Coombabah development said to be catalyst for change in northern suburb by Southport-based Union Share

This northern Gold Coast suburb has received little attention from developers but one believes that is about to change.

An artist impression of The Hansford Residences residential project at Coombabah.

FOR years Coombabah has been the poorer cousin to neighbour Runaway Bay.

However, Southport-based developer Union Share believes that is about to change.

In 16 months it has sold out of the first stage of its $31 million townhouse project Hansford Residences, contracted half the units in stage two and recently launched the third and final stage.

The company, led by general manager Sam Kirkland, purchased a 1.5ha site at Coombabah in late 2016 and launched 59-unit Hansford to the market in June last year.

The sale of all 20 townhouses in the first stage settled in July with an average price of $480,000.

An artist impression of The Hansford Residences residential project at Coombabah

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That is close to the median sale price in neighbouring Runaway Bay where it is $500,000, according to CoreLogic data.

The figure for Coombabah by contrast is just $350,000.

Mr Kirkland said Coombabah’s position, with Arundel to the south and Hope Island to the north and Runaway Bay to the east, made it ripe for new developments.

“Coombabah seems to have become a forgotten area but it has so much potential because of its location,” Mr Kirkland said. “We see it as one of the last ‘untapped’ suburbs in the city. “When it comes to the latest wave of development activity that has occurred over the past five-years in the southern beachside suburbs or even the M1 growth corridor.”

An artist impression of The Hansford Residences residential project at Coombabah.

BUILDING HOUSING POPULAR COAST EATERY UP FOR SALE

Mr Kirkland said Hansford was the only new project in the suburb.

“Hopefully we have gotten on the front foot regarding the competition by getting in there first and showing what potential there is,” he said. “Definitely Coombabah would have eyes on it now for other development opportunities.

“That’s why we are still looking (for other sites). We see Coombabah as having such value that we would love to be able to be responsible for redeveloping that area.”

Construction of stage two has entered its 16th week while the third stage has just begun.

Prices in the final stage start at $565,000 for the three-­bedder and $599,000 for the four-bedroom product. These are steep prices for Coombabah, however, Mr Kirkland said they were competitive when compared to neighbouring suburbs and taking the quality finish into account.

“We definitely identified that we are going in and pushing the average sale price up in Coombabah for units.”

KMSM director Jayde Pezet, who is marketing the project, said Coombabah was one of the most attractive locations in the country to buy in or invest.