Tamarama penthouse with panoramic views secured ahead of competition
▉ REGION: EASTERN BEACHES
▉ CLIENT: INTERNATIONAL FAMILY
▉ BUDGET: $5M-$7M
Background
Our client, an experienced investor with a strong portfolio in Sydney’s east, was seeking a premium, low-maintenance asset with long-term capital growth. The brief focused on securing a beachside apartment with architectural appeal, strong rental demand, and minimal ongoing upkeep. Tamarama, with its scarcity of stock and tightly held penthouse market, represented a high-performing target location.
Strategy
We undertook a targeted search across the eastern beaches, analysing recent penthouse and premium-apartment sales to determine value ranges and identify undervalued opportunities.
Key strategic steps included:
Monitoring off-market and pre-market stock through agent relationships.
Assessing yield performance and rental demand for high-end beachside apartments.
Engaging early with selling agents to position our buyer as the preferred purchaser.
Conducting detailed price analysis and negotiation planning to secure the property ahead of broader market competition.
This approach led to the identification of a luxury Tamarama penthouse in a boutique building with north-east ocean views, premium finishes, and strong tenant appeal.
Challenges
The penthouse market in Tamarama is exceptionally limited, with very few genuine opportunities meeting our investment criteria. Additional challenges included:
High buyer demand for quality coastal assets despite limited stock.
A premium price guide that initially deterred broader market traction, requiring precise valuation work.
Anticipation of strong competition had the property progressed to auction.
Need to demonstrate to the agent that our buyer was the most credible and ready-to-exchange party.
By addressing these challenges through data-driven valuation and strategic negotiation, we were able to secure priority standing in the negotiation process.
Outcomes
Acquisition secured for circa $5,000,000, representing strong value for the calibre of asset and location.
Property features: 3 bedrooms, 2 bathrooms, 2 car spaces, expansive indoor–outdoor living, designer interiors, and a private rooftop terrace — approx. 200sqm on title.
Immediately leased to an executive tenant, achieving a gross rental yield of approximately 3.4%.
A rare, highly liquid asset added to the client’s portfolio, with scarcity and view lines underpinning long-term capital growth.
Purchase completed pre-auction, avoiding competitive bidding and reducing market exposure.
