Jonathan Phong grew up in the western suburb of Villawood, so he has seen first-hand the transformation it has undergone over the past decade.

While Villawood may be known to some for its controversial immigration detention centre, to those who live there it is synonymous with family and community; of bonds forged through renewal and a love for a neighbourhood that has evolved into a vibrant and innovative centre now in demand among buyers locally and otherwise.

“To me, I see opportunity,” said Jonathan Phong, the eldest son of parents who arrived there 50 years ago after fleeing the war in Vietnam.

“I don’t really think of the centre. I know the area as home – after all, I grew up there – and now I see it as having changed so much.

“Back when I was small, it was a pretty rough place. We lived in Housing Commission, and we got robbed four times. But now Villawood has changed completely.

“There are a lot of new developments that have come up, there’s lots more parks and retail and things to do. It’s now a really good location.”

Phong, 31, is happy to put his money where his mouth is too. As well as living in the area, although his property has now been reclassified as Fairfield East, he’s also just opened up a business there: a new 41-seat Asian fusion restaurant, Hawker Eight.

In addition, his Vietnamese-born mum has bought an apartment in a new development above his restaurant, and loves Villawood’s new identity – as well as the chance to eat regularly at her son’s eaterie and offer him tips. His Cambodian-born dad, separated from his mum, lives not far away.

“Villawood did always have a stigma to it,” Phong said. “When I said I was going to open a restaurant here, friends asked me if I was sure that would be a good thing. But I’ve seen the changes. It’s now a really good location in Sydney to be.”

The Sydney property market evidently agrees. With a flood of new apartments being built in the suburb, between Parramatta and Bankstown, developers say prices have risen sharply, up more than 18 per cent over the year, reflecting not only the changes, but also how many more people are now keen to live there.

They’ve left the prices of the older stock of houses far behind – and showing a 2.2 per cent price drop, on Domain research, to a median of $880,000.

Latest Domain figures also show rents have shot up by 8.9 per cent over the past year for apartments, to a new high of $550, which is exactly the same as rentals for a house – after a rise of 6.8 per cent on the year.

Domain chief of research and economics Dr Nicola Powell said those middle-ring suburbs are performing well during the property price upturn.

“It’s being led by the premium suburbs, but the middle ring is being pulled up at the same time,” she said. “Rents also show no sign of slowing in that middle ring.”

Among those responsible for helping renew Villawood and attract new interest – which is steadily pushing up apartment prices and rents of both apartments and houses – is developer Ahmad Diab, managing director of the ABA Group.

They have a major five-stage development as part of the rejuvenated town centre.

Work, and pre-sales, have just started on stage 3, the 58-apartment Parklane Residences, after finishing on the first two stages, 888 Villawood with 71 units, and V1 Villawood with 160.

The last two stages of the 6-12-storey complex, designed by architect Tony Owen, will have 150 and 180 units respectively.

“Villawood has a fantastic family feel these days and the shopping centre is robust and always busy,” Diab said.

“Prices, and rents, have risen in Villawood, and it’s very up and coming, but it’s still affordable, compared to most areas in Sydney.”

Diab says research has found apartment prices have risen over 18 per cent over the past year, with prices of his company’s new two-bedroom apartments averaging $620,000 in Parklane Residences.

But there are still some available in the high $500,000s, he points out. Of those in previous stages bought and rented out, there’s 100 per cent tenancy, and an average 5 per cent rental yield.

“It’s great, as often young people grew up in Villawood with their parents, and then moved out as they started work and saved money,” he said. “But now they’re coming back, or staying.

“We’ve also had people coming to buy here from outside the area, as they come and look and are shocked by how much it’s changed. It’s perfect for first-home buyers too as we’re still cheaper than many of our neighbouring suburbs.”

The NSW government has also invested $326 million in the town centre, and is building a 3000-square-metre landscaped park, and partnering with developers Traders in Purple to deliver 365 apartments of which 55 will be social housing, as well as community spaces.

Mark Saleh, director of Pace Property Agents says Villawood has changed dramatically in the past few years.

“It’s still an affordable area and that’s been attracting a lot of younger people,” he said. “We’re seeing it improve year by year.

“It has great public transport with the train station and buses and plenty of amenity, while the new developments are bringing new people into the area and helping change the landscape.”

As for Phong, he has no plans to move on from Villawood.

“It’s now a thriving community of like-minded people determined to live their best life,” he said.

“I love the area. It has such a great feeling to it. There is such a strong sense of community here. This area is rich in spirit, history, hope and determination.”

‍

Original Article: https://www.domain.com.au/news/villawood-sydney-1239598/