of an $8.9 million dollar apartment building just metres from the ocean is part of a development boom on the south coast amid an ongoing housing crisis.

A decision on whether the planned 16-unit residential building on Beach Road, just metres from the Batemans Bay marina, goes ahead is currently with Eurobodalla Shire Council.

Elders Real Estate Batemans Bay principal, Luke Allan, said Sydney buyers were turning their backs on traditionally popular parts of NSW for the south coast.

Elders Real Estate Batemans Bay principal Luke Allan says more Sydneysiders are moving south.

He said the apartments would likely go ahead on what he said was the last waterfront land in Batemans Bay available.

“Once upon a time, 80 per cent of buyers who weren’t local,were retirees from Canberra,” he said.

“Now we’ve had an influx of middle-aged professionals coming from Sydney. They are changing the buyer demographic and are more used to apartment living.

“We get a lot of people saying the Central Coast is too much like Sydney these days.

“Higher prices in the next towns further north like Ulladulla and Mollymook are seeing people look here for something to buy.”

The $8.9 million apartment block is planned for Batemans Bay just metres from the ocean. Picture: Google Maps

He said the number of development applications for apartments was growing, with more planned for the town and one nearing completion a short walk away.

“There’s lots of land opening up that people have been sitting on for a while,” he said.

“Prices have gone up so much that anything walking distance from the water or with water views is being snapped up.”

He said developers were also seeking variations to height regulations as they look to maximise waterfront views, and people have been paying through the nose for holiday rentals since international travel was stopped due to the Covid pandemic.

The apartment building will overlook Batemans Bay, which the town is named after. Picture: Google Maps

“Units are popular as holiday rentals, and prices are just going through the roof,” he said.

“A waterfront property could cost $1000 per night, so people are paying that for a week or so as an alternative to international travel.”

He said a new apartment block had set a precedent after being allowed by the council to rise to six storeys, one more than the five-storey limit for the area.

A spokeswoman for the council said the development application was currently under assessment, and welcomed housing developments in the region as it tackles a housing crisis.

The apartments will be just a short walk away from the Batemans Bay marina.

“Like many areas, Eurobodalla is experiencing a high demand for housing and residential land,” they said.

“As additional land comes onto the market through new subdivisions it assists in meeting demand.”

CoreLogic’s Head of Research, Eliza Owen, said units were growing in popularity as house prices skyrocket.

“Looking forward, we could see unit purchases becoming more popular as demand is deflected away from houses simply due to affordability constraints becoming more pressing across the detached housing sector where values have risen substantially more than units,” she said.