<html><body>
Regional areas have outperformed capital cities in the year to March, according to ANZ.
"Despite being lower in annual growth terms, regional house prices have been more stable than capital city house prices, which have seen larger price falls across all major states and territories," notes the Australian Housing Chartbook.
The bank expects the ACT market to remain soft in the year ahead.
"While we continue to expect continued divergence within South Australia and ACT regional housingmarkets, a broadly soft economic outlook for the South Australia and ACT economies combined withrelatively balanced housing markets should contain house price growth in the coming year across most regions."
Click to enlarge
<a title="Click to enlarge" rel="shadowbox" href="/images/stories/2012/07/anzjuly103.gif"><img src="/images/stories/2012/07/anzjuly103thumb.gif"></a>
Source RP Data, Rismark, ANZ
 
</body></html>

cknowlton-QnEa6ntUYP

North-south divide in Canberra as South Canberra records negative house price growth in year to March: ANZ

<html><body>
In the Northern Territory, only the region of Barkly had positive house price growth in the year to March, according to ANZ in its Australian Housing Chartbook.
However, the bank is optimistic about NT regional areas in the year ahead, forecasting resources projects to have a flow-through effect on housing prices in the territory. 
"The outlook for house price growth across the Northern Territory regions is buoyant, with significant mining and energy investment (i.e., Icthys gas project) expected to drive solid state economic growth and broad regional houseprice increases through the second half of 2012 and through 2013," says the Australian Housing Chartbook.
Click to enlarge
<a href="/images/stories/2012/07/anzjuly102.gif" rel="shadowbox" title="Click to enlarge"><img src="/images/stories/2012/07/anzjuly102thumb.gif"></a>
Source RP Data, Rismark, ANZ
 
</body></html>

Barkly the only NT region to record house price growth in the year to March: ANZ

<html><body>
In 1999, when the Australian pay-TV industry was less than four years old, Foxtel CEO Tom Mockridge made a prediction: a big, bold and?—?as it turned out?—?wildly incorrect prediction. Within 10 years, he said, pay-TV would be installed in three-quarters of Australian homes.
Yet by 2009 only 29% of Australian homes had pay-TV.
Today, according to stockbroking firm CCZ Statton Equities, it’s currently at 28%?—?one of the lowest rates in the developed world.
Mockbridge’s over-optimism hasn’t stopped Richard Freudenstein, who replaced Kim Williams as CEO last year, from publicising his own lofty goals for the industry. In March, he announced an ambition to lift the take-up of pay-TV to 50% (though he didn’t apply a deadline to the target).
None of the media analysts contacted by Crikey for this story believe this will happen?—?ever. They say despite News Limited’s bid to lift its stake in Foxtel from 25 to 50%, the take-up of traditional pay-TV has already peaked?—?and will soon start to decline.
“There is no indication whatsoever that pay-TV in its current form will grow to 50%,” said veteran telecommunications consultant Paul Budde. “No way.”
Even securing AFL broadcasting rights last year, at a cost of $530 million, hasn’t boosted customer numbers significantly, Foxtel sources told The Australian Financial Review last month. There’s also no sign the Olympics?—?to air on Foxtel over eight channels later this month?—?has led to a spike either.
“They want to paint a picture of a beautiful blue sky: we’re thundering along, people are joining us, we’re growing,” said media analyst Steve Allen. “But that’s marketing and spin. At the pricing model they have now they’re not likely to get much growth.”
Cost, Allen says, is the major reason why the Australian pay-TV penetration rate dwindles behind the US (90%) or UK (60%). Signing up to pay-TV here costs far more than the US or most of Europe.
Other factors have applied a handbrake on growth, according to Citi analyst Justin Diddams. Pay-TV, he says, has had the best take-up in countries where providers bundle it together with other telephony services such as broadband or mobile phone deals. In the UK, for example, BSkyB has given away free broadband to lift subscriber numbers. In Australia this hasn’t been possible because Telstra?—?which owns 50% of Foxtel?—?won’t allow the pay-TV provider to sell broadband connections.
Our tough anti-siphoning laws also haven’t helped either. Nor has the arrival of Freeview, which allows people to watch for free the type of content they used to have to pay for.
None of this bad news, it’s important to point out, has stopped Foxtel from making serious dough. Although relatively few Aussies are prepared to fork out for pay-TV, those who do are willing to pay a lot. Last year, the company increased full-year earnings by 15.5%, despite subscriber numbers only rising by around 18,000.
This business model, however, is on its last legs thanks to the arrival of Internet Protocol Television (IPTV)?—?a technology that streams TV and video services via the internet direct to computer, television set or game console. The industry is still in a nascent stage, but is expected to grow rapidly in the next decade with the proliferation of high-speed broadband.
“The traditional model of pay-TV is on the way out,” said Paul Budde. “People will always be interested in good content?—?movies and sport?—?but the format in which it’s currently delivered is a dying concept.”
Roger Colman, head of media at CCZ Statton Equities, agrees. According to his firm’s projections, next year will be the last year of subscriber growth for traditional subscription television. By 2017, he expects around a fifth of households to have satellite or cable pay-TV while IPTV will be approaching 50% penetration.
Chris Coughlan, research director at technology analyst firm Telsyte, says the growth of IPTV represents both an ”opportunity and a threat” for Foxtel.
The opportunity: many more customers. The threat: many more competitors?—?including Fetch TV, Apple TV, Netflix and, ironically, Telstra, which is taking on Foxtel with T-Box, which offers movies on demand and live sport.
“It’ll be a fine balancing act to package up the IPTV channels so they don’t cannibalise the existing plantium users?—?those who get all the services, not just bits and pieces,” said Coughlan. “They’ll have to be very clever.”
Steve Allen reckons Foxtel will have much lower profit margins in five years time. It will also have to spend big on original programming to maintain viewers (an outcome that would be a boon for the Australian entertainment industry).
Roger Colman is far more optimistic than his counterparts. Foxtel, he asserts confidently, will make more money in the IPTV era than it does now. ”It’s a simple equation,” he said. “There are no real competitors of any import.”
Foxtel, Colman says, is expanding into IPTV far more aggressively than it’s making out and is already stiching up deals with major Hollywood studios for Australian IPTV rights.
Despite the widespread assumption that the internet leads to fragmentation, Colman says real-world experience shows that it also leads to monopolies. In the US, Amazon has around 80% of the online book market, Netflix owns 90% of the online DVD market, while iTunes has around 90% of digital music sales.
He expects Foxtel will achieve the same market dominance in Australia for IPTV and is telling his clients to bank on it.
Crikey approached Foxtel CEO Richard Freudenstein for comment but he was unavailable.
This article originally appeared on <a target="_blank" href="https://www.crikey.com.au/">Crikey</a>.
</body></html>

Why less than a third of Australians have pay-TV in their homes

<html><body>
Regional areas have outperformed capital cities in the year to March, according to ANZ, but not a single region in Tasmania recorded positive house price growth for the year to March.
"Despite being lower in annual growth terms, regional house prices have been more stable than capital city house prices, which have seen larger price falls across all major states and territories," notes the Australian Housing Chartbook.
"While regional house price growth in most states have been dispersed between increasesand decreases, Tasmania’s regional house prices were all lower in the year to March 2012, reflecting the relativelysoft economy and weak labour market conditions."
Click to enlarge
<a rel="shadowbox" href="/images/stories/2012/07/anzjuly101.gif" title="Click to enlarge"><img src="/images/stories/2012/07/anzjuly101thumb.gif"></a>
 
Source RP Data, Rismark, ANZ
 
</body></html>

All Tasmanian regions recorded negative house price growth for the year: ANZ 

<html><body>
Regional areas have outperformed capital cities in the year to March, according to ANZ.
"Despite being lower in annual growth terms, regional house prices have been more stable than capital city house prices, which have seen larger price falls across all major states and territories," notes the Australian Housing Chartbook.
"Across states/territories and regions, house price growth has continued to differ, reflecting varying economic performance across Australian industries."
"House price growth in WA regional centres has counter-intuitively been the weakest, with house prices in many centres lower in the year to March," says the report.
"While we continue to expect continued divergence within South Australia and ACT regional housingmarkets, a broadly soft economic outlook for the South Australia and ACT economies combined withrelatively balanced housing markets should contain house price growth in the coming year across most regions."
Click to enlarge
<a rel="shadowbox" href="/images/stories/2012/07/anzjuly10.gif" title="Click to enlarge"><img src="/images/stories/2012/07/anzjuly10thumb.gif"></a>
 
Source RP Data, Rismark, ANZ
 
</body></html>

West Coast and Barossa Valley lead SA house price growth, with sour grapes for McLaren Vale owners: ANZ 

<html><body>
The new financial year brings with it plenty of opportunities for Australian entrepreneurs, along with severe challenges for certain sectors.
So which industry will fly and which will fall in 2012-13?
Business information research firm IBISWorld has compiled a list of those set for growth and those set for hard times in the coming 12 months:
<table style="width: 470px;" border="1" cellpadding="0" cellspacing="0"><tbody>
<tr>
<td width="290">
Industries to fly
</td>
<td valign="top" width="138">
Growth 2012-13
(%)
</td>
<td valign="top" width="142">
Revenue 2012-13
($million)
</td>
</tr>
<tr>
<td width="290">
Diamond and Gemstone Mining
</td>
<td width="138">
35.6
</td>
<td width="142">
509.3
</td>
</tr>
<tr>
<td width="290">
Electricity Generation
</td>
<td width="138">
28.7
</td>
<td width="142">
19,100.0
</td>
</tr>
<tr>
<td width="290">
Preschool Education
</td>
<td width="138">
26.0
</td>
<td width="142">
1,100.0
</td>
</tr>
<tr>
<td width="290">
Superannuation Funds
</td>
<td width="138">
21.2
</td>
<td width="142">
232,800.0
</td>
</tr>
<tr>
<td width="290">
Organic Farming
</td>
<td width="138">
14.9
</td>
<td width="142">
578.9
</td>
</tr>
</tbody></table>
 
<table style="width: 470px;" border="1" cellpadding="0" cellspacing="0"><tbody>
<tr>
<td width="292">
Industries to fall
</td>
<td width="135">
Change 2012-13
(%)
</td>
<td width="141">
Revenue 2012-13
($million)
</td>
</tr>
<tr>
<td width="292">
Iron and Steel Manufacturing
</td>
<td width="135">
-15.6
</td>
<td width="141">
8,300.0
</td>
</tr>
<tr>
<td width="292">
Cotton Growing
</td>
<td width="135">
-8.3
</td>
<td width="141">
2,500.0
</td>
</tr>
<tr>
<td width="292">
Recorded Media Manufacturing and Publishing
</td>
<td width="135">
-6.1
</td>
<td width="141">
861.1
</td>
</tr>
<tr>
<td width="292">
Pulp, Paper and Paperboard Manufacturing
</td>
<td width="135">
-5.2
</td>
<td width="141">
3,200.0
</td>
</tr>
<tr>
<td width="292">
Gaming and Vending Machine Manufacturing
</td>
<td width="135">
-5.0
</td>
<td width="141">
417.0
</td>
</tr>
</tbody></table>
 Industries expected to fly:
1. Diamond and gemstone mining
The global financial crisis resulted in far lower demand for resources – including diamonds and gemstones.
Demand has started to recover globally and the rebound will be driven by higher production levels (up 39.5%), while prices are also expected to stabilise in 2012.
Significantly, 93% of Australian production is exported, and IBISWorld expects this to continue in the face of a very strong Australian dollar – resulting in forecast revenue growth of 35.6% over 2012-13 to reach $509.3 million.
IBISWorld identifies India as the key export market for Australia’s diamonds and gemstones. India uses the diamonds for industrial tools and jewellery.
2. Electricity generation
The electricity generation industry is forecast to grow strongly over the coming year, largely driven by the flow-on effects of the carbon tax – as the industry is the largest contributor of carbon dioxide in Australia at 32% of total emissions.
Victorian electricity generators that burn brown coal will be hardest hit by carbon pricing, followed by generators that burn black coal (mainly in New South Wales and Queensland).
Trends in electricity demand, production and prices are expected to be broadly reflected in industry performance. Low-cost producers will be able to take advantage of short-term increases in demand and are anticipated to perform well in the coming year.
Overall, IBISWorld expects industry profitability will be compressed by the introduction of carbon pricing, meaning profit will rise, but at a much slower rate than revenue. Electricity generation industry revenue is forecast to increase 28.7% over the coming year to reach $19.1 billion.
3. Preschool education
Over the coming financial year, IBISWorld expects the preschool education industry to grow by 26% and to be worth $1.1 billion.
Growth is expected to be driven primarily by additional funding, equating to $297 million over 2012-13, from the Australian Government to support reforms aimed at standardising preschool education.
The Australian government’s universal access policy is expected to increase demand for preschool services and increase total childcare hours.
All state governments have agreed that by the end of 2013, all four-year-old children will have access to 15 hours of preschool per week, 40 weeks of the year. These services are to be delivered by an early childhood teacher with four years of university training.
4. Superannuation funds
After four consecutive poor years, IBISWorld expects a return in confidence and favourable investment conditions in 2012-13. This is expected to result in growth of 21.2% for the superannuation funds industry to reach $232.8 billion.
This growth will be off a low base, following the revenue decimation experienced during the global financial crisis.
5. Organic farming
Over the past five years, Australia’s organic farming industry has grown at a robust pace of 11.6% per annum, and IBISWorld expects the industry will continue to soar, increasing its revenue by 14.9% over 2012-13 to be worth $578.9 million.
Demand for organic produce has been mainly driven by growing consumer interest in sustainable food production and rising disposable incomes.
Supermarkets have responded quickly to increasing demand for organic products by increasing organic product ranges to improve accessibility. This has resulted in supermarkets accounting for around 60% of all organic sales.
However, IBISWorld expects supply constraints – particularly in the meat segment due to the lack of an organised supply chain in regards to organic feed, abattoirs and processors – will continue to limit industry growth.
 
<hr class="system-pagebreak">
 
Industries expected to fall:
1. Iron and steel manufacturing
Australia’s iron and steel manufacturing industry has been in long-term decline due to a reduced global demand for Australia’s high priced manufactured steel.
Australia’s steel market has been further disadvantaged globally due to the high Australian dollar, which is expected to remain high, resulting in a forecast export decline of about 45% over the coming year.
BlueScope’s decision to exit the export market and reduce production capacity is indicative of this decline.
IBISWorld forecasts Australia’s iron and steel manufacturing industry will decline by 15.6% in 2012-13 to be worth $8.3 billion.
2. Cotton growing
Globally, cotton supply is expected to continue to exceed demand over the coming year, resulting in a fall in global cotton prices. IBISWorld forecasts that decreased demand for cotton from China, coupled with steady, healthy cotton production levels, will result in a fall of 8.3% in industry revenue over the coming year to reach $2.5 billion.
3. Recorded media manufacturing and publishing
Physical media manufacturing is inextricably tied to retail sales. Over the five years to 2012-13, the amount of CDs sold will drop by an estimated 11% annually to about 30 million – as consumers opt to digitally download everything from music, to movies and video games.
To combat this, the industry is looking to reinvent itself by developing music and video players that play digital media files. However, online file downloading and sharing still poses a huge threat for the industry.
In 2012-13, IBISWorld forecasts revenue for Australia’s recorded media manufacturing and publishing industry will decline 6.1% to be worth $861.1 million.
4. Pulp, paper and paperboard manufacturing
The increasing digitisation of media has had an adverse affect on a number of downstream industries, including Australia’s pulp, paper and paperboard manufacturing industry.
The increasing digitisation of media lowers the need for paper printing and publishing.
Confounding this is the continuing high price of woodchips, which further encourages the trend away from paper products.
Delays in the development of several key production sites – due to uncertain economic times and strong lobbying efforts by protest groups – has further affected industry productivity and profitability. In the coming year, industry revenue is forecast to decline by 5.2% to reach $3.2 billion.
5. Gaming and vending machines manufacturing
Over the past five years, the number of poker machines in Australia has contracted as state government caps have come into play – limiting the potential purchases of gaming machines.
Like many of Australia’s manufacturing industries, production activity has gradually relocated from Australia to countries with lower production costs.
This trend is increasing import competition, which is supported by the strong Australian dollar, making imported goods less expensive for local buyers.
This trend is expected to continue over 2012-13, contributing to a forecast industry revenue decline of 5% to reach $417 million.
Karen Dobie is the general manager of IBISWorld Australia. For more information on these, or any of Australia’s 500 industries, <a href="https://www.ibisworld.com.au/" rel="nofollow">click here</a>. This article first appeared on <a href="https://www.startupsmart.com.au/" rel="nofollow">StartupSmart</a>.
</body></html>

Organic farming set to fly in 2012-13 as manufacturing set to flounder: IBISWorld

<html><body>
<img src="/images/stories/2012/07/6point1percent.gif">
The median rental yield for Darwin units in June, according to RP Data.
<hr>
<img src="/images/stories/2012/07/5point8percent.gif">
The median rental yield for Canberra units in June, according to RP Data.
<hr>
<img src="/images/stories/2012/07/5point5percent.gif">
The median rental yield for Brisbane units in June, according to RP Data.
 
<hr>
<img src="/images/stories/2012/07/5point4percent.gif">
The median rental yield for Hobart units in June, according to RP Data.
 
<hr>
 
<img src="/images/stories/2012/07/4point9percent.gif">
The median rental yield for Perth units in June, according to RP Data.
 
<hr>
 
<img src="/images/stories/2012/07/4point9percent.gif">
The median rental yield for Sydney units in June, according to RP Data.
 
<hr>
<img src="/images/stories/2012/07/4point8percent.gif">
The median rental yield for Adelaide units in June, according to RP Data.
 
<hr>
<img src="/images/stories/2012/07/4point5percent.gif">
The median rental yield for Melbourne units in June, according to RP Data.
</body></html>

Capital city unit rental yields by the numbers, with Darwin providing the highest returns for property investors: RP Data

<html><body>
Regional areas have outperformed capital cities in the year to March, according to ANZ.
"Despite being lower in annual growth terms, regional house prices have been more stable than capital city house prices, which have seen larger price falls across all major states and territories," notes the Australian Housing Chartbook.
"Across states/territories and regions, house price growth has continued to differ, reflecting varying economic performance across Australian industries."
"House price growth in WA regional centres has counter-intuitively been the weakest, with house prices in many centres lower in the year to March," says the report.
"Of note, house price growth in the Greenough River and Moore regions weremuch weaker in March 2012 (-6.5% and -4.7% respectively) compared to September 2011 (+1.3% and +0.6%respectively). Nonetheless, the economic benefits from major mining and energy projects in WA should boost house prices in many WA major regional centres over the next 12-18 months."
Click to enlarge
<a rel="shadowbox" href="/images/stories/2012/07/anzjuly94.jpg" title="Click to enlarge"><img src="/images/stories/2012/07/anzjuly94thum.jpg"></a>
 
Source RP Data, Rismark, ANZ
 
</body></html>

Johnston and Kalgoorlie strongest regional WA housing markets, with Hotham prices languishing: ANZ

<html><body>
Regional areas have outperformed capital cities in the year to March, according to ANZ, with Gladstone leading the way in Queensland. 
"Despite being lower in annual growth terms, regional house prices have been more stable than capital city house prices, which have seen larger price falls across all major states and territories," notes the Australian Housing Chartbook.
"Across states/territories and regions, house price growth has continued to differ, reflecting varying economic performance across Australian industries."
"Queensland has shown the greatest intra-state variation in regional house prices, reflecting the divergenteconomic performance of regions exposed to the tourism sector (i.e. Cairns, Gold Coast) and mining-relatedservices (Gladstone, Mount Isa)," the report says.
Click to enlarge
<a title="Click to enlarge" href="/images/stories/2012/07/anzjuly93.jpg" rel="shadowbox"><img src="/images/stories/2012/07/anzjuly93thumb.jpg"></a>
 
Source RP Data, Rismark, ANZ
For information on investing in property in Queensland mining hotspots, read our free eBook <a href="http://propertyobserver.com.au/ebooks/free-ebook-property-investing-in-queenslands-resources-boom">Property investing in Queensland’s resources boom</a> 
</body></html>

Investor darling mining town Gladstone strongest Queensland regional housing market, while Bundaberg struggles like the Gold Coast

<html><body>
Regional areas have outperformed capital cities in the year to March, according to ANZ.
"Despite being lower in annual growth terms, regional house prices have been more stable than capital city house prices, which have seen larger price falls across all major states and territories," notes the Australian Housing Chartbook.
"Across states/territories and regions, house price growth has continued to differ, reflecting varying economic performance across Australian industries."
Click to enlarge
<a title="Click to enlarge" href="/images/stories/2012/07/anzjuly92.jpg" rel="shadowbox"><img src="/images/stories/2012/07/anzjuly92thumb.jpg"></a>
 
Source RP Data, Rismark, ANZ
</body></html>

Bendigo strongest Victorian regional housing market, far outperforming Shepparton: ANZ

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

Joel Robinson

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

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

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

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

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

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

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

Sherpa sells out Flourish Oasis in booming Palm Beach

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

Cassidy Knowlton

Editor's Picks

Have something to contribute?

Developments

New apartments

New townhouses

News