<html><body>
EXPERT OBSERVER
With the national housing market moving through its down phase and buyer numbers thin on the ground, properties are taking longer to sell as vendors face stiff competition and purchasers take their time to negotiate the best possible price.
Over the three months to April 2019, the median time on market for a dwelling nationally was 60 days. As the chart shows, the typical selling time has risen significantly over recent months and is up from 35 days at the same time a year ago.
The rapid rise in time on market is symptom of higher supply (advertised stock levels across the combined capitals are at their highest level for this time of the year since 2012) and less demand (capital city settled sales are down 16% year on year).
<img src="https://www.urban.com.au/images/2019/5/23/May%2023%20CL%20pp%201.JPG" alt="">
 
Across Sydney, properties were typically taking 62 days to sell in April 2019 while in regional NSW properties were taking 76 days.
At the same time a year earlier, Sydney properties took 31 days to sell and regional NSW properties took 50 days.
As both housing markets have weakened there has been an ongoing steady increase in days on market.
<img src="https://www.urban.com.au/images/2019/5/23/May%2023%20CL%20pp%202.JPG" alt="">
Over the past three months, Melbourne dwellings have typically taken 43 days to sell compared to 27 days over the same period in 2018.
In areas outside of Melbourne, properties are typically taking 54 days to sell compared to 37 days a year ago.
Although days on market fell over the past month in Melbourne, properties are taking longer to sell than in recent years while in regional Vic there has been a recent spike in days on market.
<img src="https://www.urban.com.au/images/2019/5/23/May%2023%20CL%20pp%203.JPG" alt="">
Dwellings in Brisbane have taken 60 days to sell over the past three months while in regional Qld they have taken 77 days.
Over the same period in 2018, Brisbane dwellings were taking 34 days to sell and regional Qld dwellings took 47 days.
Although values have declined over the past year in Brisbane and regional Qld it has been a much more moderate decline than in Sydney and Melbourne.
Despite this fact, there has been a sharp spike in days on market highlighting that selling conditions have become much tougher despite values having only fallen moderately.
<img src="https://www.urban.com.au/images/2019/5/23/May%2023%20CL%20pp%204.JPG" alt="">
Properties in Adelaide are currently taking 54 days to sell compared to 45 days at the same time a year ago.
In regional SA, properties were taking 92 days compared to a slightly higher 95 days currently.
Although days on market in Adelaide is higher than a year ago, the results are a little volatile and they have been fairly steady over the past four years.
<img src="https://www.urban.com.au/images/2019/5/23/May%2023%20CL%20pp%205.JPG" alt="">
Perth properties were taking 48 days to sell a year ago compared to 62 days currently.
In regional WA, the days on the market figure is currently 76 days, slightly higher than it was a year ago (73 days).
Despite the ongoing weak housing market conditions over recent years in Perth and regional WA the days on market figure has been fairly steady.
This would seem to suggest that Perth vendors are setting appropriate initial list prices or are willing to reduce prices to meet the market.
<img src="https://www.urban.com.au/images/2019/5/23/May%2023%20CL%20pp%206.JPG" alt="">
A year ago dwellings in Hobart were typically taking 9 days to sell and in regional Tas they were taking 39 days.
As dwelling value growth has slowed over the past year, days on market has increased to 32 days in Hobart and 58 days in regional Tas.
As the housing market is expected to continue to slow over the coming months, days on market may continue to climb unless vendors adjust their price expectations appropriately.
<img src="https://www.urban.com.au/images/2019/5/23/May%2023%20CL%20pp%207.JPG" alt="">
In Darwin, properties are currently taking 77 days to sell compared to 67 days a year ago.
Regional NT results are quite volatile because of the low volume of sales however, a year ago sales were taking 75 days compared to 81 days currently.
Despite the ongoing value falls in Darwin there hasn’t been a blowout in days on market although it has recently broken its reducing trend.
<img src="https://www.urban.com.au/images/2019/5/23/May%2023%20CL%20pp%208.JPG" alt="">
The days on market figure for Canberra has started to fall over the past month but it has risen from 31 days a year ago to 52 days as the housing market has slowed.
Overall the data points to a longer period of negotiation before a sale.
This reflects the conditions of tougher finance and fewer buyers. In order to have the best chance of achieving a sale vendors should set realistic prices, maximise their marketing campaign to ensure their property stands out from the competition and be prepared to meet market expectations.
<img src="https://www.urban.com.au/images/2019/5/23/May%2023%20CL%20pp%209.JPG" alt="">
CAMERON KUSHER is the head of research for the Australian branch of CoreLogic
Kusher regularly posts on the <a href="https://www.corelogic.com.au/taxonomy/corelogic-people/cameron-kusher" target="_blank">CoreLogic website</a>.
</body></html>

ckusher-ujnxiKuFQs

Buyers in control as median selling time trends higher: Cameron Kusher

<html><body>
EXPERT OBSERVER
Across the combined capital cities, there is currently 5.3 months of housing supply available for sale.
If no more properties were advertised for sale it would take 5.3 months for current advertised supply to be purchased.
For this time of year, this is the highest months of supply figure any time since 2012.
To put the figure into context, at the same time last year there was a much lower 3.9 months of supply.
The lift in months of supply is a function of a lift in the amount of stock available for sale and the ongoing fall in transaction volumes.
The months of supply metric measures the volume of stock advertised for sale against the run rate of settled sales.
The result, expressed in months, provides an indication about how long it would take the market to absorb all the residential properties that are advertised for sale.
<img src="https://www.urban.com.au/images/2019/5/16/MoS%201.JPG" alt="">
Currently, there is 4.1 months of housing stock available for sale in Sydney.
Although this still may seem like quite a low supply of stock for sale, in comparison to the previous seven years, the months of supply figure is now the highest it has been at this time of year any time over that period.
Months of supply is elevated due to much lower transaction volumes and an elevated volume of stock for sale.
<img src="https://www.urban.com.au/images/2019/5/16/MoS%202.JPG" alt="">
In Melbourne there is currently 5.9 months of housing supply for sale.
Although that figure has reduced slightly over recent weeks, it is still currently higher than over the same period during any of the previous seven years.
Much like Sydney, a much slower rate of sale and much higher stock for sale has led to the heightened supply.
<img src="https://www.urban.com.au/images/2019/5/16/MoS%203.JPG" alt="">
There is currently 5.9 months of housing supply for sale in Brisbane, which is the highest for this time of year since 2012.
The elevated volume of stock for sale coupled with falling transaction volumes are the factors driving the heightened supply.
Although stock is elevated relative to recent years it has been fairly steady at 5.9 months over recent weeks
<img src="https://www.urban.com.au/images/2019/5/16/MoS%204.JPG" alt="">
Months of supply in Adelaide is trending higher, transaction volumes are steady if not slightly higher than a year ago however, the volumes of stock for sale is much higher.
There is currently 3.8 months of supply on the market and although that figure is lower than most other capital cities it is slightly higher than at the same time last year (3.7 months).
<img src="https://www.urban.com.au/images/2019/5/16/MoS%205.JPG" alt="">
The ongoing weak housing conditions in Perth whereby values and transaction volumes continue to fall and stock for sale mounts has led to further increases in months of supply.
At 7.7 months of supply, supply is the highest it has been at this time of year, any year since 2012.
7.7 months of supply is also one of the highest amongst all capital cities.
<img src="https://www.urban.com.au/images/2019/5/16/MoS%206.JPG" alt="">
A major contributor to the surge in dwelling values in Hobart over recent years has been the lack of stock for sale.
More recently, the volume of stock for sale has risen however, it remains quite low reflected by the fact there is just 2.8 months of supply on the market currently.
Although that figure is low, it is higher than at the same time last year (2.0 months) and 2017 (2.7 months) but it remains much lower than previous years.
<img src="https://www.urban.com.au/images/2019/5/16/MoS%207.JPG" alt="">
The months of supply for sale in Darwin is higher than any other capital city at 9.0 months.
Darwin has a high supply of stock for sale and low rate of sale resulting in the high months of supply.
Despite the high figure, it is actually lower than it was at the same time of year for each of the past three years.
<img src="https://www.urban.com.au/images/2019/5/16/MoS%208.JPG" alt=""> 
Canberra currently has 3.6 months of housing supply advertised for sale.
Although that is a comparatively low figure, months of supply in Canberra hasn’t been as high as it is currently since 2013.
Like most other capital cities, months of supply is elevated due to a heightened volume of stock for sale with sales actually higher than they were 12 months ago.
<img src="https://www.urban.com.au/images/2019/5/16/MoS%209.JPG" alt="">
The months of supply figure highlights why the housing market is generally falling.
Credit conditions are tight which means fewer buyers and generally leads to a slower rate of sales.
Although vendors have responded by bringing fewer new properties to the market, total stock for sale remains elevated leading to a heightened months of supply figure.
CAMERON KUSHER is the head of research for the Australian branch of CoreLogic
Kusher regularly posts on the <a href="https://www.corelogic.com.au/taxonomy/corelogic-people/cameron-kusher" target="_blank">CoreLogic website</a>.
</body></html>

Australian housing supply reaches seven year high: Cameron Kusher

<html><body>
Discounting is measured by comparing the original list price of a property to its ultimate selling price. At CoreLogic, auction sales are excluded from the calculation of the discounting measure. 
<img src="https://www.corelogic.com.au/sites/default/files/inline-images/Dwellings%20selling%20below%20list%20price%20-%20National.PNG">
Nationally, over the three months to April 2019, 75.6% of properties sold for less than their original list price. Typically the majority of dwellings sold sell for less than their original list price. The 75.6% of properties selling at a discount was above the decade average of 69.3% of properties. 
<img src="https://www.corelogic.com.au/sites/default/files/inline-images/Dwellings%20selling%20below%20list%20price%20-%20Capital%20Cities.PNG" alt="Dwellings selling below list price - Capital Cities.PNG">
It is a little bit of a different story across the combined capital cities. Although the combined capital cities are recording larger declines than the national index, a lower 72.9% of properties sold over the past three months did so for less than the original list price. While this is a much higher share than the decade average (62.3%) it is interesting to note that despite the weak conditions there are still more than a quarter of properties selling for more than the original list price. 
<img src="https://www.corelogic.com.au/sites/default/files/inline-images/Dwellings%20selling%20below%20list%20price%20-%20Sydney.PNG" alt="Dwellings selling below list price - Sydney.PNG">
Across Sydney, 78.1% of all property sales were at a price below the original list price over the past three months. During the boom in Sydney housing (2013-15) a majority of properties were actually selling for more than their list price. That phenomenon has changed substantially since dwelling values began to fall over recent years. The decade average shows that 59.4% of properties sold at a discount to the original list price. 
<img src="https://www.corelogic.com.au/sites/default/files/inline-images/Dwellings%20selling%20below%20list%20price%20-%20Melbourne.PNG" alt="Dwellings selling below list price - Melbourne.PNG">
Over the past decade, an average of 49.2% of Melbourne properties have sold at a discount to the original list price. This highlights the strength of the Melbourne housing market over recent years with sales at a discount much less prevalent than elsewhere. The recent weakness in the Melbourne market has seen this trend shift with 76.3% of sales over the past three months at a discount to the original list price. 
<img src="https://www.corelogic.com.au/sites/default/files/inline-images/Dwellings%20selling%20below%20list%20price%20-%20Brisbane.PNG" alt="Dwellings selling below list price - Brisbane.PNG">
Over the 14 year period, Brisbane has never seen a greater share of properties selling above than below the original list price. Over the past decade, an average of 71.4% of properties sold at a discount from the original list price compared to 67.2% over the past three months. 
<img src="https://www.corelogic.com.au/sites/default/files/inline-images/Dwellings%20selling%20below%20list%20price%20-%20Adelaide.PNG" alt="Dwellings selling below list price - Adelaide.PNG">
For most of the past 14 years a majority of Adelaide properties have sold at a discount however, in 2007 when dwelling values were booming the share of properties selling at a discount was as low as 29.9%. Currently, 75.4% of properties are selling at a discount which is above the long-term average which is recorded at 68.2%. 
<img src="https://www.corelogic.com.au/sites/default/files/inline-images/Dwellings%20selling%20below%20list%20price%20-%20Perth.PNG" alt="Dwellings selling below list price - Perth.PNG">
The ongoing weak housing market conditions in Perth has seen an average of 73.6% of properties sold over the past decade selling at a discount. You have to go all the way to 2006-07 when Perth’s housing market was booming to see a majority of properties not selling at a discount. Over the past three months, 74.1% of properties sold at a discount. 
<img src="https://www.corelogic.com.au/sites/default/files/inline-images/Dwellings%20selling%20below%20list%20price%20-%20Hobart.PNG" alt="Dwellings selling below list price - Hobart.PNG">
The recent strength of the Hobart housing market has seen a significant reduction in the share of properties selling at a discount however, over recent months the share has started to rise again. Over the past three months, 32.5% of properties sold at a discount, compared to the decade average of 55.2%.
<img src="https://www.corelogic.com.au/sites/default/files/inline-images/Dwellings%20selling%20below%20list%20price%20-%20Darwin.PNG" alt="Dwellings selling below list price - Darwin.PNG">
The ongoing weak housing market conditions in Darwin has seen a large share of properties selling for less than their original list price. On average over the past decade, 84.9% of properties sold at a discount with the figure slightly higher over the past three months at 85.4%. 
<img src="https://www.corelogic.com.au/sites/default/files/inline-images/Dwellings%20selling%20below%20list%20price%20-%20Canberra.PNG" alt="Dwellings selling below list price - Canberra.PNG">
Over the past decade an average of 54.1% of properties sold transacted at a price below the original list price. Although the share of sales at a discount has increased in Canberra over recent months, a majority (45.8%) sold for less than the original list price. 
As dwelling value growth accelerates, vendors can find it difficult to price properties, in-turn strong housing conditions typically result in fewer sales at a discount. With the national housing market continuing to see value declines it is expected that over the coming period relatively few properties will be selling at a price above the original list price. 
CAMERON KUSHER is the head of research for the Australian branch of CoreLogic.
</body></html>

How much discounting is taking place? CoreLogic's Cameron Kusher 

<html><body>
EXPERT OBSERVER
Dwelling value drops of -7.2% over the year to April 2019 highlights just how easy it can be to forget the diversity across property market performance as some regions continue to deliver solid growth conditions while others drag averages lower.
Over the 12 months to April 2019, Adelaide, Hobart and Canberra were the only capital cities in which dwelling values haven’t fallen. Although value declines have been prevalent, there are certain SA2 regions which have significantly outperformed the broad capital city and equally many regions have significantly underperformed.
 Sydney: With dwelling values having fallen by -10.9% over the year to April 2019, only two SA2 regions, both of which are located in the Blue Mountains, have recorded annual growth. A further region of the Blue Mountains has recorded one of the most moderate declines along with two regions on the Northern Beaches. In terms of the Sydney regions with the greatest value declines, SA2 regions in the Inner South West are prevalent on the list.
Melbourne: Over the 12 months to April 2019, dwelling values have reduced by 10.0%. Only two SA2 regions have recorded a rise in values and the five regions with the strongest annual change were located close to the city centre, demonstrating some strength in the established unit market. On the other hand, the five regions that have recorded the greatest annual fall were all located in Melbourne’s Inner East.
 Brisbane: Dwelling values are down marginally over the past year, having fallen by -1.9%. The top five SA2 regions with the strongest value growth over the past year are all located in the west of the city and are either within or towards Ipswich. The regions with the largest value falls are much more varied with some emphasis around areas with a mix of residential and industrial land uses featuring on the list.
Adelaide: Over the past year, dwelling values have continued to rise (marginally) up 0.3% over the year. The strongest performing regions are all located either within the Central and Hills region or the North region of the city. The regions with the largest annual value falls are more mixed, with two situated in the Central and Hills region, two in the North and one in the South.
<a href="https://www.propertyobserver.com.au/images/2019/5/9/May%209%20Property%20Pulse%202.JPG" target="_blank">Click</a> to enlarge.
<img src="https://www.urban.com.au/images/2019/5/9/May%209%20Property%20Pulse%202.JPG" alt="">
Perth: Dwelling values have been falling since mid 2014 and have declined by a further -8.3% over the 12 months to April 2019. Given this it is no surprise only one SA2 region of the city has recorded an increase in values over the year. The regions with the most moderate declines were all located in either the North West or North East of the city. Conversely, the 5 regions with the largest value falls over the past year were all in either Perth’s South West or Mandurah highlighting a fairly distinct area in which the largest falls are occurring.
Hobart: Values have increased by 3.8% over the past year which is the largest annual increase of all capital cities. The areas with the strongest value growth over the year are quite diverse both geographically and based on the value of dwellings however, 3 are situated in the North East. The list includes some of the most affordable and most expensive regions of the city. Four of the five regions with the most moderate value change over the year are located in the city centre and are some of the most expensive regions of the city.
Darwin: Dwelling values have been falling since mid2015 and have declined by a further -7.1% over the past year. With such weak conditions only one region of the city (Wagaman) recorded an increase in values. The regions with the most moderate value declines were typically amongst the more expensive areas of the city. Conversely, the areas in which value falls were greatest were generally located close to the city centre however, highlighting the ongoing weakness across the inner city apartment sector.
Canberra: Over the 12 months to April 2019, dwelling values in Canberra have risen by 2.5%. Four of the five regions with the greatest value increase over the past year were located in the northern area of the city around Belconnen and Gungahlin. Meanwhile three of the five weakest markets over the year were also in the north of the city while some of the weakest performers were amongst the most affordable regions of the city. With dwelling values falling broadly across the capital cities, there are still some precincts where values are continuing to trend higher, although the list of positive growth areas has shrunk over the past year.
<a href="https://www.propertyobserver.com.au/images/2019/5/9/May%209%20Property%20Pulse.JPG" target="_blank">Click</a> to enlarge.
<img src="https://www.urban.com.au/images/2019/5/9/May%209%20Property%20Pulse.JPG" alt="">
Looking to the data there is some suggestion that in individual cities certain geographic areas and value points are more likely to still be seeing values increase than others.
CAMERON KUSHER is the head of research for the Australian branch of CoreLogic
Kusher regularly posts on the <a href="https://www.corelogic.com.au/taxonomy/corelogic-people/cameron-kusher" target="_blank">CoreLogic website</a>.
</body></html>

Capital city dwelling values drop 7.2% in 1 year: Cameron Kusher

<html><body>
EXPERT OBSERVER
According to data recently released by the Australian Bureau of Statistics (ABS) property taxation revenue increased further over the 2017-18 financial year to reach $30.293 billion.
State and local governments collected a whopping $30.293 billion worth of property tax revenue over the 2017-18 financial year. If you were to compare these statistics to what was published last year, the figures would be vastly different.
Previously, the ABS included stamp duties on conveyances as taxes on property however, in this year’s release this has been moved to a different section of taxation – taxes on the provision of goods and services.
Nevertheless, the $30.293 billion in property tax revenue was 5.6% higher over the past year with the annual increase lower than the 7.9% increase over the previous year.
 <img src="https://www.urban.com.au/images/2019/5/2/Property%20Taxation%201.JPG" alt="">
Within total property taxes, land taxes ($9.153b) increased 9.0% over the year, municipal rates ($18.451b) increased 4.3% and other taxes ($2.689b) increased 3.4% over the year.
Through analysis of the results, it was confirmed that revenues from property taxes are now the highest in the most populous states.
Across the states, total property tax revenue in 2017-18 was recorded at: $8.382 billion in NSW, $8.778 billion in Vic, $5.658 billion in Qld, $2.433 billion in SA, $3.654 billion in WA, $549 million in Tas, $133 million in NT and $705 million in ACT. 
Taking a look at stamp duties, which although they are no longer defined as part of ‘taxes on property’, they are a tax paid when a property when is transacted.
<img src="https://www.urban.com.au/images/2019/5/2/Property%20Taxation%202.JPG" alt="">
When the housing market is seeing increased transactions and rises in values, stamp duty generally rises and vice versa. The national housing market started to see values fall late in 2017 and as a result, stamp duty revenue is largely unchanged in 2017-18 from the previous year.
Stamp duty revenue over time across each state and territory shows the most populous states derive the most revenue from stamp duty, however, the chart also shows how volatile revenue from stamp duty can be based on the performance of the housing market. Over the most recent year, stamp duty revenue fell in NSW, Qld, SA, WA, NT and ACT while it rose elsewhere.
With the national housing market now seeing values and transaction volumes continuing to decline, it is to be expected that the 2018- 19 financial year will see a much lower value of stamp duty revenue.
While non-transactional based property taxes provide state and local governments with consistent revenue streams year after year, transactional-based stamp duty is much less guaranteed and harder to forecast for budgeting purposes.
Over recent years as the housing markets in Sydney and Melbourne have boomed, the NSW and Vic state governments have benefitted greatly from a significant increase in stamp duty revenue.
<img src="https://www.urban.com.au/images/2019/5/2/Property%20Taxation%203.JPG" alt="">
Stamp duty revenue in NSW is 89.7% higher over the past five years and in Vic it is up 116.0%. By comparison, in WA where the housing market has largely been falling over the same period, stamp duty revenue is down -18.9%.
With the NSW and Vic Governments seemingly going to be hit by a loss of stamp duty revenue over the coming years it would seem that now is as good a time as ever to look to move away from this transactional tax.
Although no one likes additional taxes, a tax on all residential properties is more equitable than a tax on the 4%-6% of properties that transact in any given year. Furthermore, it provides a more guaranteed revenue stream to state government so they can better plan their expenditure into the future.
In closing, it should be noted that the ACT Government announced in 2012 that it was going to remove stamp duty over a 20 year period.
<img src="https://www.urban.com.au/images/2019/5/2/Property%20Taxation%204.JPG" alt="">
CAMERON KUSHER is the head of research for the Australian branch of CoreLogic
Kusher regularly posts on the <a href="https://www.corelogic.com.au/taxonomy/corelogic-people/cameron-kusher" target="_blank">CoreLogic website</a>.
</body></html>

Property tax revenues continue climb in 2017/18 despite downturn: Cameron Kusher

<html><body>
National dwelling values have fallen by -7.4% from their October 2017 peak through to the end of March 2019.
While this figure is often quoted, it is also important to understand the context in terms of how much that actually equates to in dollar terms.
Based on the median dwelling value at the time of the market peak, a -7.4% fall in national dwelling values translates approximately into a $40,590 decline in dwelling values.
Looking at falls across the combined capital cities, the decline has been larger than national falls with values -9.2% lower than their September 2017 peak.
This translates to an approximate $59,478 reduction in dwelling values.
Throughout the combined regional markets, values have fallen by -2.5% or$9,464 from their May 2018 peak.
<img src="https://www.urban.com.au/images/2019/4/26/New%20Project%202.png" alt="">
Let us take a look across the states.
NSW
Sydney values are -13.9% lower than their peak or down $124,739. In regional NSW, values have declined by -4.1% or -$18,674.
Vic 
Melbourne dwelling values have fallen by -10.3% or $71,404 from their peak. Regional Vic values are $2,749 lower than their peak having fallen by -0.8%.
Qld 
Brisbane dwelling values are $7,796 or -1.6% lower than they were at their peak. In regional Qld, values are -4.9% lower than their peak of -$18,773 lower.
SA 
Adelaide dwelling values are -0.5% or -$2,307 lower than their peak. Regional SA values are -3.4% or -$8,623 lower than their peak.
WA 
Perth dwelling values peaked in mid-2014 and are currently -18.1% or -$97,797 lower. Regional WA values have fallen -31.6% from their peak taking them $118,734 lower.
Tas 
Hobart and regional Tas are the only two major regions of the country in which values are yet to have fallen from their peak.
NT 
Darwin dwelling values are -27.5% or -$145,980 lower than their peak. In regional NT the falls have been much more moderate at -7.9% or -$31,761
Canberra 
Values are -0.2% lower than their peak or -$1,071.
<img src="https://www.urban.com.au/images/2019/4/26/New%20Project%203.png" alt="">
While a values percentage fall indicates how the market is fairing, seeing the actual value of the declines is a stark reminder of the actual losses.
While the recent declines in markets like Sydney and Melbourne can be put in context of the significant increases over recent years, this is little comfort for home owners that purchased at or near the peak of the market.
Over the coming months, we expect declines to continue, leading to further falls in asset values.
Importantly, while values are falling, the debt held against these properties is unlikely to be reducing at the same pace resulting in wealth declines for holders of residential property.
From another perspective, lower housing values are becoming more attractive to first home buyers and prospective buyers who were previously priced out of the housing market.
With advertised stock levels remaining high and mortgage rates tracking around the lowest level since the 1960s (and potentially moving even lower later this year), active buyers are back in the driver’s seat to take advantage of improved housing affordability and the low cost of debt.
</body></html>

How property values have changed from the market peak: Cameron Kusher

<html><body>
The Australian Bureau of Statistics (ABS) recently released the quarterly building activity data for December 2018.
The release is a treasure-trove of data and includes information on dwelling commencements, dwelling completions, dwellings under construction and dwellings approved for construction but not commenced.
This release has published very valuable data on the number of units commenced by the number of storeys.
<a href="https://www.propertyobserver.com.au/images/2019/4/19/Blog_001.png" target="_blank">Click here</a> to enlarge:
<img src="https://www.urban.com.au/images/2019/4/19/Blog_001.png" alt=""> 
Source: CoreLogic, ABS
In terms of dwelling commencements, there was a significant slowdown over the quarter. In fact, house starts fell 7.6% over the quarter to their lowest level (27,088) since March 2017.
Unit commencements recorded a much larger -26.8% decline to 19,134 commencements, the fewest over a quarter since September 2013 and the largest quarterly decline in commencements since September 1974 when they fell -32.5%.
Despite the falls, both house and unit commencements remain above their long-term average.
<a href="https://www.propertyobserver.com.au/images/2019/4/19/Blog_002.png" target="_blank">Click here</a> to enlarge:
<img src="https://www.urban.com.au/images/2019/4/19/Blog_002.png" alt=""> 
Source: CoreLogic, ABS
The most notable change in the landscape of dwelling commencements over recent years has been the lift in apartment starts and more recently their fall.
The increase in higher density construction has primarily been driven by the three most populous states, or more specifically, the capital cities of each of those states.
Over the past five years, every state and territory has seen unit commencements reach historic high levels, demonstrating a clear shift towards higher density development (that isn’t to say that detached housing construction hasn’t also climbed significantly over the period).
More recently, as the housing market has turned and values have started to fall we can see there is a reduced preparedness of developers to commence new projects.
We would expect that commencements, particularly for units, are likely to continue to trend lower over the coming quarters as housing values continue to record value falls, finance remains tight, and both domestic and foreign investors remain light on the ground.
<a href="https://www.propertyobserver.com.au/images/2019/4/19/Blog_003.png" target="_blank">Click here </a>to enlarge:
<img src="https://www.urban.com.au/images/2019/4/19/Blog_003.png" alt=""> 
Source: CoreLogic, ABS
In the latest building activity release the ABS published a further breakdown of annual unit commencements by the height of the building.
While the number of commencements has climbed significantly over recent years, it is interesting to note that commencements of units in a one to three storey block has been relatively steady.
Anecdotally, the demand/supply ratio of medium density dwellings remains much healthier relative to high density products.
Conversely, there has been significant increases in commencements of taller buildings over recent years with commencements now beginning to ease.
This reflects both the unit construction boom and also the fact that as the cost of acquiring sites has increased developers have sought approvals for taller buildings in an effort to maximise their yield and to recoup acquisition costs and maximise profits.
With dwelling commencements expected to continue to fall, the decline doesn’t negate the fact that many developers have paid high prices to acquire sites.
As a result we would expect that despite an expectation of fewer commencements going forward, those projects that do commence will largely be taller apartment projects.
Notwithstanding that expectation, larger projects are generally riskier for the developer and achieving sufficient presales to commence a project is more of a challenge when there are more units to sell.
In order to maintain profitability of projects it is highly likely that as values continue to decline that dwelling commencements will continue to fall.
CAMERON KUSHER is the head of research for the Australian branch of CoreLogic
Kusher regularly posts on the <a href="https://www.corelogic.com.au/taxonomy/corelogic-people/cameron-kusher" target="_blank">CoreLogic website</a>.
</body></html>

The increasing prevalence of highrise construction: Cameron Kusher

Significant slowdown in dwelling commencements this quarter: Cameron Kusher

<html><body>
EXPERT OBSERVER
As at June 2018, an estimated 17,650,130 residents of Australia were born in Australia.
While this might seem like a high number, it shows that 29.4% of residents were born overseas. Based on data from the ABS, which dates back to 1996, this is the highest share of residents born overseas on record.
It also shows that over 2017-18, Australian born residents increased by 1.1%, overseas born residents increased in population by a much larger 2.8%. While that figure is high, it was down from 3.3% over the previous year.
<img src="https://www.urban.com.au/images/2019/4/11/CL%20PP%20Population%201.JPG" alt="">
Harking back to colonial times, England remains the largest source of residents that were born overseas. In fact, almost 1 million residents were born in England, which accounts for 13.5% of all Australian residents that were born overseas. The top 10 countries of birth accounted for 54.8% of all residents that were born overseas as at June 2018.
Another interesting point of note is that migration from certain countries has clearly slowed.
The number of persons born in England peaked at 1,012,780 persons in 2013, consistently falling to its current level. The number of persons born in New Zealand also peaked in 2013 at 585,390, as did persons born in Scotland (142,360) and persons born in Italy (200,670).
<img src="https://www.urban.com.au/images/2019/4/11/CL%20PP%20Population%202.JPG" alt="">
 
While we have seen fewer residents born in in these countries over the past five years, there has been a significant rise in persons born in China (432,400 in 2013) and India (378,480) over the same five-year period.
Twenty years ago, the top 10 countries of birth for residents born overseas accounted for 56.0% of all residents born overseas. Keep in mind that in 1998, a much lower number of residents were born overseas.
<img src="https://www.urban.com.au/images/2019/4/11/CL%20PP%20Population%203.JPG" alt="">
 
The makeup of the CoreLogic top 10 list 20 years ago is quite different to how it currently looks. China is now the second largest source of residents while 20 years ago it was the seventh largest.
India, which is now the third largest source of residents was the 12th largest source, Malaysia is now the ninth largest source and was the 13th largest source 2 decades ago and South Africa is now the seventh largest source of residents compared to 17th 20 years ago.
20 years ago, Greece was the sixth largest source of residents born overseas compared to 15th now, Germany was the eighth largest source compared to being 14th now and Netherlands was the 10th largest source compared to 25th now.
<img src="https://www.urban.com.au/images/2019/4/11/CL%20PP%20Population%204.JPG" alt="">
 
Although the Federal Government has recently announced that they are set to reduce the migration intake going forward, Australia is still set to be a very multicultural country.
Furthermore, demand for our education services, particularly from the world’s two most populous countries (China and India) is anticipated to remain high. As a result, expect even more residents of Chinese and Indian heritage to find their way to our shores over the coming years.
Similarly, those countries such as Scotland and Italy will likely see themselves fall out of the top 10 list over coming years with new countries of origin finding their way to the top 10 list.
CAMERON KUSHER is head of research for the Australian branch of CoreLogic
Mr Kusher regularly posts on the <a href="https://www.corelogic.com.au/taxonomy/corelogic-people/cameron-kusher" target="_blank">CoreLogic website</a>.
</body></html>

Increasing numbers of overseas migrants: CoreLogic's Cameron Kusher

<html><body>
EXPERT OBSERVER
Falling property values dragging household wealth lower backed up by data from the Australian Bureau of Statistics (ABS) showed that overall household wealth fell over the final two quarters of 2018.
Total household assets were recorded at a value of $12.6 trillion at the end of 2018, while total household assets fell in value over both the September and December 2018 quarters taking household wealth -1.6% lower relative to June 2018.
<img src="https://www.urban.com.au/images/2019/4/4/CL%20PP%20Values%201.JPG" alt="">
While the value of household assets fell by -1.6% over the past two quarters, liabilities have increased by 1.5% over the same period to reach $2.4 trillion.
As a result, net household worth was recorded at $10.2 trillion; the lowest it has been since September 2017.
Based on the data from the ABS, the Reserve Bank (RBA) then calculates a number of household finance ratios.
The first metric detailed from the RBA are the ratios of household and housing debt to disposable income.
As at December 2018, household debt was 189.6% of disposable income, a record high and up from 188.7% the previous quarter.
Housing debt was also a record high 140.2% of disposable income and had risen from 139.5% the previous quarter.
While debt levels are quite high, the ratios of asset value to disposable income are much higher.
While that may be the case, it is important to understand that if asset values fall, the value of the debt typically doesn’t reduce at the same speed, which can lead to asset value erosion.
<img src="https://www.urban.com.au/images/2019/4/4/CL%20PP%20Values%202.JPG" alt="">
As at December 2018, household assets were 927.9% of disposable incomes.
This ratio has declined as property values have fallen, down from a peak of 962.1% in December 2017.
Similarly, the ratio of housing assets to disposable income is currently 495.3%, down from its peak of 529.7% in December 2017. The 495.3% figure is the lowest it has been since September 2016.
However because of a reduction in the ratio of assets to disposable income, the ratio of debt to assets is climbing.
Total household debt is now 20.4% of household assets, the highest it has been since March 2016.
Total housing debt is 28.3% of total housing assets, the highest it has been since September 2014.
Again, this reflects the fact that asset values are falling as debt increases.
<img src="https://www.urban.com.au/images/2019/4/4/CL%20PP%20Values%203.JPG" alt="">
Despite generational low official interest rates, the measures of interest payments to disposable income have risen over recent quarters and likely reflective of lenders lifting interest rates independently of any adjustment to the cash rate by the RBA.
Household interest payments represented 9.1% of household disposable income in December 2018, their highest share since September 2013.
Housing interest payments accounted for 7.6% of household disposable income in December 2018, their highest share since March 2013.
Despite the cash rate tracking at generational lows, households are paying a proportionally higher share of interest than they have in many years.
With housing values falling and expected to keep falling the ratio of assets to disposable incomes is likely to fall over the coming quarters.
<img src="https://www.urban.com.au/images/2019/4/4/CL%20PP%20Values%204.JPG" alt="">
Although most households will likely remain in a position whereby the value of their assets is significantly higher than their debt, no doubt an increasing number of recent property purchasers will have higher levels of debt than the value of their asset.
This is probably an area of most concern for the RBA. If this leads to reduced consumer expenditure an in-turn slower economic growth, it may be a trigger for either lower official interest rates or changes to mortgage lending policies (or both).
Furthermore, with household debt at record highs and households dedicating more of their income to servicing their debt at a time when interest rates are so low, and if household debt levels haven’t declined by the time interest rates rise, it could create more challenges for households.
In closing, the ABS/RBA data releases will be very important to focus on over the coming quarters.
CAMERON KUSHER is a Research Analyst for CoreLogic
</body></html>

Falling property values drags household wealth lower: Cameron Kusher

<a href="https://www.apartments.com.au/developers/sunland-group">Sunland Group</a> has officially lodged plans for its first Gold Coast apartment project since the departure of the Abedian family from the company three years ago, unveiling a new high-rise proposal for a prominent Broadbeach corner site on Old Burleigh Road.

The application was submitted by an entity directed by Tom Jamieson, stepson of longtime Sunland leader Soheil Abedian, and Riaz Rezvanipour, brother-in-law of Sahba Abedian, Soheil’s son.

Sunland acquired the 1,283 sqm site on the corner of Old Burleigh Road and Armrick Avenue for $9.5 million late last year and is now seeking approval for a <a href="https://www.apartments.com.au/new-apartments/99-101-old-burleigh-road-broadbeach-qld-4218">42-storey tower with 81 apartments</a>.

<img alt="First look: Sunland Group returns to Broadbeach with new Old Burleigh Road tower plans" data-entity-type="file" data-entity-uuid="fea2946d-90ee-4cfc-babe-2a8ad5db2cb6" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/pers.png?VersionId=BV0fihJw31nDIQ8ozY_h3GbS8mxDyhnm" />

Designed by <a href="https://www.apartments.com.au/architects/contreras-earl-architecture">Contreras Earl Architecture</a>, the proposed tower at 99-101 Old Burleigh Road would deliver a predominantly larger-format apartment mix aimed at the owner-occupier market. Plans include 17 two-bedroom apartments, 55 three-bedroom apartments, and nine four-bedroom residences across 35 residential levels.

The development also incorporates three basement levels, four podium parking levels, two levels of communal recreation facilities, and rooftop plant and equipment. A total of 189 car spaces are proposed, significantly exceeding the 90 spaces required under the planning scheme.

The architecture adopts a sculpted, curvilinear form, with deep wraparound balconies and integrated landscaping intended to soften the tower’s vertical expression. The planning report states the building’s “slender footprint/form provides a complimentary yet varied built form within the local streetscape” and contributes to “a varied, yet ordered skyline.”

Contreras Earl noted in its Architectural Statement that from the early stages, the project addressed a fundamental challenge: how to accommodate the required residential yield while avoiding the conventional model of a tower sitting on a rigid, fully resolved parking podium.

“The most direct response would have been to consolidate parking into a singular, flat podium and extrude a repetitive tower above,” the statement said. “While efficient, this approach would result in a consolidated built form with limited engagement with the surrounding landscape and public realm.”

Instead, the conventional podium model was “deliberately rejected”. The architects described the base of the building as “a landscaped architectural condition where structure, planting and circulation are integrated”.

“Rather than presenting a continuous built mass, the base of the building is articulated through a series of concrete planter elements that organise the podium into a fragmented system,” the statement said. “This approach reduces the perceived bulk of the lower levels while establishing a more permeable interface with the streetscape and adjacent open space.”

<img alt="Sunland" data-entity-type="file" data-entity-uuid="923fad8d-c960-4527-8fbe-975cf1ddf88d" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-05-25%20at%2010.32.03%E2%80%AFAM.png?VersionId=pngwb0hYOIUpq9vDw6F2EsOiVuHF3DiX" />

&nbsp;

The site sits within the High Density Residential Zone and inside the City of Gold Coast’s unrestricted “HX” building height area, where the planning framework anticipates intensified residential development tied to the expanding light rail corridor. The planning report notes the area is undergoing “transition toward more intense development forms” given its proximity to Broadbeach, Surfers Paradise, and high-frequency public transport infrastructure.

Positioned directly opposite Broadbeach Park and within walking distance of Florida Gardens light rail station, the development would sit among a rapidly evolving stretch of Old Burleigh Road that has become one of the Gold Coast’s most active apartment development corridors.

The application joins a growing pipeline of luxury residential projects reshaping Broadbeach, including nearby developments by 5Point Projects, Polycell, and Graya.

The planning report argues the project contributes toward the Gold Coast’s long-term housing targets under the South East Queensland Regional Plan, which forecasts the need for more than 100,000 additional high-rise dwellings across the city by 2046.

<section data-scroll-anchor="false" data-testid="conversation-turn-4" data-turn="assistant" data-turn-id="request-WEB:84a2af5e-d7cf-4ddf-922a-f4d44d6c6caa-1" data-turn-id-container="request-WEB:84a2af5e-d7cf-4ddf-922a-f4d44d6c6caa-1" dir="auto">
The Abedian family departed Sunland Group in late 2023, ending a four-decade association with the company, and subsequently established the private development firm Abedian &amp; Co. The group is currently delivering <a href="https://www.apartments.com.au/new-apartments/greenmount-residences-cnr-hill-street-and-marine-parade-coolangatta-qld-4225">Greenmount Residences</a> at Rainbow Bay and recently launched <a href="https://www.apartments.com.au/new-apartments/18-mary-avenue-14-18-mary-avenue-broadbeach-qld-4218">18 Mary Avenue</a> in Broadbeach.
</section>

Joel Robinson

First look: Sunland Group returns to Broadbeach new apartment market with new Old Burleigh Road tower plans

The Minns Labor Government has established the new Bays West Delivery Authority to lead the development&nbsp;of the Bays West Precinct and Blackwattle Bay Precinct.&nbsp;

The Authority is charged with creating Sydney’s newest precinct, a thriving, connected, sustainable hub with White Bay Power Station as its cultural heart. Its vision is to build on the area’s natural, cultural and industrial history to shape a vibrant new neighbourhood.

The precinct will deliver up to 8,500 well-located homes, including a minimum of 10 per cent affordable and essential worker homes. Combine new housing with public open space, opening public access to the waterfront for the first time in more than 100 years, while retaining important deep-water facilities to support Sydney’s working harbour.

Located just minutes from the Sydney CBD and connected to a world-class metro, ferry, walking and cycling links, the Bays West precinct will rebalance housing growth towards well-serviced inner-city locations and help tackle the state’s housing crisis.

The Bays West Delivery Authority,&nbsp;an agency of the Department of Planning, Housing and Infrastructure, will report to the NSW Minister for Lands and Property who already has oversight of major precinct renewal projects including at Blackwattle Bay and Barangaroo.

As part of the broader Bays West transformation, the Minns Government recently announced that a proposal from Lendlease to redevelop part of the Bays West Precinct has progressed to Stage 2 of the NSW Government’s unsolicited proposals process.

<img alt="Sydney" data-entity-type="file" data-entity-uuid="2ed71eb9-d8e8-4fa7-b9d1-de4531dcf2f3" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-05-25%20at%209.42.31%E2%80%AFAM.png?VersionId=IDryFIbped9SNDg72LEN_EecvhUsOPvp" />

The Minns Labor Government has also confirmed the Bays West precinct will have a new suburb name. This will be the first major suburb built in close proximity to Sydney’s CBD in decades and will encompass the area currently being referred to as Bays West, including Glebe Island and the White Bay Power Station. Served by a new Metro station just five minutes from the CBD, it will become one of the most populous suburbs in the Inner West and one of Sydney’s premier cultural destinations.

An early works program is taking shape, which&nbsp;includes the first stages of an international design competition.&nbsp;

The aim of the Bays West&nbsp;International&nbsp;Design Competition is to&nbsp;ensure design excellence is embedded in the project from the start. The competition will deliver an&nbsp;urban framework that defines the character, ambition and long-term identity of&nbsp;this&nbsp;former industrial precinct as it transitions to a vibrant, inclusive and sustainable residential&nbsp;neighbourhood.

The competition will be led by the Bays West Delivery Authority in partnership with Government Architect NSW.&nbsp;

It will launch with an invitation for a global Expressions of Interest, before moving to an invitation-only stage that will be assessed by a panel that&nbsp;will provide advice to Cabinet who will select a winner.

Premier of NSW, Chris Minns said the establishment of the new Authority is the first step in transforming the Bays West precinct into a vibrant, livable suburb minutes from the Sydney CBD and two stops from Hunter St Station on the Metro West line.

“The Authority will deliver well-located homes close to the heart of the city and integrate the new precinct with Blackwattle Bay and the new Sydney Fish Market.

“This is a generational opportunity to build a new suburb on the city’s edge and open the harbour foreshore to the public for the first time in a century.”&nbsp;

Minister for Lands and Property Steve Kamper said the new Bays West Delivery Authority established by the Minns Government will turbocharge the development of Sydney’s newest suburb.

“The Authority is working at a record pace to deliver an international design competition, planning pathways and a financial model so that this development benefits Sydney with well-designed homes in a central location, close to public transport, jobs, entertainment and essential services.

“If we want Sydney to stay liveable and affordable, we need to be bold about using underutilised government-owned land to deliver homes for the future while making sure essential working harbour functions can be accommodated.”

Bays West Delivery Authority established to "turbocharge" Sydney’s newest suburb

Around 400 additional homes could be built at Southwark Grounds on Port Road, lifting total site capacity from 1300 to around 1700 dwellings.

A recently approved code amendment would allow apartment towers of up to 14 storeys in some areas of Renewal SA’s redevelopment of the former West End Brewery.

Renewal SA Acting Chief Executive Shane Wingard said he welcomed the code amendment, with the increase in heights and homes making a positive impact on the supply of high-quality, well-connected housing close to the city.

“By going higher across some parts of Southwark Grounds, we are adding a substantial number of very well-located homes with little impact on project delivery time or planned open space,” Mr Wingard said.

Since the project officially launched in 2025, Mr Wingard said more than 12,000 enquiries had been received about living at Southwark Grounds.

“The very strong early interest we’ve seen since homes were first released in the precinct reinforces our plans to create more housing opportunities,” he said.

The Southwark Grounds code amendment was launched in December last year, with community engagement undertaken over five weeks from January.

It proposed increasing maximum building heights from eight to 14 storeys on the eastern section of Southwark Grounds, and to 12 storeys across the remainder of the site, with minimum building heights ranging from two to four storeys.

The code amendment was implemented through an Early Commencement policy in late January, allowing developers to quickly explore the viability of increased height and housing yield while other planning processes continue.

One of the first developers delivering apartment sites have already finalised redesigns to increase the number of apartments following the code amendment.

Samaras’ development adjacent to the future Colonel Light Park is now planning to deliver 125 apartments across 11 storeys, significantly greater than original plans of around 50 apartments across four storeys.

The developer is also exploring the potential for additional affordable housing outcomes.

Most of the apartments at Southwark Grounds will be delivered within a master-planned precinct on a large parcel of land on the eastern portion of the site, covering around two-thirds of its 8.4 hectares.

Wingard said detailed precinct planning over the coming months may identify further opportunities to increase yield further that could see total apartment numbers at Southwark Grounds, exceed this number.

Affordable homes at Southwark Grounds will also see a net increase, with Renewal SA maintaining its commitment to a minimum of 20 per cent affordable housing across the development.

&nbsp;

&nbsp;

Civil works have begun across the site, with construction under way on the first new roads surrounding a townhouse precinct in the south‑west corner of Southwark Grounds. This includes Renewal SA’s 17 Founder’s Row homes, which are on track for completion by Christmas.

“We expect to have people living at Southwark Grounds by the end of the year, so delivering roads and public spaces for those residents is among our highest priorities.”

Construction of 40 townhouses off Anderson Street, known as West Village and being delivered by Contour, is forecast to begin in mid‑2026. Kolabb’s Anderson Lane development will follow shortly after, delivering a further 26 townhouses.

Southwark Grounds is a state government‑led urban renewal project now set to deliver around 1,700 homes over the next decade.

Homes will be supported by a supermarket, a range of retail and hospitality offerings anchored by a revitalised Walkerville Brew Tower, a childcare centre, car parking and well‑connected public spaces.

400 new homes planned for Adelaide's former West End Brewery site

Brisbane developer&nbsp;<a href="https://www.apartments.com.au/developers/cavcorp">Cavcorp</a> has lodged plans for a new mixed-use residential development at <a href="https://www.apartments.com.au/new-apartments/55-wyandra-street-teneriffe-qld-4005">55 Wyandra Street</a>, Teneriffe, anchored by an 85-metre public laneway designed to reconnect the suburb’s riverfront with the Gasworks precinct.

The buildings, known as Teneriffe House and Teneriffe Lane, would replace the existing Queensland Cotton head office site with a 15-storey residential tower transitioning to eight storeys toward Helen Street. The project has been designed by Plazibat Architects and lodged as a code assessable development application for 93 apartments across a 3,401 sqm mixed-use site within the Newstead and Teneriffe Waterfront neighbourhood plan.

Central to the scheme is the transformation of an existing service easement into a publicly accessible cross-block connection linking Wyandra and Helen Streets. Cavcorp says the new laneway will act as both a pedestrian shortcut and a landscaped civic space between the Teneriffe Riverwalk, ferry terminal, and Gasworks precinct.

<img alt="First Look: Cavcorp unveils Teneriffe House and Teneriffe Lane plans for landmark wellness tower in Teneriffe" data-entity-type="file" data-entity-uuid="26e7f058-b065-4de8-b13d-a2b8cb64dfcc" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/bldg.png?VersionId=sELS0ZKYi361oYipUa1BIKfe_.DLZoFV" />

“The revised proposal delivers a legacy public-realm cross-block link, permanently secured for community use, transforming an existing private easement into a safe, high-quality pedestrian connection between the Teneriffe heritage riverwalk and the Gasworks–Long Island precinct,” the planning report states.

The laneway will sit beneath a large subtropical loggia integrated into the podium levels of the development. The design incorporates deep landscaping, water gardens, lobby spaces, business lounges, and ground-floor apartments to create what Cavcorp describes as a climate-responsive “urban verandah.”

The tower itself has been designed as a slender form with recessed floorplates and curved translucent corners inspired by contemporary Japanese architecture. The building height aligns with the Commercial Road precinct controls, which permit towers up to 15 storeys within proximity to Longland Street.

<img alt="First Look: Cavcorp unveils Teneriffe House and Teneriffe Lane plans for landmark wellness tower in Teneriffe" data-entity-type="file" data-entity-uuid="a8a17d40-43b6-4718-b3fd-67676fcbb485" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/pers%202_1.png?VersionId=i3VwDtp5AmL_8InW7w4qRbDFEpb744Jt" />

The project will comprise a mix of larger-format apartments aimed at owner-occupiers, downsizers, and families. The proposed apartment mix includes 11 loggia apartments across the lower levels, 50 four-bedroom Sky-Terrace apartments from levels three to seven, and 32 Sky-Pool Homes occupying the upper tower levels. The Sky-Pool Homes will feature private thermal plunge pools integrated into oversized balconies.

According to the application, the apartments are intended to reinterpret the scale and character of Teneriffe’s woolstore conversions and Queensland homes within a vertical residential format.

“The sky-pool homes build on Cavcorp’s previous projects and introduce a distinct apartment typology to Teneriffe, informed by both local and international precedent and responding to an identified market demand for enhanced safety, space and amenity,” the planning submission notes.

A major focus of the proposal is its five-level wellness and lifestyle offering, extending from the basement through to the rooftop.

Amenities proposed include a rooftop Swim &amp; Racquet Club with a 25-metre Olympic lap pool and tennis court, coworking spaces and libraries, golf simulators, wine storage, concierge facilities, business lounges, pet wash areas, and rooftop longevity-focused wellness spaces with spas, outdoor fitness zones, and landscaped terraces.

<img alt="First Look: Cavcorp unveils Teneriffe House and Teneriffe Lane plans for landmark wellness tower in Teneriffe" data-entity-type="file" data-entity-uuid="944b352c-49b9-4247-a4c6-5967b4b69fda" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/amenity.png?VersionId=Ed_qKjAtMwFT.5gfl3jiA9QwdWxSMsaX" />

All parking will be concealed within basement levels accessed from Wyandra and Helen Streets. Cavcorp says the deep-basement engineering approach allows the entire ground plane to prioritise landscaping, pedestrian movement, and active frontage rather than vehicle infrastructure.

The development continues Cavcorp’s concentration in Newstead and Teneriffe, where the Brisbane developer has delivered a number of apartment projects including Lucent, Le Bain, and Luminare, as well as the Long Island Wellness Precinct nearby. Several of those projects have received national design and architecture awards, including recognition under Brisbane’s “Buildings that Breathe” program.

Cavcorp unveils wellness-focused Teneriffe House and Teneriffe Lane apartment buildings

Focus Group Investments has lodged plans for a new apartment development at <a href="https://www.apartments.com.au/new-apartments/64-70-hanover-street-fitzroy-vic-3065">64–70 Hanover Street</a> in Fitzroy, seeking to utilise the Victorian Government’s recently introduced Great Design Fast Track pathway to accelerate approvals for the project.

The proposal is among the latest developments to emerge through the state-led initiative, which was established to fast-track well-designed residential projects in activity centres and transport-connected inner-city locations. The pathway allows qualifying developments that meet elevated design and housing benchmarks to bypass traditional council planning timeframes and instead be assessed directly by the Department of Transport and Planning.

Designed by SJB, the development will comprise a mix of apartments above activated lower levels, with a strong focus on architectural articulation, landscaping, and communal amenity. The design response seeks to balance the industrial character of Richmond’s former warehouse precincts with a more contemporary residential form.

<img alt="First look: Focus Group Investments taps Victoria’s Great Design Fast Track for Richmond apartments" data-entity-type="file" data-entity-uuid="abea51cc-d85b-479e-9aef-a589f3b37ca7" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/ground.png?VersionId=e1Kf8EyPWwyiVumtqQ4rM5S4GpOR3CCz" />

Proposed are 63 new dwellings, a wide ranging mix of studio, one-, two-, and three-bedroom apartments, and townhouses and duplexes. They will be spread across a part-three, part-eight storey building.

The Planning and Urban Context Report by Tract says the development is of an "exemplary architectural standard" and has been carefully crafted by SJB Architects.

"Dwellings&nbsp;will benefit from excellent access to natural light, cross-ventilation opportunities and extensive communal space," the report noted.

The architectural material highlights the project’s integration of landscaped elements and communal spaces throughout the building. The proposal also incorporates sustainability initiatives aligned with the Victorian Government’s push for higher-performing apartment developments under the fast-track program.

The Great Design Fast Track was unveiled by the Victorian Government in 2024 as part of a broader housing supply strategy aimed at accelerating the delivery of new homes. Projects assessed through the pathway must demonstrate high-quality architecture, sustainability outcomes, and housing diversity while being located close to public transport and existing infrastructure.

<img alt="First look: Focus Group Investments taps Victoria’s Great Design Fast Track for Richmond apartments" data-entity-type="file" data-entity-uuid="afdbe834-8dc4-4a77-a943-ba07bc927348" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/site_11.png?VersionId=0J657j.TaChAZfp93wqJYBTqSsnREJx2" />

Focus Group, founder and led by Paul De Lutiis, is increasingly active across Melbourne’s inner suburbs, targeting well-connected urban renewal locations suited to medium and higher-density residential development. The Fitzroy proposal continues that strategy, leveraging the area’s strong transport links, established retail amenity, and proximity to the CBD.

Fitzroy has been one of the most popular spots for developers and buyers in recent years. The likes of PACE Development Group, SMA Projects, Crema Group and Chapter Group, currently selling projects in the suburb.

Cameron Kusher

Editor's Picks

Have something to contribute?

Developments

New apartments

New townhouses

News