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The latest Household Financial Comfort Report from ME Bank outlines that the Reserve Bank will have time to ‘wait and see’ on rates this afternoon, as financial caution and job insecurity colour the findings of their survey.
In the top three concerns for households is job security, up 5%, to 31% of households in the six months to December 2013.
Concerns about finding a new job within a period of two months if unemployed rose 1% to 55% of the working population.
Similarly, households are remaining cautious with their finances and are avoiding risks with investments. For instance, self-noted risk avoiders came in at 37% as compared to self-noted risk takers at 18%.
Interestingly, self-funded retirees had the highest number or risk takers to risk avoiders, 32% to 19%, compared to Gen Y, 21% to 37%, Gen X, 21% to 33%, Baby Boomers, 17% to 37% and government-funded retirees at 10% to 58%.
ME Bank’s CEO, Jamie McPhee, said that the report also identified that the number of households struggling to save on a month-by-month basis increased 2% to 51%, with 46% having less than $5,000 in emergency savings funds.
With just 26% saving for a ‘rainy day’, 11% are spending more than they earn while 5% are using equity in their homes to make ends meet.
“The rise in job insecurity, a result of increasing unemployed persons and increasing casual/part-time jobs, is exacerbated by a relatively low level of household comfort with emergency cash buffers and more generally, current savings and investments,” said McPhee.
Households with savings are showing another sign of caution, with 34% paying off their debts as fast as possible.
“Notwithstanding low interest rates and rising share prices and to a lesser extent rising house prices, the findings support the case for the RBA to continue to ‘wait and see’ on official cash rates, as it looks for increased household spending and investment as the economy as a whole passes the peak in the mining investment boom,” he said.
The index saw household financial comfort at 5.52 out of 10 in December 2013.
“In terms of households, significant rises in financial comfort among retirees (up 5% to 5.4 out of 10), especially self-funded retirees (to 7.2), as well as couples with older children (up 6% to 5.7), were offset by a sharp fall in financial comfort among single parents (down 5% to 4.7), notably single parents dependent on government payments (to 3.4)”, he said.
“While retirees and couples with older children are benefitting from rising equity and to a lesser extent housing markets, single parent households are concerned by the announcement to tighten government assistance and parenting payments from 1 January 2014.”
With these indicators, the Reserve Bank is expecting to hold today. A <a target="_blank" href="https://www.propertyobserver.com.au/finance/economists-unanimously-expect-no-rate-change-but-cut-could-be-on-the-cards-this-year-finder/2014020267477">conclusion also expected by a number of economists</a>.
<a href="mailto:jduke@propertyobserver.com.au">jduke@propertyobserver.com.au</a>
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jduke-EHk3XBmHkn

Job insecurity and financial caution to encourage RBA to ‘wait and see’

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The December 2013 building approvals figures released by the Australian Bureau of Statistics (ABS) have met with mixed responses, however the Housing Industry Association (HIA) says that despite the monthly softness the overall year was strong.
Over the December month, residential building approvals fell by 2.9% compared to November, explained HIA senior economist Shane Garrett.
However, he said that the level of building approvals is high – having increased by 15.7% overall for the 2013 year, being the first year of significant expansion since 2010.
“The number of detached house approvals fell by 3.2 per cent in December with multi-unit approvals slipping by 2.5 per cent,” Garrett said.
Approvals fell in all states apart from New South Wales, which Garrett noted is a concern.
“We are conscious that supply side conditions could suppress the current recovery, and December’s figures may partly reflect this difficulty,” he warned, pointing to difficulties with land release, development and infrastructure funding.
These were <a target="_blank" href="https://www.propertyobserver.com.au/news/the-senate-s-inquiry-into-affordable-housing-six-submissions/2014013067451">issues brought up in a number of submissions to the Senate inquiry into affordable housing</a>.
With 3.8% growth in New South Wales for the month, the total seasonally adjusted building approvals saw declines in every other state and territory. South Australia was down the most, by 13.7%. Tasmania, Victoria and Queensland were subdued at 5.5%, 5.1% and 4.9% respectively.
Meanwhile, Western Australia was down 3.6%.
In trend terms, dwellings approvals fell in the Northern Territory by 15.8%, and in the ACT by 2.5%.
In trend terms, Queensland, South Australia, Victoria and Western Australia all moderately increased. New South Wales remained unchanged.
Despite this, Northern Territory treasurer Dave Tollner was happy with the overall yearly increases, pointing to the 19.9% increase over 2013.
“This was primarily driven by a 21.1 per cent increase in the number of unit and townhouse approvals, up from 1,140 in 2,012 to 1,381 last year,” Tollner said.
He pointed to a large number of multi-unit developments in and around Darwin’s CBD and Palmerston as helping drive this increase.
House approvals were also supported by land releases in the new Darwin and Palmerston suburbs Muirhead, Bellamack, Johnston, Zuccoli and the Coolalinga subdivision.
The Urban Taskforce is similarly positive about New South Wales growth, particularly in high density apartments and non-residential building across the state.
“Apartment approvals continue to move solidly upwards in NSW,” said Urban Taskforce CEO Chris Johnson.
“This Indicates a continual shift towards urban living fuelled by low interest rates and off shore investments.”
He pointed to a number of sizable projects that are going through the planning system currently, and will lead to construction over a number of years. He said that Sydney’s big jumps in prices lately have only come from a supply shortage
“The current stalemate in the planning reform process with the opposition parties undermining a well-balanced reform package is likely to reduce confidence. The anti-development attitude of some of the opposition parties will only build up a negative attitude within the community against change to accommodate future growth,” he said.
<a href="mailto:jduke@propertyobserver.com.au">jduke@propertyobserver.com.au</a>
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Building approvals softer in December, but overall strength celebrated

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Queensland’s central Logan area has once again jumped onto the radar as a potential hotspot, with some developments apparently holding a waiting list for prospective tenants due to the low vacancy rate, and a generally low supply for new stock.
<a href="/news">Marsden</a> and <a href="/news">Browns Plains</a>, in <a href="https://www.propertyobserver.com.au/queensland/suburb-spotlight-logan-investor-activity-surges/2013112466554" target="_blank">Logan</a>, with vacancy rates of sub-2%, have median prices around $300,000 and rents that can bring in up to $240 per week.
In our suburb spotlight on Logan late last year, Australian Property Monitors’ Andrew Wilson warned investors about this area.
"It’s always the ‘curse’ of the hotspot. By saying it’s a hotspot, there could be an overshoot of fundamentals. Gladstone was the flavour of the month, now the direction’s moving to Logan," Wilson said.
"Investors should beware of the ‘hotspot’. What goes up quickly comes down quickly as well," he warned.
Developments such as <a href="https://mintthomes.com.au" target="_blank">Mintt on MaCarthy in Marsen</a> and <a href="https://www.thepromenadeqld.com.au/" target="_blank">The Promenade in Brown Plains</a> (pictured below), are both said to have waiting lists with all currently built and sold properties fully occupied, according to official marketing material. The next stage of properties is apparently being rushed forward to meet demand, seeing rental rates rising above the median.
{yoogallery src=[images/stories/2014/02/04/log]}
Photo: The Promenade in Brown Plains
Urban Development Institute of Australia president (Gold Coast and Logan), David Ransom, said that the Logan corridor is often underestimated as a potential growth area in south-east Queensland.
"A lot of the focus is generally on Brisbane and the Gold Coast, but Logan has plenty to offer in its own right, with its position between two major markets, a growing economy and a solid pipeline of development - including the two new major cities of <a target="_blank" href="/news">Yarrabilba</a> and Greater Flagstone which will help cater for future population growth," Ransom said.
"The Logan region broadly has a lower median house price than its neighbouring cities, which makes it an attractive area for investors and young families looking for an affordable opportunity to position themselves at the centre of south-east Queensland's growth corridor."
However, this isn’t necessarily a brand new hotspot opportunity. Property Observer remembers discussions of Logan being the next area to buy, with some likening it to <a href="https://www.propertyobserver.com.au/new-south-wales/suburb-spotlight-mount-druitt-may-retain-hotspot-label/2014012167284" target="_blank">Sydney suburbs in Blacktown and around Mount Druitt</a> for high yields.
In fact, in October 2012, <a href="https://www.propertyobserver.com.au/queensland/logan-central-tops-list-of-brisbane-suburbs-with-top-unit-yields/2012102857466" target="_blank">Logan Central topped the list for the highest yielding units across Brisbane</a>.
We also featured a debate about this area, with <a href="https://www.propertyobserver.com.au/queensland/brisbane-tipped-for-growth-but-jury-out-on-best-location/2013090564807" target="_blank">Right Property Group’s Victor Kumar calling Logan undervalued due to stigma</a>, presenting good opportunities for buyers. Propertyology’s Simon Pressley, however, said that he does not invest there and considers it for more ‘unsophisticated’ investors.
The Promenade at Browns Plains has 120 three-bedroom townhouses, of which half have been completed and tenanted. The final release sees prices starting from $337,900.
Meawhile, Mintt on MaCarthy, in Marsden, has 20 completed and tenanted three-bedroom townhouses in stage one and 12 in stage two that are currently selling. These are priced from $336,900.
Both feature pools, barbecue areas, playgrounds and on-site managers.
jduke@propertyobserver.com.au
 
 
 
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Logan catches attention as ‘hotspot’, but has the boom passed?

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An email, sent out on Friday to clients from director George Nowak on behalf of the entire Charterhill Group of Companies, issued an apology for the lateness of communications after the "shock closure" of their entire group by receivers and external administrators.
This comes after reports that <a target="_blank" href="https://www.propertyobserver.com.au/new-south-wales/almost-140-property-investors-smsf-funds-at-risk-as-nova-real-estate-put-in-voluntary-administration/2014020267476">almost 140 investors' SMSF funds are at risk, or an estimated $6 million</a>.
Noting that they had only just regained database and communication lines to address clients of the group, Nowak noted that the cash flow and capital of the business in providing the infrastructure for a 'one-stop shop' approach had been limited and caused the business to no longer be profitable.
"A 1st ranking secured creditor of Charterhill Group Pty Ltd and Financial Wellness Pty Ltd appointed a receiver last week and coincidentally an External Administrator has been appointed on 20/1/2014 to Nova Real Estate Pty Ltd and Lending Solutions Pty Ltd and will work through the complex business model and advise on the best outcome for all concerned over the ensuing weeks beginning with a 1st creditors meeting Friday 31/1/14," the email on Friday said.
He expressed his disappointment at what had occurred.
"We apologise again that our intended financial outcome you may not be realised but assure you we will assist the External Administrator with whatever information or assistance is required," he said.
However, the story doesn't all appear to be solved, and Property Observer has been approached by clients unsure about where they stand. He noted that clients of Australian Leasecorp Pty Ltd's rental guarantees that are currently in progress has seen their original external support subside. His email put the cause of this on the Mining Tax.
"To that end we have worked very hard in securing a major international group to provide our clients with a favorable and cost saving product for each landlord's consideration as a potential upside to the difficulties experienced throughout last year," he said.
Communications from Australian Leasecorp has been in lengthy negotiations with the company, he said, to secure an offer that presents good value for continuing with a rental guarantee.
Nowak notes that as the sole director, he has been in immediate contact with ASIC and has provided full and open disclosure. He also said that difficulties with accessing their database meant that not all affected investors would have access to the notice.
For the sake of the investors involved, Property Observer has reproduced the entire statement below:
CHARTERHILL GROUP UPDATE
Dear Clients of Charterhill Firstly on behalf of the entire Charterhill Group of Companies I wish to sincerely apologise for the lateness of this communication to you but after the shock closure of our entire group by receivers and external administrators we have only just regained our database and communication lines to be able to formally address you.
As you are aware, Charterhill Group and its associated entities, have provided a "one-stop shop" for our clients which is unique in Australia in this industry but, unfortunately, it has come at a cost.  The infrastructure required to perform all the various tasks involved in the process has been a sever drain on our cash flow and capital and we have reached the point where we can no longer function as a profitable business. A 1st ranking secured creditor of Charterhill Group Pty Ltd and Financial Wellness Pty Ltd appointed a receiver last week and coincidentally an External Administrator has been appointed on 20/1/2014 to Nova Real Estate Pty Ltd and Lending Solutions Pty Ltd and will work through the complex business model and advise on the best outcome for all concerned over the ensuing weeks beginning with a 1st creditors meeting Friday 31/1/14. Our sincere apologies that this has occurred as we have worked so hard over many years to fulfil our obligations to our valued clients but forces have worked against us and we find ourselves in this situation.  Each and every staff member is bitterly disappointed that the commitment made to our clients cannot be carried through and along with myself are devastated with the outcome. We apologise again that our intended financial outcome you may not be realised but assure you we will assist the External Administrator with whatever information or assistance is required. In relation to you as clients of Australian Leasecorp Pty Ltd and the Rental Guarantees in progress, you are very aware that the mining sector suffered a severe blow when the Gillard government announced their intended Mining Tax, and as a result our original external support for the Rental Guarantee product subsided with that event causing the group further issues to contend with.
To that end we have worked very hard in securing a major international group to provide our clients with a favorable and cost saving product for each landlord's consideration as a potential upside to the difficulties experienced throughout last year.
PLEASE NOTE THAT THE EXTERNAL ADMINISTRATOR IS NOT INVOLVED WITH ANY MATTERS PERTAINING TO AUSTRALIAN LEASECORP SO PLEASE DO NOT CONTACT THEM FOR THIS MATTER.
For all those involved with Australian Leasecorp you will be receiving independent communication from the party with whom we have been in lengthy negotiations to secure an offer which upon review does present good value for continuing with rental guarantee certainty into the future. Full claims and business continuity communication lines are currently being reestablished and will form a key feature of the forthcoming proposal for Australian Leasecorp clients with current agreements in place.
My sincere apologies one again for the events which have occurred and my extreme apologies for the lateness of our address to you but as mentioned we have been extremely hampered with information and systems deficiency which has taken time to even partially restore. Anyone affected by those entities involved in the receivership/administration process have already been contacted and communicated with independently. As we are not certain about the completeness of our recovered database, anyone who you know is associated with our group but has not received this communication please on send to them and advise me by return email to include their email details into our database for the assurance they are included in all communications by all parties.
As the Sole Director of the group entities I have already been in immediate contact with ASIC and provided full and open disclosure and am voluntarily working with ASIC throughout the investigative processes. I will cooperate to the maximum legal and statutory extent permissible with all insolvency personnel and statutory officers, so as to achieve the best result for everyone concerned given that a suitable time frame will allow a favorable outcome to be forthcoming to everyone.
My sincere apologies once again. Yours sincerely, AUSTRALIAN C.G.I. LTD (shareholder of Charterhill Group PL and Financial Wellness PL) GEORGE J NOWAK DIRECTOR
If you have any more information, contact: <a target="_blank" href="https://mce_host/news@propertyobserver.com.au">news@propertyobserver.com.au </a>
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Investor update: Charterhill issues clients apology after closure

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Strange property listings keep everyone's jaws on the floor, and it seems there's no shortage of them.
We <a target="_blank" href="https://www.propertyobserver.com.au/residential/five-of-the-most-bizarre-property-listings-from-looney-listing/2014012867391">recently featured five listings from hilarious website Looney Listings</a>, before stumbling across a number of our own.
This <a target="_blank" href="https://www.rightmove.co.uk/property-for-sale/property-29111517">four-bedroom semi-detached in UK's Birmingham</a> looks standard from its facade, and when you glance through the house it's unclear what is special about it. However, take another look at the garden. There's an actual pub, called The Watersedge Inn, created from a converted shed, complete with dartboard, pool table and bar stools. We're impressed and someone else was evidently; lashing out £249,950 to buy the property.
{yoogallery src=[images/stories/2014/02/04/bir]}
We also had our attention alerted to a property in Brisbane, where Imogen Brown, a Brisbane-based home stylist came across this weird and wonderful listing.
<blockquote class="twitter-tweet" lang="en">
<a target="_blank" href="https://twitter.com/JennieDuke">@JennieDuke</a> saw this one today. New listing in Brisbane. Perplexing! <a target="_blank" href="https://t.co/hMalR4mlIi">pic.twitter.com/hMalR4mlIi</a>
— Imogen Brown (@HomeStagingBris) <a target="_blank" href="https://www.propertyobserver.com.au/https://twitter.com/HomeStagingBris/statuses/430301194729177088">February 3, 2014</a>
</blockquote>
For more crazy listings, have a look at this rental <a target="_blank" href="https://www.propertyobserver.com.au/new-south-wales/a-toilet-in-the-kitchen-a-strange-unit-layout/2014012067267">where the toilet was quite literally in the kitchen</a>.
<a target="_blank" href="mailto:jduke@propertyobserver.com.au">jduke@propertyobserver.com.au</a>
 
 
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A pub in the garden and other kooky properties

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A gorgeous property in Tasmania's <a href="/news">Hobart</a> has jumped onto the radar as a rental that many of us are envious of, with Rent Resumé providing us our Tweet of the Day with this shout out:
<blockquote class="twitter-tweet" lang="en">
Rental of the Day. Hobart TAS. Awesome 1 Bedroom Loft. <a href="https://t.co/gMZ6J49nZe">https://t.co/gMZ6J49nZe</a> <a href="https://t.co/kEA56R7Xz8">pic.twitter.com/kEA56R7Xz8</a>
— Rent Resumé (@RentResume) <a href="https://www.propertyobserver.com.au/https://twitter.com/RentResume/statuses/430148884330201088">February 3, 2014</a>
</blockquote>
The property, <a href="https://www.realestate.com.au/property-apartment-tas-hobart-405271117" target="_blank">13/84 Upper Fitzroy Crescent</a>, Hobart (pictured below), is a lovely one-bedroom, one-bathroom apartment in a loft style. Think red, think stainless steel and think modern-meets-cosy. We particularly like the shape of the windows and the concept of a skylight above the bed. The beamed ceilings are also lovely.
{yoogallery src=[images/stories/2014/02/03/hob]}
However, it is asking $525 per week. The <a href="/news">median rent for Hobart units looks to be at $450 per week</a>, according to RP Data, so this is nudging the upper end of the market with one-bedroom, one-bathroom properties able to be rented for less than half this price.
The loft is said to have stunning views, which can just be seen from the listing pictures.
<a href="mailto:news@propertyobserver.com.au" target="_blank">news@propertyobserver.com.au</a>
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An amazing rental in Hobart

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This year is set to see some interesting trends emerge, from changing floor plans to investors and home buyers pursuing different types of stock, according to Secret Agent’s Paul Osborne.
Here are the seven key trends that Osborne is predicting for the property market.
 
1) China is where our future lies
Osborne notes that the future of Australia, and the property market, is less in the emergence of America and Europe but in the success of the Asia Pacific region. He particularly notes that China is one to watch.
"Hot money from Asia seeping into our assets, especially into our capital cities, is likely to increase over the coming years," he said.
"This will have profound implications on real estate prices for the remainder of the decade.
"Foreign investment is having a changing impact on previous fundamentals.”
The expectation:  This year is set to see another surge in Asian investment, as these offshore buyers look for yield and capital protection. The CBD commercial markets in Melbourne and Sydney will see further price records overturned, with local buyers to be outmatched by foreign interests.
You might also want to read <a target="_blank" href="/news">Juwai.com Andrew Taylor's editorial about how Australia is embracing Chinese investment in real estate</a>.
 
2) Density to increase
The changing shape of urbanisation is also on Osborne’s radar as a trend to take note of, particularly as it is irreversible.
With 89% of Australia’s population currently urbanised and the number steadily increasing, suburbia is in decline.
"The Australian dream of a freestanding home, with lawn to mow, is leaving the consciousness of many Australians. Lack of infrastructure, transport, and culture, have made many resist the move to outer suburbia. Instead [they are] opting to live in smaller residences and even rent," he explained.
The push is driven by all demographics, apart from some of Generation X.
“The district of the City of Melbourne which comprises of Melbourne CBD, Carlton, Docklands, East Melbourne, Kensington, Flemington, North Melbourne, Parkville, Port Melbourne, Southbank, South Yarra and West Melbourne; only have a combined population of just over 100,000 people, within these most convenient locations. This geographical area is two thirds the size of Manhattan with just a fraction of the people,” he said.
The expectation: More people will opt for the convenience and the low-maintenance attraction of city living, with the bare minimum being downsizers choosing to live in the amenity/proximity rich areas within their own suburb to start with. The apartment preference will continue.
This news article has a look at <a target="_blank" href="https://www.propertyobserver.com.au/new-south-wales/diverse-dwelling-densities-needed-urban-taskforce/2013092665321">a call from the Urban Taskforce into increasing diversity in housing supply densities</a>.
 
3) New apartment buildings to see their ‘best days’
With city towers increasing in a number of cities, Osborne warns that the main issue is that many of these apartments are not suited to the local demographics.
Similarly, warehouse living has been a property type that has gathered momentum and buyer interest over the past few years, particularly in the edgier locations.
"Making the best of vertical space is seeing many storage and mezzanine levels being installed into these homes," he said.
The expectation:  New apartment buildings are expected to see better days, providing they can up their game in terms of providing the right floorplans. He points to aesthetics, position, quality and larger floor plates as the important aspects.
Here, <a target="_blank" href="/news">Houseplanology's Sam Crothers explains what it takes to create a good floorplan</a>.
 
4) Household formation changing dramatically
Solo living, less children per couple, and higher divorce and separation rates are already resulting in fewer people per household, he said.
The demand for a lower number of bedrooms per home, with higher demand for larger rooms, such as living spaces and bedrooms, is already in place.
"Local preferences for housing stock will still gravitate around the existing group of period stock. Yet, awareness of the heavy upkeep and renovation costs are becoming more widely known, and this is increasing demand for contemporary property. We also note increased interest in the post war brick veneer within city fringe positions due to their solid structures and more accommodating floor plans," he explained.
The expectation: An increase in demand within the CBD’s fringe suburbs and the CBD. Apartments are to become the default option as houses become out of reach for many.
Houshold formation was one of a number crucial points in this <a target="_blank" href="https://www.propertyobserver.com.au/residential/room-for-debate-is-australia-s-housing-market-under-or-oversupplied/2012092556795">head-to-head about housing supply between BIS Shrapnel's Angie Zigomanis and Michael Matusik</a>.
 
See over page for his final three forecasted trends
 
 
 
<hr class="system-pagebreak">
 
 
More forecasts
5) The availability and cost of credit
Inexpensive credit is fuelling credit growth in certain sectors, while others show signs of deleveraging, he said.
"Australia’s headwinds include deleveraging and reduced foreign investment if Asian economies start to falter. If this were to happen simultaneously it would lead to falling prices," Osborne noted.
The market is currently splintered, with inner city areas having lower debt residents, and outer areas holding down more vulnerable jobs with higher debt.
The expectation: An increasingly pronounced split between the "haves" and the "have-nots", with credit being the amplifier in the system.
Observer Catherine Cashmore looked at the widening gap between the "haves" and "have nots" in <a target="_blank" href="/news">this piece about housing policy reform</a>.
 
6) Local investment to grow in SMSFs and yield to become the focus
Local investments have seen strong interest in SMSFs over the past few years, with investors increasingly pursuing yield.
"Leased assets within the residential and commercial property market have been hotly contested as bank interest continues to disappoint," he said.
The expectation:  In the long-term, these investments should slow with interest rate increases and political pressure likely to begin restricting super funds from buying property.
The average borrowing of an SMSF is now at $357,000, <a target="_blank" href="https://www.propertyobserver.com.au/finance/smsf-average-borrowing-at-%24357000-but-not-irresponsible-spaa/2014011367177">according to the SMSF Professionals' Association of Australia, who claim that it isn't irresponsible</a>.
 
7) Commercial market demand shifting to vibrant spaces
The type of space wanted by tenants and owner occupiers in the commercial market has already undergone several shifts.
With many office buildings currently needing a complete refit to meet the current working environment, especially with its growth as a retention tool, there have been many efforts to relocated to more vibrant locations.
Similarly, more workplaces are becoming mobile, with hotdesking becoming common as work forces are increasingly flexible.
"Natural light, break out areas and spaces that allow for greater collaborations have become vital for the modern corporation," he said.
The expectation: Funky well-located office spaces, such as converted warehouses, to become the sought-after stock.
We had <a target="_blank" href="https://www.propertyobserver.com.au/victoria/oct-1-flicker-3-highrises-and-high-fashion-171-collins-street/2013093065382">a walkthrough of one of the latest innovative office spaces in Melbourne, 171 Collins Street</a>.
 
jduke@propertyobserver.com.au
 
 
 
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Seven key trends to emerge in 2014’s property market: Secret Agent

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Off the plan properties are becoming increasingly attractive for property investors and home buyers, and in a property market that’s heating up, it makes sense. Buy now, for today’s prices, and have a home later that’s worth more than you paid for it. If everything goes well, it can be a dream. However, if you scrimp on your research, choose the wrong development or developer, then you could be in for a nasty shock.
In this Property Observer exclusive, we asked a number of property experts, including those directly involved in development, to <a href="https://www.propertyobserver.com.au/developments/exclusive-are-off-the-plan-properties-good-investments/2013103166079" target="_blank">provide their opinion about whether off the plan can be a good investment</a>.
Opinions were strongly split; some noted that off the plan is ‘rarely’ a good investment, with others saying that if you buy wisely you will reap the returns.
“When investors buy property off the plan they are essentially buying sight unseen. So the first rule should always be to ensure the developer and builder are reputable with a track record of delivering quality buildings as specified and on time,” said John Carfi, chief executive officer of Mirvac.
Meanwhile, Todd Hunter from buyer's agency wHeregroup notes that you may be paying top dollar for a developer who is paying for a marketing company, GST and a number of other aspects before factoring in their own margin.
Our other experts spoke of needing a ‘long-term’ view, and the fact that with current grants the properties can be good for first home buyers, as well as the associated risks.
Monique Sasson, from Wakelin Property Advisory has been forthright about her belief that the majority of off the plan investments don’t work due to the lack of scarcity value.
However, she notes that there are always exceptions.
“There are always two or three examples that break the rule to prove the rule, but they do tend to be geared towards owner occupiers, many of them are seven figures, rather than what I would consider to be the garden variety investment apartment at a more affordable level for most investors.
“I'm really talking about something between $500,000 and $700,000. Whereas these ones that may have started out as off the plan would have started out as $700,000 or $800,000 investments when they were sold but they'd now be worth well and truly in excess of $1,000,000 and sometimes even $2,000,000,” <a href="https://www.propertyobserver.com.au/news/properties-that-will-double-in-value-in-seven-to-10-years-monique-sasson-wakelin/2013091265003" target="_blank">she told Property Observer</a>.
If you’re determined to buy off the plan, then there are a number of things you can do to prepare yourself and mitigate against any risk.
Article continues over page. Please click below.
 
 
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How you can mitigate risk
Never treat any aspect of the marketing material as gospel.
If you are being given a price for the apartment, triple check the inclusions – ensure these are noted specifically on the contract. Be wary of ‘estimates’. If you have been provided an estimated rental return and capital growth, find out what this is based on.
Rental returns should be based on other comparative rentals currently tenanted in the area. Ensure you check the vacancy rate. Call some local property managers and ask them what sort of demand there is for you sort of property and how much they would put the weekly rent at for prospective tenants.
Capital growth prospects should not necessarily be based on past growth. Trends can change at any time, and if you’re being provided some assumption of growth in the area, be ready to ask for the research that went into this forecast. Ask other experts about their forecasts.
Similarly, compare everything provided in the marketing material against the contract. Double check the inclusions, floor plans, delivery date and anything else you believe you are entitled to.
If there is a discrepancy in any of the material, you’ll want to be taking a close look at what you’re potentially going to buy.
Have your own team
Do not rely on the experts provided to you by any development company or one-stop shop. Ensure you seek out independent accounting and legal advice. Use these experts to put any of the claims of the developer to the test, and to help you with double checking the marketing material.
You’ll also want to ask your accountant or solicitor of anything that stands out to them as unusual, or to flag any common problems with you.
Research:
The area
Researching the area in which you’re buying should be standard for any home buyer or investor. There are many fundamentals and aspects to check first (you can <a href="?option=com_googlesearch_cse&amp;q=research%20an%20area" target="_blank">see a number of our research guides here to get you started</a>).
Prices can certainly drop in suburbs and you’ll want to ensure that you’re not overpaying to begin with. You'll want to esnure that the outlook is fairly comfortable for the future prospects, particularly as you are not going to get your hands on the property for some time.
Most crucially for those looking to buy off the plan is to find out what other developments are coming online in the area, particularly those that can substantially change what you are looking at now. Will something build out the view that you’re paying a premium for (or is there the capacity in the future)?
You will also want to find out the local opinion about the development. If there has been unrest from residents for the development, something regularly seen in the more tightly held areas of Melbourne, the stigma of the new building may be hard to shake off in the future.
The developer
Treat your discussions and research about the developer as a job interview. Ask for examples of previously successful projects and remember to check that they’ve come in on time, in budget and within expectation of previous owner occupiers.
Ensure they have completed similar projects before, and, if possible, visit the development to see how closely it stacks up against their marketing material.
You’ll want to check their insurances, and run checks through Fair Trading to find out about any cases against them. We also recommend a thorough Google search to find out what is being said about them online.
Ask the developer:
-          How long have you been working in the industry and what have your other projects been?
-          What development updates should I be expecting, and who can I contact during the construction?
-          Can I speak to some of your previous clients?
-          What sort of buyers have purchased the rest of the building?
-          What interest are you receiving on this building?
-          How long did it take to get development approval?
-          Can I see your balance sheet?
The development
Opportunity cost is a hugely important aspect to bear in mind, particularly when your capital is held up as you wait for construction to complete. Have a look at the lead time on these developments.
Be wary of any changes to the initial plans and of any differences to the show home and material you’ve been presented. What ‘wriggle room’ is there for this specific development, and in the contract, for you to be provided a different apartment? Never settle on the verbal agreement, and get everything in writing.
The contract is going to be one of the main pieces of paperwork that will look after you, should you have to take further action down the track. You will also want to find out if there is the ability to make changes in consultation with the developer if you are unhappy.
Fair Trading recommends the following questions should be asked (and checked against the contract):
<ul>
<li>
Can I make changes to the finishes in the kitchen and bathroom?
</li>
<li>
Can I select appliances such as stoves and dishwashers and items such as floor and wall tiles?
</li>
<li>
Can I visit the site during construction?
</li>
<li>
If the building is finished earlier than expected, has finance been suitably arranged?
</li>
<li>
What are my rights if construction is delayed?
</li>
<li>
Is my deposit secure if the building doesn't proceed?
</li>
<li>
Can I on-sell during the construction period?
</li>
</ul>
Source: <a href="https://www.fairtrading.nsw.gov.au/ftw/Tenants_and_home_owners/Buying_property/Buying_off_the_plan.page" target="_blank">Fair Trading New South Wales</a>
RealestateVIEW recommends the following checks and balances:
- Take note of the completion date
- Are there penalties if you withdraw from the contract?
- Can you visit the site during construction?
- What happens if the developer runs into financial problems, and what happens to your deposit?
Source: <a href="/guides" target="_blank">RealestateVIEW</a> 
Read more over page: Free resources and useful information
 
<hr class="system-pagebreak">
Free resources and useful information
Finally, there's plenty of free information available online that will assist you in ensuring you choose wisely. Be wary of <a href="/news">any information that simplifies the process</a> or suggests it can be done cheaply or easily.
On Property Observer we have the following available for anyone looking to buy off the plan: An eBook, with <a href="/guides" target="_blank">14 tips for buying off the plan</a>
A number of articles about new developments near you, and an <a href="https://showcase.propertyobserver.com.au/" target="_blank">Investor Showcase</a> with further details Fair Trading also has a number of useful documents, such as <a href="https://www.fairtrading.nsw.gov.au/Factsheet_print/Tenants_and_home_owners/Buying_property/FTB21_Buying_off_the_plan.pdf" target="_blank">this PDF with a two-page guideline to your off the plan basics</a>
 
YOU MAY ALSO WANT TO READ:
The <a href="https://www.propertyobserver.com.au/developments/don-t-underestimate-the-risks-in-off-the-plan-buying/2013031959692" target="_blank">risks of off the plan buying</a> should not be underestimated
Ask Margaret: <a href="https://www.propertyobserver.com.au/residential/ask-margaret-should-i-buy-off-the-plan-or-an-existing-property/2013062862801" target="_blank">Should I buy off the plan or an existing property?</a>
The three risks buyers take when they buy off the plan, and <a href="https://www.propertyobserver.com.au/developments/three-risks-buyers-take-when-they-buy-off-the-plan-%E2%80%93-and-how-to-avoid-them/2011112952599" target="_blank">how to avoid them</a>
<a href="mailto:jduke@propertyobserver.com.au" target="_blank">jduke@propertyobserver.com.au</a>
 
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Considering buying an off the plan property? Read this first

<html><body>
Predictions about what is to come in the real estate market are a hot topic for most property enthusiasts, investors and home buyers.
Whether it’s the economists, buyer’s agents, real estate agents, commentators or mum and dad at the barbecue, everyone likes to give it a guess. We also love to revisit the predictions and see just who got it right, and who got it wrong.
See <a href="https://www.propertyobserver.com.au/new-south-wales/how-2013-s-predictions-held-up-we-put-them-to-the-test/2014011267166" target="_blank">how the predictions for 2013 held up when we put the experts’ forecasts to the test earlier this year</a>.
However, what if we take it to someone who isn’t a real estate expert, but who does predict for a living – such as a psychic medium?
Sharlene, a psychic from Sydney’s western suburb <a target="_blank" href="/news">Minchinbury</a>, has been put to the test by Sydney Real Estate TV and Just Think Real Estate’s Edwin Almeida, for Property Observer.
Almeida asked Sharlene her predictions for 2014's Sydney market, and then narrowed in on what the spirits are telling her about the prestige market.
Here is what happened:
{qtube vid:=RuxCxUsQMRQ&amp;feature=youtu.be}
For <a href="/?option=com_googlesearch_cse&amp;q=just%20think" target="_blank">more videos and stories from Sydney Real Estate TV, see this collection</a>.
She tips property prices to stay stable, before an increase towards the end of the year. She doesn’t see a drop as particularly likely. Her belief is also that the million dollar plus properties may be harder to sell, and this is set to get harder towards the end of the year.
Almeida agreed with Sharlene about the multimillion dollar properties.
What do you think?
 
{module Do you think that Sharlene's predictions will come to pass?}
 
We will have the opportunity to speak to Sharlene again. What other property questions would you ask her?
Let us know your expectations for the market: jduke@propertyobserver.com.au
</body></html>

A psychic predicts what is to come for Sydney’s property market

<html><body>
More than $100 million of property, or 177 apartments of the 220 available, saw contracts exchanged this weekend at the launch of New South Wales' <a href="https://wooloowarebay.com.au/residential.php" target="_blank">Woolooware Bay town centre and residential community development</a>.
The Sutherland Shire development is on land owned by the Cronulla Sutherland Leagues Club, and is on a 10-hectare site. In total, it will have 600 apartments, a Sharks Club and a 17,700 square metre retail and medical centre.
<img src="https://res.cloudinary.com/dz9xllyip/image/fetch/c_scale,w_580,q_auto:good/https://s3-ap-southeast-2.amazonaws.com/po.images/stories/2014/02/03/woolooware-bay-feb-3-one.jpg" alt="woolooware-bay-feb-3-one" width="470" height="316">
The Saturday, February 1 launch was a ‘VIP’ event, and registrations of interest are now open for the next apartments in the Waterfront Release, which face the bay.
The weekend launch saw first home buyers, young families, downsizers and retirees purchasing the apartments. In total, 95% were local buyers.
Prices ranged from $450,000 for one-bedroom apartments, $575,000 for two-bedroom apartments and from $860,000 for three-bedroom apartments.
Managing director of Bluestone, Ben Fairfax, said that the interest was significant and had caused them to extend the original release, of Esplanade – a building with 91 apartments – to include the 47-apartment Pavilion and 82-apartment Sea.
“We had a large amount of interest from the local community when the vision for the master plan was first unveiled. The enquiry has continued to grow as the project moved through its planning and approval process and our purchasers today have waited patiently for the first chance to buy,” Fairfax said.
The sales team had taken 2,000 registrations of interest, with 200 gathered over Christmas.
Chairman of landowner Cronulla Sutherland Leagues Club, Damian Keogh, said that the town centre will provide a boost for the Club and the future of Sharks Group. The Club itself, 461 Captain Cook Drive, <a href="/news">Cronulla</a>, will be able for public use as a conference space.
<img src="https://res.cloudinary.com/dz9xllyip/image/fetch/c_scale,w_580,q_auto:good/https://s3-ap-southeast-2.amazonaws.com/po.images/stories/2014/02/03/woolooware-bay-feb-3-two.jpg" alt="woolooware-bay-feb-3-two" width="470" height="416">
The apartments include timber laminates, feature panels and stone benchtops.
Shared facilities will include a rooftop Sunset Cinema and W Club, a lagoon pool, and a barbecue area.
The town centre space is still seeking tenants to lease, however cites that the final product will include a full-line supermarket, fresh food retailers, “eat street” restaurants and cafes and services/lifestyle stores. It will have 770 car parking spaces.
Bluestone's personnel have been involved with the redevelopment of a number of waterfront sites, such as Woolloomooloo Bay Wharf, Rhodes Waterside, Balmain Cove in Sydney's Inner West and other major developments, such as Norwest Business Park.
Norwest Business Park took a spot in this <a href="https://www.propertyobserver.com.au/https://www.propertyobserver.com.au/news/new-south-wales-top-five-developments-of-the-past-50-years/2013090664825" target="_blank">list of New South Wales' Top Five developments of the last 50 years</a>.
Construction on the shopping centre is expected early this year.
<a href="https://www.propertyobserver.com.au/jduke@propertyobserver.com.au" target="_blank">jduke@propertyobserver.com.au</a>
For the latest development listings, brought to you by Property Observer and partners, see our <a href="https://showcase.propertyobserver.com.au/" rel="nofollow">Investor Showcase</a>.
Images are artist impressions.
 
 
</body></html>

Sydney’s newest waterfront town centre Woolooware Bay sees $100 million of sales on first day

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]

Jennifer Duke

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