Panania Property Factsheet 1st Half 2018 OVERVIEW is mostly a residential suburb, located approximately 23km inner south- west of the CBD. In the 2016 ABS Census its population was 12,419 people signifying an 8.1% growth over the past 5 years. Today many of the original freestanding bungalows have been rebuilt as larger residences or 2-storey duplex houses. CHANGE FROM HALF YEAR LAST YEAR

House Sales

House Median Price

MARKET CONDITIONS House Rental Price The Panania* property market has continued to show positive capital growth over the past 12 months (Q1 2017-Q1 2018), however at a more sustainable Unit Sales rate when compared to the 2nd half 2017 data. Unit Median Price Panania’s* median house price in Q1 2018 was recorded at $1,094,000, representing an annual price growth of 3.8%. The unit market recorded a Unit Rental Price median house price of $778,550, representative of a 2.1% annual price change. In comparison, Panania* recorded a median price growth of 13.2% FUTURE DEVELOPMENTS** (houses) and 6.7% (units) in the 2nd half of 2017. Furthermore, for the first nd time in 6 quarters Panania’s* average vendor discount in Q1 2018 is within $33.7M of projects between the 2 half of st the negative zone, suggesting a swing towards a buyers’ market. 2017 and the 1 half of 2018 are planned for Panania*, with the majority (37.0% or The return to a more sustainable level of price growth in Panania* is similar to $12.5M) being residential developments. the Canterbury- LGA. Between Q1 2017-Q1 2018 the median This shows a focus in increasing housing house price grew by 1.4% to $1,011,500 and the median unit price softened stock, which is needed to further answer by -0.3% to $585,000. This shows a more moderate growth when compared demand. 34.4% (or $11.6M) of future to the 2nd half of 2017 (11.3% for house and 9.1% unit). development will be dedicated to commercial projects, further stimulating the This is good news for those wanting to enter the market as there is increased local economy and providing a balance to affordability. This also gives owners a crucial signal that now is the time sell to the increase in new residential stock. ensure they are still benefitting from positive capital growth. Panania* will see 48 units, 6 townhouses, Panania* continues to be an investment hotbed with the median rental price 9 dwellings, and 490 subdivision lots nd for both houses and units growing over the past 12 months to Q1 2018 both added to the market between thr 2 half of st by 7.5%. Panania*’s vacancy rate was recorded at 1.4% in December 2017, 2017 and the 1 half of 2018, spread over lower than Sydney Metro (2.6%), indicating a healthier rental demand. 5 residential projects and 1 mixed-use development. Maclaurin Avenue Mixed CANTERBURY-BANKSTOWN COUNCIL GROWTH Development, estimated at $6.6M, will add 26 units and ground floor commercial 1000 $1,200,000 space of 133.14sqm.

800 $1,000,000 LAHC Panania is a key residential project, $800,000 estimated at $6.9M, adding 22 units and 6 600 townhouses into the market. The Riverland $600,000 Site in will add 490 subdivision

400 Price Median lots to the market, estimated at $3.0M. $400,000

Number of of Sales Number This will allow for more dwellings to be 200 $200,000 built in the near future. *Panania market data and key indicators encapsulates aggregate property market 0 $0 conditions in the following suburbs: Panania, East Hill, Padstow, Picnic Point, Revesby, & Milperra. Q4 2016 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018 **Estimated values are based on construction value provided by the relevant data authority and does not reflect commercial and/or re-sale value. Quoted House Unit construction and completion dates are estimate only, as per relevant data authority. Median House Price Median Unit Price Source: APM Pricefinder, realestate.com.au. © Copyright PRDnationwide 2018. AVERAGE HOUSE MARKETHOUSE UNIT MARKETUNIT Source: APM Source: House Median Price House Median Price Change from Listing to Sale Price -3.0% -2.5% -2.0% -1.5% -1.0% -0.5% 0.0% 0.5% 1.0% 1.5% $1,000,000 $1,200,000 $200,000 $300,000 $400,000 $500,000 $600,000 $700,000 $800,000 $900,000 $200,000 $400,000 $600,000 $800,000 Pricefinder Q4 2016 .

© Copyright PRDnationwide 2018. PRDnationwide© Copyright 0.8% VENDOR DISCOUNT VENDOR

2008 0.4% 2008 Q1 2017 1.2% COMPARISON 2009 2009 0.2% House Q2 2017 COMPARISON 1.2% Panania Panania 2010 2010 -0.3% Q3 2017 -0.8% Unit 2011 2011 0.5% Padstow Padstow Q4 2017 -2.1% 2012 2012 -2.3% Q1 2018 -2.3% 2013 2013 Picnic Point Picnic Picnic Point Picnic -2.2% 2014 2014 MARKET COMPARISONGRAPH asking property.price of a willing to purchase the firstclose to (closer suggests to 0) buyers are price. A lower percentage difference between first list price and final sold percentage difference average Average vendor discount reflects the AVERAGEVENDOR DISCOUNT dotted black line graph.line dotted black highlighted throughsuburb is main a thein factsheet, which is suburb analysedmain theproximity to Suburbschosen profiled on based are years. past 10 the overunits and house comparative price of median for trend provides comparison graph market The buyers lower the first average Average AVERAGEVENDOR DISCOUNT KEY FACTS UNIT FACTSKEY listed first percentage are 2015 2015 percentage vendor Revesby Revesby asking price willing and price discount 2016 2016 to difference difference final purchase Panania of sold reflects a 2017 2017 suggests property between close price . The . the to A . AVERAGE DAYS SALES Source: APM Pricefinder, Source:Pricefinder, APMrealestate.com.au, SQMResearch. **Pananiamarket * Annual growth represents price growth for property transactions between Q1 2017 to Q1 2018 (inclusive) Q1 2018 to propertytransactions for Q1 2017 growthbetweengrowthrepresents price Annual Number of Sales Average Days on Market 100 150 200 250 300 350 10 20 30 40 50 60 50 0 0 Q4 2016 data and key indicators encapsulates aggregate property market conditions in the following suburbs: Panania, East Hill, East suburbs: Hill, Panania, following the property marketconditions in encapsulates aggregate indicators key data and 236 Q4 2016 43 AND

House Sales 42 37 House Q1 2017

MEDIAN 43 172

Q1 2017 31 ON MARKET** Q2 2017

40 29 Unit Unit Sales © Copyright PRDnationwide 2018. PRDnationwide© Copyright 43 PRICE** 299 Q3 2017 Q2 2017 37 55

Overall Market Trend 47 Q4 2017

Median House Price 43 184 Q3 2017 54 78 Q1 2018 . 47

55 189 Q4 2017 KEY FACTS UNIT* FACTSKEY Sold Price: Price: Sold % Change between First Listed Price and Average Dayson Market: 36 11% Growth:Annual Area Median Sale Price : $785,000 48 UNIT KEY FACTS Q1 2018 Q1 FACTSKEY UNIT PricePrice and Sold Change% between First Listed AverageDayson Market Annual Growth PriceMedian Sale Q1 KEY FACTSHOUSE 2018 PricePrice: and Sold Change% between First Listed AverageDayson Market Annual Growth PriceMedian Sale Padstow Median Unit Price -0.1% 109 . Point,& Revesby,Picnic Milperra , Q1 2018 : 2.1%* 51 : 3.8%* : $778,550 : $1,094,000 : - - 2.2% 2.3% $0 $200,000 $400,000 $600,000 $800,000 $1,000,000 $1,200,000 : 55 : 47

Median Price SALES PRICE POINT COMPARATIVE ANALYSIS

HOUSE PRICE POINT 2016 HOUSE PRICE POINT 2017

3.4% 4.0% 6.7% 7.7% 9.0% 4.8% 9.4% Less than $799,999 5.2% 5.9% $800,000 to $899,999 25.3% $900,000 to $999,999 10.7% $1,000,000 to $1,099,999 19.3% 15.9% $1,100,000 to $1,199,999 $1,200,000 to $1,299,999 $1,300,000 to $1,399,999 18.9% $1,400,000 and above 31.1% 22.7%

UNIT PRICE POINT 2016 UNIT PRICE POINT 2017

9.0% 14.3% 7.9% 5.3% Less than $599,999 24.8% 9.9% $600,000 to $649,999 13.5% 13.5% $650,000 to $699,999 $700,000 to $749,999 13.4% $750,000 to $799,999 $800,000 to $849,999 9.9% 12.0% 14.3% $850,000 to $899,999 8.4% $900,000 and above 13.9% 18.0% 11.9%

KEY IMPLICATIONS - HOUSE KEY IMPLICATIONS - UNIT The Panania* house market price structure has shifted The Panania* unit market has shown a significant change towards a higher price bracket, from $900K-$1M in 2016 over the past 12 months, with the most dominant price to $1-$1.1M in 2017. 22.7% of sales in 2017 were within bracket shifting from $700-$750K in 2016 to $900K and this higher price bracket which is in line with the reported above in 2017. This is quite a jump and shows that there 3.8% increase in median prices over the past 12 months. is an increasing appetite for higher end stock. AVERAGE DAY ON MARKET All price brackets above $1.1M saw more activity in 2017. Those with a budget of under $800K will need to act fast, The $1.1-$1.2M price bracket has tripled in house sales as options for units within this price bracket, and its between 2016-2017, whereas the $1.2-$1.3M bracket subsequent lower price brackets, are diminishing. Those has doubled. For those with a budget of under $900K looking for more affordable options and have a budget of now is the time to act, as the proportion of houses sold in less than $600K need to secure their property this price bracket has significantly diminished from 25.3% immediately, as the number of sales in this price bracket in 2016 to 9.4% in 2017. have halved from 14.3% in 2016 to 7.9% in 2017.

*Disclaimer: Norwest market data and key indicators encapsulates aggregate property market conditions in the following suburbs: Panania, East Hill, Padstow, Picnic Point, Revesby, & Milperra. Source: APM Pricefinder. © Copyright PRDnationwide 2018. INVESTMENT ANALYSIS HOUSE KEY FACTS Q1 2018 Median Rent Price: $570 per week Rental Yield: 2.8% HOUSE UNIT Average Days on Market: 21 Bedroom Breakdown: 2 Bed: 25%, 3 Bed: 46%, 4+ Bed: 29% 2 Bedroom 1 Bedroom UNIT KEY FACTS Q1 2018 3 Bedroom 2 Bedroom Median Rent Price: $570 per week 4+ Bedroom 3+ Bedroom Rental Yield: 4.0% Average Days on Market: 24 Bedroom Breakdown: 1 Bed: 7%, 2 Bed: 23%, 3+ Bed: 70%

KEY COMMENTS OverviewInterest in Panania* has been recorded an average of 1,178 online visits per property, which suggest a high demand market. The median house rental price grew by 7.5% over the past 12 months to Q1 2018, currently at $570 per week. During the same time frame there has been a 43.4% annual growth in the number of houses rented, suggesting there is real growth in rental demand. This is good news for investors wanting to expand their portfolio, especially those looking for more affordable investment options outside of the Sydney Metro area.

MEDIAN RENT AND AVERAGE DAYS ON MARKET*

250 700

600 200

500

150 400

300 100 195 Number of of Number Rentals 160 147 155 136 200 119 118 50 105 105 106 86 65 100 Market on Days / Rent ($) Average Median

0 0 Q4 2016 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018

House Unit House Average Days Unit Average Days Median House Rent Median Unit Rent

*Disclaimer: Panania market data and key indicators encapsulates aggregate property market conditions in the following suburbs: Panania, East Hill, Padstow, Picnic Point, Revesby, & Milperra. Source: APM Pricefinder, realestate.com.au, SQM Research. © Copyright PRDnationwide 2018. RENTAL PERFORMANCE 2017* KEY COMMENTS Median House Rent P/W Annual Change Rental returns for houses in Panania* $700 6.0% (2.8%) is on par with Sydney Metro 0.0% (2.9%), whereas rental returns for units $600 4.0% is slightly higher. 1.9% 2.0% $500 Two+ bedroom houses provide the 4.7% highest annual rental growth at 4.7%. 0.0% $400 4.5% Vacancy rates in Panania* were -2.0% $650 recorded at 1.4% in December 2017. $300 $530 -4.0% This is lower than both the Canterbury $450 Bankstown LGA (1.8%) and Sydney $200 $345 -6.0% Metro (2.6%). Although there is an upward trend in Panania’s* vacancy $100 -8.0% rate, it is at a lower pace than Sydney Metro. This suggests there is a $- -10.0% healthier rental demand in Panania and One Bedroom Two Bedrooms Three Four + is ideal for investment opportunities. Bedrooms Bedrooms

VACANCY RATES 2017 RENTAL YIELD 2017

3.0% Suburb/ House Unit 2.5% Postcode/ Rental Rental LGA Yield Yield 2.0% 1.5% Panania* 2.8% 4.0% 1.0% 0.5% Canterbury- Bankstown 2.9% 3.7%

0.0% Dec-14 Mar-15 Jun-15 Sep-15 Dec-15 Mar-16 Jun-16 Sep-16 Dec-16 Mar-17 Jun-17 Sep-17 Dec-17 LGA

Sydney Metro 2.9% 3.8% Panania* Canterbury-Bankstown LGA Sydney Metro

KEY HOUSING DEMOGRAPHICS

Canterbury- Panania Bankstown LGA Median weekly household income $1,642 $1,298 $1,486 Median monthly mortgage repayments $2,300 $2,000 $1,986 Unemployed 5.6% 8.2% 6.3% Professionals 21.0% 18.9% 23.6% Owned outright 34.0% 30.2% 32.2% Owned with mortgage 35.7% 29.6% 32.3% Rented 27.6% 36.4% 31.8%

*Rental performance graph represents aggregate house median rent prices in the following suburbs Panania, East Hill, Padstow, Picnic Point, Revesby, & Milperra. Annual change is a comparison between 2016 and 2017 median rent figures. Rental yield data also represents aggregate rental yield of all six suburbs. Source: APM Pricefinder, SQM Research, ABS Census 2016. © Copyright PRDnationwide 2018. PROJECT DEVELOPMENT MAP 2nd HALF 2017-1st HALF 2018*

9.1%

19.5% 34.4%

37.0%

Commercial Residential Mixed Use Infrastructure

Estimated Location Project** Type Commence Date**** Value***

1 Flower Power Nursery Commercial $10,800,000 13/11/2017

2 Prescott Road Civil Works Commercial $800,000 04/06/2018

3 Panania Town Centre Infrastructure $500,000 04/06/2018

4 Kelso North Building Facility Infrastructure $500,000 04/06/2018

5 Morgans Creek Infrastructure $479,000 30/11/2017

6 Lambeth Reserve Infrastructure $400,000 21/05/2018

7 Brett Street Roadworks Infrastructure $393,000 16/08/2017

8 Canterbury-Bankstown Council Roadworks Infrastructure $331,000 31/10/2017

9 The River & Bransgrove Roads Intersection Infrastructure $263,000 30/10/2017

10 Panorama Parade Infrastructure $203,000 01/08/2017

11 Maclaurin Ave Mixed Development (26 units) Mixed Use $6,558,000 02/11/2017

12 LAHC Panania (22 units & 6 townhouses) Residential $6,856,000 03/07/2017

13 Riverlands Site (490 lots) Residential $3,000,000 16/04/2018

14 Picnic Point Road Dwellings (7 dwellings) Residential $900,000 24/01/2018

15 Bankstown Golf Course Subdivision Residential $890,000 30/04/2018

16 Queen Street Dwellings (2 dwellings) Residential $822,000 13/11/2017

*Disclaimer: Project development map showcases a sample of upcoming projects only, due to accuracy of addresses provided by the data provider for geocoding purposes. **Projects refers to the top developments within the suburbs of the Canterbury-Bankstown Local Government Authority. ***Estimated value is the value of construction costs provided by relevant data authority, it does not reflect the project’s sale/commercial value. ****Commencement date quoted for each project is an approximate only, as provided by the relevant data authority, PRDnationwide does not hold any liability to the exact date. Source: Cordell Database, ESRI ArcGIS, Department of Planning and Environment NSW, Canterbury-Bankstown Council. © Copyright PRDnationwide 2018. ABOUT PRDnationwide RESEARCH PRDnationwide’s research division provides reliable, unbiased, and authoritative property research and consultancy to clients in metro and regional locations across

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