Kiwis on the hunt for luxury holiday homes in Queenstown-Lakes are spending up to $12 million to secure a berth, but deals are taking longer to get across the line, a top agent has told OneRoof.
Terry Spice, head of Luxury Real Estate, said while prices at the upper end of the market were holding strong, days to sell had climbed back to pre-Covid levels of up to a year.
His agency has in recent months completed or been involved in several high-profile deals. These include:
• $12m for a four-bedroom architectural home on Todd Lane, in Bendemeer. The property came with an indoor swimming pool and spa, and was bought by retirees from Wellington.
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• $11.75m for a four-bedroom Master Builders Gold Award-winner on Domain Road, in Dalefield. The property was bought by Aucklanders as a holiday home.
• $9m for The Elms Penthouse, one of three apartments on the shores of Lake Hayes designed by architect Andrew Patterson. Spice said the buyers were from Auckland but he also received enquiry from Australia and Singapore.
• Close to $9m for a luxury home whose address Spice was unable to disclose for privacy reasons. The property is still under contract and has yet to settle.
• $8m for a new-build home on Littles Road, in Dalefield. The buyers were Aucklanders who were looking for a holiday home.
Spice told OneRoof the average hold period at the upper end of Queenstown’s market was seven years, in line with the overall market. He said the vendors involved in the big deals outlined above had various motives.
A four-bedroom architectural home on Todd Lane, in Bendemeer, Queenstown-Lakes, was bought by Wellington retirees. Photo / Supplied
A new build on Littles Road, in Dalefield, fetched $8m. Photo / Supplied
“Three of the five homes were owner-built. Some of the vendors were downsizing or were overseas and liquidating their New Zealand portfolio.”
Spice has been encouraged by media reports of a potential rethink of the foreign buyer ban.
“Generally, the clients we deal with feel that if they are going to invest in New Zealand, excluding property, then having a holiday home here is attractive.”
In a recent press release, Spice and colleague Nick Horton said a “life’s too short” mentality was fuelling strong interest from wealthy Aucklanders and Australians. “In the past two years $815m changed hands in homes valued at more than $3m in [Queenstown-Lakes].”
The Elms Penthouse, an Andrew Patterson-designed apartment, sold for $9m to Aucklanders. Photo / Supplied
Horton said a lot of clients started with holiday homes in the area but then found they wanted to shift there permanently, and Australians liked buying in New Zealand because there was no stamp duty.
Spice and Horton said new developments will keep attracting people to the area, including the new $1 billion Lakeview Te Taumata master-planned community, which is earmarked for the council’s former campground, which has a town centre zoning.
That will add to gentrification which is already advanced across the district, including the new hospitality precinct of Ayrburn, which is three kilometres from Arrowtown.
While that is still under construction, it will eventually feature 11 bars and restaurants, an upmarket retirement village, a boutique hotel, wedding venues, and a florist and bakery.
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