A roof top terrace is a growing amenity among new modern apartments. Having an amazing view of the Dandenong mountains or twilight views of the Melbourne city skyline are undoubtedly a pleasure. However is it worth it?
Some roof top terraces have teppanyaki kitchen appliances or barbecues, a garden terrace and outdoor furniture. Larger apartment buildings can also include a swimming pool, cinema or tennis court.
Apartment roof top terrace – is it worth it?
Owner occupiers will often see great value. They can spend time on a summer evening enjoying the sunset. Residents can also book the roof top terrace through their owner’s corporation to celebrate their birthday or host a family function.
For owner occupiers, we see some good value in having a roof top terrace, but subject to the following:
- Does it have a captivating view? (for example a city or river view)
- Can you afford the owners corporation fees that are required to maintain the roof top terrace?
- Would you use the communal space?
If you tick the boxes, we say go for it! If you are scared of heights, or prefer a private balcony extension to your apartment, well maybe it’s not for you.
For investor buyers, this is less likely to add capital value to your investment. However, a roof top terrace will attract a larger pool of tenants and possibly allow you to charge a higher rent. However, we haven’t seen any real evidence it creates additional capital growth when comparing it to other boutique apartment buildings that don’t have a roof top terrace. The maintenance cost charged through the owner’s corporation fees may not justify the cost with its benefit. If you are considering moving in at a later date, this is an entirely different story. We can see how that may suit you longer term.
A roof top terrace has become a new modern amenity to an Apartment building. Before buying an apartment take note of the cost, it’s features and what added value it may have on your lifestyle or investment return.
If you are keen to buy an apartment, please feel free to contact us. As buyer’s advocates it’s our service to find a property that suits you.
While we have taken care to ensure the information above is true and correct at the time of publication, changes in circumstances and legislation after the displayed date may impact the accuracy of this article. If you want to learn more please contact us. We welcome the opportunity to assist you.
July 2020
