The Ritz a step closer

THE redevelopment of the iconic Ritz site moves a step closer with Powercor already onsite conducting upgrades in preparation for Geelong’s latest and most exciting apartment hotel project.

With more than over 80 per cent of the building already sold to previous buyers from Vue and Devlin Apartments, investors looking to be part of the Ritz project attended a recent briefing facilitated by Whitford.

Andre Veronie from Whitford said that this was a great opportunity to hear from Philip Petch, director of developer Integrated Development Solutions, and previous investors.

“Philip spoke about the financial performance of the Vue Apartments over the last four years and the assumptions behind the Ritz financial projections.

“Discussions were also held on the structuring that other Ritz buyers are using to maximise their returns.

“Investors were blown away by the returns on previous developments and how the Ritz is able to improve on this due mostly to forecasted short term accommodation requirements in Geelong over the next few years.

“The Ritz delivers on most investment objectives with net yields of between 6.0% up to 8.0% depending on which apartment you choose.

“Since launching we’ve had strong local interest in these apartment hotel investments and the strength in the investment market in Geelong is clearly evidenced by the number of email enquiries and foot traffic through our display on weekends.

“As with the Vue and Devlin Apartments from the same developer, the Ritz apartments will be run under management, to be rented on a short-term basis.”

Late last year, IDS received planning approval for the project to transform the dilapidated site into 110 short-term accommodation apartments.

Ritz Hotel Apartments will be the city’s first upmarket 4 ½ star accredited accommodation establishment.

The Ritz project offers investors a diversity of investment options starting from a one-bedroom at $425,000 plus furniture package $23,000 or a two-bedroom located just above the old pub façade for $820,000 plus furniture package of $32,000 with dual keys on level 7 starting at $755,000 plus furniture package of $37,000.

The Ritz redevelopment is expected to deliver 95 direct jobs during construction, and a further 25 direct jobs on the start of the accommodation business. Construction is expected to start shortly.

For more information, phone Whitford’s Andre Veronie on 0403 388 825.