The next big thing in property presents sun, sand - and investment opportunities
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The next big thing in property presents sun, sand – and investment opportunities

Why everyone is going bananas for this north coast holiday destination

By Kirsten Craze
Thu, Mar 16, 2023 8:30amGrey Clock 4 min

F or anyone who has experienced family road trips along the Pacific Highway, The Big Banana at Coffs Harbour is a memorable landmark. When Australia’s first “big thing” was built almost 50 years ago, it literally represented the fruits of the labour for a parochial town sitting halfway between Sydney and Brisbane.

But what a difference half a century makes. 

Soon that local icon, now a family amusement park, will be bypassed with a 14km $2.2 billion highway upgrade, transforming the coastal city into a destination ripe for the picking.

For most visitors, the Big Banana is a a must-see attraction when in Coffs Harbour

Going bananas 

The 2021 Census named health care and social assistance as the leading employer in Coffs Harbour followed by retail, education, plus accommodation and food services. These in-demand employment sectors, as well as a significant amount of infrastructure already in the pipeline, continue to attract newcomers to the area.

For more stories like these, order your copy of the autumn edition of Kanebridge Quarterly magazine here.

Coffs Harbour recently welcomed a $194 million expansion to the local hospital and continues to introduce more carriers to the airport with daily direct flights to Sydney and Melbourne. It has a growing tertiary education campus with TAFE and University of Southern Cross courses, and an international sports stadium that hosts star-studded events.

Culture is also high on the agenda. In June 2022 Hollywood heavyweight Russell Crowe, who owns a farm in nearby Nana Glen, announced his intention to back a $438 million world-class film studio for Coffs Harbour.

Mountains meet the sea

The Coffs Coast is on the land of the Gumbaynggirr people and encompasses a collection of suburbs and townships including Nambucca, Urunga, Bellingen, Sawtell, Coramba, Moonee Beach, Sapphire Beach and Woolgoolga.

Often described as the place “where the mountains meet the sea” the sub tropical region, which is home to 78,759 people (and forecast to hit 100,000 by 2041 according to council estimates), is the meeting point of the Great Dividing Range and the Pacific Ocean. Due to its unique topography, Coffs ticks plenty of coastal boxes, but also offers leafy acreages and hinterland estates with ocean views. However, it’s this landscape which presents challenges for residential development and the supply of new housing.

Slow and steady

Homebuyer demand and prices in greater Coffs Harbour skyrocketed in 2021 but spent much of 2022 slowly declining as interest rates climbed. However, limited supply is likely to prevent significant price falls. 

“Based on the current peak in the cash rate expected for early 2023 and a lagged response in the property market, we could see a floor in price falls across Northern NSW lifestyle markets in the second half of this year,” says Eliza Owen, head of residential research Australia at CoreLogic.

According to CoreLogic the median house price in Coffs Harbour is $815,000, although there are some coveted suburbs such as Sapphire Beach to the north with a median of $1.39 million. 

“Values [in the Coffs Harbour region] have fallen a relatively mild -5.0 percent from a peak in August,” she says. This follows an upswing of 56.3 percent, so overall values are still up 47.9 percent. While COVID no doubt unlocked some value in Coffs Harbour that couldn’t be realised before remote work was so normalised, there are some headwinds for the purchasing market.”

New kids on the block

A pipeline of investment in Coffs Harbour caught the eye of residential developer Third.i. Late last year the group launched Sable at the Jetty, a medium-density development of 35 apartments.

“Part of the reason we wanted to target Coffs was because we believe there’s an undersupply of the style of apartments we create; a luxury lifestyle, or a larger downsizer product,” says Third.i director of sales marketing, Luke Berry.

“Coffs Harbour ticks so many boxes. I used to holiday there as a kid and I love the region. It’s only going to become more desirable as workers continue to turn to remote working and the ageing population seeks out appropriate areas to retire to. 

“Coffs is high on the list for anyone looking at a strategic investment or secure retirement,” he says.

Martin Wells, principal of McGrath Real Estate Coffs Harbour, says demand in the area has picked up significantly since the start of the year

Martin Wells, principal of McGrath Real Estate Coffs Harbour, says despite a slow finish to 2022, the forces of supply and demand kickstarted 2023.

“By mid January we noticed our online buyer inquiries had doubled compared with those softer episodes of last year,” Wells says. 

“The supply shortage is still the dominant driver of prices holding and I’d expect they’ll continue to climb again throughout 2023.” 

Top end prices, locally considered to be above the $1.5 million dollar mark, have “corrected”. However, Wells suggests the trough could have already passed. 

“We’re probably seeing about 5 to 10 percent off the price of top end properties,” he says. “But I think that’s probably the last of it because demand is coming back into that price point.

“Traditionally, around 30 percent of our inquiry might’ve been from Melbourne or Sydney purchasers, now it’s probably closer to 50 per cent. 

“So there’s still a large amount of money around.”

David Malvern, regional manager at McDonald Jones Homes says the limited land available meant any price decreases were unlikely to linger.

“If there was a larger supply I’ve no doubt new home sales would increase significantly,” he says.

“Either customers can’t find land, or when they do, often the topography is really not ideal for an affordable home. 

“They might find themselves having to spend $100,000 on earthworks just to get a block ready.”

He says while the supply of land  is the greatest challenge for buyers in the area today, it ultimately translates to a positive for anyone holding property for the long haul.

“You’ve got such a high demand for housing and a limited supply that if you’re an investor, or looking to move into Coffs Harbour, you’re going to benefit,” Malvern says. “I simply can’t see the market producing the amount of land and housing that’s actually needed to meet demand.”



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‘Look Them in the Eye.’ As Maui Rebuilds, Returning Tourists Need to Be Mindful of the Trauma, Says Cultural Advisor.
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There’s an opportunity for education as tourists return to Maui while it rebuilds from last summer’s devastating wildfire, says Kalikolehua Storer, a Lahaina resident and the area cultural and training advisor for Hyatt’s Maui resorts.

Designated a National Historic Landmark in 1962, the Lahaina Historic District—once a lush Hawaiian capital and retreat for Hawaiian monarchs—is beloved by residents, explored by tourists, and has a deep-rooted heritage. Storer was working on the opposite side of the island when the blaze started last August. She scrambled to connect with family and friends. And like so many others, she grappled with the utter chaos that rapidly destroyed her hometown.

Storer’s home was spared, but the fire ultimately claimed 115 lives and destroyed or damaged more than 2,300 structures, including culturally significant sites like the Na ‘Aikane o Maui Cultural and Research Center, which housed invaluable Hawaiian artefacts (books signed by kings, genealogy, maps, and more).

Kalikolehua Storer, a Lahaina resident and the area cultural and training advisor for Hyatt’s Maui resorts
Courtesy of Hyatt

Historically, Lahaina thrived from mauka to makai (mountain to ocean), with waterways nourishing native ecosystems and communities. However, years of water redirection and climate-related drought set the stage for such a disaster, and according to Storer, the fire underscored the erosion of Hawaiian control over land and natural resources, spotlighting issues like land degradation, water misappropriation, and tourism’s stronghold on Maui.

Tourism makes up a substantial part of Maui’s GDP. The wildfire led to a 51.4% drop in visitor arrivals between August and October 2023 compared to 2022, triggering a sharp 87.1% rise in unemployment, according to government statistics.

The sector’s dominance highlights the need for a more balanced and sustainable model. Moreover, the fire’s impact on tourism underscores the urgency to diversify Hawaii’s economy for greater growth and resilience. Lahaina’s water management issues, such as the historical diversion for sugar cane cultivation, have drastically altered local ecosystems.

With only 23% of water allocated for public use and the majority consumed by the private sector (resorts, golf courses, and some agriculture, for instance), the ecological imbalance has had severe consequences for indigenous environments. Storer said she believes the aftermath of the fires and the strain on Maui’s tourism highlight the interconnectedness of ecological health and economic stability.

In response to the crisis, Maui Mayor Richard Bissen formed a five-member advisory team to lead the recovery efforts, with Storer as a key participant. Storer also sits at the table of Maui’s Office of Recovery Natural and Cultural Resources, which helps to shine light on issues impacting air, water, and land. Storer collaborates with partners from federal, state, and county levels, along with Lahaina’s cultural practitioners, to facilitate Lahaina’s recovery post-wildfire.

Storer shared visions of Maui’s rebuild with  Penta , and the balance between tourism, ecology, and the road to sustainable solutions.

Penta: With such a huge road ahead, how are you embracing hope? And what is your ideal vision for Maui?

Kalikolehua Storer: I know that I can get caught up in the end result of what will or will not work, but in the moment, our community needs to be heard, and this is my part to lean into what they are sharing. People have envisioned Lahaina as a walking town with cultural sites, a cultural marketplace, and restoring Mokuʻula, the site of the private residence of King Kamehameha III from 1837-1845. It has since been buried under a baseball field.

We also need to diversify the economy. This is a big task, but with Hawaiian leaders in all sectors, I am confident that this can be accomplished. We have nowhere else to go but up, so all ideas are worth a conversation. My ideal Lahaina is to rebuild our historical sites, churches, and learning centres, and better care for the ocean, land, and air. To be better stewards, we need to educate and make it a priority. All of us, including visitors, need to know the importance. The issues we have about water and land need to be resolved.

Explain more about the land and water and how they are pivotal parts of recovery. 

The West Maui Mountains are home to the Pu’u Kukui Watershed and Mauna Kahalawai Watershed Partnership (caretakers of the mountain area directly above the impact zone), which used to flow through waterways and land divisions ( ahupua’a ) to enrich the ecosystems. However, when the sugar cane and pineapple industry arrived, that water was diverted and went straight to those farms. The water never went back to the way it was, and because of this, the indigenous ecologies have been drained. So, water needs to be returned to streams, and a greater percentage needs to be given for public use. This is a major issue and needs to be resolved. The waterways are there, but they need to be cleaned and prepared for water to flow. That has to start upland of the watershed. Looking at an aerial map of Kauaula Valley, most of the area is dry, but along the river where the Palakiko family lives is very lush. They prepared the stream area, and it came back. However, that took years because of private-sector control.

“Asking people how they are doing, looking them in the eye, and caring about them can make a huge difference,” Storer says.
Courtesy of Hyatt

Many people believe that tourism is the biggest problem. Is that true?

Right after the fire, many people encouraged tourists to stay away. And people listened. Our economy dropped because people stopped coming. Unemployment shot up, and the economy, as a whole, suffered. Our island is so dependent on tourism, and that is part of the problem. I believe we need to diversify the economy.

How can we educate tourists, and how can hotels be better stewards?

It truly is all about education and visitors engaging in cultural experiences and even conservancy programs, so that they have a better understanding of people and place when they visit. At Andaz and the other Hyatt hotels in Maui, I’ve developed very strong, culturally driven programs to engage our guests in authentic Hawaiian activities. Things like lei making, coconut weaving, hula lessons, celestial navigation, taro demonstrations, and Natural Cultural Resources programming with the Pu’u Kukui Watershed Preserve, Kipuka Olowalu, and the Ma Ka Hana Ka ‘Ike at Mahele Farms.

At Andaz, the lūʻau experience is called the Feast at Mōkapu and focuses on the journey of the Polynesian ancestors arriving on Maui and settling in the ahupua’a where the resort sits. We don’t hold back in that storytelling. We dive into history that isn’t normally spotlighted at luau, and the uncomfortable truth of settlers to Hawaii is really important. After the fires, this education became even more important, and I encourage tourists to participate in experiences like this.

Hotels play a huge role in this and can provide cultural sensitivity sessions for their guests.

How can tourists play a role in the rebuilding?

It’s important now more than ever for visitors to consider what happened, and that their waiter, housekeeper, bartender, front desk attendant, dive instructor, store clerk, literally everyone was somehow impacted by this. Asking people how they are doing, looking them in the eye, and caring about them can make a huge difference. Also, if you choose to visit Maui, there are ways to volunteer and donate. We’re not just looking at physically rebuilding here, we’re looking at emotional wellness, history, and so much more that is going to take years. So, I would say donating to Maui Strong and taking a few hours of vacation time to volunteer can greatly help.

Allocation of funds and policies that help to financially sustain our agencies that do the work in the watersheds, waterways, farmers, and ocean agencies. The work they do today is the key to this turnaround. I believe that visitor taxes should be allocated for our Natural and Cultural Resources effort.

How can tourists be a “good tourist” and still visit in a conscientious way?

Be kind without being maha’oi (being forward in asking) and asking so many questions. A nice, genuine smile and encouraging words in passing can uplift someone. Also, those who own vacation rentals. We need help from that sector. We need to take a look at the things that got us into this crisis to begin with. Unfortunately, we are having to work through policies written years ago, not ever thinking we would be in this situation.

This interview was edited for length and clarity.

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