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The number of housing approvals in New South Wales is recorded at the highest level in nine years, despite national falls, according to the Australian Bureau of Statistics.
With a total of 41,309 houses approved over the 12 months to August 2013, this totals out at the highest level since 2003/2004, NSW Planning and Infrastructure Minister, Brad Hazzard, said.
“In NSW approvals have increased by 8% against the five year average in the period from April 2011 to August 2013, despite a fall of 2% in approvals nationally in the same period," Hazzard said.
He encouraged developers to come to the state to build more stock.
“The message to those who want to build houses is come to NSW, where we are open for business," he said.
In August 2013, 3,740 dwelling approvals were recorded, with approvals up 11% on the July 2013 result.
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jduke-EHk3XBmHkn

NSW approvals highest level in 9 years

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There are five common reasons for using different investment structures, however investors must ensure they ar eusing the correct structure or risk their assets not performing as required, according to Centric Wealth.
Centric Wealth's Adam Pearsall said that all investors should be regularly reviewing their investment structures to make sure they are maximising their assets.
He noted that the five reasons for using different investment structures are also follows:
- Tax effectiveness
- Protection of assets
- Estate planning
- Risk mitigation
- Delegation of control
"The majority of investors use a combination of investment structures to meet their particular needs. It is very rare for an investor to have only one investment structure for all of their assets," Pearsall said.
Your property investment structures should be looked at in terms of both your current financial and family circumstances, as well as what may change over time.
“Broadly speaking there are four main types of investment structures including personal, company, trust, and superannuation ownership. Depending on your particular circumstances, one structure may be more suitable than another,” he said. 
“The right investment structure is an essential part of the financial planning process because it dictates how your assets work for you, now and in the future."
Whenever an event in your life occurs, such as financial or family changes perhaps due to death, inheritance, divorce or similar, you will want to review your structures.
Personal ownership
The simplest and lowest cost investment structure is personal ownership, which Pearsall said is best for those on lower marginal tax rates who do not predict their income rising in the near future.
“This investment structure is also best suited to those investors who want unrestrictive access to their income and capital,” he said.
Company structure
Company ownership was said to be one of the structures with the highest set-up and compliance costs, and is regularly used for business rather than investments. For investors on higher tax rates or who are the beneficiaries of a discretionary family trust, this may be worthwhile considering.
“One of the main advantages of investing via a company is that income and capital gains derived by a company are taxed at a flat rate of 30 per cent which is significantly less than the maximum marginal personal tax rate plus medicare levy of 46.5 per cent,” said Pearsall. 
Asset protection was listed as another advantage, due to the limited liability of a company. Remember that business and personal investments should not be owned under the same structure.
Trusts
Looking at trusts, discretionary and fixed trusts are the most popular due to asset protection, tax-effectiveness and estate planning benefits, or testamentary trusts, he said.
Assets held in a trust do not form part of a person's will, and continue to be owned by the trust in the event of death.
“Like company ownership, trusts can be relatively complicated to set-up and maintain,” said Pearsall. 
“They also have higher set-up and compliance costs. We generally recommend trusts for clients who want to maintain control of their investments, add a layer of asset protection and tax-effectively stream income or capital gains.”
Superannuation
While many see this as a type of investment, rather than a structure, Pearsall explains that the two main uses are the accumulation of assets in a low-tax environment for retirement benefits and the holding of assets in what is, potentially, a zero-tax environment.
"Once fund members start receiving a pension, they are likely to pay no tax on either income or capital gains," he said.
“Superannuation as an investment structure is governed by a number of strict rules, which change regularly. These rules affect the amount of money an investor can contribute, how contributions, income and lump sum withdrawals are taxed, when investors can access their funds, and when death benefits are paid out and to whom.”
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Work your investment structures harder: Centric Wealth

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With the final approval received on Balé Vue Residences in Manly West, construction on the first of stage is more than 90% complete, however investors who purchase within Stage One may need to provide tenants a temporary rental reduction as construction occurs.
Stage one will be settled and ready to move in by December 2013, while stage three currently has 15 units remaining and will be completed by 2015.
<img alt="maley-west-oct-2-one" height="208" width="470" src="/images/stories/2013/10/02/maley-west-oct-2-one.jpg">
Angela Olsen, director of Real Property Management Australia, was approached for <a href="https://docs.google.com/a/smsf.me/viewer?a=v&amp;pid=sites&amp;srcid=c21zZi5tZXxtYW5seXJkX2ludmVzdHxneDoyYjg2Njk2OTBkNDY2NjI" target="_blank">an appraisal in September 2012</a>.  She put the rent at between $370 and $415 per week.
"As lots one to six will be the first constructed it is anticipated that prospective tenants may suffer some noise/disruption from the ongoing construction. With this in mind, it is suggested that a rent free period be offered or that rent be advertised on the lower end of the appraisal in the first instance. These rents will likely increase as the development completes," Olsen's appraisal notes.
A more recent appraisal, from Ray White Manly department manager rentals, Kathie Scott, put the rent at between $480 to $520.
"We feel that you could advertise the units for $520 per week to see what response there is," Scott noted in the appraisal dated 24th May 2013.
This change may be reflective of the market in Queensland and changes made to the project post-2012 appraisal, including the addition of a pool and onsite manager.
Development updates and construction images <a href="https://sites.google.com/a/smsf.me/manlyrd_invest/home/development_updates" target="_blank">are available online</a>.
Within the first two stages, there are two townhouses unsold. There are 35 properties over the three stages, with stage one containing six units, stage two containing seven, and stage three containing 22.
Price ranges and details include:
Stage one – $399,000 - $430,000 (248 – 315 square metres)
Stage Two – $399,000 - $430,000 (174 – 314 square metres)
Stage Three - $429,000 - $465,000 (193 – 287 square metres)
Type A – Used in all Stage one, slightly larger than Type B but mainly just the internal orientation. Three-bedroom, 2.5 bathroom and one lock up garage. Kitchen overlooks living space/lounge and only one upstairs balcony.
 Type B – three-bedroom, 2.5 bathroom and one lock up garage. Upstairs has two balconies.
Type C - Lowset (on one level) – three-bedrooms plus study. Only three of this kind in the complex
The development is surrounded by detached houses, and the quick sales are a sign of growing competition among tenants and buyers for affordable, low maintenance properties in an upscale area, said Acuity Invest managing director, Michael Wilkins. However, the majority of buyers are owner occupiers looking to move east and downsize.
“Balé Vue Residences will deliver high quality, low maintenance homes to a market that is crying out for this type of property,” Wilkins said.
“The Balinese-inspired design really complements the surrounding bayside lifestyle, which is popular among couples who want the lifestyle without having to sacrifice Brisbane CBD proximity.”
The development is located near Port Connect, a $385 million upgrade to the Port of Brisbane Motorway and prestigious schools, and is 20 minutes from Brisbane CBD.
Construction on stage two will be completed by September 2014.
For <a target="_blank" href="https://sites.google.com/a/smsf.me/manlyrd_invest/sales/bale-vue---manly-west">more information on the properties, including site plans, see here</a>.
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Investors in first stage of Manly West development may take rent hit

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With the end of the government's Major Cities Unit, the Planning Institute of Australia (PIA) warns that the long term strategic planning for Australia's largest cities may no longer be in place.
PIA CEO, Kirsty Kelly, said that the Major Cities Unit was integral for informing planning policy in the light of current unprecendented growth and change across the 18 biggest cities in the country. 
“The Major Cities Unit has been monitoring established and emerging trends and collaboratingwith stakeholders to develop a national urban policy,” Kelly said.“This approach to a cohesive long term planning strategy for Australia has been seen byplanners as an indispensable tool in preparing cities for the future."
Kelly asked for clarification as to which part of the government would be undertaking the role of the unit.
“In the past couple of years the Australian Government’s interest in the role of cities hasn’tjust ended with steps towards better metropolitan planning,” she said.
The focus had also previously been on understanding the role of the individual cities in areas including workforce participation, productivity, innovation and climate change adaption.
“The Major Cities Unit has also been responsible for producing the State of Australian Citiesreports which are a pulse check on the trends and growth patterns in our major cities," she said.
“State of Australian Cities 2013 found that overseas migration accounts for half of thepopulation growth rate in Australia with population expansion in our major cities outstrippingthe national average."
Kelly noted that most of the challenges that will be seen in the future will be within the cities, particularly as they become more urbanised and require more infrastructure.
The <a href="https://www.infrastructure.gov.au/infrastructure/mcu/soac/files/2013_00_INFRA1782_MCU_SOAC_FULL_WEB_FA.pdf" target="_blank">'State of Australian Cities 2013' report can be seen here in its entirety</a>.
The report has several sections dedicated to housing, an issue it gives prominence.
"Increasing housing prices generate greater wealth for city homeowners and landlords. But they also exacerbate inequities within cities," the report stated.
"Moretti (2012) notes that homeowners in areas with strengthening labour markets, such as the inner suburbs of Australia’s capital cities, gain  from not only access to jobs with higher wages but also increases in property prices."
The report also covers liveability, transport and employment opportunities.
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Future of Australian cities up in the air: PIA

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RBA governor Glenn Stevens' October statement
At its meeting today, the Board decided to leave the cash rate unchanged at 2.5 per cent.
Recent information is consistent with global growth running a bit below average this year, with reasonable prospects of a pick-up next year. Commodity prices have declined from their peaks, but generally remain at high levels by historical standards. Inflation in most countries remains well contained.
Overall, global financial conditions remain very accommodative. Changes in the outlook for US monetary policy have increased volatility in financial markets, but long-term interest rates remain very low and there is ample funding available for creditworthy borrowers.
In Australia, the economy has been growing a bit below trend over the past year. This is expected to continue in the near term as the economy adjusts to lower levels of mining investment. The unemployment rate has edged higher. There has been an improvement in indicators of household and business sentiment recently, though it is too soon to judge how persistent this will be. Inflation has been consistent with the medium-term target. With growth in labour costs moderating, this is expected to remain the case over the next one to two years, even with the effects of the lower exchange rate.
The easing in monetary policy since late 2011 has supported interest-sensitive spending and asset values. The full effects of these decisions are still coming through, and will be for a while yet. The pace of borrowing has remained relatively subdued to date, though recently there have been signs of increased demand for finance by households. There is also continuing evidence of a shift in savers' behaviour in response to declining returns on low-risk assets.
The Australian dollar rose recently, but is still about 10 per cent below its level in April. A lower level of the currency than seen at present would assist in rebalancing growth in the economy.
At today's meeting, the Board judged that the setting of monetary policy remained appropriate. The Board will continue to assess the outlook and adjust policy as needed to foster sustainable growth in demand and inflation outcomes consistent with the target. 
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Glenn Stevens' October Statement

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Home buyers and property investors are being warned about fixing loans despite "aggressive" advertising campaigns from the banks.
With latest finance figures showing that the number of fixed loans during July 2013 jumped by 120% compared to July 2012, The Property Club's president, Kevin Young, is warning that investors should not yet give in to the pressure of advertising campaigns.
“During July 2013, a total of 9,932 dwellings were financed though fixed loans compared to just 4,509 during July 2012," said Young.
“In response to marketing campaigns from the big banks to fix, the home lending figures show that the number of fixed home loans in Australia began to spike during April of this year and have remained at around 10,000 every month since that time."
Currently, he said that he believes rates will drop even further, despite the campaigns from banks telling property buyers and owners to fix their rates.
He said that he isn't fixing for the properties in his portfolio either.
“The RBA is under pressure to drop interest rates to stop Australia’s unemployment rate rising even further with predictions it will shortly pass the 6% threshold. The latest job vacancy figures show that job vacancies in the year to August 2013 fell by a massive 20%," Young explained.
He noted that fixing interest rates at the wrong time or too early in the rate cutting cycle is one of the most common mistakes investors make.
{module How are you approaching your rates?}
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Not yet time to fix: Kevin Young

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Yeppoon’s oceanfront ‘Oshen’ has seen investors from Western Australia buying up the a number of remaining apartments in the $35 million development.
Concept Living Properties, the developer of Oshen, has totalled $4.5 million in sales over the last three months, within which five sales adding up to $2.1 million were to resources workers from WA.
Sales in the development add up to $24 million at present, with one-bedroom apartments from $329,000 and two-bedroom from $589,000.
It is the first apartment development in Yeppoon since 2009 and included one-, two- and three-bedroom apartments.
Project marketing agent, Ross O’Reilly, put this down to their expectations for growth in Central Queensland, after having seen the strength of their own mining industry-driven areas.
“Astute investors have identified tremendous upside in the region and this has galvanised them into action,” O’Reilly said.
However, Central Queensland is said to offer a more diverse economy than that seen in many WA towns.
“A host of major projects, including the $600 million redevelopment of Great Keppel Island has shone the spotlight on the region and greatly enhanced its national profile,” he said.
Similarly, the merging of Central Queensland University with Central Queensland TAFE in January 2014 has provided an uplift in interest.
A supply issue has been felt on the Capricorn Coast, he said, with a lack of stock coming online.
“In Yeppoon, the population is rising at a rate of 3.8 per cent annually, double the Queensland average,” he noted.
“Now that the building is rising, buyers know the project will be delivered and they have the certainty of a fixed construction timeline.”
The development will be complete by the end of December this year, and will include business facilities, a pool, barbecue area and onsite management.
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WA investors purchasing in Central QLD

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One thing we have plenty of access to at Property Observer is a pool of buyer's agents who are selective about their investment stock and the properties they choose for their clients.
In this new series, we'll be interviewing a number of experts and industry members about the type of properties they're putting their clients into.
Not only will this give you an understanding of the different ways buyer's agents select their properties, and make you think twice about your own investment criteria, but it will show you one of the more exciting things about property - that there are many different opinions out there around what makes an investment work or fail.
It's your job as the investor to figure out who you agree with, and who you disagree with.
Our first in the series is Nicholas Morrison, a Buyers Advocate for <a target="_blank" href="https://www.infolio.com.au/key-staff">infolio property advisors</a> - a Melbourne based buyer's agency. 
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Transcript
Type of property
We try to go for the same type of property every time. We always look for something on a quiet, leafy residential street. Something that's in a boutique block of say less than 18 properties in the block.
We look for properties that must have an outdoor space, they must have a carpark and something that has a bit of an x-factor. We're trying to find properties that will eventually sell to an owner occupier, or hopefully when you go to sell it have two owner occupiers fight it out at auction.
It's very important that the properties we buy aren't generic investment-style properties. Whether it be in a block of 200 apartments that are all the same, or maybe an off-the-plan development that's in a major road that's in an area that's constantly developing other high density product. These are the products we find don't go up in value as well as the more boutique blocks in the quiet, leafy, affluent suburbs.
The price point
Most of our investors are looking for property between, say, $400,000 to $650,000. At that sort of range or price point we're looking at mainly units, two-bedroom units we do a lot of. We quite often do units that are maybe an older block, a 60s or 70s block that a small amount of doing up can actually add a huge amount of value to. And, generally, mostly at that level we're looking at stuff that is inner city affluent suburbs.
Not right in the middle of the city, we don't advise going into high density areas like the CBD or Port Melbourne that are really pro-development, just simply because of the supply and demand and how many apartments there are, and there are always apartments coming on. This creates many options for anyone who is looking to buy, there's always someone there who is willing to sell because there are so many apartments there.
So we try and find suburbs that are a little further out of the city, that obviously have good transport links but where they're not developing, where getting into that suburb is not only desirable for an owner-occupier but also for a renter.
The location
Depending on the budget of course, we purchase a lot of investment properties in St Kilda, Elwood, Armadale, Malvern, South Yarra, Prahran, Elsternwick, St Kilda East even, are places that are starting to maybe grow in value and become a bit cooler as the place to live. But it really comes down to the person's budget to where we can actually invest. Generally, if it's a suburb that has good transport links, has a good cafe culture, also has a chic reputation to it, there's always going to be someone who wants to rent there.
And if you go to sell the property, eventually there's always going to be someone who wants to live there and create that as their new home.
Contact <a href="mailto:%20jduke@propertyobserver.com.au" target="_blank">Jennifer Duke</a>  if you'd like to be considered for our "How the experts buy" series.
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How the experts buy property: Infolio's Nicholas Morrison

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Visiting 171 Collins Street and entering in, it's a little like a maze, but with crisp white walls and suggestions of technology from every corner. Property Observer was given special access to see the building.
{yoogallery src=[images/stories/2013/10/01/col]}
With a total net lettable space of 33,500 square metres, the project, completed in late May 2013, has already been a place where prestigious tenants have set up camp.
<blockquote class="twitter-tweet">
At 171 Collins Street Melbourne for a closer look at the offices <a href="https://twitter.com/search?q=%23propertyobserving&amp;src=hash" target="_blank">#propertyobserving</a> <a href="https://t.co/Z0enlWgg5n" target="_blank">pic.twitter.com/Z0enlWgg5n</a>
— Jennifer Duke (@JennieDuke) <a href="https://www.propertyobserver.com.au/https://twitter.com/JennieDuke/statuses/380217048887861248" target="_blank">September 18, 2013</a>
</blockquote>
Key tenants
BHP Billiton (mining company headquarters)- 13,510 square metres over Levels 11–18 of the office tower and 802.8sqm for their Business Centre on the ground floor
Evans and Partners (stock brokers) - 1,700 square metres across seven levels of the Mayfair Building
Egon Zehnder (global executive search firm) - 986.9 square metres on Level 10 
Dolce &amp; Gabbana (fashion outlet)
Andrew McConnell (restaurant)
<img src="/images/stories/2013/10/01/collins-oct-1-two-small.gif" width="470" height="641" alt="collins-oct-1-two-small">
It's not just that the air conditioning is in the floor and can be individually altered, or the efficient elevator design that groups people together, but a combination of small elements that makes the building stand out. The floor-to-ceiling windows, tilted slightly, also have a special ceramic frit covering that helps with energy efficiency and internal temperature and also acts as a shade screen. The axis helps reflect light to provide a backdrop for the Cathedral.
Key players in the project
Cbus property
“We have delivered a genuine, new Premium Grade asset for Melbourne to admire and be proud of; a building to keep.  Bates Smart was commissioned to design the building because of their long history and portfolio of buildings that are unashamedly modern, but with a timelessness, credibility and integrity about them.”
(Truman Dare, Senior Development Manager)
Charter Hall
“We are extremely proud of this significant achievement which solidifies 171 Collins Street’s position as a world leader in sustainable design; a building that is superior in both architecture and environmental credentials.”
(Adrian Taylor, head of Wholesale Partnerships)
Bates Smart (Architect)
"This is a landmark development for Melbourne and one which heralds a new era of office building design in Melbourne and Australia. The crystalline features of the design exemplify the rich and prestigious status of this site and are brought to life in an elegant and refined vertical woven sculpture.” 
“The historic Mayfair building is embraced by the new tower through the atrium, which is wrapped by a nine story curtain of glass that pulls everything together and makes the old and new work in harmony.”
(Kristen Whittle, director)
Umow Lai (ESD and Services Design)
“171 Collins Street is an excellent example of a refined design for a well-engineered building that we were involved with from the concept stage right through to the end.”
(Eben Simmons, sustainability expert and associate director)
Brookfield Multiplex (Builder)
APP Corporation (Project manager)
URBIS (Town Planner)
Knight Frank (Property Manager)
Click to enlarge <img src="/images/stories/2013/10/01/Floorplans-oct-1-small.gif">
Click to enlarge
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On the ground levels, two windows of every four are frosted to help fit in with the outside laneway feel. This was a requirement from Council. We are also shown around the carpark (with 137 car spaces and 24 motorcycle spaces), and the bicycle rank (where there are 280 bicycle spaces).  It’s the first new PCA Premium Grade office development on this end of the Street for the last two decades.
There's a hotel feeling. Not only are there couriers, and assistance available - we're later told that if someone needed sold out P!nk tickets or similar these are the staff members that would know how to find them - but the bathrooms, change rooms and fresh towels all feel like overnight luxury, not a working week in an office highrise. With showers, lockers, a courier drop-off zone, there are so many features that it’s hard to keep up.
<blockquote class="twitter-tweet">
Office bathroom at 171 Collins, five star resort feel <a href="https://twitter.com/search?q=%23propertyobserving&amp;src=hash" target="_blank">#propertyobserving</a> <a href="https://t.co/7yxrVyj3ed" target="_blank">pic.twitter.com/7yxrVyj3ed</a>
— Nicola Trotman (@NicolaKTrotman) <a href="https://www.propertyobserver.com.au/https://twitter.com/NicolaKTrotman/statuses/380222752512159744" target="_blank">September 18, 2013</a>
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Then there's the retail area downstairs. As we walk through, they're not yet completed. Instead, it's bare concrete walls and floors. They're waiting on tenants, and are not too worried about leasing the space. In fact, we're told that they recently said no to a retail tenant that they felt just didn't quite fit the feeling of what they're trying to achieve. What it is that they are after is fairly clear - preferably a cafe or a restaurant tenant, with a specific Melbourne dim-lit laneway feel that caters to an upmarket crowd.
Having already <a target="_blank" href="https://www.propertyobserver.com.au/retail/dolce-gabbana-set-to-open-at-171-collins-street/2013040859441">secured Dolce &amp; Gabbana as a tenant</a>, at which Property Observer<a target="_blank" href="https://www.propertyobserver.com.au/victoria/dolce-and-gabbana-open-in-melbourne-after-a-five-year-hunt/2013091064912"> </a><a target="_blank" href="https://www.propertyobserver.com.au/victoria/dolce-and-gabbana-open-in-melbourne-after-a-five-year-hunt/2013091064912">attended the preview</a>, it’s not surprising they’re confident.
{yoogallery src=[images/stories/2013/10/01/dol]}
On September 9, at 4pm, media were invited along to see the inside of the 350 square metre Dolce and Gabbana fit out. With canapés and champagne in the room, as well as clothes on display, it was said to be a ‘perfect’ site for the store due to not only the street front location on prestigious Collins Street, but also the ability for it to appear as though there is a separate male and female store – despite both being in the one shop.
In fact, we’re told that they’ve been searching for a site of this caliber for the past five years. It’s well decked out now, with patterned wallpaper that seems as though it’s made out of thick fabric, and all assumptions are that they’re paying a pretty penny for it. This ‘Paris end’ of Collins Street, where big-brand names include Prada at 77, Gucci at 161, Chanel at 209 and Tiffany &amp; Co. at 267, rents for around $4,000 per square metre. 
But now we’re in the office building, a world apart from high-fashion. Winding down towards the retail end beneath, we’re shown into the bare bones of Andrew McConnell’s restaurant. There’s nothing here yet – except for white tape marking out where the chairs and tables may be. The restaurant, ‘Super Normal’ will be open in early 2014 and has a storefront on Flinders Lane. It’s very easy to imagine an upper end foodies haven, with a basement feel about the space, and many will be familiar with other popular restaurants from McConnell, such as Cumulus Inc.
The <a href="https://www.goodfood.com.au/good-food/food-news/spice-up-your-delight-during-good-food-month-20130902-2t0b8" target="_blank">pop-up "Supernormal Canteen"</a> will open on Gertrude Street, Fitzroy for Good Food Month, which may give some sort of suggestion as to what to expect at 171.
We also had the opportunity to ask the senior development manager for Cbus Property, Truman Dare, some of his thoughts on the project. See over page for his responses.
 
<hr class="system-pagebreak">
Q&amp;A with Truman Dare, Senior Development Manager at Cbus Property
How do you select the tenants? 
Prior to constructing 171 Collins Street, BHP Billiton committed to the building for their global headquarters. Cbus Property and Charter Hall are also currently actively marketing 171 Collins Street to lease. We undertake a number of marketing initiatives to ensure the asset is well known to potential lessee’s, and that the attributes of 171 Collins Street are promoted appropriately. We also have strong links with the Tenant Representatives throughout Australia, who are all aware that 171 Collins St is the first premium building constructed in Melbourne in 20 years and who promote the asset to their clients accordingly.  
Walking around the building I was certainly very aware of how individualised each of the office spaces felt – how much interest do different features garner for different spaces e.g. terraces? 
<blockquote class="twitter-tweet">
Terrace on 171 Collins Street <a href="https://twitter.com/search?q=%23propertyobserving&amp;src=hash" target="_blank">#propertyobserving</a> <a href="https://twitter.com/propertyobs" target="_blank">@propertyobs</a> <a href="https://t.co/0AGErkCEWH" target="_blank">pic.twitter.com/0AGErkCEWH</a>
— Jennifer Duke (@JennieDuke) <a href="https://www.propertyobserver.com.au/https://twitter.com/JennieDuke/statuses/380222854689611776" target="_blank">September 18, 2013</a>
</blockquote>
The efficient floor plates enables tenants to individualise their fit-out, and we have seen great results with the fit-outs currently in the building. Level 6 has a terrace which is for the exclusive use of the tenant on that floor, which adds a point of difference. Generally, tenants are also attracted  to the base building amenities, with high quality shower and change rooms, destination control lifts, and PCA premium grade finishes, services and building management. 
Are retail tenants difficult to select? 
We have been fortunate to secure retail tenants of the calibre of Dolce &amp; Gabbana and Andrew McConnell to 171 Collins Street. We are currently targeting restaurant and café operators who we believe will add amenity to the building and complement our existing retailers. When assessing potential retailers, we carefully examine the previous experience of the operator, their proposed fit-out for the tenancy and the product that they’re proposing to sell so that we’re comfortable they are the right fit for the building.  
Can you explain the thought process behind the overall feel of the building, and how you intend to maintain this?
In terms of maintaining the overall feel of the building, we are diligent in selecting materials, furniture and signage that is consistent with the feel of the building. We have an on-site management team who are responsible for managing the building to a PCA premium grade standard. We also select service providers who understand the concept of a premium building. Our cleaners and security staff wear a 171 Collins uniform, and we have a concierge service that all our tenants can utilise for restaurant bookings, dry cleaning, theatre tickets and many other services such as what a five star hotel operator would be able to provide. We also expect that tenants fit-outs are consistent with the feel of the building. 
<blockquote class="twitter-tweet">
171 Collins Street views <a href="https://twitter.com/search?q=%23propertyobserving&amp;src=hash" target="_blank">#propertyobserving</a> <a href="https://t.co/qQ8rJVI5w0" target="_blank">pic.twitter.com/qQ8rJVI5w0</a>
— Jennifer Duke (@JennieDuke) <a href="https://www.propertyobserver.com.au/https://twitter.com/JennieDuke/statuses/380218965013708801" target="_blank">September 18, 2013</a>
</blockquote>
The sustainability aspect
Bates Smart provided this list of the sustainability credentials of the building:
Nine storey atrium for natural light
Floor to ceiling double glazing
Ceramic frit on glass façade to reduce heat gain and glare
Dedicated waste storage area for separation, collection and recycling
Advanced rainwater and grey water reuse system
Highly flexible under-floor air conditioning system
Integrated lighting and security
Low VOC and formaldehyde emissions
End of trip facilities
Destination controlled lifts
 
Click to enlarge
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Highrises and high-fashion: 171 Collins Street

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While buyer activity has seen to be increasing in South East Queensland, clearance rates have flatlined, according to Jason Andrew Auctioneers.
Director Jason Andrew said that an increase in available stock, and high expectations for prices from vendors, have resulted in a stagnant clearance rate.
“The average number of bidder registrations has risen from 1.73 year to date (YTD) to 2.24 in spring, and crowd sized are also almost 20% larger,” Andrew said. "But at the same time, seller willingness to shift their original reserve price in order to achieve a sale under the hammer has fallen from 4.16% YTD to 2.94% in September," he said.
This resulted in a 50% clearance rate overall for South East Queensland.
The inner city market of Brisbane is the exception to this, where the clearance rate averaged out far higher over September, at 70%. 
“All of this data is evidence that while buyers are certainly more active, they remain on the whole clearly unwilling to pay a premium at this point," Andrew said. 
“Sellers who are believing the hype that price are already on their way up and who are clinging to prices above current market value will not achieve a sale in this environment.” 
He said that they are currently far behind what is being experienced in Melbourne and Sydney. “The Brisbane market is not booming, nor are there any signs pointing in that direction at this point.”
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Brisbane market not booming: Jason Andrew

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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