<html><body>
<p>Hobart houses are spending the longest time on the market - an average of 86 days - and are being discounted the most at an average of -7.5%, according to RP Data for the week ending August 25. </p>
<p>Hobart units are also spending the longest time on the market, at an average of 96 days and an average discount of -11.3%.</p>
<p>Sydney houses spend the shortest time on the market - an average of 30 days - but Darwin houses discount the least at -3.1%.</p>
<p><img height="316" width="470" src="/images/stories/2013/08/aug26rpdata/rp-data-aug-26-chart-7.gif" alt="rp-data-aug-26-chart-7"></p>
<p> </p>
<p><img height="217" width="470" src="/images/stories/2013/08/aug26rpdata/rp-data-aug-26-chart-8.gif" alt="rp-data-aug-26-chart-8"></p>
<p style="outline-style: none; outline-width: initial; outline-color: initial;">Time on market’ (TOM) is simply the average number of days between when a property is first listed for sale and the contract date.</p>
<p style="outline-style: none; outline-width: initial; outline-color: initial;">The rate of vendor discounting is the average percentage difference between the original listing price and the final selling price.</p>
<p style="outline-style: none; outline-width: initial; outline-color: initial;">The statistics are calculated across results received by rpdata over the past week and include properties transacted over the past four weeks.</p>
<p style="outline-style: none; outline-width: initial; outline-color: initial;">The data is based on private treaty sales only and records without a valid sale price have been excluded from the vendor discount analysis. The analysis also excludes results where there are less than 10 observations.</p>
</body></html>

awalsh-7Ub9EypybQ

Hobart dwellings lead the way in vendor discounting: RP Data

<html><body>
<p>Melbourne and Sydney are neck and neck for auction clearance rates for the week ending August 25, according to RP Data.</p>
<p>Both are slightly below 80% with Sydney at 79% and Melbourne at 77.5%.</p>
<p>Brisbane was the weakest performer at 38.4%.</p>
<p> </p>
<p> </p>
<p><img height="247" width="470" src="/images/stories/2013/08/aug26rpdata/rp-data-aug-26-chart-3.gif" alt="rp-data-aug-26-chart-3"></p>
<p><img height="215" width="470" src="/images/stories/2013/08/aug26rpdata/rp-data-aug-26-chart-4.gif" alt="rp-data-aug-26-chart-4"></p>
</body></html>

Melbourne and Sydney clearance rates neck and neck: RP Data

<html><body>
<p>Melbourne home prices have dropped back 0.4% for the week ending August 25, according to RP Data.</p>
<p>It's still up 0.2% for the month though.</p>
<p>Sydney dropped 0.2% for the week though it also is up 0.2% for the month.</p>
<p>Adelaide and Brisbane home prices both increased for the week, up 0.7% and 0.4% respectively.</p>
<p> </p>
<p> </p>
<p><img height="247" width="470" src="/images/stories/2013/08/aug26rpdata/rp-data-aug-26-chart-1.gif" alt="rp-data-aug-26-chart-1"></p>
<p><img height="194" width="470" src="/images/stories/2013/08/aug26rpdata/rp-data-aug-26-chart-2.gif" alt="rp-data-aug-26-chart-2"></p>
</body></html>

Melbourne and Sydney home prices drop back for the week

<html><body>
<p>Any future Labor government will legislate to preserve a 1750 kilometre rail corridor between Brisbane and Melbourne, Kevid Rudd announced today.</p>
<p>He has pledged $52 million over the next four years for the business case and market testing.</p>
<p>He says he will establish a high speed rail authority within six months to manage to the project.</p>
<p>They concede there isn't the money to buy the all the required land at the moment but it will enable a start.</p>
<p>"If you build it by 2035 you would spend less than Abbott's irresonsible paid parental leave scheme," Rudd told a press conference.</p>
<p>The high speed rail which will involve property resumptions could lead to property speculation and investment if it ever sees the light of day.</p>
<p>Tony Abbott says his first term focus will be on roads.</p>
<p>It would take just two hours and 44 minutes to travel between Sydney and Melbourne on the proposed line and then another two hours and 37 minutes to Brisbane. </p>
<p>It would cost an estimated $114 billion to build.</p>
</body></html>

Kevin Rudd pushes plans for east coast high speed rail by 2035

<html><body>
<p>Recent house price rises are not indicative of an Australia-wide price bubble, according to president of the Real Estate Institute of Australia, Peter Bushby.</p>
<p>"It's important to distinguish between a recovering housing market and an overheated market which is a precursor to a bubble," Bushby told <i>The Herald Sun</i>.</p>
<p>"Yes, some markets are performing well but this growth is not by any means Australia-wide.</p>
<p>"Hot spots like inner Sydney and Melbourne tell one type of story but try asking someone in Hobart if there's a property bubble -- they'd laugh you out of the room."</p>
<p>The comments come as those with inside access to the Reserve Bank of Australia suggest it’s <a href="/news">nervous</a> about stimulating a price bubble.</p>
<p>Last week Residex’s John Edwards said a price bubble is unlikely despite Sydney’s strong quarterly capital growth.</p>
<p>And Terry Ryder said Sydney's <a href="https://www.propertyobserver.com.au/hotspots/sydney-s-property-bubble-hysteria-is-unfounded-terry-ryder/2013081964362">property bubble hysteria is unfounded</a>.</p>
</body></html>

Market in recovery not bubble: REIA

<html><body>
<p>McCrae on the Mornington Peninsula and Ocean Grove and Torquay near the Great Ocean Road had the lowest clearance rates around Melbourne for 2013, according to REIV data.</p>
<p>They all had an auction clearance rate of just 30% for the year up until August 18.</p>
<p>It is less than half the Melbourne wide clearance rate of 70%.</p>
<p>Suburbs closer to Melbourne with the lowest clearance rates were Berwick in the outer south east, St Albans in the outer north west and Altona Meadows in the south west.</p>
<p>There were nine locations with clearance rates below 50%.</p>
<p> </p>
<table style="width: 443px;" border="0" cellspacing="0" cellpadding="0">
<colgroup>
<col width="138">
<col>
<col>
<col>
<col>
<col>
<col>
<col>
<col>
<col>
<col>
<col>
<col>
<col>
<col>
<col>
<col width="106">
<col>
<col>
<col>
<col>
<col>
<col>
<col>
<col>
<col>
<col>
<col>
<col>
<col>
<col>
<col>
<col width="99">
<col>
<col>
<col>
<col>
<col>
<col>
<col>
<col>
<col>
<col>
<col>
<col>
<col>
<col>
<col>
<col width="100">
<col>
<col>
<col>
<col>
<col>
<col>
<col>
<col>
<col>
<col>
<col>
<col>
<col>
<col>
<col>
</colgroup>
<tbody>
<tr>
<td width="138" height="20"><strong>Suburb</strong></td>
<td width="106"><strong>Total Auctioned</strong></td>
<td width="99"><strong>Sold at auction</strong></td>
<td width="100"><strong>% Clearance Rate</strong></td>
</tr>
<tr>
<td height="20">MCCRAE</td>
<td>23</td>
<td>7</td>
<td>30</td>
</tr>
<tr>
<td height="20">OCEAN GROVE</td>
<td>20</td>
<td>6</td>
<td>30</td>
</tr>
<tr>
<td height="20">TORQUAY</td>
<td>20</td>
<td>6</td>
<td>30</td>
</tr>
<tr>
<td width="138" height="20">
<div> </div>
<div>
<div> </div>
<div> </div>
<div>
<div> </div>
<div> </div>
<div> </div>
<div> </div>
<div> </div>
BERWICK</div>
</div>
</td>
<td width="106">22</td>
<td width="99">8</td>
<td width="100">36</td>
</tr>
<tr>
<td height="20">ST ALBANS</td>
<td>37</td>
<td>14</td>
<td>38</td>
</tr>
<tr>
<td height="20">ALTONA MEADOWS</td>
<td>30</td>
<td>14</td>
<td>47</td>
</tr>
<tr>
<td width="138" height="20">
<div> </div>
<div>
<div> </div>
<div> </div>
<div>
<div> </div>
<div> </div>
<div> </div>
<div> </div>
<div> </div>
FRANKSTON</div>
</div>
</td>
<td width="106">52</td>
<td width="99">25</td>
<td width="100">48</td>
</tr>
<tr>
<td height="20">SOUTHBANK</td>
<td>44</td>
<td>21</td>
<td>48</td>
</tr>
<tr>
<td height="20">MARIBYRNONG</td>
<td>86</td>
<td>42</td>
<td>49</td>
</tr>
<tr>
<td height="20">
<div> </div>
<div>
<div> </div>
<div> </div>
<div>
<div> </div>
<div> </div>
<div> </div>
<div> </div>
<div> </div>
FRANKSTON SOUTH</div>
</div>
</td>
<td>36</td>
<td>18</td>
<td>50</td>
</tr>
<tr>
<td width="138" height="20">
<div> </div>
<div>
<div> </div>
<div> </div>
<div>
<div> </div>
<div> </div>
<div> </div>
<div> </div>
<div> </div>
SEAFORD</div>
</div>
</td>
<td width="106">26</td>
<td width="99">13</td>
<td width="100">50</td>
</tr>
<tr>
<td height="20">BROADMEADOWS</td>
<td>24</td>
<td>12</td>
<td>50</td>
</tr>
<tr>
<td height="20">STRATHMORE</td>
<td>66</td>
<td>33</td>
<td>50</td>
</tr>
<tr>
<td width="138" height="20">
<div> </div>
<div>
<div> </div>
<div> </div>
<div>
<div> </div>
<div> </div>
<div> </div>
<div> </div>
<div> </div>
MORNINGTON</div>
</div>
</td>
<td width="106">39</td>
<td width="99">20</td>
<td width="100">51</td>
</tr>
<tr>
<td height="20">GREENVALE</td>
<td>37</td>
<td>19</td>
<td>51</td>
</tr>
<tr>
<td height="20">FAWKNER</td>
<td>37</td>
<td>19</td>
<td>51</td>
</tr>
<tr>
<td height="20">HADFIELD</td>
<td>29</td>
<td>15</td>
<td>52</td>
</tr>
<tr>
<td width="138" height="20">
<div> </div>
<div>
<div> </div>
<div> </div>
<div>
<div> </div>
<div> </div>
<div> </div>
<div> </div>
<div> </div>
WARRAGUL</div>
</div>
</td>
<td width="106">26</td>
<td width="99">14</td>
<td width="100">54</td>
</tr>
<tr>
<td width="138" height="20">
<div> </div>
<div>
<div> </div>
<div> </div>
<div>
<div> </div>
<div> </div>
<div> </div>
<div> </div>
<div> </div>
EDITHVALE</div>
</div>
</td>
<td width="106">28</td>
<td width="99">15</td>
<td width="100">54</td>
</tr>
<tr>
<td height="20">MELBOURNE</td>
<td>142</td>
<td>76</td>
<td>54</td>
</tr>
<tr>
<td height="20">PASCOE VALE</td>
<td>112</td>
<td>60</td>
<td>54</td>
</tr>
<tr>
<td height="20">SOUTH KINGSVILLE</td>
<td>22</td>
<td>12</td>
<td>55</td>
</tr>
<tr>
<td height="20">MOOROOLBARK</td>
<td>20</td>
<td>11</td>
<td>55</td>
</tr>
<tr>
<td height="20">SOUTH MORANG</td>
<td>44</td>
<td>24</td>
<td>55</td>
</tr>
<tr>
<td height="20">ALTONA NORTH</td>
<td>45</td>
<td>25</td>
<td>56</td>
</tr>
</tbody>
</table>
<p>Source REIV</p>
</body></html>

Berwick, St Albans and Altona Meadows have lowest clearance rates in Melbourne: REIV

<html><body>
<p>Granny-flats have renewed interest given recent law changes in WA, but are they really a good idea for investors?</p>
<p>Here are the top four reasons for and against granny-flats:</p>
<p><b>For</b></p>
<p><b>Increase your property’s rental</b> – adding a granny-flat can add a significant amount of rental income onto an investment property. It means you’ll get two income streams from a single lot.</p>
<p><b>Turn a negatively geared property into a positively geared property</b> – This extra income can turn a negatively geared property into a positively geared one. It may mean you can stop claiming deductions but at least you’re earning some cash.</p>
<p><b>Many tenants prefer them to apartments – </b>granny-flats allow tenants access to a back-yard, which means they’re often pet friendly and utilities are often included in the rent due to the complications of separate metering.</p>
<p><b>Always have an income from the property </b>– If one tenant vacates then you’ll always have the other to see you through the vacant period. It’s not a lot of money but it keeps the cashflow going.</p>
<p> </p>
<p><b>Against</b></p>
<p><b>Reduced rent on the main house </b>– Tenants will demand a lower rent on the main house if they are forced to live with other tenants in their back yard.</p>
<p><b>Longer vacancy periods – </b>Even with a reduced rent there is often a longer wait on finding tenants on a house with a granny-flat. Many people simple won’t do it due to concerns about neighbour disputes and loss of privacy.</p>
<p><b>It may not add value to the house – </b>granny-flats can cost a lot to build – maybe in the vicinity of $100,000 but they don’t add that much to the house, if at all. Land and houses increase in value, but granny-flats don’t. And they’re not even that special any more in some suburbs, especially across Sydney that have had a surge in granny-flat activity. When it comes to resales granny-flats might reduce your buying interest to investors, with own occupiers taking their interest elsewhere.</p>
<p><b>They’re ugly – </b>They’re not very pretty things to look at. There’s no getting round the fact that granny-flats detract from the outlook of the property, which could diminish it’s value.</p>
</body></html>

The four pros and four cons of building a granny-flat

<html><body>
<p>The self-managed super fund “sharks are circling”, according to Tom Garcia, chief executive of the Australian Institute of Superannuation Trustees.</p>
<p>Get rich quick schemes from unregulated property spruikers, as well as the ability to borrow in SMSFs was creating a dangerous situation which could lead to a failure in the financial sector, Garcia told <i>The Weekend Australian.</i></p>
<p>"Someone's probably working on it now,” he said.</p>
<p>The $500 billion SMSF sector now represents one third of the superannuation industry in Australia but Garcia says many of those investors simply don’t understand the risk they are getting into and fail to diversify.</p>
<p>"Most people don't know their ability to cope with risk until they experience an adverse outcome, by which time it may be too late,” he said.</p>
<p>"It is not well understood that an SMSF trustee has a fiduciary duty to act in their own best interests to provide for their retirement.</p>
<p>"By law, SMSFs are required to have a documented investment strategy.</p>
<p>"While it is up to trustees to determine this strategy, it's generally agreed that a diversified investment portfolio will provide the best outcome, both in terms of risk and return. We would caution against an SMSF being invested in a single asset class such as domestic property.</p>
<p>"SMSF trustees need to be aware that in pension phase there is a legislated level on income that must be drawn down that increases as they age.</p>
<p>"A risk of being heavily weighted into a single, relatively illiquid asset like domestic property is a possible forced sale due to pension income requirements which could produce a lower capital return on the investment.</p>
<p>He says the dangers of SMSF schemes mean many investors will be stung and will have to rely heavily on the pension scheme.</p>
<p>"While we don't represent SMSFs, we recognise they have a legitimate role to play in our super system and it would be a problem for all taxpayers if SMSFs were to fail through bad investment advice, resulting in disappointed super investors having greater reliance on the age pension," he  said.</p>
<p>"If that happened, more retirees will be dependent on the age pension and more people will lose confidence in the system, as we saw with the collapse of Storm Financial and Westpoint.”</p>
</body></html>

SMSF sharks are circling property investors: AIST

<html><body>
<p>Economic commentator David Bassanese says the Reserve Bank of Australia policies will likely push up property prices, possibly into a "mini-bubble" but not into any sort of major boom. </p>
<p>“Although the RBA naturally does not want to see a speculative bubble develop, it probably concedes that further nearer-term house price gains will help the economy’s transition – by improving household wealth and consumer spending propensity and making it more profitable for developers to build new homes,” Bassanese wrote in the <i>Australian Financial Review</i>.</p>
<p>“That said, further strong house price gains are not assured. Unlike in 2009-10, for example, one major headwind in the coming year should be higher unemployment. After all, the key reason interest rates are so low is because the economy is growing at a below-trend pace, and even the Rudd government recently conceded in its pre-election economic statement that the unemployment rate was likely to rise from 5.7% to 6.25% by June 2014.</p>
<p>Bassanese says the property market is strengthening with clearance rates up in Sydney and Melbourne up as well as increased lending to investors.</p>
<p>He says despite recent house price gains the trend will continue, driven by cheap home loans.</p>
<p>“Despite concerns about high Australian house prices, it may surprise some to know that the share of household disposable income required to meet monthly mortgage repayments on an average-priced Australian home is lower than its 20-year average,” he wrote.</p>
<p>“That’s because interest rates are very low and house prices – at least over the past decade – have only broadly matched growth in household income.”</p>
<p>He says recent RBA statements suggest a leaning towards another rate cut which presents the risk of a mini bubble.</p>
<p>“There’s a modest risk that a mini-bubble in house prices could reappear if the RBA keeps interest rates low enough for long enough to support the economy.”</p>
<p>“With mining investment turning down and prospects for non-mining business investment – such as office construction – still quite subdued, the RBA is counting on a decent upturn in the housing sector to keep the economy afloat over the next year or so.”</p>
<p>But he says if house prices do rise it’s more in the nature of a cyclical trend rather than any sort of boom.</p>
<p>“Doomsayers will warn of a property bust as and when prices edge lower, and spruikers will talk of a new boom whenever prices rise. But the reality is that house prices are likely to continue to move broadly in line with household income (that is, 3 to 4 per cent a year), albeit with modest cycles around this trend in line with cyclical shifts in interest rates and unemployment.”</p>
</body></html>

Modest risk of mini-bubble in house prices, but gains likely to be in line with household income: David Bassanese

<html><body>
<p>A heritage listed freestanding building in Melbourne’s Chinatown has sold after auction for $2.7 million, according to industry sources.</p>
<p>The last freestanding commercial building like this to come to auction in Chinatown was in 2003. This latest auction attracted 120 people and six bidders – four Chinese, one Malaysian and one local. The local ended up buying the property but has not disclosed their intentions.</p>
<p>It passed in at $2.35 million.</p>
<p>“We’re starting to see non property people consider the purchase of commercial investments in the CBD as a genuine alternative to cash deposits, the volatile share market and straight residential investment, which is driving competition for assets when they come to the market,” CBRE agent Josh Rutman says.</p>
<p>The building, at <a href="https://www.realestate.com.au/property-warehouse-vic-melbourne-114263463">11 Heffernan Lane</a> (pictured above) was built in 1891 for solicitor M Mornane as a four level brick warehouse.</p>
<p><img style="display: block; margin-left: auto; margin-right: auto;" alt="chinatown_aug_28" height="600" width="386" src="/images/stories/2013/08/chinatown_aug_28.jpg"></p>
<p>It was then occupied by the Wing Ching café in 1892 run by Ah Gee.</p>
<p>Between 1900 and 1915 it was occupied by Quon Che On Café and then Chung Wah Café – which at one point was the only remaining Chinese café in the street. According to historian Weston Bate, it “helped to wean Melburnians from European cuisine”.</p>
<p>The upper floors were used as warehouse space and the still visible gantry beam was used for hoisting goods up.</p>
<p>The building was damaged by a fire in 2010 but has been fully refurbished.</p>
<p>In October 2012 it was taken to market with an asking price of $3.3 million, though it was marketed directly by the owner in a different campaign.</p>
<p>It’s next door to the New Kum Den café.</p>
<p>The lane was named in 1857 after Rolly Heffernan, owner of the Melbourne Hotel in Lonsdale Street.</p>
<p>It was home to several Chinese restaurants in the early 1900s.</p>
<p>The building has an existing liquor license and a potential income of $200,000 per annum.</p>
<p>The fully restored building was marketed to suit retail, commercial and residential uses. It is on a 113 square metre lot.</p>
<p>It was sold by Josh Rutman from CBRE.</p>
</body></html>

Melbourne Chinatown building sells for $2.7 million

<p>For most new apartment buildings, the Owners Corporation starts life with little more than a bank account and the first quarterly strata levies.</p>

<p>At <a href="https://www.apartments.com.au/buildings/9-gay-street-castle-hill-9-gay-street-castle-hill-nsw-2154">9 Gay Street</a> in <a href="https://www.apartments.com.au/developments/castle-hill-nsw-2154">Castle Hill</a>, it starts with around $7 million in reserve.</p>

<p>It's an unusual legacy of what was once one of Sydney's highest-profile apartment remediation projects. When the development, originally known as Skyview and built by disgraced developer Top Place, came under scrutiny by then NSW Building Commissioner David Chandler, an $11 million remediation bond was negotiated to ensure any building defects could be fully rectified.</p>

<p>The building underwent an 18-month remediation program, during which around $4 million of that bond was spent bringing the building up to the standard it should have been in from the outset.</p>

<p>After extensive inspections, all active rectification orders have been lifted. What's more, around $7.2 million remains secured for the Owners Corporation for the next 15 years.</p>

<p>In a twist few would have predicted, what began as a significant concern for purchasers has left the building with something almost unheard of in the apartment market: a multi-million-dollar financial reserve from day one.</p>

<p>[smartcode_project:default project_id=147685 project_image_fid=359136]</p>

<p><a href="https://www.apartments.com.au/project-marketer/equitifund-group">Equitifund</a> Executive Chairman Greg Huxley said the structure offers buyers a level of certainty that is difficult to replicate.</p>

<p>"The $11 million bond established for the Skyview Castle Hill development represents exceptional value, providing genuine financial security for purchasers," Huxley said.</p>

<p>"Unlike a standard insurance policy, this bond consists of real funds held in trust for the Owners Corporation, offering a tangible layer of protection and added peace of mind."</p>

<p>The apartments themselves have been designed with a focus on practical, contemporary living. Interiors feature Smeg appliances, stone benchtops, tiled living areas, carpeted bedrooms, 2.7-metre ceilings, floor-to-ceiling glazing, and ducted heating and cooling throughout.</p>

<p>Residents also have access to a range of shared amenities, including two rooftop barbecue areas, a swimming pool, children's playgrounds, secure building access, storage cages, and visitor parking.</p>

<p>The location continues to be one of the project's strongest drawcards. Castle Hill Metro Station sits virtually on the doorstep, providing direct connections across Sydney's expanding Metro network, while Castle Towers offers extensive retail, dining, entertainment, and service amenities within walking distance.</p>

<p>[smartcode_project:default project_id=147685 project_image_fid=359127]</p>

<p>The building, now named after its location at 9 Gay Street, comprises a diverse mix of one-, two-, and three-bedroom apartments starting from just under $600,000.</p>

<p>Equitifund National Sales Director Ben Hamblett said demand in the Hills District continues to be driven by buyers seeking convenience and connectivity.</p>

<p>"Interest from both owner-occupiers and investors in Castle Hill remains exceptionally strong, with buyers consistently prioritising developments in close proximity to the Metro station and Castle Towers Shopping Centre," Hamblett said.</p>

<p>"There is a clear trend in the market, with purchasers seeking convenient access to transport and lifestyle amenities that support a seamless, low-maintenance way of living."</p>

<p>On top of the long-term protection afforded by the remaining $7.2 million bond, Equitifund is offering a limited-time stamp duty rebate on selected apartments.</p>

<p>Eligible purchasers can also secure finance options, including a 3.99 per cent two-year variable rate, loan-to-value ratios of up to 90 per cent, and interest-only lending options through EquitiCredit.</p>

<p>[smartcode_project_cta:default project_id=147685]</p>


Joel Robinson

Why this Castle Hill apartment building starts with a $7 million advantage

<p>For much of the past few years, conversations about Australia's property market have centred on the rapid growth seen in Sydney, Brisbane, Gold Coast, and Perth. <a href="https://www.apartments.com.au/developments/melbourne-vic-3004">Melbourne</a> has followed a different trajectory.</p>

<p>That relative underperformance is now encouraging some buyers to reassess the city, particularly those willing to look beyond short-term market movements and focus on quality property in established locations, along with the long-term growth prospects of a city expected to overtake Sydney as Australia’s most populous.</p>

<p>John Bekiaris, Research &amp; Market Insights at <a href="https://www.apartments.com.au/project-marketer/equitifund-group">Projects by Equitifund</a>, said Melbourne's current position is attracting increasingly sophisticated purchasers.</p>

<p>"Melbourne continues to present one of Australia's strongest long-term investment stories," Bekiaris says.</p>

<p>"While other capital cities have experienced stronger recent growth, that relative underperformance is exactly what's attracting sophisticated counter-cyclical investors."</p>

<p>[smartcode_project:default project_id=1979 project_image_fid=363268]</p>

<p>Equitifund isn't just commenting on Melbourne's property market, it's investing in it.</p>

<p>The Sydney-headquartered capital partner has taken over the remaining apartments at <a href="https://www.apartments.com.au/buildings/victoriana-melbourne-20-queens-road-melbourne-vic-3004">Victoriana</a>, the recently completed glass-encased development opposite Albert Park Lake in Melbourne's tightly held St Kilda Road precinct.</p>

<p>Designed by <a href="https://www.apartments.com.au/architects/rothelowman">Rothelowman</a> and built by <a href="https://www.apartments.com.au/builders/hickory">Hickory</a>, Victoriana places residents between one of Melbourne's most recognised parklands and the CBD, offering oversized two and three-bedroom apartments aimed at owner-occupiers seeking a genuine alternative to a traditional family home.</p>

<p>The development comprises 232 completed residences alongside a suite of resident amenities, including a 25-metre indoor swimming pool, gymnasium, landscaped entertaining areas, resident lounges, EV charging, secure basement parking and a concierge-style arrival experience.</p>

<p>[smartcode_project:default project_id=1979 project_image_fid=363229]</p>

<p>The apartments have been designed with owner-occupiers firmly in mind.&nbsp;Open-plan living and dining areas flow onto generous balconies framing views across Albert Park Lake, Fawkner Park, the Royal Botanic Gardens and the Melbourne skyline.</p>

<p>Kitchens feature Gaggenau appliances, stone benchtops and generous preparation space. Bedrooms include built-in robes, while bathrooms feature full-height textured tiling. Hardwood flooring and ducted air conditioning complete residences designed for long-term living.</p>

<p>Rothelowman's architecture takes its cues from the landscape opposite the site. Sweeping horizontal glazing references the movement of Albert Park Lake, while generous balconies and expansive glazing strengthen the connection between the apartments and the surrounding parklands. The result is a building designed to deliver the scale and amenity expected of luxury apartment living, while offering the larger floorplans increasingly sought by owner-occupiers.</p>

<p>[smartcode_project:default project_id=1979 project_image_fid=363284]</p>

<p>The location is one of Victoriana's defining characteristics. Positioned on Queens Road, residents are directly opposite Albert Park Lake and within easy reach of Fawkner Park, the Royal Botanic Gardens, South Melbourne, St Kilda Road and the CBD. With few comparable development opportunities remaining in the precinct, buyers are increasingly placing value on outlooks that are unlikely to be interrupted by future construction.</p>

<p>Greg Huxley, Founder of Equitifund, believes those qualities become even more valuable over time.</p>

<p>"Premium real estate has always rewarded buyers who take a long-term view," Huxley said.</p>

<p>"Victoriana represents the kind of asset that's increasingly difficult to recreate today, particularly in an established location like Queens Road."</p>

<p>He said rising construction costs are also changing the way buyers assess completed developments.</p>

<p>"When you combine an irreplaceable location with thoughtful architecture and premium finishes, you create something that becomes increasingly difficult to reproduce as construction costs continue to rise."</p>

<p>[smartcode_project:default project_id=1979 project_image_fid=363228]</p>

<p>According to National Sales Director Ben Hamblett, enquiry has been driven largely by Melbourne downsizers and buyers upgrading from smaller apartments.</p>

<p>"Interest in Victoriana continues to build, with strong buyer focus on the larger owner-occupier residences within the development," Hamblett says.</p>

<p>"Enquiry is increasingly driven by local buyers who recognise the rarity of what's on offer: park-facing apartments in an established neighbourhood where new development opportunities are becoming increasingly scarce. At Victoriana, the view is not just a feature; it's an appreciating asset in its own right."</p>

<p>He said interstate enquiry has also strengthened as buyers reassess Melbourne's position within the national property cycle.</p>

<p>"Melbourne currently stands as the most compelling entry point of any major Australian capital, and discerning buyers are beginning to recognise what those who move early always understand: the best opportunities are taken before the price rise confirms them."</p>

<p>[smartcode_project_cta:default project_id=1979]</p>


Why now is the time to buy in Melbourne's premium apartment market

<p>Developers and apartment buyers have a narrowing window of opportunity before Brisbane's Olympic infrastructure pipeline begins competing directly with residential construction, pushing up costs, tightening labour supply and making new projects increasingly difficult to deliver.</p>

<p>While Brisbane's apartment market continues to benefit from strong population growth and limited housing supply, industry research suggests the years leading up to 2027 could prove to be the most important period for developers looking to secure builders and buyers hoping to purchase before the next wave of price increases.</p>

<p>A new Colliers report, <em>Brisbane 2032 Olympic and Paralympic Games: Creating Solutions</em>, highlights the scale of the challenge. While thousands of new homes are planned across South East Queensland, the Brisbane Olympic Athletes Village alone will deliver more than 10,500 beds during the Games before being converted into around 1,750 to 2,000 apartments. Equivalent to almost two years of typical inner-city apartment supply, the project will also absorb a significant share of the construction workforce and building materials.</p>

<p>The broader construction pipeline paints an even clearer picture.</p>

<p>Construction Skills Queensland's <em>Horizon 2032</em> report forecasts Queensland's annual construction pipeline will average $69 billion over the coming years before peaking at $75 billion in 2027-28. Demand for construction workers is expected to increase by 17 per cent to almost 150,000 people, with the industry facing an annual shortfall of around 19,000 workers that could blow out to as many as 35,000 during the peak construction period.</p>

<p>The Olympic venues, athletes village and supporting infrastructure will account for billions of dollars worth of work across South East Queensland through to 2032, creating intense competition for labour at a time when Australia's residential construction sector is already under pressure.</p>

<p>[smartcode_project:default project_id=150489 project_image_fid=373834]</p>

<p>Colliers Queensland Residential Director Andrew Scriven said the convergence of these projects is creating a clear window of opportunity for both developers and buyers.</p>

<p>"From 2027 onwards, the market will shift dramatically," Scriven said.</p>

<p>"Labour will increasingly be locked into government-led infrastructure and Olympic projects, which means private residential developments will face higher costs and tighter margins. The developers who move now are the ones most likely to get projects off the ground."</p>

<p>Scriven said the same dynamic would also affect buyers, with fewer apartment projects expected to launch once construction capacity tightens.</p>

<p>"If you're looking to change your lifestyle over the next five years, now is your window of opportunity to buy."</p>

<p>[smartcode_project:default project_id=150713 project_image_fid=373827]</p>

<p>Developers are already positioning themselves ahead of that window.</p>

<p>Following the success of Monarch at Toowong, Consolidated Properties is preparing to launch two new Brisbane apartment projects in the second half of 2026. They include <a href="https://www.apartments.com.au/new-apartments/gloriette-30-bedivere-street-yeerongpilly-qld-4105">Gloriette</a> at Yeerongpilly Green, a 25-storey tower within one of Brisbane's key Olympic precincts, and <a href="https://www.apartments.com.au/new-apartments/castile-47-skyring-terrace-newstead-qld-4006">Castile</a>, a recently approved 25-storey riverfront development at 47 Skyring Terrace in Newstead.</p>

<p>Hutchinson Builders will deliver both projects, with early works already underway at Yeerongpilly and Newstead expected to commence later this year.</p>

<p>The timing comes as Brisbane's fundamentals continue to strengthen, with strong interstate migration, population growth and vacancy rates remaining below 1.5 per cent.</p>

<p>Colliers Queensland researcher Pragya Sharma said Greater Brisbane is forecast to require around 40,000 new apartments between 2021 and 2031.</p>

<p>"There's a real mismatch emerging between when housing is needed and when it will be feasible to build," Sharma said.</p>

<p>"As a result, the period leading up to 2027 presents a key window of opportunity for developers to secure approvals, funding and construction capacity, while buyers will have greater choice before supply constraints intensify."</p>


Colliers research outlines a critical pre-2027 window to start residential projects before labour squeeze: now is the time to buy

Developers, buyers on watch in South East Queensland ahead of construction crunch: Colliers

<p>It's taken less than nine months for developer Sherpa Property Group to sell out all 51 apartments in its <a href="https://www.apartments.com.au/new-apartments/flourish-oasis-palm-beach-7-9-sixth-avenue-palm-beach-qld-4221">Flourish Oasis</a> development in <a href="https://www.apartments.com.au/developments/palm-beach-qld-4221">Palm Beach</a>, over a year before its anticipated completion.</p>

<p>&nbsp;</p>

<p>Located at 7-9 Sixth Avenue, the $67 million development has resonated strongly with both local owner-occupiers and downsizers seeking high-quality apartments within walking distance of the beach, dining precincts and everyday amenities.</p>

<p>[smartcode_project:default project_id=151449 project_image_fid=357458]</p>

<p>Christie Leet, Founder of <a href="https://www.apartments.com.au/developers/sherpa-property-group">Sherpa Group</a>, said the sell-out reflected both the strength of the Palm Beach market and the success of Sherpa's community-first approach to development.</p>

<p>"The sell-out of Oasis is a fantastic outcome and reinforces the strong demand we're seeing for thoughtfully designed apartments in lifestyle locations," Leet said.</p>

<p>"From the outset, our vision was to create a development that genuinely enhanced the Palm Beach community while providing residents with exceptional homes and wellness-focused amenities.</p>

<p>"We've been incredibly encouraged by the level of local support throughout the campaign, 72.5 per cent of buyers are locals, with a significant proportion of purchasers choosing Oasis as their future home rather than an investment."</p>

<p>[smartcode_project:default project_id=151449 project_image_fid=357463]</p>

<p>Construction is now progressing following development approval, with trusted builder LPS Group delivering the project and completion anticipated in Q3 2027.</p>

<p>Oasis forms part of Sherpa Group's successful Flourish collection, which has become recognised for its focus on wellness, community and elevated coastal living.</p>

<p>[smartcode_project:default project_id=151449 project_image_fid=357469]</p>

<p>Residents will have private access to a rooftop amenity space featuring a pool, gym, sauna, steam room, hot and cold plunge pools, spa and barbecue facilities.</p>

<p>"The success of Oasis demonstrates that buyers continue to prioritise quality, location and lifestyle," Leet said.</p>

<p>"We are proud to have delivered a project that has resonated so strongly with the market and look forward to bringing Oasis to life for our future residents."</p>

<p>Sherpa recently launched <a href="https://www.apartments.com.au/new-apartments/flourish-soleira-palm-beach-1150-1160-gold-coast-highway-palm-beach-qld-4221">Flourish Soleira</a>, its third instalment of the Flourish brand in Palm Beach following Flourish Oasis and <a href="https://www.apartments.com.au/new-apartments/amargo-6-12-sixth-avenue-palm-beach-qld-4221">Flourish Amargo</a>.</p>

<p>[smartcode_project_cta:default project_id=151449]</p>


Sherpa sells out Flourish Oasis in booming Palm Beach

<p>Urban Property Group's <a href="https://www.apartments.com.au/new-apartments/la-vera-macquarie-park-94-talavera-road-macquarie-park-nsw-2113">La Vera</a> is leading the next phase of Macquarie Park's residential evolution, with the new apartment development set to become the first of several new apartment projects in the precinct to complete.</p>

<p>The 169-apartment building has now topped out ahead of its scheduled completion in the third quarter of 2026, as new residential investment continues to reshape one of Sydney's largest employment hubs into a true mixed-use precinct.</p>

<p>[smartcode_project:default project_id=134951 project_image_fid=368645]</p>

<p>Cox Architecture has designed La Vera to capture the best of its unique positioning on Talavera Road, orienting the building towards Lane Cove National Park.&nbsp;The building features a sculpted northern façade with flowing curves inspired by the surrounding landscape, while its city-facing elevation adopts a more structured architectural expression to maximise skyline views.</p>

<p>"The vision for the project was to conceive a building that adopted an organic and curvilinear form to the northern portion that faces the Lane Cove National Park," <a href="https://www.apartments.com.au/architects/cox-architecture">Cox Architecture</a> Director Felipe Miranda said.</p>

<p>"The residents that reside in the northern portion of the building benefit by having beautifully crafted curved balconies that speak to the natural context and heighten the relationship of their internal living spaces to the external balconies."</p>

<p>[smartcode_project:default project_id=134951 project_image_fid=358802]</p>

<p>La Vera offers a diverse mix of one, two, three, and four-bedroom configurations, with prices currently starting from $740,000. Buyers so far have been a mix of Sydney-based investors,&nbsp;metro commuters, owner-occupiers and downsizers from surrounding North Shore suburbs.</p>

<p>Both investors and owner-occupiers have been drawn to La Vera's proximity to Macquarie University, Macquarie University Hospital, Macquarie Centre and the Sydney Metro, infrastructure that supports both strong rental demand and a convenient lifestyle for residents.</p>

<p>The apartments feature full-height glazing, timber flooring throughout living areas, stone kitchen benchtops, SMEG appliances, floor-to-ceiling bathroom tiling and ducted air conditioning.</p>

<p>Residents will have access to a rooftop recreation level featuring a swimming pool, sauna, barbecue facilities and landscaped relaxation areas, complemented by additional communal space at ground level. Many apartments enjoy uninterrupted views across Lane Cove National Park, reinforcing the project's connection to its natural setting.</p>

<p>[smartcode_project:default project_id=134951 project_image_fid=364551]</p>

<p><a href="https://www.apartments.com.au/developers/urban-property-group">Urban Property Group</a>, a family-owned developer and builder with nearly four decades of experience, holds a 4.5-star iCIRT rating and was Australia's first developer to introduce 10-Year Latent Defects Insurance (LDI). La Vera is the first apartment development in <a href="https://www.apartments.com.au/developments/macquarie-park-nsw-2113">Macquarie Park</a> approved to offer the additional insurance protection, alongside a five-year warranty on SMEG appliances.</p>

<p>Urban Property Group CEO Patrick Elias said the additional protection reflects changing buyer expectations in the off the plan market.</p>

<p>"Consumers are a lot more weary and a lot more concerned in buying off the plan than they ever have been. Having LDI is a tool to portray the confidence that we have in our product, and a confidence we want buyers to share," Elias said.</p>

<p>Following completion of the building later this year, buyers will move into their apartments well before Christmas.</p>

<p>[smartcode_project_cta:default project_id=134951]</p>


Alistair Walsh

Editor's Picks

Have something to contribute?

Developments

New apartments

New townhouses

News