1/40A Bayswater Road, Rushcutters Bay NSW 2011

Ground floor studio in Rushcutters Bay | Eaton building c.1930 | 25sqm on 158sqm lot | strong rental demand in 75% renter block This unit occupies a rare ground floor position in a sought-after 1930s building, which gives it a distinct edge over typical studio apartments in the area. The 25sqm internal area is compact but functional, and the 158sqm lot allocation suggests potential for future strata subdivision or reconfiguration if the building ever undergoes renewal. With 75% renters in the block and 44% of the local population aged 20–39, the rental market here is structurally tight. The property suits a first home buyer wanting a foothold in an expensive suburb, or an investor seeking a low-entry point with reliable rental demand. The main risk is the heritage overlay, which limits any external changes and could complicate future development. The current asking price sits well above the estimated value range of $401,000–$409,000, so overpaying is a real concern. The 2015 sale at $360,000 and the 2025 rental at $430 per week suggest the market has not fully justified the current list price. However, the ground floor position and low maintenance costs make it a hold-and-rent proposition rather than a flip. Buyers should negotiate hard and treat this as a long-term rental hold with modest capital growth tied to the suburb’s desirability.