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Buying a property is one of the biggest investment decisions you will ever make, so it’s important you get it right. Firstly, you must consider what you can afford. Once you have a budget in mind, you can assess your options and decide on which investment type will best suit your individual requirements – an apartment or a house? With the right knowledge and information at your disposal, you can more easily determine which type of property will give you greater capital growth and rental returns.
We are often asked whether a house or a unit/apartment will provide a better overall investment, especially in terms of wealth creation or early retirement goals. Our response to that is historically, houses have always outperformed units in terms of capital growth.
The old investment adage of “land appreciates, buildings depreciate” has held true. However, times are changing, and we’re now starting to see good capital growth levels with apartments.
Consider the following list of pros and cons for both property types to help make your purchase decision easier.
Pros of buying an apartment/unit
• Lower entry-level purchase prices 
There are many good-quality apartments around, for half the cost you would pay for a house. Getting started and saving for a deposit is more achievable and means you can own a property sooner rather than later.
• Low-maintenance living 
Fixing, repairing and general upkeep of a property can be a lot of hard work, especially if you are short on time and money. Apartments generally require less care and maintenance than a house, which makes it ideal for socially active professionals or baby boomers looking to downsize.
• Less expensive to renovate 
Polishing up an apartment with a coat of paint, changing door handles and installing new appliances can really help to sharpen the appeal of an apartment. This can often be achieved at minimal cost, saving you lots of money when compared to renovating a larger home.
• Higher rental returns 
Apartments usually generate a stronger rental yield than a house. The increased demand for apartment rentals will ensure good investor returns over the long term.
Cons to buying an apartment/unit
• High body corporate fees
Depending on the type of apartment you buy, the body corporate fees can sometimes be excessively high. Quarterly payments will often go towards maintaining shared facilities such as laundry, lifts, gymnasium, pool and outdoor entertainment areas.
• High-density living
Not everyone will share the same ideals or standards as your own; some apartments have thin walls and poor insulation, which can mean high noise levels and a general lack of privacy. In many ways, you are powerless to change your environment.
• Buying off the plan 
Modern apartments in high-density developments can often attract very slow capital growth. Resale is usually not that strong, with the land value worth less than 10% of the purchase price.
• Smaller living spaces 
If you are accustomed to more expansive living arrangements, this may present a problem. Some apartments can lack key storage space and can be difficult to navigate in freely.
 
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Pros to buying a house
• More potential for capital growth
The main reason most people buy into real estate is to make money. Houses generally have a larger land size value, which gives you greater flexibility and choice to develop, sub-divide and extend if required.
• More privacy and feeling of space
Communal space can never match the appeal of your own private garden. Houses are more generously proportioned offering you a greater sense of privacy and space. Young families can take advantage of larger outdoor areas with the added bonus of keeping as many pets as you want.
• Appeals to a larger cross-section of buyers 
You will never have a shortage of interested buyers with a house. Demand will be always be stronger if you can appeal to a diverse range of potential buyers such as first-home owners, investors and young families.
• No shared land/or owners’ corporation costs 
The good thing about a house is you have more control over what to spend your money on. Rather than being locked into paying quarterly levies, you ultimately get to decide on what needs to be fixed today, tomorrow or next month. The choice is yours.
Cons to buying a house
• Higher stamp duty and interest costs 
Owning your dream home requires much effort and financial consideration. Spending that little bit extra to have the home you really want can often mean higher stamp duty costs and loan interest fees.
• Higher maintenance and renovation costs
A house will always have higher structural and renovation costs such as plumbing and electrical work. If something unforseen occurs such as a roof leak or the hot water system breaks down, you are solely responsible for that. Not to mention the increased monthly expenses such as council rates and utility charges.
• Lower rental returns and reduced cashflow for investors
In general, properties with higher capital growth have lower rental returns. To increase the rental yield of a house, you would need to invest money on renovating or further developing it into a high-growth property.
• Fewer tax deductions and depreciation benefits for investors 
There are always eligible items that can be depreciated and go towards minimising your tax liability such as carpet and kitchen appliances. Newer homes tend to offer greater tax depreciation benefits rather than older, more established homes.
Frank Valentic is managing director of award-winning buyers' agency <a target="_blank" href="https://www.advantageproperty.com.au/">Advantage Property Consulting.</a>
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Is a house or an apartment a better investment?: Frank Valentic

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Owning a home has long been a dream for most Australians.  In recent years, the property squeeze has forced many potential buyers to look at other alternatives such as units and apartments. With people living busier lifestyles today, apartment living is proving to be a very popular option.
In fact, over a quarter of our population (27.3%) are now living in units and apartments.  More people are choosing to leave the quarter-acre suburban block behind that was popular in the 1990s and opting for the “lock-up-and-leave” advantages of an apartment.
Consider also the hundreds of thousands of immigrants moving here from Europe and Asia, with many of them also buying apartments. In these parts of the world, apartment living is the norm – generally because it is very affordable compared with buying a house. Low-maintenance living is the way of the future and in my opinion, is here to stay.
With the above information in mind, it would be remiss of me not to mention the flipside of apartment buying. To avoid purchasing a “lemon”, be prepared to do some homework, as it will save you lots of dollars and heartache in the long run.
Not all apartments will make profitable investments, mainly because some of them achieve minimal capital growth over the long term.  This is due to a multitude of factors and may include things such as: exorbitant body corporate fees that eat into your rental returns, buying in a low-growth location or simply buying in a bad position.
Our buyers’ agency has adopted a strict “investment-grade” criteria in helping over 2,000 buyers purchase apartments in the last 12 years.
So what are some of the advantages of apartment living?
•             Less repair work – An apartment will generally require far less maintenance and repair work than a house, which will always have more structural issues including plumbing, wiring, stumping, roofing and much more.
•             Minimal maintenance and general upkeep – Houses generally require more attention in terms of ongoing maintenance than that for apartments. There is no need to mow the lawn or do the gardening.  Leave this to body corporates. Enjoy more time to yourself on weekends to do the things you love.
•             Access to leisure facilities – Depending on what you buy, you might have access to communal leisure facilities such as swimming pools, gymnasiums, barbecue areas and bar/restaurants.
•             Higher investor returns – For investors, the returns are generally 1 to 2% higher than for houses.  This results in better cashflow and less money out of investor’s pockets.
 
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So how do you avoid buying a “lemon”?
Here are some of the things we look for that will make your next apartment purchase easier and more profitable.
1.            Scarcity value 
Ensure you buy an apartment in areas where the local council has strict height planning controls.  This will ensure you are not competing with thousands of new apartments each year.  If you look at areas like Elwood or St Kilda, height controls are generally restricted to four-level high buildings. This ultimately adds more scarcity value when compared to buying in Port Melbourne or South Melbourne, where new high-rise towers can shoot up like mushrooms every month.
2.            Land value
Apartments can still have “land value” if you buy in small boutique blocks of 10 or fewer. Make sure you are not one of 100 or more apartments, as this will substantially diminish your land-to-value ratio.  Remember, it is the land that appreciates and this will ultimately determine your property’s value and growth potential. Keep in mind, low-rise buildings where fewer units share the benefits of rising land values will increase in price faster than high-density developments. Therefore, buying an apartment in any high-rise building would be a costly mistake, as you would be compromising on land value and hence, future capital growth potential.
3.            Location
The three golden rules in real estate 101:  1.Location! 2.Location! 3.Location! Buyers should look for suburbs that have strong, positive attributes. If you get the location right, capital growth should follow. Look at buying an apartment that is walking distance (not car dependent) to cafes, schools, parks, water and transport, as this will supercharge your investment potential.  Add to this a quiet, wide, tree-lined street to further enhance the property’s value.
Check out the walk-score distance on walkscore.com to determine how close or far away you are from these popular amenities.  If it’s a score over 70, then you are more than likely too far to walk. Having said that, avoid “C-grade” locations such as main roads, train lines, close proximity to petrol stations and power lines, as this may have an adverse effect on the value of the property.
4.            Appealing aspect
If it has a negative view where you are looking straight into a brick wall, this will impact the growth potential of an apartment.  Any apartment with a park, city or water view will always have a broader market appeal and ultimately be in stronger demand.  Sometimes it’s better paying a 10% premium in price to get one with an appealing aspect or view.  Cheap apartments will always be just that:  cheap and inferior.  Go for upper-level apartments, as they generally have better views and superior aspects.
5.            Sunny orientation
If an apartment is not facing north or north-west, it more than likely attracts little sunlight. Apartment buyers tend to prefer bright, sunny and well-lit homes that require more energy-efficient and sustainable living arrangements, as this helps to save on growing electricity bills.
The next time you’re out apartment hunting, bring your compass along (or use it on your iPhone) and make sure the living areas are not facing the less preferred, dark southerly orientation.
 
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6.            Security
Buy apartments in complexes that offer full security features such as security gates, security doors and intercom systems. This is especially important for females living alone. Although ground-floor apartments have advantages of entertaining yards, upper-level apartments are more secure and harder to break into. Avoid suburbs and streets (eg: Grey Street, St Kilda) where security concerns will limit the numbers of interested tenants and future buyers for your property.
7.            Other amenities
Aim to buy an apartment that has supporting features such as car parking, an outdoor area or private laundry.  An ideal find would include things such as:  an apartment with a distinctive hallway entrance rather than walking straight into the lounge from the front door and a central bathroom as opposed to an en-suite bathroom, as you don’t want to be walking through a bedroom to get to it.  The preference also is to have a practical floor plan that allows for better living arrangements, such as: not having bedrooms running off living areas.  It also works to your advantage if your apartment is on the corner of the building with only one party wall.
8.            New vs old
As a general rule of thumb in real estate, stay away from buying “brand new”. It is not uncommon practice for the developer to load up the price by an extra 10% to cover the GST they would have to pay when constructing a brand new property.  Buyers are better off buying something that is one or two years old to avoid paying GST.  Keep in mind, brand-new properties are often sold at premium prices and can be “loaded up” if sold through marketing and promotional agencies.
The same goes with buying off the plan.  Even though you may save on stamp duty, you would still have the GST component to pay, which offsets this supposed saving.
9.            Wow factor or ‘twist’
Aim to buy an apartment “with a twist”, meaning, there needs to be a “wow factor” about the property that sets it apart from the tens of thousands of apartments in Melbourne.  This could be in the form of a courtyard, the size of the apartment or simply park or water views.  It needs to have a USP – a unique selling proposition that differentiates it from other similar properties. If it has the extra bells and whistles and generally ticks more boxes than other comparable properties, you will be well on your way to securing a great investment.
In summary, we would generally recommend buying older-style apartments that you can add value to via internal and external renovation. Remember: you can change an apartment’s characteristics but you can’t change its location or aspect, so aim to buy a property in the best street and the capital growth will follow.
Our buyers’ agency has purchased over 60 blocks of apartments in the last few years that we can “bulk-buy” and add instant value to with sub-divisions and external/internal renovations.
Frank Valentic is managing director of award-winning buyers' agency <a href="https://www.advantageproperty.com.au/" target="_blank">Advantage Property Consulting.</a><a href="https://www.advantageproperty.com.au/" target="_blank"> </a>
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How to avoid a 'lemon' when buying an investment apartment: Frank Valentic

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We’re all aware Melbourne is facing a shortage when it comes to affordable housing, especially if you have your heart set on buying within 20 kilometres of the CBD.  However, there are still some affordable hotspot suburbs that fall well below the average Melbourne median price and will make it easier to help secure your next property. From the outset, you need to know how much you can really afford to spend, as this will dictate the properties available to you.
At Advantage Property Consulting, we are regularly trying to locate hotspot suburbs and have assisted over 2,000 clients in achieving their dream of owning a property.
So what is a hotspot?
A hotspot can best be described as an area that has not attracted the same level of attention as traditional blue-chip locations. They are often identified as areas that are underperforming, usually within close proximity to more popular suburbs.  When an area becomes too expensive for people to afford, they usually move to these neighbouring suburbs that are more affordable, causing a positive outward ripple effect.
What are some important things to look for before buying into a hotspot area?
Pick a diamond in the rough Choose a well-positioned property that represents good buying value.  An unrenovated property can often be purchased under market value, offering the chance to improve and increase equity over time. If it is well supported by strong infrastructure and lifestyle amenities, then the chance of gaining a good investment return is higher.
Follow the ripple effect outward If you’ve been priced out of a more expensive inner-city suburb, look to its surrounding areas to try and pick up a bargain.
Choose an area with good quality stock/dwellings For example: buying a period-style apartment in a block of four versus buying an apartment in a high-rise precinct where you are the owner of one of 100 similar apartments. Period homes tend to fetch better prices and are in much higher demand than other property types.
Easy access to employment opportunities It is important to have easy access to a diverse range of employment opportunities near your property.  This will attract reliable tenants/investors to the area and offers better growth potential over the long term.
Look for areas with solid or expanding infrastructure Having good, reliable access to nearby arterial roads, highways and satellite cities will always add more value to a suburb.  Look out for planned developments in the area as well as new infrastructure improvements such as freeways, as this often indicates the area is on the up.
Don’t always go for the cheapest property Focus on what comparable properties are actually selling for in the area to figure out if a property is overpriced, has met the current market or is at under market value.
Focus on the property not the hotspot You are buying a property, not an entire suburb. The key is to identify potential for capital growth and rental returns. If it is well positioned, then the desirability factor increases.
Look for signs of the next “Williamstown or St Kilda” and trust your intuitio Look for a feeling or indicators that a suburb is on the move. Lifestyle features such as being close to the water, bars, restaurants and retail outlets will always add substantial money to your investment.  It is not unusual for unwanted locations to become hotspots over a 10- to 20-year period, so think long term.
With these key factors in mind, here are five potential “hotspots” in Melbourne worth taking a look at:
1. Thornbury
Thornbury has shown an impressive 21% growth per annum over the last 22 years.  Units and flats are still very affordable with an average median price of $432,000.  Located just seven kilometres north-east of the CBD, it has easy access to transport, an attractive lifestyle vibe and is very family friendly. The ripple effect from more expensive suburbs such as Northcote, Fitzroy and Carlton has caused Thornbury to become a more financially viable and affordable alternative. It has all the right features and qualities of a prime suburb, making this an ideal entry-level suburb for first-home buyers and investors.
2. Spotswood/Newport
Positioned just seven kilometres west of Melbourne’s CBD, both Spotswood and Newport have shown steady growth of 14% per annum growth over the last 22 years.  It is one of the few affordable inner-city suburbs left in Melbourne. Apartments and flats are still available well below the $535,000 median. It has very good transport connections to the CBD, with a new multi-line train station, nearby Westgate Freeway, Western Ring Road and City Link arterials. Neighbouring satellite city of Footscray is close by.  You can still find older-style cottages on good- sized blocks, proving popular with first-home buyers and investors.
The ripple effect from wealthier suburbs such as Williamstown and Yarraville has caused both Newport and Spotswood to become future hotspots.
3. Box Hill
The ripple effect from Camberwell and Surrey Hills has put Box Hill in a good affordability category. The median price for units and apartments is still relatively affordable at $467K.   Located 14km east of the CBD, it is a major commercial centre and transport hub.  It has excellent access to Maroondah Highway and is home to the local Box Hill Hospital.  In addition to all the wonderful amenities, it is also a growing satellite city with the local council introducing further relaxed planning controls to help promote and build medium density development.
4. South Yarra
The reason why we have chosen to include the inner “blue-chip” suburb of South Yarra is that prices have fallen considerably.  You can now buy one-bedroom apartments well under its median price of $620,000. This holds great appeal to those seeking an affordable entry in to a highly desirable location. Located just three kilometres south-east of the CBD, you can’t go wrong with the close proximity to trendy Chapel Street and Toorak Road.  Established infrastructure such as The Alfred Hospital and Swinburne University are also nearby.
5. Frankston
Located 41 kilometres south of the CBD, Frankston is slowly becoming a major commercial, retail, educational and transport centre. This satellite city will have the Peninsula Link opening in early 2013.  As a result, you will see travel time cut by up to 40 minutes between Carrum Downs and Safety Beach.  The median price for a home is super affordable at $350,000, and apartments can be purchased at less than  $270,000.  Close to the beach, the future development of a local marina will also add significant value to the area.  The ripple effect from neighbouring Mount Eliza and popular Mornington Peninsula suburbs (Portsea, Sorrento and Flinders) is offering potential buyers a much more affordable option.
In summary, you can still make money in a flat market.  Boom suburbs always happen for clear reasons, and picking one before it becomes popular, is one of the simplest and quickest ways to make money in real estate. In fact, if you remember the following winning formula –purchase at the right price, in the right place and at the right time, you will no doubt reap good financial rewards.
With this in mind, make sure you choose under-performing suburbs and stick to affordable areas under Melbourne’s median price.  Do your due diligence and research thoroughly before you buy.
What other strategies can you use to make money in the current flat property market?
Find distress sales Chase vendors who need to sell quickly due to divorce, finance issues and impending deadlines due to other purchases or commitments.
Buy wholesale, not retail For example: Buy a whole block of flats in a group syndicate and purchase in the $1 million to $6 million price range, as this will reduce your competition.
Add value with subdivisions Buy properties that need to be subdivided.  This will simultaneously increase the properties’ value instantly.
Add value with renovations Buy “ugly ducklings” that need internal and external renovations, as this will add instant value and equity.
 
Frank Valentic is managing director of <a target="_blank" href="https://www.advantageproperty.com.au/">Advantage Property Consulting.</a><a target="_blank" href="https://www.advantageproperty.com.au/"> </a>
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Five potential Melbourne hotspot suburbs

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So what are the first home buyers doing in the market now? They are struggling to make the transition to home owners as they have in every generation. I can remember being a first home buyer in 1994 and I had the same problem trying to get into the market. One year later and having missed out on three more affordable properties, I ended up getting into the market with my first home in Brunswick East in 1995, a three-bedroom brick Edwardian for $168,000. Prices have increased by 10% each year since, making affordability a real issue for first home buyers.
Our buyer’s agent company over the last 12 years has seen what works and what doesn’t work. So  our top five tips for first home buyers across Victoria at the moment are:
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Seek professional advice from experienced professionals or family/friends An experienced mortgage broker, buyer’s agent/advocate, building inspector and solicitor can give you the advantage when it comes to securing your first property. They are the key people whose experience you should tap into and seek help from. Remember, there is no need to reinvent the wheel. Invest in taking a few experienced property professionals or savvy property buyers for a coffee and learn from their tips and avoid the mistakes they made. 
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Do your research and be ready Make sure you have your finance pre-approved (in writing) and have at least a 5% deposit in a bank account that’s ready to go. If money is in an ING account, move it a few days earlier as it will take a few days to transfer the funds. If the right property comes up, you can bid unconditionally at the auction or make a strong private sale offer. Stay at home or in a cheaper share rental accommodation with others so you can save up that elusive first deposit. Set up a savings budget and subscribe to the many budget plans there are now online. 
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Do your due diligence Visit different types of properties (houses versus townhouses versus units) and different suburbs/areas and work out what properties and areas match your lifestyle. It may be better to buy an apartment in the inner suburbs that you will enjoy living in, versus a house in the outer suburbs that meets your accommodation requirements but doesn’t match your lifestyle. Then visit at least 20 properties in the area you have shortlisted so you get a good foundation of the comparable sales in that area. 
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Do your research and due diligence Make sure that you have a solicitor/conveyancer review the contract before signing and always organise a building/pest inspection prior to purchasing or make the offer subject to a satisfactory report. Ring the local councils and ask about any proposed developments and if it is in a unit complex, contact the Owners’ Corporation and ask about any building issues or proposed special levies. 
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Don’t get too emotional when negotiating It is easy to get carried away and expose yourself to over-paying for the property. Set a limit that is within your pre-approved budget and stick to it (within reason). Always have a family member/close friend or buyer’s advocate/agent who has had experience in negotiating or bidding at auction negotiate on your behalf and stop you from getting carried away as there will always be other properties. Sometimes you will need to walk away and wait for another door to open.</li>
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So what can be done to help first home buyers further?
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Stamp duty savings: The State Government’s announcement in the new budget that they would continue with the current 20% stamp duty reduction and a further 10% in January 2013 and a further 10% in both January and September 2014, totalling 50% was widely supported by real estate professionals. Now there needs to be more promotion of these incentives which can amount to up to $5,000 for purchases under $600K.</li>
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Follow the New Zealand model: As in New Zealand, allowing first home buyers to access their voluntary superannuation contributions and have it paid back in a certain number of years. This would assist more first home buyers in saving that elusive deposit and getting a foothold in the market.</li>
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Stamp Duty lay-by scheme: The REIA and REINSW recently proposed a “lay-by scheme” where first home buyers could pay back stamp duty over a three year period. With stamp duty amounting up to $35K for purchases up to the $750K maximum to qualify for the grant, a lay-by scheme would assist more FHB. 
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Savings Account: The government’s FHB Savings Account program has not really assisted anywhere near as many first home buyers as the government would have wanted. Another scheme that works and is well promoted needs to be implemented. 
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In summary, first home buyers are the most important piece of the property market jigsaw puzzle. First home buyers demand underpins our property market as it then encourages investors and the next middle group of buyers to “upsize” or trade-up. It will be interesting to see how many more first home buyers enter the market with rates reducing further.
First home buyers’s activity affects price movements and when interest rates start dropping, this also brings out more investors in the market. There are a definitive number of first home buyers out in the market, averaging around 21% over the last 21 years and the recent incentives have just encouraged these buyers to purchase earlier.
The State First Home Buyer’s new property grants of $13,000 expired on June 30 2012 in favour of a broader market stimulus through first-home buyer stamp duty cuts.
A 20% discount had previously been introduced, with another 10% discount to follow from January 1, 2013.
The recent high demand has fallen off from a peak of 30% to a low of 15% and it will take a while for first home buyers to increase to high levels again.
This article was written by Frank Valentic, Buyer’s Agent of the Year REIV (2007, 2009) REIA (2008, 2010), and Managing Director of Award Winning Buyer’s Agency, Advantage Property Consulting.
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So what are the 2012 first home buyers doing? Frank Valentic

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The Block auctions in 2012 are now over, and we congratulate all the contestants on their big financial windfalls. From Dale and Sophie ($355,000), Mike and Andrew ($434,000), Dani and Dan ($448,000) and the overall winners Brad and Lara ($606,000), the total combined profit was $1,843,000, working out to be an average of $466,000 each.
You would be disappointed if you were last year’s contestants, who combined won less than any of this year’s contestants, with total winnings of only $225,000.  That’s a total difference of $1,618,000 or 719% increase. No wonder this year’s contestants were crying with joy! Unfortunately there were no bargains to be had this year, unlike our purchase of Polly and Waz’s house last year for $858,000 for one of our investor clients.  With a fantastic rental of $995 per week and an extra $30,000 per annum in depreciation, this represented great buying.
I and other real estate professionals believed that Brad and Lara’s house would set the benchmark, as it was estimated to be worth at least $200,000 more than the other homes. This was based on the land size, which was 21% larger (158 square metres) and 44% wider (7.91 metres). I estimated that it would sell for $1,510,000 based on many recent comparable sales in the area. One recent example is an inferior townhouse at 3/297 Dorcas Street, South Melbourne (land size 113 square metres, 46 square metres smaller in land, two metres narrower frontage), which sold for $1,500,000 two weekends ago.
We were bidding for a female home buyer for Brad and Lara’s property with a budget of $1,380,000 and unfortunately were blown away by at least six bidders and an eventual sale price of $1,620,000. Our client was disappointed we were $240,000 short as she had already missed out on two properties on her own in the South Melbourne area. Karl Gillion from Buxton Real Estate did a textbook auction and made sure he got every last dollar out of the remaining buyers.
My predictions were then revised upwards to around $1.4 million for the remaining properties. We had an investor client who was keen to snag a bargain (around the $1,050,000 mark) for the next two auctions, but we didn’t even get a bid in with six to seven bidders taking Dan and Dani’s property to $1.44 million and Dale and Sophie’s to $1.33 million.
The last auction was the most talked about with the branded T-shirt guy (not going to give them any more publicity!) who had three other staff at the auctions in branded T-shirts and was bidding in ridiculous dollar and cents amounts. I was bidding for another investor who was attracted to the quality of Mike and Andrew’s property and in particular, their backyard. She was attracted to the potential rental return (about $1,100 to $1,200 per week fully furnished plus about $700 to $800 per week in tax depreciation) totalling around $1,800 to $2,000 per week or around 7% gross return.
I have bid at over a thousand auctions over the last 17 years and as a buyers’ advocate / buyers’ agent, I have attended many other auctions each weekend and I have never been involved in an auction as bizarre as this where a bidder bids in uneven increments, including cents with every bid. The auctioneer, Andrew Stuart of Hocking Stuart, did a good job trying to work out his bids, but I am surprised he accepted the uneven bids. In a normal auction, the auctioneer would round the amount up and only drop the bidding in set increments.  The backlash to this crazy bidding has started an online frenzy of annoyed viewers.
We stuck to our client’s pre-budget limit of $1.4, which would have delivered a healthy return of approximately 7%, and it was awarded to Mr T-shirt man for $1,401,001.01.
 
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What The Block 2012 result means for the property market
This year’s market conditions have improved, with five interest rate cuts starting to flow through to the marketplace and investors coming back into the market.
These properties were perceived as superior to last year’s due to their South Melbourne location on the border of Albert Park and the third-level “wow factor” of uninterrupted city views.
Melbourne’s property market is segmented, and you can’t generalise about all properties and put them in one basket. Renovated, well-located period houses are always in more demand than other property types, and these properties had all the “bells and whistles” apart from the compromises surrounding off-street parking and being on a through road.
The properties were purchased on average for $1,445,000, well above South Melbourne’s median ($967,000) and Albert Park’s median (1.29 million), and they were superior to many median price single-level houses in the area. I estimated that 405 (Brad and Lara) would sell for $1.51 million and the others between $1.3 million and $1.35 million. Based on this, they all sold for around $100,000 more than estimated market value.
History was made with online bidding used for the first time at a Melbourne auction. The flurry of live bids meant that only two online bids were called, and they were both $200,000 to $250,000 below where the live bids were at. I don’t think this is the way of the future for the Melbourne property market, as the online bidding cannot keep up with the pace of a live auction. I believe the buyers would have been better placed to use a buyers’ agent / buyers’ advocate to do the bidding for them or use an agent to take phone bids.
Reserves were set ridiculously low (at least $200,000 to $300,000 below most agents’ estimates) and much lower in comparison to last year’s reserves. No vendor bids were needed at any of the auctions.
Executive producer of Channel 9 Julian Cress got the mix right with low reserves and “onsite” auctions rather than the town hall auction room atmosphere last year.
There was a mix of home buyers and investors this year, whereas last year’s properties attracted mainly investors.
Consumer sentiment has improved considerably since last year, and l would doubt these properties would have achieved these prices in last year’s market, if auctioned at the same time as the Richmond auctions.
In summary our second Block auction experience was very different to our first, and our clients were disappointed to miss out, although they understand how important it is to stick to their set budgets.
The show continues to have a successful formula and attracted great support from millions of viewers. We enjoyed watching the series and enjoyed being a part of the experience, and it’s great to see some positive headlines in the press regarding the Melbourne property market this time.  The great Australian dream of owning a beautiful house continues to appeal to viewers and this year resulted in great results for Channel 9, the contestants and the successful purchasers.
Frank Valentic is managing director of <a href="https://www.advantageproperty.com.au/" target="_blank">Advantage Property Consulting.</a><a href="https://www.advantageproperty.com.au/" target="_blank"> </a>
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The Block auctions in 2012 are now over, and we congratulate all the contestants on their big financial windfalls. From Dale and Sophie ($355,000), Mike and Andrew ($434,000), Dani and Dan ($448,000) and the overall winners Brad and Lara ($606,000), the total combined profit was $1,843,000, working out to be an average of $466,000 each.

You would be disappointed if you were last year’s contestants, who combined won less than any of this year’s contestants, with total winnings of only $225,000.  That’s a total difference of $1,618,000 or 719% increase. No wonder this year’s contestants were crying with joy! Unfortunately there were no bargains to be had this year, unlike our purchase of Polly and Waz’s house last year for $858,000 for one of our investor clients.  With a fantastic rental of $995 per week and an extra $30,000 per annum in depreciation, this represented great buying.

 I and other real estate professionals believed that Brad and Lara’s house would set the benchmark, as it was estimated to be worth at least $200,000 more than the other homes. This was based on the land size, which was 21% larger (158 square metres) and 44% wider (7.91 metres). I estimated that it would sell for $1,510,000 based on many recent comparable sales in the area. One recent example is an inferior townhouse at 3/297 Dorcas Street, South Melbourne (land size 113 square metres, 46 square metres smaller in land, two metres narrower frontage), which sold for $1,500,000 two weekends ago.  

We were bidding for a female home buyer for Brad and Lara’s property with a budget of $1,380,000 and unfortunately were blown away by at least six bidders and an eventual sale price of $1,620,000. Our client was disappointed we were $240,000 short as she had already missed out on two properties on her own in the South Melbourne area. Karl Gillion from Buxton Real Estate did a textbook auction and made sure he got every last dollar out of the remaining buyers.

My predictions were then revised upwards to around $1.4 million for the remaining properties. We had an investor client who was keen to snag a bargain (around the $1,050,000 mark) for the next two auctions, but we didn’t even get a bid in with six to seven bidders taking Dan and Dani’s property to $1.44 million and Dale and Sophie’s to $1.33 million.

The last auction was the most talked about with the branded T-shirt guy (not going to give them any more publicity!) who had three other staff at the auctions in branded T-shirts and was bidding in ridiculous dollar and cents amounts. I was bidding for another investor who was attracted to the quality of Mike and Andrew’s property and in particular, their backyard. She was attracted to the potential rental return (about $1,100 to $1,200 per week fully furnished plus about $700 to $800 per week in tax depreciation) totalling around $1,800 to $2,000 per week or around 7% gross return.

I have bid at over a thousand auctions over the last 17 years and as a buyers’ advocate / buyers’ agent, I have attended many other auctions each weekend and I have never been involved in an auction as bizarre as this where a bidder bids in uneven increments, including cents with every bid. The auctioneer, Andrew Stuart of Hocking Stuart, did a good job trying to work out his bids, but I am surprised he accepted the uneven bids. In a normal auction, the auctioneer would round the amount up and only drop the bidding in set increments.  The backlash to this crazy bidding has started an online frenzy of annoyed viewers.  

We stuck to our client’s pre-budget limit of $1.4, which would have delivered a healthy return of approximately 7%, and it was awarded to Mr T-shirt man for $1,401,001.01

What The Block 2012 result means for the property market

This year’s market conditions have improved, with five interest rate cuts starting to flow through to the marketplace and investors coming back into the market.

These properties were perceived as superior to last year’s due to their South Melbourne location on the border of Albert Park and the third-level “wow factor” of uninterrupted city views.

Melbourne’s property market is segmented, and you can’t generalise about all properties and put them in one basket. Renovated, well-located period houses are always in more demand than other property types, and these properties had all the “bells and whistles” apart from the compromises surrounding off-street parking and being on a through road.

The properties were purchased on average for $1,445,000, well above South Melbourne’s median ($967,000) and Albert Park’s median (1.29 million), and they were superior to many median price single-level houses in the area. I estimated that 405 (Brad and Lara) would sell for $1.51 million and the others between $1.3 million and $1.35 million. Based on this, they all sold for around $100,000 more than estimated market value.  

History was made with online bidding used for the first time at a Melbourne auction. The flurry of live bids meant that only two online bids were called, and they were both $200,000 to $250,000 below where the live bids were at. I don’t think this is the way of the future for the Melbourne property market, as the online bidding cannot keep up with the pace of a live auction. I believe the buyers would have been better placed to use a buyers’ agent / buyers’ advocate to do the bidding for them or use an agent to take phone bids.

Reserves were set ridiculously low (at least $200,000 to $300,000 below most agents’ estimates) and much lower in comparison to last year’s reserves. No vendor bids were needed at any of the auctions.

Executive producer of Channel 9 Julian Cress got the mix right with low reserves and “onsite” auctions rather than the town hall auction room atmosphere last year.

There was a mix of home buyers and investors this year, whereas last year’s properties attracted mainly investors.

Consumer sentiment has improved considerably since last year, and l would doubt these properties would have achieved these prices in last year’s market, if auctioned at the same time as the Richmond auctions.

In summary our second Block auction experience was very different to our first, and our clients were disappointed to miss out, although they understand how important it is to stick to their set budgets.

The show continues to have a successful formula and attracted great support from millions of viewers. We enjoyed watching the series and enjoyed being a part of the experience, and it’s great to see some positive headlines in the press regarding the Melbourne property market this time.  The great Australian dream of owning a beautiful house continues to appeal to viewers and this year resulted in great results for Channel 9, the contestants and the successful purchasers.

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The Block 2012 properties sold for around $100,000 above estimates, reflecting improved consumer sentiment from last year: Frank Valentic

The Gold Coast economy has grown by 25 per cent since 2020/21 to surpass $55 billion, but perhaps the more significant story is what sits behind the headline number.

For decades, the Gold Coast has been viewed through the lens of tourism, lifestyle and population growth. The latest State of the City Report suggests that perception is increasingly out of step with reality.

Released by Invest Gold Coast, the report ranks the Gold Coast as Australia's largest non-capital city economy and, perhaps more notably, second nationally behind Sydney for Economic Complexity, a measure that assesses the diversity and sophistication of an economy.

It's a result that places the Gold Coast ahead of Melbourne, Brisbane, Perth and Adelaide, highlighting the extent to which the city's economic base has broadened beyond its traditional industries.

Today, the Gold Coast supports more than 350,000 jobs, is home to over 83,000 businesses and generates $19 billion in annual exports. Manufacturing now accounts for 62 per cent of international export growth, while sectors including health, education, advanced manufacturing, technology and professional services are becoming increasingly important contributors to the local economy.

[smartcode_project:default project_id=150017 project_image_fid=372547]

Gold Coast Mayor Tom Tate said the report confirmed the city's evolution into one of Australia's most significant economies.

"The Gold Coast economy continues to grow at an incredible pace. This is no surprise to those of us who have watched the evolution up close," Mayor Tate said.

"As one of the most entrepreneurial, investment driven and opportunity focused economies in the country our ambition has been realised and possibilities are endless.

"The Gold Coast has built a reputation as the city that says yes. We say yes to investment, yes to opportunity and yes to people who want to build something.

"It's this mindset helping us drive major growth across health, advanced manufacturing, screen production, marine, technology and the knowledge economy."

[smartcode_project:default project_id=149670 project_image_fid=360975]

While population growth has been one of the defining stories of the past decade, the report points to a broader economic transformation taking place.

The city's knowledge economy now contributes $7.9 billion annually and supports around 31,000 jobs, while the health and wellbeing sector contributes $5.2 billion and employs more than 42,000 people. Together, the six priority sectors identified in the report account for almost $24 billion in economic output and more than 145,000 jobs.

One of the strongest examples is the Gold Coast Health and Knowledge Precinct at Southport. The 200-hectare precinct now contains more than $5 billion worth of health, education, research and innovation infrastructure and supports over 16,000 jobs.

The report also highlights the growing role of advanced manufacturing, particularly in aerospace, defence and modular construction.

Gold Coast-based Gilmour Space Technologies recently became the first Australian commercial company to attempt an orbital launch, while companies including Modscape and ModnPods are helping establish the Yatala-Stapylton corridor as one of Australia's fastest-growing advanced manufacturing hubs.

The city's entrepreneurial culture is also translating into business growth.

Since 2019/20, the number of businesses operating on the Gold Coast has increased by 22 per cent, while firms employing more than 200 people have grown by 80 per cent. The report suggests the next challenge is converting more local start-ups and medium-sized businesses into nationally significant companies.

Development activity remains another key indicator of confidence.

There are currently more than $23 billion worth of major projects underway across the Gold Coast, supported by a record 75 active cranes, a figure that now exceeds Brisbane and represents a 150 per cent increase since 2016.

[smartcode_project:default project_id=112024 project_image_fid=343235]

Importantly, the report notes the next phase of investment will need to extend beyond residential development.

While 93 per cent of crane activity is currently tied to housing, Invest Gold Coast argues future investment will increasingly need to focus on cultural, civic, infrastructure and industry-enabling projects that strengthen the city's long-term economic resilience.

Invest Gold Coast Chair Will Hodgman said the city was now benefiting from years of economic diversification.

"What is happening on the Gold Coast is the result of the city's economic base broadening, fuelled by industries with long-term, high-growth potential," Mr Hodgman said.

"This is no longer a secondary Australian economy, the Gold Coast is becoming a globally connected city with deeper capability across health, knowledge and creative industries, advanced manufacturing, technology and exports."

[smartcode_project:default project_id=108274 project_image_fid=365786]

Looking ahead, the Gold Coast's population is projected to exceed one million residents by 2046.

For a city that was once largely defined by tourism and lifestyle, the latest figures suggest the Gold Coast is becoming something more significant, one of Australia's most diverse and economically sophisticated urban economies, and increasingly one that national and international investors can no longer afford to overlook.

Joel Robinson

75 cranes, $23 billion pipeline and a $55 billion economy: Inside the Gold Coast economic boom

Ron Bakir's Homecorp has sold more than 75 per cent of the apartments in its wellness-driven Florence Residences in Surfers Paradise following its first weekend release.

The <a href="https://www.apartments.com.au/new-apartments/florence-residences-24-monte-carlo-avenue-surfers-paradise-qld-4217">26-storey project on Monte Carlo Avenue</a>, which commenced construction earlier this year, has seen a flurry of buyers secure their slice of the Gold Coast's latest wellbeing-focused offering in one of the nation's most competitive property markets.

Since the pandemic, the Gold Coast's population has grown by more than 11 per cent, a rate approximately four times faster than Sydney's, driven largely by lifestyle changes and interstate migration. While buyer activity has moderated in some markets nationally, demand for newly built dwellings on the Gold Coast continues to gain momentum as purchasers increasingly prioritise lifestyle, amenity, wellbeing, liveability and long-term investment potential.

&nbsp;

[smartcode_project:default project_id=150414 project_image_fid=372743]

Homecorp CEO Ron Bakir says buyers today are looking for more than just a home.

"What we are seeing is a shift in how people define value in property," Bakir says.

"What attracts residents to new developments is a desire for more than just a residence. They are looking for a place that complements their lifestyle, supports their wellbeing and reflects the way they want to live into the future.

"Lifestyle, longevity, proactive health, wellbeing, connection and a sense of community are increasingly shaping purchasing decisions, particularly on the Gold Coast, where these factors continue to be a major drawcard."

[smartcode_project:default project_id=150414 project_image_fid=372744]

Bakir says Homecorp is responding to this shift through an approach that places greater emphasis on design, amenity and experience working together to create places that feel considered, connected and enduring in value.

Inspired by Eastern European design, Florence Residences will comprise 120 apartments alongside a private residents-only wellness club featuring a resort-style rooftop pool, hot and cold plunge pools, a spa retreat, contemporary gymnasium, and a spacious yoga and Pilates studio.

The development will also feature a residents-only lounge with private dining facilities and a rooftop bar, premium outdoor entertaining areas, a hotel-style lobby lounge, generous bike parking, and pet-friendly amenities including a heated dog wash.

[smartcode_project:default project_id=150414 project_image_fid=372742]

A limited number of apartments remain available, with an exclusive collection of four-bedroom sub-penthouses set to be released in the coming months.

Florence is one of the latest additions to Homecorp's expanding multi-billion-dollar property portfolio, which also includes plans for a <a href="https://www.apartments.com.au/news/qld/homecorp-lodges-plans-for-260-million-moroccan-bathhouse-inspired-tower-in-budds-beach">$260 million development in Budds Beach</a> tailored to the growing wellness market.

A development application has been lodged for a 27-storey, 156-residence tower at 8–10 Acacia Avenue and 25–27 Oak Avenue, featuring a residents-only Moroccan spa-inspired sanctuary.

Apartments at Florence Residences are priced from $1,249,000, with construction expected to be completed by late 2027.

[smartcode_project_cta:default project_id=150414]

Buyers rush to Homecorp's Florence Residences as Gold Coast wellness trend gains momentum

The NSW Government has expanded its $1 billion Pre-sale Finance Guarantee program, broadening access for affordable housing providers and smaller residential developments as it seeks to accelerate housing delivery across the state.

The Minns Government says the program has already helped bring forward more than 600 homes across Sydney and regional NSW since launching in September 2025, with similar models now adopted in South Australia and Western Australia.

The latest changes, announced by Treasurer Daniel Mookhey and Minister for Planning and Public Spaces Paul Scully, are designed to improve access to finance for projects that have planning approval but are struggling to secure funding.

Among the key changes is an expansion of support for community housing providers. The program will now support up to 100 per cent affordable housing projects valued at up to $30 million when delivered by not-for-profit providers, while support for larger affordable housing developments will increase for projects worth up to $80 million.

The government says the changes will help accelerate the delivery of housing for low-income workers, older people, people living with disability, and those at risk of homelessness, while reducing reliance on direct grants or subsidised loans to bridge funding gaps.

The eligibility criteria for smaller residential developments have also been broadened. The previous $5 million minimum project value threshold has been removed and replaced with a requirement that projects deliver at least four homes.

Support has also increased for projects delivering fewer than 20 homes, with the guarantee now able to cover up to 75 per cent of dwellings in a development, capped at $30 million per project.

The changes are expected to particularly benefit smaller-scale and regional developments, which often face greater challenges meeting pre-sale requirements imposed by lenders.

Treasurer Daniel Mookhey said the scheme demonstrates how government can use its balance sheet to stimulate housing supply without relying solely on taxpayer-funded grants.

"The Pre-sale Finance Guarantee shows how this Government is using its balance sheet to reduce risk and unlock private investment, enabling new homes to move from design to construction faster," Mookhey said.

"This landmark reform allows us to deliver homes for working families at a lower cost to taxpayers, while also maintaining strong financial discipline."

Planning Minister Paul Scully said the program had already proven effective in bringing stalled projects to market.

"The Pre-sale Finance Guarantee has already proven it can unlock stalled projects and accelerate housing delivery by giving lenders the confidence they need to back good developments," Scully said.

"These changes will allow more affordable housing and smaller developments to access support so more homes can be built faster where communities need them most."

Housing Minister Rose Jackson said the expansion would help community housing providers overcome financing barriers that often delay projects.

"We know community housing providers are ready to build more homes, too often they're held back by barriers to finance," Jackson said.

"Expanding the Pre-sale Finance Guarantee helps remove those barriers so more affordable homes can get off the ground sooner."

The announcement was welcomed by the Property Council of Australia, which has long advocated for measures aimed at improving project feasibility and access to finance.

Property Council NSW Executive Director Katie Stevenson described the expansion as a practical intervention that addresses one of the most immediate constraints on housing delivery.

"This is exactly the kind of practical intervention we need right now, focused on getting projects out of the ground, not just approved," Stevenson said.

"It builds on a model the Property Council has worked closely with government to develop following calls for such a scheme ahead of last year's NSW Budget, so it's great to see it being expanded."

Stevenson said the reforms would help unlock projects that are ready to proceed but have been delayed by financing challenges. However, she noted that broader feasibility issues remain a significant barrier to increasing housing supply.

"The biggest challenge in NSW housing today is delivery. Too many projects have planning approval but are simply not financially viable to proceed under current settings," she said.

Speaking at the Property Council's NSW Housing Summit, Housing Minister Rose Jackson acknowledged that feasibility and financing pressures continue to constrain housing delivery, while reaffirming the government's commitment to work with industry on solutions.

Stevenson said the government's recognition of those challenges was encouraging ahead of next week's state budget.

"It's positive to see the government clearly recognising that feasibility pressures are now a binding constraint on supply," she said.

"With the Budget just days away, the focus must be on backing delivery, making sure projects stack up, finance can flow, and more homes can move from approval to construction."

The expanded Pre-sale Finance Guarantee forms part of the NSW Government's broader housing agenda, which also includes planning reforms, the NSW Housing Pattern Book, and a series of rezonings intended to increase housing capacity across the state.

NSW expands Pre-sale Finance Guarantee to unlock more affordable and regional housing

Design-led developer-builder Lowe Living has unveiled its latest residential development, Jardin House, marking its first foray into Melbourne's blue-chip City of Boroondara.

Located a short walk from Camberwell Junction, <a href="https://www.apartments.com.au/new-apartments/jardin-house-by-lowe-living-camberwell-335-camberwell-road-camberwell-vic-3124">Jardin House</a> has been designed to appeal to affluent local downsizers and established families seeking a low-maintenance alternative to the large homes that have long defined Camberwell and surrounding suburbs.

The project will comprise a collection of two and three-bedroom apartments ranging from 92 sqm to 280 sqm, alongside a limited number of penthouse residences featuring rooftop terraces spanning more than 100 sqm, with optional private pools.

&nbsp;

[smartcode_project:default project_id=146717 project_image_fid=372212]

Lowe Living Co-Founder and Managing Director Tim Lowe said Camberwell represented a natural next step for the developer as it expands into some of Melbourne's most tightly held residential markets.

"Jardin House is an important project for our team as it marks the next evolution of our portfolio into different well-established blue-chip pockets of Melbourne," Lowe said.

"Camberwell, with its incredible walkability, family-led neighbourhood feel and superb access to education and transport, makes it a natural choice for us."

[smartcode_project:default project_id=146717 project_image_fid=372227]

Designed by Tristan Wong Architects, with interiors by Hecker Guthrie and landscaping by Acre, the development takes inspiration from the Art Deco architecture that remains a defining feature of many of Camberwell's established streets.

A curved facade, arched openings, textured brickwork and sculpted forms reference the suburb's architectural heritage, while extensive landscaping softens the building's presence and creates a strong connection to the surrounding tree-lined streetscape.

The project will be set behind a secure gated entrance, with residents arriving through landscaped gardens designed to create a transition between the public realm and private residences.

Inside, the residences feature natural stone and timber finishes, full-height glazing, Miele appliances and generous open-plan living areas designed for long-term owner occupation.

[smartcode_project:default project_id=146717 project_image_fid=372225]

While the apartments themselves have been designed to attract discerning owner-occupiers, it is the amenity offering that sets Jardin House apart from many other boutique projects currently launching across Melbourne.

The centrepiece is a 350 sqm private bathhouse curated in partnership with Aurora Spa &amp; Bathhouse founder Lyndall Mitchell.

The wellness precinct includes mineral pools, hydrotherapy experiences, a Himalayan salt room, sauna, steam room, cold plunge pools and dedicated relaxation spaces, creating what Lowe Living describes as a private wellness retreat exclusively for residents.

[smartcode_project:default project_id=146717 project_image_fid=372222]

The collaboration follows Lowe Living's recent partnership with Aurora at Maison Savoy in Brighton, although Jardin House is the first project to incorporate both indoor and outdoor wellness experiences.

Emma Lowe, Co-Founder and Managing Director of Lowe Living, said wellness was becoming an increasingly important consideration for apartment buyers.

"Collaborating with Lyndall Mitchell from Aurora Spa &amp; Bathhouse for a second time is an intentional nod to creating residences that are more than just homes, but a way to enrich the lives of our residents through wellness and longevity," Lowe said.

The amenity offering is complemented by a Technogym fitness studio, residents' lounge, private dining spaces and concierge services.

The launch comes as developers increasingly target Melbourne's established eastern suburbs, where rising land values, ageing housing stock and growing downsizer demand are creating opportunities for boutique apartment projects.

Lowe said the company expects significant generational wealth transfer across suburbs such as Camberwell in coming years, creating further demand for luxury apartment living.

"Camberwell is a blue-chip suburb where homes regularly transact for multiple millions of dollars," he said.

"The generational change of wealth in these locations expected in the coming years is significant, so we see an opportunity to create exclusive residences that appeal to older families and downsizers in order to meet this demand."

Apartments at Jardin house start from $1,195,000. The project forms part of Lowe Living's near-$1 billion portfolio of new developments across Melbourne.

[smartcode_project_cta:default project_id=146717]

Lowe Living launches Jardin House in Camberwell

As <a href="https://www.apartments.com.au/developments/north-sydney-nsw-2060">North Sydney</a> continues its transition from a commercial centre into a more layered residential and lifestyle precinct, a new generation of apartment developments is reshaping expectations around scale, amenity, and long-term liveability.

Improved transport connections through the Victoria Cross Metro, continued investment in dining and public spaces, and a constrained supply of new luxury apartments have sharpened demand for homes that combine proximity to the CBD with the privacy and outlook traditionally associated with harbourside houses.

At 177 Walker Street, <a href="https://www.apartments.com.au/developers/aland">ALAND</a>’s new apartment development <a href="https://www.apartments.com.au/new-apartments/the-walden-north-sydney-177-walker-street-north-sydney-nsw-2060">The Walden</a> enters the market with a distinctly residential approach to high-rise living. The 30-level tower will deliver 161 residences, ranging from one-bedroom apartments through to sub-penthouses and a full-floor penthouse, all oriented to capture uninterrupted views across Sydney Harbour, the Opera House, and out toward the Pacific Ocean.

[smartcode_project:default project_id=134323 project_image_fid=6395]

Designed by <a href="https://www.apartments.com.au/architects/rothelowman">Rothelowman</a>, the project takes advantage of the site’s natural topography and elevated position above the harbour. Rather than relying on density alone, the architecture focuses on outlook, orientation, and spatial flow, with every apartment occupying a corner position to maximise natural light and cross ventilation.

Rothelowman says the site itself shaped much of the architectural response.

“The site has a long history in terms of its inevitable transformation and when we came in, we took inspiration from the idea of reestablishing a sense of the site’s natural terrain and fall. Our scheme aims to integrate with the terrain and the landscape, using the undulating site to slowly reveal glimpses and views of the harbour. The rotation of the tower off grid means every apartment has a view and is naturally cross ventilated. The building's colour palette is quintessentially Sydney, with bronze and sandstone and a luminescent green colour in the glass, making it very earthy and grounded in its location.”

[smartcode_project:default project_id=134323 project_image_fid=6399]

Inside the residences, the emphasis moves toward larger-format living typically associated with standalone homes. Kitchens sit at the centre of the apartments, connecting directly to open-plan dining and living areas before extending outward into expansive winter gardens and balconies. Calacatta marble, bespoke joinery, integrated appliances, and custom metal detailing are used throughout, while three distinct interior palettes, Terrace, Opera, and Harbour, allow buyers to personalise the spaces without compromising the architectural consistency of the project.

The larger residences place particular attention on separation between entertaining and private zones. In many apartments, master suites occupy the outer corners of the floorplates, allowing bedrooms to benefit from floor-to-ceiling glazing and harbour outlooks independent of the living spaces. Dressing rooms and ensuites continue the material palette through fluted detailing, freestanding baths, and layered stone finishes.

Rothelowman says the design intent centred on creating homes that feel enduring rather than transient.

“Our philosophy is all about the way people live in these spaces, and we wanted to create homes that reflect the quality of life in this unique Sydney location. The apartments showcase expansive living spaces that are generous, sophisticated, and bold, with the ability to connect with views throughout each apartment.”

[smartcode_project:default project_id=134323 project_image_fid=353235]

A separate four-storey amenity building known as The Pavilion expands the residential offering beyond the apartments themselves. Positioned alongside the tower, the building consolidates wellness, recreation, and social spaces into a dedicated resident retreat. Facilities include a 20-metre rooftop pool and sundeck, sauna, spa, ice bath, wellness studio, gymnasium, concierge service, wine cellar, residents’ lounge, private dining spaces, and dedicated co-working areas with meeting rooms and boardroom facilities.

The amenity mix reflects the buyer profile emerging in North Sydney, where owner-occupiers and downsizers are increasingly prioritising convenience, apartment scale, and long-term usability over purely investment-driven decisions.

The Walden also represents a significant milestone for ALAND, marking the company’s first major move into Sydney’s inner-city luxury apartment market after more than two decades delivering large-scale residential communities across Greater Sydney. Founder Andrew Hrsto says the Walker Street site stood apart because of both its positioning and its rarity.

[smartcode_project:default project_id=134323 project_image_fid=6390]

“As a company, we had been searching for a site in one of Sydney’s blue-chip locations, spanning the Eastern Suburbs, the Sydney CBD and the North Shore, and when we had the opportunity to purchase this site, we immediately recognised that it could be something iconic.”

At launch, The Walden recorded more than $103 million in sales, with buyers drawn to the project’s harbour positioning, apartment scale, and proximity to the Metro, which now connects North Sydney to Barangaroo in three minutes and Martin Place in five.

ALAND has commenced construction, and is expecting a completion date in 2028.

[smartcode_project_cta:default project_id=134323]

Frank Valentic

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