“I could honestly say that nothing was too much trouble”
Michael, Kay & Burton Client

A case study in the successful property marketing of 1 Derby Street, Armadale c/o Kay & Burton Partner Darren Lewenberg

The Property

This 1930s brick duplex has been rented for decades. At ground level, the property includes a self-contained apartment with two bedrooms. And on the first floor, of equal size is a one-bedroom apartment, with the second bedroom transformed into a dining room. Both units enjoy a slither of garden and the single garage is used as storage by one tenant, with the other using the driveway in front to park their car. The rear garden is orientated to the south with the remainder offering both a north and west aspect. Both tenants have leases, one until July, the other until October. The property is also in a heritage overlay (HO 136) which means the façade at least must be retained.

Although this duplex is in relatively good condition, it was most likely last renovated 20 years ago, with the kitchen and bathrooms requiring an update. And while the size of the plot is adequate, 240 square metres in area and the location convenient and desirable, there is an electrical power station carved into the property, on a separate title and owned by CitiPower (this is expected to eventually be sold by CitiPower with the first right of refusal going to the owner(s) of 1 Derby Street).

While this brick power station, the size of a car space, will eventually increase the size of landholding for use as additional outdoor space, its presence did deter a number of people from inspecting this property.

The initial price range was between $1.6 and $1.76 million when it was placed on the market on the first weekend of February (6 February being the first open for inspection date). There were restrictions to opening times, being only twice a week, given the tenants living here. And while the auction was slated for 27 February, the property was sold on 24th for $2.2 million, $440,000 above the higher estimate.

The Campaign

Kay & Burton suggested on-line advertising and leveraging off Kay & Burton’s extensive data base. So, there were no advertisements placed in newspapers in preference for inclusion on domain.com. realestate.com.au and realestateview.com.au. The campaign attracted three different cohorts or group profiles: those wanting to continue to rent these apartments and enjoy the capital gain: others wanting to live in one apartment and rent out the other: while and the third group to which the successful bidders belonged, who would convert the two apartments into a single home.

The Purchasers

A family with two children purchased the property and intend to convert the duplex into one house for themselves to live in.

The Vendors

Michael and his wife Marlo had owned this property for approximately four years as an investment. It’s opposite their own home which they bought six years ago. However, at the end of last year, the couple purchased a country property and thought it was an appropriate time to sell the duplex.

Michael and Marlo initially approached another agent to sell 1 Derby Street, with that agent saying he thought there was a potential buyer. However, when that fell through, it was suggested that the couple spend $50 to $60K in doing the place up prior to sale. “It really wasn’t an option, given we simply wanted to sell it and move on,” says Michael, who knew Darren Lewenberg after he sold them their house six years ago. And rather than giving the couple a list of things to do to improve the property, Darren gave them a few options in terms of dates, with the suggestion of early February to start the marketing campaign.

The Benefits

One of the benefits perceived by Michael in working with Kay & Burton was the service and its ability to communicate at all times, be it day or evening, weekday or weekend. WhatsApp also allowed for direct and immediate communication between all parties, with text messages arriving immediately rather than waiting for a phone call to be returned. “I could honestly say that nothing was too much trouble,” says Michael.

Experience

Michael and Marlo were delighted with the price they received, and with the speedy sale, on the Wednesday prior to the scheduled Saturday auction. One party put in an offer in excess of the upper price range which then triggered a series of other offers. A contract was then signed on the Wednesday night.

Top 3 Things

  1. Communication
  2. Honesty
  3. Integrity

“These three together provide you with confidence that you’ve made the right call and gone with the right agent!” says Michael.

 

For advice regarding your property, contact Darren Lewenberg on 0412 555 556 or via dlewenberg@kayburton.com.au


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