Billions-worth of Gold Coast properties at risk

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PHOTO: Paradise Point could lose $1.4bn worth of property to coastal risks within the next 30 years, according to a new whitepaper.

Billions-worth of Gold Coast property is severely “at risk” from rising sea levels and coastal erosion, a new whitepaper shows.

And there is a “very high risk” that it will be affected sometime within the next three decades.

Core Logic’s Coastal Risk Scores for Financial Risk Assessment report combined all types of coastal risks, including erosion, flooding and rising sea levels, to come up with an index – ranging from very high risk to no risk – for dwellings located within 1km of the coastline.

Paradise Point has the highest level of property worth within a 6.4sq km area than anywhere else is Australia which is at risk of the affects of climate change.

Paradise Point topped a national list of suburbs deemed to be at very high or high risk, with more than $1.46bn-worth of property potentially being affected by storm surges and erosion within the next 30 years.

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Much of the wealth is concentrated in the small enclave of Sovereign Islands where some of the country’s richest people reside, including politician Clive Palmer who alone owns almost a dozen properties there, including the $20m ‘Chateau de Reves’ in King Arthurs Court.

Much of the wealth is concentrated on Sovereign Islands. This home at 7-13 King Arthurs Court sold last year to Clive Palmer for $20m.

According to the report, Paradise Point property values grew 50 per cent over the five years to January, and had the highest concentration of detached houses most vulnerable.

“As a consequence of their high retail value, estimated at $1.4bn within 6.4sq km, no other suburb has such a high concentration of residential wealth subject to high coastal risk,” the report stated.

“About 20 per cent of the suburb is at high risk, equivalent to 40 per cent of the suburb’s total residential value.”

Politician Clive Palmer owns almost a dozen homes on the isle. Picture: Nigel Hallett

Runaway Bay came in sixth on the national list with $424m-worth of housing having the potential to be affected.

CoreLogic’s head of consulting and risk management Dr Pierre Wiart said the damage caused by recent weather events were a tragic but timely reminder of the devastation that extreme weather events could have on people and property.

“In the next three decades, coastal risk will crystallise, with the tangible effects of climate change already being felt in most parts of Australia,” Dr Wiart said.

“This is leading to direct physical and financial consequences.”