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Perth’s CBD office market is among the most tightly held in the nation, according to the Australian Property Council’s twice-yearly Office Market Report.
The total office vacancy rate in Perth is 7.8%, down from 10.2% in January this year and 10.6% in July last year.
In the six months from January, net take-up of Perth office space was 33,087 square metres. The city ranked as the third tightest office market, after Brisbane and Melbourne.
Office space absorption is at its highest rate since January 2006 and almost four times the 20-year average, the report says.
According to Joe Lenzo, executive director of the Australian Property Council’s WA division, the state of the Perth office market remains dependent on the resources sector.
“We can’t get away from the fact that the Perth office market hangs on resources, but what has been happening in the past 12 months is that demand is high but it is coming from third-tier professional operations that service the resources industry,” he says.
There has been expansion from accountancy businesses, legal firms and public relations outfits that are capitalising on the resources boom.
“They are picking up a lot of work and expanding which is putting pressure on the office market. Demand for space in the CBD is much higher than we expected,” Lenzo says.
The Office Market Report found that West Perth’s office market also did well as the nation’s second-strongest non-CBD region, with a vacancy rate of 5.4% in July, up marginally from 4.9% in January. East Melbourne is the tightest non-CBD office market in Australia, with a vacancy of 2.5%.
“West Perth is very popular with boutique operations such as medical services and project engineering companies,” Lenzo says.
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Resources boom underpins strong Perth CBD office market

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The City of Fremantle could become a ghost town as unhappy retailers pack their wares and leave port city.
Council bosses made a dash to Melbourne recently in a bid to convince retailing giant Myer not to close its doors when its lease comes up for renewal.
Myer has been in Fremantle for 40 years, and although it is in a four-level building, only two floors are used for trading.
In recent months a national retailers including Betts shoes, Jeanswest, Jay Jays, Millers and Rockman’s have all close their shops. Local operators like the Creative Native gallery has downsized to smaller premises. Myer closing would be a major blow to the city, which has only four anchor tenants – Myer, Coles, Woolworth and Target – in place and 800 residents living in the CBD.
Rents range from about $1200 a square metre for prime retail space on High Street Mall to about $500 a square metres about 100 metres away.
“Fremantle is heading where everybody else in retails in going. The Woolstores shopping centre is struggling and so are arcades and strips shops outside the major tourist track,” says Colliers International leasing executive Anthony Unmack.
Fremantle attracts hoards of foreign and national tourists and day-trippers from Perth. It is the most visited city in Western Australia after Perth for international travellers. It has a well-used café strip on South Street, well-patronised markets, heritage-listed prison and many fine heritage buildings that continually entice thousands of visitors.
“There is a well-worn tourist trail along High Street, Adelaide Street and the café strip up to the market, which is humming to the hilt weekend. But the foot traffic doesn’t deviate away from those areas, and retail is suffering,” Unmack says.
While Fremantle mayor Brad Pettitt lead a five-man delegation to Melbourne to negotiate a package to keep Myer in town, the council is acutely aware of declining state of its shops and commissioned a study into the retail sector resulting in the just-released Retail Model Plan 2011.
“The vacancy rate of 7% in the city centre precinct must be maintained or reduced though skilful leasing and business development strategies,” the report said.
These strategies include encouraging a better mix of retail to encourage more fashion and home wares, developing a management system that runs a fund for marketing and communications, a listing of vacant premises and a desirable tenant hit list. It will have performance measures including what increases in business have occurred and what the pedestrian counts are.
Already the council has changed planning policy to permit mixed commercial and residential projects up to eight levels high in the run-down east end of town.
Andrew Eastic, Fremantle Council’s economic, marketing and development manager, agrees that the area is in decline.
“Myer’s 40-year lease is about to expire, and we are working on keeping them here. Bett’s have left after 119 years of trading in Fremantle, and there are a lot of empty shops. We acknowledge this and commissioned the Retail Model Plan. We will implement many of the excellent recommendations in order to bring Fremantle back to being a retailing centre,” Eastic says.
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Fears for Freo retail as Myer considers skipping town

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About $2 million is being paid out every day from the $270 million flood disaster relief fund, according to the Queensland Premier’s Department, which ceased taking applications on June 30.
But despite these payouts, the Master Builders Association of Queensland believes the actual rebuilding of Queensland has amounted to very little and that southeast Queensland remains a disaster area. 
MBAQ chief executive Graham Cuthbert says his association members were suffering record liquidations and losses. 
“This is astonishing since 7,000 houses experienced total inundation during the floods and 23,000 sustained water damage,” he says. 
Of the 700 quotes the MBAQ prepared for flood-affected housing, only 20 contracts have gone ahead. 
“In Ipswich and the Lockyer Valley I have seen people living in caravans, with relatives or in damaged houses,” he says. 
Cuthbert believes that the cap of $80,000 for repairs is too low and people are doing what they can on the cheap and spending the majority of the money elsewhere. 
“The government is not insisting the grants go toward a rebuild. People must be taking a holiday with the money, because our members are not getting the work,” he says. 
In one isolated item of good news one canny Ipswich home owner was reportedly given a  $180,000 insurance payout, promptly sold the unfixed Helen Street house for $170,000 and walked away happy.</body></html>

Queenslanders not rebuilding, says Master Builders Association

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As we look to what's ahead for 2012, Property Observer is republishing some of our most noteworthy stories of 2011.
 
Ghost towns, people living in the husks of houses and mum and dad investors unable to make ends meet. This is the picture of many Queensland suburbs six months after the floods.
All indicators show that sales activity in flood-affected Queensland has ground to a halt. 
Values have plunged. Tenants are scarce on the ground. 
Economic forecaster BIS Shrapnel does not expect any improvements for another six months to a year. 
“Confidence in Queensland is totally shot and the flood-affected areas are really doing it tough,” BIS Shrapnel director Robert Mellor says. “Construction has fallen so low that it is in line with rates of 15 years ago and close to recession levels of the ’90s. It’s pretty diabolical.” 
According to Mellor, there has been no increase in housing stock and no increases in the sale of building materials. “There is very little evidence of significant rebuilding going on,” he says. 
Oddly enough, the recovery in some suburbs is led by tradies buying up wrecked houses with a view to renovate and hold them as investments, hoping the memories fade fast. 
Local Ipswich agent Peter Mendoza says prices in some streets have dropped 45%. 
“A house in Jacaranda Street, East Ipswich recently sold for $150,000. Before the floods it was listed for $265,000,” he says. 
Residential property prices in Ipswich and the Lockyer Valley have tumbled, with the marketing ads tinged with desperate terms including “urgent sale”, “make an offer” and “huge price reduction” on houses with asking prices of less than $200,000. 
REIQ chairwoman Pamela Bennett says people are holding out for as long as possible by living in what is left of their houses or in caravans, unable to afford rent, and small investors are facing impossible financial pressure. 
In North Booval, a suburb of Ipswich, houses languish untouched with nothing but the grass showing healthy growth. 
“Only people with contacts in the building industry are getting work done – others are trying the weather it out. Towns like North Booval are ghost towns, with the uninsured living in damaged buildings unable to qualify for assistance. Those houses that have been fixed cannot attract tenants because nobody wants to live somewhere so depressing,” Bennett says. 
Many houses once worth $280,000 are now not worth their mortgages, and banks will not lending for rebuilding. 
“Such a considerable sector had no flood insurance, and when they do get grants they often do not cover the cost of damage. Those properties that do sell sell for land value,” Bennett says. 
According to REIQ’s March quarter figures, the Brisbane suburbs of Moorooka, Graceville and Kenmore have all fallen by about 5%, but the number of sales in other areas is so low that recording accurate statistics is difficult. 
Even the non-flood-affected prestige area of Paddington has suffered, with median prices down by 30% to $695,000, reflecting the overall softness of the Queensland market, according to the REIQ data.</body></html>

Queensland market doing it tough six months after floods

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Perth’s CBD office market has started to simmer, with more than $533 million worth of substantial office building sales clocked this year.
Major sales last year totalled about $150 million.
Stockland has sold its 50% holding in the 52-level BankWest Tower on St Georges Terrace (pictured) for $130 million to joint owner Brookfield Prime Property Fund.
South Australia’s Motor Accident Commission has picked up the CBD’s most eco-friendly new building at 226 Adelaide Terrace for about $100 million from the First State Group.
These two sales are the most recent in a spate of buildings to change hands in Perth. Last year not a single major investment was sold.
One of the biggest deals being done in Perth this year was an option to buy 192 St Georges Terrace, which the Commonwealth Property Fund was offloading for $152 million. The fund is also selling its Mill Street property.
Other sales include 99 St Georges Terrace, which was bought by a Singaporean investment group, and 432 Murray Street also changed hands for about $30 million.
The UK-based insurance company Standard Life bought 182 St Georges Terrace for $30 million and the Perth-based investment syndicate Australasian Property Investments paid $30 million for 30 The Esplanade.
CB Richard Ellis’s Andrew Woodley-Page, who negotiated two of the deals, says most of the current sales took more than a year of marketing to secure a transaction.
“It looks like the market has gone mad, but it is pertinent to note that nearly all of these sales have taken between nine and 18 months of marketing to sell. There is a willingness to buy investment quality office buildings in Perth, but buyers remain conservative and cautious,” he says.
The only investment to sell within six weeks of marketing was 226 Adelaide Terrace.
“The fundamentals of the Perth market are very sound. Once the flow-through of the current development cycle has been taken up, we will see very tight vacancy rates in the CBD since there are no more big projects in the pipeline,” Woodley-Page says.
All of the buildings that sold are well-leased to mostly prestigious tenants, and yields range from 8.4% for both The Esplanade and 99 St Georges Terrace to 10.7% net on 197 St Georges Terrace, which was bought by Sydney’s GDI Property Group.
Several other major deals are being closed, including the a 10-level office building at 251 St Georges Terrace for more than $65 million to investors and the New Esplanade Hotel site for about $20 million. Both vendors are receivers and managers.
According to John Williams, managing director of Colliers International, the activity indicates investor confidence.
“There is a lot of confidence in the future strength of the Perth CBD market. There were no sales last year for the first time in more than a decade, and that caused pent-up demand. Owners knew the vacancy rate was tightening and rents rising, so they held out and have benefitted,” Williams says.
Another smaller sale is underway for 41 St Georges Terrace for $17.5 million and a further two similar deals are currently going through due diligence.</body></html>

After a year of few sales, Perth CBD office market heats up

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<img src="/images/stories/oceanique2-cropped.jpg">
The raging Australian dollar pushing tourists offshore, a massive oversupply of housing and a contracting wine industry have combined to create an investment desert that runs from Mandurah, 70km south of Perth, through to Esperance near the Great Australian Bight.
Valuer Michael Valetta, director CBRE Perth, says residential prices throughout the south-west are very soft and will stay that way for years.
“The low prices may attract investors to places such as Mandurah, but they will not see much capital growth for years, with this trend most evident in the higher priced oceanfront and canal properties. An oversupply of land also exists in the Dawesville and Wannanup areas, with values very subdued as a result,” Mr Valetta said.
The prestigious Oceanique luxury apartment building at Dawesville, developed by Port Bouvard, is a prime example of a troubled market. The company has settled about $60 million worth of sales, across 25 deals, in the 66-unit, two tower, award-winning project.
“We had hoped to have all of the apartments sold by early 2012 but we are averaging one sale a month,” says Port Bouvard managing director Stephen Court.
Of the 25 sales, 19 relate to presales and six are deals secured since December when the company discounted some units by 40%.
“Late last year we decided we had to be savage with price cutting to stimulate interest and it brought several sales to the table and renewed interest,” Mr Court says.
Now prices are steady at 25% off original projections set in 2007. “We started marketing Oceanique in 2007 when the market was blasting along, so we were hit hard by the GFC.”
The company is pursuing some sales made off-the-plan through the Supreme Court.
About half of the 15 pre-sales are currently in mediation as part of the judicial process while, the balance is in ’sensible negotiations’ with the developer.
“Some people were ruined by the GFC and we are not interested in that type of business but we will go all the way to settle deals that were done,” he says.
Port Bouvard originally had a facility with St George Bank for $101 million for Oceanique, which had a completion value of $167 million. By June this year the company had paid $58 million.
Despite the rocky conditions, Oceanique has secured some impressive sales, with two penthouses selling to a Perth-based mining millionaire for $7 million to be used as a weekend retreat. Two other apartments sold for more than $5 million each and only two of the 25 settlements are for less than $1 million.
The project is considered one of WA’s finest, having won the Master Builders Western Australia Excellence in Construction for 2011 – (best multi-unit development). It also received a commendation from the Royal Australian Institute of Architects WA chapter’s 2011 awards for residential architecture.
However, further south, residential prices in WA’s beautiful south-west, where such iconic names as Margaret River, Dunsborough and Eagle Bay proliferate, are believed to have hit rock bottom.
“Prices have plummeted in this region over the past few years by as much as 20 to 30% from their peak in 2007 and the GFC ended any hope on improvement,” Mr Valetta said.
CBRE’s south-west senior valuer Justin Anderson says the Margaret River to Augusta region has taken a hammering.
“Yields are just terrible in the south-west. Residential property is lucky to see 2.5% to a maximum of 3.5%. Traditionally investors in this market have looked for capital growth rather than strong yields, but growth has dropped by as much as 50% in some areas.
“Cashed up people from Perth and the eastern states bough their south-west houses as toys and when the GFC hit, the first things to be sold where the toys,“ he says, adding that houses previously valued at $4 million in Eagle Bay were listed for $2.5 million.
There is little industry in the area to support residential investment and viticulture is contracting as demand shrinks. “In the marginal wine areas such as Nanup and Bridgetown people are pulling up their wines because there are no buyers out there and the strong Aussie dollar is pulling tourists offshore,” he said.
A recent report from CBRE also points to exceptionally soft conditions in Bunbury and Busselton, with few sales made and an oversupply of improved and vacant land.
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Discounts of 40% on offer in WA's luxury coastal market

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The streets of Western Australia are often made to sound like they flow with gold, magnetite, copper, zinc and nickel. But the south-west of the state is looking like the investor’s poor cousin.
Despite being in the throes of the mining boom, the Kalgoorlie/Boulder region of WA has never pulled the double-digit returns of the Pilbara.
New REIWA figures for the March quarter 2011 show the region has a residential yield of 5.5%, which is half that of the Pilbara. Local agents attribute this to the maturity of the market and good planning.
“We have kept up with housing demand for more than 100 years. Karratha and Port Hedland are young and unrealistic. The WA government has even had to step in to help with the Pilbara Cities project,” says Allan Pendal, a partner of Kalgoorlie agent John Matthew &amp; Sons.
Investors hold about 25% of housing stock in Kalgoorlie-Boulder so owner-occupiers drive development. Expansion of the Eastern Goldfields is likely to see some growth.
“While we have no surplus of housing, the yields are kept realistic because we keep up with demand. The rental vacancy is about 1% but the turnover is high at between 2 and 3%,” he says.
Valuer Michael Valetta, director of CBRE Perth, says residential prices throughout the region are very soft and will stay that way for years. He says the mining boom is not always the dominant player.
“In 2009 Ravensthorpe and Hopetoun were hit hard by BHP Billiton’s decision to close the nickel mine. People just didn’t need to live there anymore,” Mr Valetta says.
Canadian resources outfit First Quantum Minerals has now bought the mine, in a move that has already changed the face of the region.
“We have experienced a small revival with the mine reopening,” says local agent Terri Pens of Elders Real Estate Hopetoun.
“While 2009 was a tough year, things are certainly improving. My 150-property rent roll has no vacancies,” Mrs Pens says.
The estate agent expects a housing shortage as Tectonic ramps up its Phillips River project, while Galaxy has opened a lithium mine in Ravensthorpe.
In 2009 Mrs Pens sold 18 houses for BHP for between $375,000 and $395,000. She has just listed a property for resale and expects it to go for $500,000.
But despite this activity, yields remains below 5% for top-of-the-range houses associated with the mines.
In the parallel world of non-mining property, RP Data has the median house price for Ravensthorpe for June 2011 at just $140,000 – down 47.9 per cent on last year – but at least people are returning to the town and the school is full.
Further south, on the southern tip of the state, Albany, with its low rental yield of just a tad over 4%, is not expecting any such benefits should the proposed $1.95 billion Southdown magnetite mine go ahead. Such an operation, which would pump the mineral as slurry 90km from the Wallstead deposit to Albany, will produce about 600 jobs.
“We will employ locally where we can and those that we employ from further afield will be expected to live locally. The numbers will not be huge,” says a Grange spokesperson.
REIWA WA March quarter 2011 residential rental yeilds: houses  
 
Region / Median / Rent per week / Gross yield
Albany Urban Area $383,360 $300 4.1%
Augusta/Margaret River $437,500 $320 3.8%
Broome Urban Area $607,500 $665 5.7%
Bunbury Urban Area $365,000 $330 4.7%
Busselton $415,000 $310 3.9%
Esperance $350,000 $290 4.3%
Geraldton/Greenough $400,000 $320 4.2%
Kalgoorlie/Boulder $330,000 $350 5.5%
Karratha Urban Area $795,000 $1,600 10.5%
Mandurah/Murray $391,500 $320 4.3%
Northam $287,000 $310 5.6%
Port Hedland Urban Area $751,750 $1,600 11.1%
 
Source: Landgate/reiwa.com ©
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South-west WA loses out in mining boom

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Half a decade has passed since headlines screamed about the property crisis in the Pilbara: rent a fully furnished container for $1,000 a week. Many said it could not last but Karratha, Port Hedland, Newman and Dampier are at boiling point.
Rental investments in the Pilbara have consistently brought in double-digit yields and there is little evidence to suggest a slow-down.
This week Morgan Crawford of Crawford Realty listed a house for sale in South Hedland for $799,000. The 30-year-old fibro bungalow is rented to a mining company for $93,800 a year – reflecting a yield of 11.9%.
According to Simon Lane, managing director of Australian Valuation Service, Port Hedland is unlikely to cool off anytime soon.
“The mining companies are capable of paying high rents and to bring builders in to create new stock, they have to compete with BHP and other big players renting,” he said.
“Houses are expensive to build because we are in cyclone area and they require very specific standards of construction. Then there is the issue of identifying suitable land that can handle the mass of water that is dumped by a cyclone.”
These combine to create one of the tightest rental markets in the nation.
“All of these issues have created this extraordinary market. The WA government, through LandCorp, has found about 6,000 lots for housing here on high ground but this is not a fraction of what is required if the town is to have a population, as projected by the government, of 58,000,” Lane said.
“I don’t have a crystal ball but it looks like undersupply is with us for another five to 10 years.
Towns are known for their largest employer. Dampier is considered Woodside’s and Wickham is Rio Tinto’s. Karratha seems to belong to them all.
Karratha, 1500km north of Perth, is the supply and administration centre for the entire Pilbara region. Its rental market refuses to wind down.
The median house price for urban Karratha, according to REIWA figures, is $795,000 and the weekly rent bill is $1,600, reflecting a yield of 10.5 per cent.
According to RP Data, the median house price in Karratha has crept up from a tad over $160,000 in 2001, to slightly under $800,000 now, with the prices now plateauing.
But supply and demand still rules and rents are extraordinarily high at about $1,500 a week for a three-bedroom house and $2,000 a week for something with a pool. The situation is mirrored in Dampier.
“About 90 per cent of my rent roll is with resource companies and the properties are on one- to three-year leases,” says Ray White Karratha’s Richard Naulls.
While there is a zero vacancy rate, he says supply is at unusually high levels and buyers are coming back to the market.
“This week I have five offers on my desk for different houses. Four from investors and one from a corporate client. This time month ago I had no offers on anything. I have 250 properties listed, which is almost double what I had last year,” he says.
So difficult has the market been that the WA government had to weigh in with its $300 million Pilbara Cities program, which release sites through LandCorp.
Already development company Finbar Group is behind the $225 million Pelago project in the centre of Karratha. Already 60 of the 114 units are under contract for between $600,000 and nearly $1 million. A completion date for tower one is scheduled for early 2012.</body></html>

Landlords yield ore-inspiring returns from WA mining boom

Brisbane developer Red &amp; Co's decision to include dual key apartments in its debut Gold Coast apartment development, <a href="https://www.apartments.com.au/new-apartments/como-varsity-lakes-22-lake-street-varsity-lakes-qld-4227">COMO Varsity Lakes</a>, is proving to be one of the project's biggest drawcards, with buyers quickly snapping up the flexible residences.

More than half of the project's 36 dual key apartments have already sold, helping drive COMO beyond the 50 per cent sold mark within the first month of launch.

The strong response highlights growing demand for apartment designs that can adapt to changing lifestyles, with buyers increasingly looking for homes that accommodate multi-generational living, provide rental income opportunities or simply offer greater flexibility over time.

Located on the shores of Lake Orr, COMO will deliver 156 apartments across 16 levels, with the dual-key residences forming a limited release within the broader development.

Each combines a primary two-bedroom apartment with a fully self-contained studio on a single title, connected by a shared foyer and lockable internal door. The design allows owners to house ageing parents, adult children or guests while maintaining privacy, or lease the secondary residence to generate additional income.

Just 17 of the original 36 dual key apartments remain available.

[smartcode_project:default project_id=135546 project_image_fid=367096]

The innovative configuration combines two fully self-contained residences on a single title, typically comprising a primary two-bedroom apartment alongside a separate studio residence, connected via a shared foyer and lockable internal door.&nbsp;

The model is proving particularly attractive to owner occupiers navigating changing family dynamics and the realities of the current housing crisis.&nbsp;

[smartcode_project:default project_id=135546 project_image_fid=363511]

<a href="https://www.apartments.com.au/project-marketer/npa">NPA</a>&nbsp;CEO Andrew Erwin said dual key living was resonating strongly with modern buyers because it delivered both financial flexibility and practical lifestyle benefits.&nbsp;

“The housing crisis and rising cost of living are fundamentally changing how Australians think about home ownership,” Erwin said.&nbsp;

“Dual key apartments provide a genuine solution for families who want to stay connected while maintaining independence. Parents can help adult children save for a future home, ageing parents can remain nearby without moving into aged care, and owners still retain privacy and flexibility.

“Importantly, buyers are also recognising the financial advantages. It creates the opportunity to generate additional income from part of the home without the holding costs associated with owning a separate investment property.”&nbsp;

[smartcode_project:default project_id=135546 project_image_fid=363509]

Unlike traditional dual occupancy arrangements, the residences operate under a single title, meaning owners only incur one set of body corporate fees, council rates and holding costs.&nbsp;

The secondary residence can also evolve over time - functioning as guest accommodation, a home office, creative studio or private retreat before later becoming an income-producing asset.

<a href="https://www.apartments.com.au/developers/red-co">Red &amp; Co</a>&nbsp;Director and Co-Founder David Laverty said the strong early sales reflected growing buyer urgency and changing priorities within the market.&nbsp;

“Securing more than half of COMO’s residences within such a short timeframe is an outstanding result and a clear endorsement of both the design and location,” Laverty said.&nbsp;

“Buyers are responding to the combination of location, connectivity and amenity, but ultimately it’s value relative to other East Coast markets that is driving enquiry.”&nbsp;

“We’re also seeing strong interest from owner occupiers looking for homes that can adapt with them over time. Flexibility has become one of the most important considerations for buyers in today’s market.”&nbsp;

[smartcode_project:default project_id=135546 project_image_fid=363515]

Designed by <a href="https://www.apartments.com.au/architects/bda-architecture">BDA Architecture</a>, COMO features a mix of one-, two- and three-bedroom residences with 2.7-metre ceilings and larger-format floorplans aimed at owner occupiers, downsizers and lifestyle-focused buyers.&nbsp;

The development will feature an extensive rooftop recreation and wellness offering including a 25-metre lap pool, sundeck, barbecue and dining areas, gym, sauna, plunge baths, landscaped gardens, wellness spaces and rooftop pickleball and paddleball courts.

The remaining dual key apartments range from 137 sqm to 167 sqm and include generous three-bedroom layouts with separate self-contained studio accommodation and dual parking.&nbsp;

Erwin said the dual key concept represented a broader shift in how Australians would live in the future.

“People want homes that can evolve with their lives,” he said.&nbsp;

“A dual key apartment can suit a family today, support an ageing parent tomorrow, and potentially generate income later on. That adaptability is becoming incredibly valuable in the current environment.”

Prices currently range from $2,115,750 to $2,583,000.&nbsp;

[smartcode_project_cta:default project_id=135546]

Joel Robinson

Inter-generational living drives demand for COMO’s dual key apartments as housing pressures reshape buyer priorities 

Builder-developer&nbsp;<a href="https://www.apartments.com.au/developers/ceerose">Ceerose</a> has doubled down on its Leichhardt ambitions, lodging its second State Significant Development Application (SSDA) in the suburb in the last six months.

Their newest proposal seeks to transform a former industrial precinct into a new residential community centred around the adaptive reuse of one of the site's heritage warehouse buildings.

The new project, on a 6,930 sqm block at&nbsp;<a href="https://www.apartments.com.au/new-apartments/40-76-william-street-leichhardt-nsw-2040">40–76 William Street</a>, will bring more than 200 apartments to a suburb that has seen little to no new supply in recent years. It follows Ceerose's late 2025 SSDA for a mixed-use apartment project on nearby Parramatta Road, signalling the developer's growing investment in Sydney's Inner West.

Designed by <a href="https://www.apartments.com.au/architects/woods-bagot">Woods Bagot</a>, the redevelopment would involve the demolition of four existing industrial buildings while retaining and adaptively reusing the site's most significant warehouse. The retained structure would anchor a new residential precinct comprising five interconnected buildings arranged around a large central landscaped courtyard, with heights stepping from five storeys along the surrounding residential streets to 11 storeys at the William Street corner.

<img alt="First look: Ceerose returns to Leichhardt with 203-apartment adaptive reuse proposal at former warehouse site" data-entity-type="file" data-entity-uuid="7258c54c-8167-479e-8361-2d5fca9915b4" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Appendix%2010B%20-%20CGI%20-%20View%202.jpg?VersionId=S9DQfxu_jpcB5LrAEYFUbyMzg5odW6i5" />

According to the Architecture Design Report by Woods Bagot, the proposal "seeks to create a residential village centred around a generous green heart while celebrating the site's industrial heritage through the adaptive reuse of the existing warehouse building."

The development would comprise 203 apartments, with 188 proposed as build-to-sell residences, alongside 15 affordable housing apartments.

Rather than treating the retained warehouse as a standalone heritage object, Woods Bagot has sought to weave the site's industrial history throughout the masterplan. The proposal retains the north and west facades of the landmark corner warehouse, while new buildings reinterpret the site's brick-and-steel industrial language through their material palette and architectural expression.

<img alt="First look: Ceerose returns to Leichhardt with 203-apartment adaptive reuse proposal at former warehouse site" data-entity-type="file" data-entity-uuid="9e8c64c2-881b-49e1-8c90-6b6acaaa45b6" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Appendix%2010C%20-%20CGI%20-%20View%203.jpg?VersionId=Qm8_8H_Xrg_sc4Mdjc59vlAcKF_5wRTb" />

The design is organised around what Woods Bagot describes as a "green heart", a landscaped communal open space that reinstates the leafy character removed when the site became an industrial storage facility. A new pedestrian laneway running through the site would improve permeability between William, North and Francis streets, linking residents through landscaped public spaces while activating the ground plane.

Residents would have access to communal gardens, rooftop open space and shared recreation areas distributed throughout the development. Sustainability has also been prioritised, with the project targeting an average 7.9-star NatHERS rating. Proposed initiatives include rooftop solar generation, rainwater harvesting, passive solar design, naturally ventilated lobbies, extensive cross-ventilation and the reuse of existing building fabric to reduce embodied carbon.

The adaptive reuse strategy became a defining feature of the application after heritage investigations found only one of the site's industrial buildings could feasibly be retained. The Heritage Impact Statement concludes that preserving the key warehouse façades while referencing the site's industrial character throughout the new development provides an appropriate balance between renewal and conservation.

<img alt="First look: Ceerose returns to Leichhardt with 203-apartment adaptive reuse proposal at former warehouse site" data-entity-type="file" data-entity-uuid="efffafdb-594f-4e2b-a067-921fd51c05e1" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Appendix%2010D%20-%20CGI%20-%20View%204.jpg?VersionId=DPmE4.k16YRt0i27hEZVtJAffarpvUfx" />

"Retention and adaptation of the site buildings has been explored but found not to be feasible except for the tallest building, whose street facades will be retained," the heritage report states.

"The proposed building will interpret the brick and steel character of the subject site, including reuse of some components and construction of a large 'sawtooth' structure in the proposed open space."

<img alt="First look: Ceerose returns to Leichhardt with 203-apartment adaptive reuse proposal at former warehouse site" data-entity-type="file" data-entity-uuid="3bfef2b5-83f5-40cd-9cab-767092f34266" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Appendix%2010E%20-%20CGI%20-%20View%205.jpg?VersionId=7asb3i_ql4ybbuJOUb5UHBEIy0Q9t.DF" />

The William Street site is located around 300 metres from Leichhardt North Light Rail station and a short walk to Norton Street's retail, dining and hospitality precinct. The surrounding area has increasingly become a focus for urban renewal given its proximity to public transport and the Parramatta Road corridor.

Ceerose, founded by Edward Doueihi in 1998, has become one of Sydney's more active apartment developers, with completed projects including The Alex Collective in Alexandria, Abbie's Lane in Annandale, and the award-winning Munro House in Elizabeth Bay. They are currently delivering Belgravia, 17 luxury apartments in Potts Point.

First look: Ceerose doubles down in Leichhardt with adaptive reuse of former warehouse site

Melbourne developer Spacious Group has completed Voyage Altona, one of the closest new apartment developments to Altona Beach.

Off the plan purchasers have started moving into the 49-apartment project on Pier Street, with the remaining move-in-ready one-, two- and three-bedroom apartments starting from just over $500,000.

Display apartments have now been fitted out, allowing prospective buyers to inspect the completed residences by appointment.

[smartcode_project:default project_id=112195 project_image_fid=372638]

The completed apartments feature open-plan living and dining areas which extend onto private balconies and terraces, while full-height glazing maximises natural light throughout the interiors.&nbsp;

Hybrid timber-look flooring, stone benchtops, Miele appliances, porcelain-tiled bathrooms and generous storage feature throughout the building which also features landscaped communal areas, expansive shared terraces, lift access and secure on-grade parking.

Drawing inspiration from its bayside setting, Voyage adopts a restrained palette of warm neutral tones and textured finishes. Many of the apartments take advantage of views across Port Phillip Bay, while the indoor-outdoor living spaces have been designed to make the most of the coastal outlook.

[smartcode_project:default project_id=112195 project_image_fid=3286]

Voyage was developed to address what Spacious Group identified as an undersupply of higher-quality apartment product in Altona, with a focus on owner-occupiers looking to remain within the bayside community.

"Voyage responds to very strong local buyer demand for quality, owner-occupier-focused product," says Barry Plant Projects Director Jarrod Farey, who has handled sales since the project's launch.

"The project delivers an elevated lifestyle proposition, with its design and quality of finish far exceeding anything previously produced in the area, as well as its proximity to Pier Street Village and the beach."

The majority of purchasers have been local downsizers and owner-occupiers looking to stay within the Altona community but who previously had limited opportunities to buy a brand-new apartment.

[smartcode_project_cta:default project_id=112195]

Spacious Group completes Voyage Altona in Altona's beachside precinct

Homecorp has secured approval for a $360 million apartment development at Budds Beach, paving the way for one of the Gold Coast's most amenity-rich residential projects to launch later this year.

Gold Coast City Council has approved Lýon Residences, a 32-level tower that will deliver 178 two and three-bedroom apartments across a prominent corner site at 8-10 Acacia Avenue and 25-27 Oak Avenue.

The approval comes as developers continue to invest in premium lifestyle-driven apartment projects on the Gold Coast, where owner occupiers are increasingly prioritising amenity as much as apartment size and location.

<a href="https://www.apartments.com.au/new-apartments/l-on-residences-25-27-oak-avenue-surfers-paradise-qld-4217">Lýon Residences</a> has been designed around a resort-style wellness offering, headlined by a Moroccan-inspired spa precinct featuring treatment rooms, a Nordic sauna and steam room, hot and cold plunge pools, a soaking pool and a residents-only juice bar.

The rooftop will include a heated infinity pool and spa, residents' lounge with private kitchen and bar, gymnasium, yoga and Pilates studio, outdoor entertaining areas and barbecue facilities overlooking the Surfers Paradise skyline.

<img alt="Lyon" data-entity-type="file" data-entity-uuid="2d3e29af-8793-486e-a684-52cef862241f" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-07-15%20at%204.32.26%E2%80%AFPM.png?VersionId=ayG2zpLf3SS6Zy8XmKDcQods4kVWb0gm" />

Homecorp Founder and CEO Ron Bakir said Budds Beach provided the ideal location for the company's latest luxury apartment project.

"Budds Beach represents one of the most unique and sought-after pockets of the Gold Coast, and Lýon Residences has been designed to reflect that sense of rarity and refinement," Bakir said.

The project arrives as wellness continues to become a defining feature of new residential developments both in Australia and internationally.

The latest Global Wellness Institute figures show wellness real estate remains the fastest-growing segment of the global wellness economy and is forecast to exceed $1.8 trillion by 2030. Australia continues to rank among the world's 15 largest wellness real estate markets, with developers increasingly integrating health, recreation and community facilities into apartment projects.

Queensland is also experiencing strong population growth, with the Gold Coast continuing to outperform many other Australian cities as demand for new housing remains elevated ahead of the 2032 Olympic and Paralympic Games.

Bakir said the project had been designed to respond to that shift in buyer expectations.

"Strong population growth and sustained demand across the Gold Coast continue to highlight the need for well-designed new housing supply. Lýon Residences responds directly to this demand while setting a new benchmark for residential living," he said.

Each apartment has been designed to maximise views across the coastline, the Nerang River and the Gold Coast hinterland.

Located just minutes from Surfers Paradise beach and the Broadwater, the development also offers easy access to the light rail network, Broadbeach and Burleigh Heads.

Early site works are underway, with construction expected to commence later this year.

Homecorp approved for Budds Beach apartment tower, Lýon Residences

New apartment developments with uninterrupted, north-facing views over Perth's Swan River are exceptionally rare.

Recognising just how limited those opportunities are, <a href="https://www.apartments.com.au/developers/edge-visionary-living">Edge Visionary Living</a>, one of Perth's most respected builder-developers, targeted <a href="https://www.apartments.com.au/developments/applecross-wa-6153">Applecross</a>, assembling an unrepeatable 6,342 sqm riverfront site on the corner of Moreau Mews and Canning Beach Road to create one of Perth's only new north-facing apartment developments directly overlooking the Swan River.

Today, <a href="https://www.apartments.com.au/buildings/riviere-residences-applecross-59-canning-beach-road-applecross-wa-6153">Rivière Residences</a> offers buyers a unique opportunity to choose between completed residences ready to move into now and off-the-plan homes in the final stage, Rivière West.

[smartcode_project:default project_id=28384 project_image_fid=3823]

Across the completed East and Central buildings, residents are already enjoying the development's luxury amenity, while two of the precinct's hospitality venues are now open.

The completed component of the development gives buyers the advantage of experiencing the finished product firsthand, including its uninterrupted river views, while still having the opportunity to secure a residence in the final stage.

"People are wowed by the view and the quality of the apartments,"&nbsp;Edge Visionary Living Sales Executive, Holly McSweeney, says.

"They're looking for the convenience of lock-and-leave living, but they're not looking to downsize on quality."

[smartcode_project:default project_id=28384 project_image_fid=3826]

The rarity of the development hasn't been lost on prospective buyers, McSweeney says.

For McSweeney, it all comes back to a location that is becoming increasingly difficult to replicate.

"Location, location, location," she says. "We are nestled right on the front of the Swan River. You can never get built out, so wherever you are in Rivière Residences, you've got views of the river forever."

The unique waterfront position has resonated particularly strongly with local downsizers. McSweeney says many buyers are long-time Applecross residents looking to transition from large family homes into a luxury apartment without sacrificing space, quality or the lifestyle they've enjoyed for decades.

<iframe allow="accelerometer; autoplay; clipboard-write; encrypted-media; gyroscope; picture-in-picture; web-share" allowfullscreen="" frameborder="0" height="315" referrerpolicy="strict-origin-when-cross-origin" src="https://www.youtube.com/embed/N_FowNW0wu8?si=vb25XFq1wZ-iufAW" title="YouTube video player" width="560"></iframe>

A major focus for Edge in recent years has been resident amenity. Across its apartment portfolio, from beachfront developments in Scarborough to luxury towers in South Perth, the developer has increasingly invested in the spaces beyond the apartment itself.

The strategy has largely been shaped by downsizer demand. Many buyers are moving from large family homes with swimming pools and established gardens. While they're looking to leave the maintenance behind, they don't want to compromise on lifestyle.

At Rivière, <a href="https://www.apartments.com.au/architects/hillam-architects">Hillam Architects</a> designed the resident facilities as an extension of each apartment. A 25-metre heated swimming pool takes advantage of the north-facing river outlook, complemented by a large gym, sauna and steam rooms, private dining spaces, residents' lounges, a cinema, games room, and dedicated wine and whisky rooms.

[smartcode_project:default project_id=28384 project_image_fid=372542]

The waterfront location has also proved to be a major drawcard. Residents are within walking distance of the Raffles Hotel, South of Perth Yacht Club, the Heathcote Cultural Precinct and the cafés, restaurants and boutiques along Ardross Street.

Beyond the location and amenity, McSweeney says many buyers take confidence from Edge's fully integrated development model.

Having delivered apartments across Perth for decades, Edge now designs, develops and constructs its projects in-house, giving the company greater control over quality, delivery and the finished product.

"What I love is when people walk through their apartment for the first time and say, 'This is better than what we imagined,'" McSweeney says. "We hear that all the time."

Completed apartments in the East and Central buildings are now available to inspect by appointment, while Rivière West, the final stage of the precinct, is expected to be completed in the first quarter of 2027.

[smartcode_project_cta:default project_id=28384]

Andrea Dixon

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