Jawdropping waterfront estate goes from Frying Pan to $2m fire-sale

first_imgMore from newsParks and wildlife the new lust-haves post coronavirus23 hours agoNoosa’s best beachfront penthouse is about to hit the market23 hours agoBut construction was abandoned eight years ago. Picture: Lachie MilllardOver 160 people had inspected the property, with 30 making offers on it and five contracts offered ranging from $1.4m to $2m, according to real estate agent Peter Grainger of Rock Real Estate, who marketed the property for a year before it sold for $1.94m.“It was a very tough sell because it was incomplete and also it was left for eight years, (so) it looked like ruins although it’s very strong construction,” he told The Courier-Mail.The $4m paid in 2009 was in an inflated market, he said, “at least $1.5m over what it should have been”.“It’s what we call an out-of-line sale, which is when a property sells for an extraordinary amount of money over and above the market. During that time a lot of those properties were at least 30, 40, 50 per cent over the market price.”Mr Grainger said the new buyers had paid a “good price however there are risk factors involved in buying a property like that”. The structure seems surprisingly strong considering it’s been open to the elements. Picture: Lachie Milllard The block looks back towards the Noosa Parade area across the water. Passersby in a file shot inside the shell of the incomplete mansion. Picture: Lachie Milllard The large plot has its own beach. You just have to visualise the possibilities. Picture: Lachie Milllard“Buyers don’t want to take it on with unknown risk and unknown risk will only be found when they (re) start construction. They still will need another million to finish it off – in cash as banks don’t generally like lending on half-finished houses.”He said if the property had resold six months after building activity had stopped “it would have been a different story.”“The difference is when it’s finished it could be worth anything, it’s 1.61ha in a totally unique, beautiful position.”Mr Grainger said it was a “very complicated sale”.“No wonder it took them 12 months to finalise. I thought for sure would be $3m but ultimately the market does decide what the price should be and it was well and truly tested with 160 views over that time.” FOLLOW SOPHIE FOSTER ON FACEBOOK FREE: GET THE COURIER-MAIL’S REALESTATE NEWS DIRECT TO YOUR INBOX undefined Lot 2 Frying Pan Track Noosa North Shore Qld 4565A BEACHFRONT owner has gone from Noosa’s Frying Pan to a fire-sale, after selling off her prized 1.61ha estate at a bargain $2m discount.The Singapore-based seller had paid a boomtime price of $4m for the jawdropping Noosa North Shore estate in mid-2009, according to CoreLogic records, but was unable to then complete construction of the 1100sq m mansion proposed for the site. BRISBANE SUBURBS RESIDENTS DON’T WANT TO LEAVE LIVE LIKE CLIVE PALMER’S NEPHEW, CLIVE MENSINK THIS IS WHAT $12M CAN BUY last_img read more

Switzerland’s AHV drops soft commodities due to ‘political sensitivity’

first_imgThe AHV manages its commodity exposure in-house, tracking the Bloomberg Commodity Index via swaps.Under the new strategy, which allows commodity investments in energy and precious metals only, “the index will have to be changed”, the scheme said.The fund has also decided to manage government bonds in US dollars in-house to cut asset-management costs.The AHV said it expected to save “more than half a million Swiss francs” with the measure.Further, the pension fund decided to define a separate allocation for less liquid investments “to increase transparency in reporting”.Strategic investment in real estate was increased from 6% to 7%, while the AHV said it would start to build indirect exposure to foreign real estate via funds “step by step”.To date, the fund has invested 26% of its real estate portfolio in foreign real estate, mainly Asia and North America, using listed vehicles; the remainder comprises domestic direct and indirect investments.A similar step to invest in foreign property had been considered more than a year ago, when the AHV looked into a Europe-only real estate fund. To make the portfolio “more resilient” to market corrections, hedging tools were expanded to include a tail-risk hedging vehicle, which the fund developed internally and will be implemented in the coming months.Further, it introduced an operational risk report to provide the managing board with additional information beyond the existing compliance report.Last year, the AHV’s portfolio would have returned 10.36%, but equity overlays, as well as interest rate and foreign currency hedges, lowered the reported return to 7.1%.However, after the Swiss National Bank cut the peg of the Swiss franc to the euro on 15 January this year, the AHV noted its foreign-currency hedging prevented a CHF1bn loss. Switzerland’s CHF33bn (€27bn) first-pillar fund AHV has decided against investing in agricultural commodities in future, according to its 2014 annual report.It said it based its “new concept” for commodity investments on “political sensitivity” to investments in food, agriculture and livestock.In 2014, commodity holdings were the only part of AHV’s portfolio to register a loss, returning -8.2%.For the year previous, the asset class returned -9.85%.last_img read more

Greek child poverty some of the Western worlds worst

first_imgA report by UNICEF indicated that a global economic crisis that struck in 2008 has had a major impact on child poverty across the world, with children in Greece and several other European countries the hardest hit.The report, which assessed members of the Organisation for Economic Cooperation and Development as well as European Union countries, found that 2.6 million children have fallen below the poverty line in developed nations since the crisis struck in 2008, bringing the total number of minors living in poverty in 2014 to 76.5 million.The highest rate of child poverty was recorded in Greece, with 40.5 per cent, up from 23 per cent in 2008, while Norway had the lowest rate, with 5.3 per cent of children found to be living below the poverty line in 2014, compared to 9.6 per cent in 2008.Source: Kathimerini Facebook Twitter: @NeosKosmos Instagramlast_img read more