A real estate agent says there's a need for more student apartments to be built to cope with demand around universities in Auckland's CBD.
Two tiny apartments, just eight square metres each, in Mount Street in the heart of university precinct, have sold for $45,000 and $47,000.
City Sales managing director Martin Dunn says the apartments will be rented out for around $160 to $180 a week each.
"We feel that those rents will soon be $200 a week easily, and that sort of rental pressure is pushing values in the apartment market quite aggressively."
Mr Dunn says the buyers will be getting around 15 percent return, compared to about three and a half percent if they kept the money in the bank.
Photo: NZ Herald