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Today I met with an old friend. I’d coached his son in soccer (yep I am a junior soccer coach – but only up to under 10s!).  He is a very successful local real estate agent. His business on Sydney’s Northern Beaches has been growing from strength to strength over the past few years.  But he was here to see me to discuss his personal investment options.
He said “Jo, despite me being in the industry, my focus hasn’t been on growing my own wealth – more growing my business and getting the best results for our vendors and landlords – I’ve been selling property not buying it.  Now I need to start planning for my retirement”.  Whilst still a way off, retirement is rightly so on his radar.
Property on the Northern Beaches of Sydney has become expensive; it’s hard to consider it from an investment perspective as the entry point is high. The rental yields low but capital growth prospects are ok tracking at around 5% but on a high base, this can be impressive.  So if you are investing in this location, it means you need to be able to support your investment with surplus cash as the rent just won’t cover the costs. The costs include interest payments, council and water rates, insurances, repairs and management fees. It’ll be a negatively geared investment.
My friend was looking for was a project where equity can be created but also an investment that would be cash flow positive. This would let him keep moving forward on his investment journey and continue to focus on growing his real estate agency business.
I presented an affordable dual occupancy development concept to him. We looked at the numbers and he said “Jo, I don’t think you can create that kind of equity within one year by just buying and holding.”
Within a year we can create around $100,000 in equity through a development like this.  I said, "Of course not because what we are doing is creating equity via the development process – from adding value and building two dwellings on one piece of land and subdividing it to create two properties.”
Not only are we creating equity, the gross yield from the rents on completion means the properties are easy to hold as they may be cashflow positive. So the rent combined with the tax benefits means that you shouldn’t need to contribute extra cash (depending on your taxable income – seek accounting advice).
But another important element to this dual occupancy development opportunity is that the regional cities we develop in have good capital growth rates currently tracking at 7% + annualised.  As a comparison, the historical growth rate of the Northern Beaches suburb I live in is 5%. Hmmm, this is looking more interesting.
This dual occupancy project would be valued at approximately $760,000 on completion – that is two freestanding three-bedrooms, two-bathrooms, single lockup garage villas at $380,000 each.  If the properties receives 7% annual growth then around $53,000 capital growth should be realised in year one. This will increase year on year based on the annualised growth rate.
Creating some equity, a strong yield and good depreciation benefits with a small development in a location with good growth prospects seemed to make sense to my real estate friend.  His next step is to take a drive around and conduct his own due diligence. I’m expecting his call back soon.

<hr>
Jo Chivers is director of <a style="font-size: 14px;" rel="nofollow" target="_blank" href="https://www.propertybloom.com.au/" title="Property Bloom">Property Bloom</a>, which manages property development.
 
 
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jochivers-wq5Bp59R5a

Is it quicker to build equity from development or buy and hold in a high capital growth location?

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I found a really cool message on YouTube from a young entrepreneur called Vik Nithy about procrastination.  I was web surfing instead of writing this article...I guess I was procrastinating!
I think procrastination can be our number one enemy when it comes to moving forward not only on a property transaction or strategy but in life in general.
Procrastination is choosing whether you’ll do it now or do it later.
Often our heads are in conflict – lie on the lounge or research that property deal?  Go to the beach or phone the solicitor to discuss the contract? Catch up with friends or attend that open house?
Mostly we procrastinate on things that we are not sure about or committed to.  From my own perspective, I never procrastinate if it is work (well...maybe over some little things!) or investment related because I love what I’m doing in these areas and I have specific goals. The other reason is that if I procrastinate over a potential development site, someone else will get it.  There is no time to waste when you’ve located a good deal.
But I’ve been going through some procrastination lately on another level and it’s because I really have not known what I want. This has prompted me to delve deeper and find out why – identify the reason I’m avoiding things.
That’s the secret...knowing what you want. Sounds easy and it can be if there is passion and belief behind what you do.  If you can sit down and plan your goals and make a commitment to them, then there will be less what <a target="_blank" href="https://www.youtube.com/watch?v=WD440CY2Vs0">Vik calls “monkey mind”</a>.
“Monkey mind” is the part of your brain, or the voice in your head that reacts to a threatening stimulus. Perhaps, it’s really not knowing where to start researching for your property investment or questioning whether you should actually buy the property you’ve been researching for weeks?  Or if you should develop one of your properties because you know it will add value but you just don’t know where to start.
Decision making shuts down procrastination.
Being focussed and motivated is another weapon you can use. I always come back to the core reason I’m investing in property which is to set myself up for retirement and there really is no time to waste. My financial planner says we’ll need around a million dollars in our superannuation to live comfortably - not luxuriously - when we retire.
Procrastination is an anxiety response. Make a decision and have faith in yourself and there will be no procrastination.
Ask “What is it that you’re afraid of?”  Once you can identify your fears, you can overrule them with facts.
For instance, “I’m afraid I’ll lose my money” Answer: if you’ve researched well, you will only lose money if you sell at a loss. If you have the capacity to hold over the long term – ten years or more - then generally you will be OK, as property in good locations doubles in value every ten years.
I love this quote by Napoleon Hill: “Don’t wait the time will never be just right.” 
I can confirm this with my own investments; in fact some have tripled in value over this time. But to take out any fear, make sure the investment is within your means.
But often our means can stretch if we need it to. As Oscar Wilde said “Anyone who lives within their means suffers from a lack of imagination.”  There is always ways of making more money.  If your goals are to build wealth then you may need to put yourself out there, we can usually cut spending in other areas or find new ways to support our investment.
We must plan. Write down what you are expecting from the investment and remember that if things don’t turn out the way you wanted, failure is a positive learning experience. It’s better to learn from our mistakes than not to have tried at all.  “Anyone who has never made a mistake has never tried anything new.” - Albert Einstein
If you take on this attitude, fear will dissipate, procrastination will disappear and you will move in the direction of your goals and dreams.
 
<hr>
 Jo Chivers is director of <a title="Property Bloom" href="https://www.propertybloom.com.au/" target="_blank" rel="nofollow" style="font-size: 14px;">Property Bloom</a>, which manages property development.
 
Check out our new website <a href="https://www.propertybloom.com.au/">www.propertybloom.com.au</a>.
 
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Planning, research and then taking action are the keys to successful investing

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The very first thing I do after finding what I think is a good development site is ask for the sales contract to be emailed to me. It’s the starting point for my due diligence and research. At this stage I may not have even physically seen the land.
I thought I’d share the five most important things I look at as soon as I get my hands on that sales contract.  As developers, there are so many checks that we need to do, but to keep it simple, here’s what I recon needs to be done first...
I’ve opened the sales contract and start to scan through it.  I’m no solicitor that’s for sure, so it’s very important you have a solicitor ready to review the contract after you’ve had the first look.   There is really no point sending a contract to your solicitor and starting to incur legal fees until after you’ve reviewed it and then had an offer accepted.  However, if you are not confident or familiar with sales contracts, then definitely let your solicitor know what your development plans are and ask them to review it in this light.
Front page
A quick look at the front page of the contract confirms exactly what is for sale - this may sound strange – surely what is being advertised is what you’d be buying but this is not always the case. I’ve been offered land that the agent is advertising as two titles but on the contract only one lot is listed. This may mean the land has a subdivision approval however it is not yet registered so there could be costly work still required to complete the process.  Perhaps the agent was told there were two titles by the vendor. Or, I’ve been offered two lots of land that have to be sold under the one contract.  In this case it was because council would not allow a separate access to one of the lots – it’s a long story so I won’t go into it now.
Sometimes the sales agent had been told one thing by the vendor but the reality is different. It’s our job to sift through and check what’s on offer.
Deposited plan and/or survey
From the front page I usually skip straight to the deposited plan (DP) or if I’m lucky there may be a survey in the contract. In about 99% of the cases, there is no survey which is my number one bug bearer. If you are selling land people, please include a survey in the contract!  It will assist purchasers to quickly evaluate the land. 
A survey reveals the width of the frontage, the depth of the block, what structures and trees/foliage are on it and that may need clearing (a cost to include in your budget). A survey will also identify any easements affecting the land.  If you are very lucky, there may even be a contour survey. In new land developments, I can usually get hold of a contour plan. This shows me the fall on the land. The amount of fall will give me an indication of how much site works and retaining the development may require.
Planning Certificate
Next, I look for the section 149 planning certificate as it’s referred to in NSW. The first thing I check is the date it is issued, it’s extremely important that it has been recently issued by council. An old 149 is not worth the paper it’s printed on as council requirements/zonings can change.
I just checked two certificates, one was issued the a year earlier and the second more recently. In the first certificate the land was in a bushfire zone, in the second certificate it wasn’t.  This zoning had obviously changed over time. I then check things like the land zoning – most important if you want to carry out medium density development but the land is zoned low density then the site is not suitable for you. 
For our granny flat developments, we make sure that complying development may be carried out (so we can have our approval received within ten days), I check if the land is in a proclaimed mine subsidence district (this is important as there are many under mined areas in the Hunter Region of NSW however, it still may not rule out a development site for us as you can build on undermined land but further checks on building requirements are made with the Mine Subsistence Board), I check if the land is flood effected (we don’t usually touch floor effected land as it’s too expensive to build to the requirements), bushfire prone (this is ok but does add  a little to the build costs) and any restrictions that may impact on my development plans.
Section 88B instrument
I check to see if there is a Section 88B Instrument in the contract. This is usually only included in newly created subdivisions or land releases.  A section 88B instrument is part of a deposited plan which upon registration:
<ul>
<li>
Creates easements, profit à prendre, restrictions on use of land, and positive covenants. [cl.35 Conveyancing (General) Regulation 2008]
</li>
<li>
Releases easements and profits à prendre. [cl.36 Conveyancing (General) Regulation 2008]
</li>
</ul>
For more information go to the website for the <a target="_blank" href="https://rgdirections.lpi.nsw.gov.au/deposited_plans/easements_restrictions/sec88b_instrument">NSW Registrar General's directions about section 88B instruments</a>.
I will check to see if there are restrictions to multi unit or dual occupancies on the land. I understand that council may still approve a development contrary to a section 88B instrument restriction such as dual occupancy. For instance, if the land zoning allows for dual occupancies under council’s local environment plan and development control plan, then council may approve your DA. However be prepared for some retribution from the land developer or opposition from neighbours.
Sewer diagram
This can be the most important check. The water authority will issue a sewer diagram. I opened a contract for a house on a large block this week only to see it had no connection to the sewer.  This may seem odd but it was an older property and was built before sewer was available to this location.
To connect the property to the sewer may be very costly. The connection point can also indicate the fall of the land as the sewer connection will always be at the lowest point. Depending on your development plans, you may need to extend the sewer line a considerable way and this will impact on costs. Also, look out for sewer junctions and manholes which will add complication to a development site.
I assessed a property that looked like an awesome development site; it had a good house facing one street on a large block with a second street frontage. There was room to build a duplex facing the other street. But after seeing the sewer diagram I just laughed, there were three sewer lines all connecting to one junction in the back yard.  You couldn’t build over that.  Or even if you could, the amount of piering around the sewer lines required would add crazy costs to the project.
So that’s my five main areas I look at in a sales contract, it only takes a few minutes but I can tell in a flash if the site is worth pursuing or not.

<hr>
Jo Chivers is director of <a title="Property Bloom" href="https://www.propertybloom.com.au/" rel="nofollow" target="_blank" style="font-size: 14px;">Property Bloom</a>, which manages property development.
 
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Contract of sale - five vital checks to see if your development plans are worth pursuing: Jo Chivers

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A few weeks ago we completed a dual occupancy project for our client. It was a typical corner block development where we built two freestanding, three bedroom, single story villas and a two lot Torrens title subdivision (pictured below). Our very studious client chose to sell one and keep one as after completing a law degree, she decided she’d like to start a degree in medicine (bless her).  So she asked Property Bloom to help her appoint a selling agent and assist in the process of sale.
<img src="/images/stories/2013/10/17/chivers-oct-17-one.jpg" width="470" height="231" alt="chivers-oct-17-one">
The villa she kept was leased quickly. I’ve calculated she took about a 15% discount in rent than she would have achieved about 18 months ago (before the ‘mining slowdown’). Not too bad really.
For the villa she was selling, the first thing we did was get three sales appraisals.  Not surprisingly, they were all a little pessimistic (due to the ‘mining slowdown’) but one agent was more optimistic and open to achieving the valuation figure than others.  Next we managed the styling of the villa to present it in its best way.  I’m a strong believer in styling or staging when selling.
Within one week of listing she had an offer very close to the asking price which was higher than the independent valuation. I was very pleased and it made me reflect on reports that the Hunter Region was now at the mercy of what everyone seems to be referring to as the 'mining slow down'.
Terry Ryder <a href="https://www.propertyobserver.com.au/news/do-your-research-newcastle-is-still-a-great-place-to-investterryryder/2013101465694?utm_source=po&amp;utm_medium=aida&amp;utm_campaign=copyofhotspotting'sterryryder" target="_blank">most eloquently addressed</a> this week a question from an investor asking about what to do given the ‘end of the mining boom?’
The end of the mining boom?  Property Bloom has worked in the Hunter Region for over 10 years and I love to research the local economics closely.  What I’ve found recently is interesting.  I’ve heard comments bantered about: "we’re headed for recession”, “there’s no jobs”, “the mining boom is over” and the most bizarre: “China’s stopped growing!” 
In the meantime, every time I drive to Muswellbrook, I am seeing nonstop coal trains heading for Newcastle Port. Someone is digging this stuff out of the ground and loading it on the trains.
What the Hunter Region is doing is adjusting to the ‘new normal’.  
We’ve seen over the past few years a response to the large increase in commodity prices and the terms of trade, and investment and employment in the resource sector grow strongly. This placed upward pressure on prices and wages. Wages rose more rapidly in the mining industry than in the rest of the economy since the beginning of the terms of trade boom.
All of a sudden, young trade apprentices were being lured to the mines by outrageous pay; this was key in facilitating the reallocation of labour between sectors.  The mining industry could afford to pay the higher wage rate and so draw labour away from other sectors.
This saw builders and other industries that utilised tradies suffering the loss of labour.
Now the mines have moved from the more labour intensive expansion phase where we saw a vast investment in transport infrastructure, such as the soon?to?be?completed Hunter Expressway and the upgrading of the rail links for coal, and considerable private investment in community infrastructure such as shopping centres and also in the expansion of some mines.
Now that phase is coming to an end, we move to the less labour intensive supply phase. I hear that the other sectors, mainly construction are enjoying a choice of highly skilled labour (thanks to the training in the mines) which may mean these other sectors now have capacity to increase production.
So I think there is a redistribution of labour going on, rather than a drain on the region. Whilst some mining employees will move away to other mining locations, others will stay and find new employment (or go back to their old jobs). Their new jobs may not be paying the high rates as the mines had in the past and so the property rental market must adjust, tenants can no longer pay the ever increasing high rents investors were happily achieving over the past few years.
The region is effectively experiencing the downside of the preceding exceptional upturn. The purchasers of our villa are first home buyers who are happy to get the $15,000 NSW First Home Owners Grant as they are buying a new dwelling, and both are working in good, local jobs that are not in the mining industry.
In reality what we are seeing is less growth than we’ve had over the past few years, but still growth.
And investors are also adjusting their expectations. But you know what? The yields being achieved now are still higher than they were before the mining boom, plus there has been some good capital growth so what’s the big deal?  We all need to adjust to the 'new normal' and put things into perspective. Simon Deeming, director of Research of the Hunter Valley Research Foundation, coined the phrase ‘new normal’ in the <a href="https://hvrf.com.au/images/HVRF_Publications/UHEI_June2013.pdf" target="_blank">Upper Hunter Region Economic Indicators, June quarter 2013</a>.
As my friends from the <a href="https://hvrf.com.au/download-publications" target="_blank">Hunter Valley Research Foundation</a> so well summarise below:
“The economic outlook for the Upper Hunter requires perspective. Relative to the construction phase of the coal industry’s expansion, the prevailing period and the short term outlook, feels profoundly soft, as the stimulus for suppliers and construction employment wanes. The passing of the construction phase is being overlaid with the cost efficiency drive...The Region is effectively experiencing the downside of the preceding exceptional upturn and the indirect benefits for other sectors are now being felt as losses. In line with this transition, business expectations for the Region’s economic outlook over the next three and 12 months remain pessimistic. However, relative to business activity prior to the boom, this perspective seems exaggerated.
“The Hunter Region is emerging from this cycle with a larger productive capital base in the mining, trade and accommodation sectors, a more highly-skilled workforce, which is increasingly cost-sensitive, and a larger employment and population base from which to progress. In the meantime, a period of adjustment remains before the ‘new normal’ becomes established. Assuming this rationalisation is modest, the economy will emerge larger than pre-boom, albeit that this base, the ‘new normal’, is yet to be found.”  
Here’s to the new normal, a strong emerging economy and to my studious client for such a quick sale on her villa. Now all she needs to think about are her medical studies.
 
<hr>
 Jo Chivers is director of <a style="font-size: 14px;" rel="nofollow" target="_blank" href="https://www.propertybloom.com.au/" title="Property Bloom">Property Bloom</a>, which manages property development.
 
 
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The next phase of the mining boom, Hunter Region adapts to the new normal: Jo Chivers

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Property developing can throw many different challenges at you and one thing I have learnt after managing over 60 developments is that there is always a solution to a problem. The trick is to understand what possible issues could arise and preparing yourself for them.
You see, the development process is not an exact science because every development site is different.  So the construction costs will rarely, if ever, be the same from project to project, even if you are using the same plans.
Some sites will need more retaining than others based on the fall of the land, others may need more concrete due to the length of the site and then there are the projects that have things lurking below the surface that could never have been imagined.  We once uncovered an old asbestos shed that had been buried many years ago. This did not come up on our geo technical report and had to be removed as contaminated rather than normal waste.
Sometimes if you develop in the same areas, you can work out after a few developments, what is likely to happen.  You may be able to base your estimates on say the soil type as you’ve developed in that same estate.  This can mean similar slab piering will be required as an example. You understand what council is likely to approve and the fees and charges. That’s what experience brings to the table.
But sometimes things don’t go to plan and as a project manager it is up to us to make sure the development gets through as efficiently as possible. One of the biggest areas for problems is the allowance for building works.
When pricing a development and running feasibilities, it is important to understand that your building estimate is an organic creature. By this I mean the building estimate you start with will nearly always be different to the one you end with.  It will evolve throughout the process as you obtain more and more details.  Once you have all the fine details, the building estimate can be finalised to the fixed price builder’s tender.
When designing our villa plans, we generally follow this process:
<ol>
<li>
Concept plan – this will show the number and size of villas on the land, but not much detail
</li>
<li>
Development application (DA) plans – enough information is included on the plans to satisfy  council
</li>
<li>
Construction certificate (CC) plans –more detail, including engineer drainage and slab design
</li>
</ol>
The starting point for our build estimate will be based on similar projects that we have recently completed and an allowance for the different site.
This progresses to an estimate based on the concept plan.  Still a very ‘loose’ estimate as there is usually not enough detail on the concept plan for the builder to have all information he needs.  The build estimate we have at this stage will tell us whether we are tracking within budget.  If not, we can make the necessary changes required, perhaps reducing the size of the villas working with both our builder and architect to design the right dwellings for our project to be successful.
Once the concept plan is approved, the architect will proceed to full DA plans.  It is here that much more detail is added and we will have our builder price the DA plans.  Again, this does not give us a final build cost but we will be getting closer to the expected outcome.  Once approved by our client, the DA plans are finalised and the DA is prepared.
During the DA process, council may request some changes to the plans, so it is important to understand we are still ‘evolving’ at this stage. We also need to review the conditions of the DA consent before we have more detail to finalise the build costs.
Once council have approved the DA, we will start to prepare the CC plans.  Engineers will be briefed and a drainage and engineered slab design or footings for the foundations will be produced. More detail is added to the CC plans, finalising levels and double checking schedules.
Before we lodge the CC plans with our private certifier we will have our builder issue a third costing. It is this costing that will give us the final build costs...well almost.  We still need to have the CC approved and ensure there are no further revisions to the plans required.
After we have the CC stamped plans, our builder will issue their final tender and building contract. This will be a fixed price contract; however, there may still be a few items that will be ‘provisional’. They are usually some site works, removal of fill and retaining walls. 
The builder may mark these items as provisional as they won’t know until works proceed exactly what the cost is. For instance, if rock is hit during the site cut, this will increase the site costs. If the site cut differs slightly to the plans, this may impact on the height of retaining walls.  So these ‘provisional’ items will be charged at actual cost whether it is lower or higher.  
<img alt="chivers-oct-3-one" height="263" width="470" src="/images/stories/2013/10/03/chivers-oct-3-one.jpg">
So you can see how the build estimate must evolve through the development process and until your development is completed, you really won’t know the exact cost.  It’s important you allow a contingency amount for variations that may crop up along the way.
As a developer, you will embark on a challenging journey from start to finish and the path you choose can be simplified with the help of a project manager to guide you along the way.  Always take the time to have full builder’s estimates done at each stage to avoid any nasty surprises.
 
<hr>
 Jo Chivers is director of <a title="Property Bloom" href="https://www.propertybloom.com.au/" target="_blank" rel="nofollow" style="font-size: 14px;">Property Bloom</a>, which manages property development.
 
 
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Determining your construction costs at the outset of your development: Jo Chivers

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This week I’ve been renovating, not for a client but my office.  It really needed a clean out and freshen up. Lots of files – the old kind filled with paper – have been archived and I had our painter come in and in one day the office was transformed. As part of the process, I purchased some new furniture - a sofa and storage cabinet from IKEA.
I had already been pre-warned by my husband not to buy IKEA as he wouldn’t help putting it together. Alas, the project manager came out in me and after I fell in love with one of their sofas and I thought I’d just hire someone to do it.  I knew the frustration is just not worth the effort. Or is it?
<img src="/images/stories/2013/09/27/jo-chivers-sept-27-chair.jpg" width="470" height="288" alt="jo-chivers-sept-27-chair">
Have you heard of the phenomenon called the ‘IKEA effect’?
It’s when you put your own blood, sweat and tears into assembling something, but once completed you sit back and admire your work, taking pleasure in knowing you helped create it. Most importantly, you then put a higher value on that product than if you walked into a shop and purchased it off the shelf. This is what researches have dubbed the ‘IKEA effect’.
Research conducted by Daniel Mochon, of Yale University, and Dan Ariely, of Duke University showed that the increased value is not just about effort, but about completion.  An experiment had subjects given a task of building an IKEA box. Researchers then implemented prices on the objects built with the intention of observing if the test subjects were willing to pay more for the boxes they built themselves as opposed to those already built.
When subjects had to build-then-disassemble the box due to error or didn’t finish the project they received no such value benefit.
It’s important to know that the boxes being built in the tests were fairly straight forward, but what would happen in more complex situations?  Would someone even try and attempt assembling an item if they thought it was going to be too hard?
This got me thinking about property development.  A lot of people believe developing is hard as there is a perception of risk associated with the word ‘developing’.  What Property Bloom does as property development project managers is to remove a little of the perceived risk by offsetting it with our knowledge and experience.
Client satisfaction is a benefit of our service as our clients have the opportunity to be involved in their development project but not to the extent that it would overwhelm them. Clients decide on the site purchase (after our feasibility is presented to them), they decide whether they want any changes to the floor plan (after we design the optimal plan to work on their site), they may choose a colour scheme for their project and then we manage all the fine details; that can at times be as frustrating as putting together a lounge from IKEA.
At the end of the project, our clients can sit back and know that they have developed this piece of land and they have created value and a solid investment.
During our project management process, clients receive a weekly update report with photos showing them the progress made that week on their development and the milestones met and the ones coming up.  So whilst they may not be able to visit their site weekly, we do and bring it to life for them in a document that can be kept and referred back to when they may go on to complete their next project themselves.
Their level of involvement also gives ownership in the project but it’s really the fact they have taken action and that they are moving closer to meeting their investment goals even if they took the easy way and hired a project manager to save them some frustration, much like I hired a man to assemble our furniture.
Our clients are a bit like me who is now enjoying sitting on that sofa lounge but all I had to do was to choose the colour, pay for it, arrange delivery then I paid someone to assemble it for me. I knew it could be done faster this way than me trying to work out what to do.
 
<hr>
 Jo Chivers is director of <a style="font-size: 14px;" title="Property Bloom" href="https://www.propertybloom.com.au/" target="_blank" rel="nofollow">Property Bloom</a>, which manages property development.
 
 
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"The IKEA effect"; building something of your own brings enormous satisfaction: Jo Chivers

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A dual occ is a dual occ right? 
Well yes, but there are quite a few different ways to create a dual occupancy (dual occ) development.
Firstly, the definition of a dual occ is simply two dwellings on one allotment of land.
The dwellings may be houses that are attached or semi-attached. One house may be old or existing and you build a new dwelling, or you may move an older house onto land with a house on it already. Even adding a granny flat is determined as a dual occupancy.  Or you may buy land where you build new dwellings.
A dual occ may consist of single or double story homes. The new dwellings may be houses, townhouses, villas or townhouses.  They may be attached or detached. If attached, the dwellings make up part of a duplex.  If detached, they will be known as freestanding.
At Property Bloom, we have developed so many dual occs that I’ve lost count.  For our projects we look for three different types of development sites and they fall into three categories:
<ol>
<li>Corner sites. We usually build single story freestanding villas or houses on a corner site with each dwelling facing a different street.</li>
<li>Standard sites. We look for a minimum width of 20m and may build one freestanding villa behind the other.  Usually accessed by a common driveway known as a ‘battleaxe’ handle.  Or we will build a duplex – two attached villas which may face the street or the duplex may run length ways along the site.</li>
<li>Dual streets frontage sites.  Freestanding villas can be built, one facing each street, depending on the size of the site, we may also build a duplex if there is limited area to work with. </li>
</ol>
Below are photos of some different dual occupancy projects build on different sites.
Corner site dual occ with two freestanding villas each faces a different street:
 <img src="/images/stories/2013/09/20/chivers-sept-20-one.jpg" width="470" height="210" alt="chivers-sept-20-one">
<hr>
Dual occ with freestanding villas and a common driveway:
 <img src="/images/stories/2013/09/19/chivers-sept-19-two.jpg" width="470" height="208" alt="chivers-sept-19-two">
<hr>
Attached villas as part of a duplex on corner site: <img src="/images/stories/2013/09/19/chivers-sept-19-four.jpg" width="470" height="215" alt="chivers-sept-19-four"><hr>
Standard site with attached villas as part of a duplex: <img src="/images/stories/2013/09/19/chivers-sept-19-one.jpg" width="470" height="215" alt="chivers-sept-19-four"><hr>
Dual street site with existing house and plan shows the new dwelling:
 <img src="/images/stories/2013/09/19/chivers-sept-19-five.jpg" width="470" height="236" alt="chivers-sept-19-five">
 
<hr>
 Jo Chivers is director of <a style="font-size: 14px;" rel="nofollow" target="_blank" href="https://www.propertybloom.com.au/" title="Property Bloom">Property Bloom</a>, which manages property development.
 
 
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Different sites for different types of dual occupancy projects: Jo Chivers

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This week Property Bloom finished a fabulous little renovation.  It was an ugly house where we removed a few internal walls, opened the living spaces and created another bedroom.  We added a nice timber deck entrance and we’ve worked hard to keep costs down using a kitchen from Bunnings (that looks gorgeous), recycling the original bath and laundry tub, tiling around the terrible 70s fireplace, paving an unappealing outdoor space to make it more usable and polishing the beautiful floorboards we discovered under the old carpet.
This renovation was all about pushing the yield of the property although we’ve defiantly added a bit of value along the way.  You see this property was purchased specifically because of its attributes for adding another dwelling; not for the existing house’s appeal.   The house is on a nice flat corner block with plenty of room to add a garden villa.
The property cost just $209,000, we spent about $30,000 on the renovation and it will now rent for $295 per week, but the real value will be in the second dwelling we add. For a cost of about $105,000 we will build a two bedroom villa and it should rent for around $280 per week. So the combined rent will be $575 per week and the cost of the property, renovation and building new dwelling is around $350,000. This gives a gross yield of 8.5%.
At the same time, we’ve been running some numbers on a much larger renovation project.
We have a client who asked us to manage a ‘renovate and sell’ project.  Normally, we’d be looking to add value through renovating and adding more new dwellings and subdivision. In this case, the brief was to find a good house that we can simply add value through renovation. Our client wants to sell immediately to make a gain.
My initial thoughts were that this strategy is risky.  Risky because we’ll only be adding value to an existing property. It can only work if the property cycle is in the right stage.
After some reflecting and discussion with my team, we needed to determine if we were in deed at that ‘right’ stage or not.  Our client also needed to do his own due diligence on this.
The reason Property Bloom does not normally manage pure house renovations is because in my opinion, this development strategy relies on the market moving upwards. It also needs some very keen negotiations to buy as low as possible, so you can’t be buying in a ‘hot’ market. The trick is to pick the market so that you can buy well, renovate and ride the upswing as you sell.
Also, some very well planned renovations are required. The latter we can manage, but the direction a property market is moving in, especially in the early stages, really comes down to an educated punt.
Now that the long awaited election is out of the way, the government is fresh, I have a feeling 2014 is going to be a great year for property investors. I feel we’ll see some strong demand to buy because interest rates are low, sentiment is high and there is pent up savings that we’ve made during the GFC that might be burning a hole in our pocket.  Property yields have been performing well and really, why wouldn’t you invest in property right now?
For this large renovation, we’ve found a wonderful federation style house with beautiful features. The location is second to none in this large regional town. We’ve identified that a second bathroom can be added, a new kitchen with some great features such as stone benches, decent brand appliances and ceiling high cupboards (as we are working in the upper end of the market on this one) will be required and a fabulous facelift to the property. Special preparation and painting with some very well thought out designer paint colours inside and out, not just a quick coat of paint, is needed. It’s said that higher priced properties generally combine three or more colours on the exterior. This will give us the ‘wow factor’ from the street.
This renovation strategy is all about attracting an owner occupier buyer hopefully with high emotions. For this renovation and sell development strategy to work, I think it will come down to a combination of buying well, in the best location possible, savvy renovations and an emotional buyer to make our client some good profit. Stay tuned and we’ll let you know how it pans out.


<hr>
Jo Chivers is director of <a title="Property Bloom" href="https://www.propertybloom.com.au/" target="_blank" rel="nofollow" style="font-size: 14px;">Property Bloom</a>, which manages property development.
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Is it the right time of the cycle to renovate and profit? Jo Chivers

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Last week it was confirmed, beyond my belief, why the Hunter Valley in NSW is such a wonderful place. And it has nothing to do with developing property, but rather about enjoying it.
I had decided to stay the night in the Hunter Valley instead of driving up and back to Sydney in a day.  It’s a three hour drive from Sydney to Muswellbrook or a two hour drive to Cessnock or Maitland.
Normally, once a week as part of my business day I would pack up my lunch in an esky, leave Sydney around 6am, to arrive at our building sites in Muswellbrook, Maitland and Cessnock for a long day of development site inspections.  During these inspections I may meet with the builder’s site manager and check all milestones have been met for the week and see what was coming up for the following week. All of this along with photos is written up in a report to our clients.
Property Bloom is currently project managing many developments across the Hunter Valley, but not all of our projects are under construction. Typically, my day would be spent inspecting a mix of dual occupancies, three villa projects, house renovations and granny flat developments. I’d also inspect any potential development sites; meet with land developers or agents and my builders.  I’d get home pretty tired and hopefully to a nice dinner prepared by my hubby.
This time, I decided I’d spend the night in the Hunter to ensure I had time for a few extra site inspections and scheduled meetings. And was I glad I did.
Whilst the Hunter Valley offers nice big five star resorts and hotels, I wanted to chill out in a more relaxed bed &amp; breakfast type setting.  I found a gorgeous little cottage called Little Orchard at the Tallavera Grove winery estate, home to the famous <a href="https://www.bistromolines.com.au/" target="_blank">Molines Bistro</a>.  
<img width="470" height="262" alt="chivers-spet-5-five" src="/images/stories/2013/09/05/chivers-spet-5-five.jpg">
The owners Sally and Chef Robert Moline are quite famous and have won many awards for their French cuisine. I’d taken my team to lunch there and was blown away by the wonderful food and scenery.
As I pulled up, just as the sun was setting, I was rewarded with a breathtaking view from the crest of a hill, down to a valley brimming with century old vines and rolling, green hills dotted with cattle crazing.  Wow, it really made me smile and relax.
<img width="470" height="269" alt="chivers-spet-5-one" src="/images/stories/2013/09/05/chivers-spet-5-one.jpg">
I settled into this lovely two bedroom, two bathroom cottage with its adorable eat in kitchen and fabulous little 1950’s dining setting and started to explore.  A warm, welcoming fire was crackling in the wood fire combustion heater and I sat in front of it with a glass of nice wine poured from a bottle given to me upon arrival. There was some beautiful artwork to explore and lots of books and music to entertain me. 
A basket of farm produce lay on the kitchen table for my breakfast in the morning; stewed rhubarb and homemade goat’s yoghurt, eggs, prosciutto, organic button mushrooms, chocolate croissants and a massive French bread stick!  I’d purchased a few not so exotic items to cook myself for dinner, not worrying too much knowing the gourmet breakfast ingredients waiting.
<img width="470" height="251" alt="chivers-spet-5-four" src="/images/stories/2013/09/05/chivers-spet-5-four.jpg">
After a refreshing night’s sleep, I woke early and walked down into the valley with my camera and took a few photos of the fog slowly rising over the valley. It was truly a spectacular sight.
After my breakfast, it was time to hit the road again.  The small amount of time I’d spent in this country retreat (with no kids!) felt equivalent to a few days away.  I stopped in at Molines Bistro for a coffee that would sustain me for the morning.
<img width="470" height="254" alt="chivers-spet-5-two" src="/images/stories/2013/09/05/chivers-spet-5-two.jpg">
As I drove from one development to the next, I mused at how lucky I was to work in such a beautiful part of the world, yet how little time I’d spent over the years actually enjoying the location.
What’s the old saying?  Stop and smell the roses. That’s what I did last week; I smelt the sweet scent of the wonderful Hunter Valley and all that it has to offer from a tourist’s perspective instead of a developer’s perspective.
<img width="470" height="245" alt="chivers-spet-5-three" src="/images/stories/2013/09/05/chivers-spet-5-three.jpg">
<hr>
Jo Chivers is director of <a style="font-size: 14px;" title="Property Bloom" href="https://www.propertybloom.com.au/" target="_blank" rel="nofollow">Property Bloom</a>, which manages property development.
 
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The benefits of developing in the Hunter Valley: Jo Chivers

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You’ve got to the stage of receiving your development application and construction certificate consents and you construction finance is in place.  You are ready to start building.  So just how long does the construction phase of your development take?
It’s an important question as you are now down to the pointy end of your development; it may have already taken you six or even twelve months to get to this stage.  You are very keen to start reaping some rewards for all your hard work.  Soon your investment will be earning an income from either rent return or sales proceeds.
How much longer do you need to wait for these rewards?  I guess this is like asking, how long is a piece of string?  Because the answer will depend on many factors such as:
<ul>
<li>
The number of dwellings you are building – single house or multi unit development?
</li>
<li>
The type of construction process; slab and brick, timber floor and walls, prefabricated or partially prefabricated materials used.
</li>
<li>
The size and degree of difficulty of the structure.
</li>
<li>
The weather, how many rainy days will there be?  The site condition, will it be too muddy to work on after small amounts of rain?
</li>
<li>
Material and contractor availability.
</li>
<li>
The builder’s ability to manage his contractors – his relationship with his trades and communication skills.
</li>
<li>
The knowledge and experience of those managing the project.
</li>
<li>
And any issues that may arise during the development process, i.e. hitting rock when excavating and dealing with council inspections.
</li>
</ul>
Generally speaking, the build phases on Property Bloom projects range from a dual occupancy project being completed within four months to a four villa project being completed in six months.
It’s important to have a good idea of how long your builder has taken on other, similar projects.  I have found that it will come back to how organised they are with their ordering and planning systems and their site managers.
Property Bloom currently has construction under two builders and being able to compare them is interesting.  We found some DA approved sites for our clients that were owned by a large builder and so as part of the contract, we had to use this builder.  It’s our first time using this builder.  So one builder is a big national and internationally owned company and the other is our usual local Hunter Region builder. I won’t say too much, but I know why we continue to use our local builder!
<a target="_blank" href="https://www.propertyobserver.com.au/developments/it-s-important-to-have-a-strong-relationship-with-your-builder-jo-chivers/2013040460168">It’s important to have a good working relationship with your builder</a> to ensure the construction phase flows smoothly. Understanding their internal processes will help you also plan how long the completion of your development.
<hr>
Jo Chivers is director of <a title="Property Bloom" href="https://www.propertybloom.com.au/" target="_blank" rel="nofollow" style="font-size: 14px;">Property Bloom</a>, which manages property development.
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How long should the construction phase of your development take? Jo Chivers

Property developer One Living, backed by former Macquarie banker turned investment manager Chris Green’s investment firm, has unveiled plans to bring more institutional capital into housing to help address the national supply crisis.

The New York-based investor has focused his firm, GreenPoint Partners, on addressing the supply shortage hitting middle market housing in Australia.

It is backing the new One Living business to develop more than 1000 units along the eastern seaboard. The new firm is starting with a development on Mona Vale Road, on the border of Mona Vale and Pymble, in Sydney’s Northern Beaches, with around 140 apartments planned. They are eyeing off more sites across the city.

With cost pressures rising in the industry, One Living’s model is to be a vertically integrated developer-builder, so it can respond directly to the housing gap by removing the cost inefficiencies embedded in traditional residential delivery.

“We are building a platform designed to operate at scale and starting in a market where there’s a clear need for quality, attainable housing,” One Living joint managing director Joseph Scuderi said.

“It’s that missing middle – it’s that attainable end of housing… that’s what most Australians invest into and what Australians can actually afford.”

<img alt="Mona Vale" data-entity-type="file" data-entity-uuid="798dfa93-4941-4db6-a696-31e9dc18e81c" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-05-28%20at%202.31.50%E2%80%AFPM.png?VersionId=mKBqi5C_DmeiXS.AtJkcR8LQIxqCqmFi" />

GreenPoint Partners brings years of experience assembling and scaling real estate operating businesses across major markets. And Green sees a big opportunity in Australia.

“For its size, sophistication and importance to the community, Australia’s living sector has remained largely under-institutionalised, which represents significant opportunity,” Green said. “GreenPoint identified that gap, assembled the right team, and is backing One Living to build a platform that is aligned to market needs.”

Green said being a builder-developer would give the company the capacity and flexibility it required to deliver reasonably-priced homes.

“We want it to be at that attainable level; not super high end luxury but at that attainable level,” he said.

<img alt="Mona Vale" data-entity-type="file" data-entity-uuid="74a5344a-4b26-4d4a-ada3-056b1220be77" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-05-28%20at%202.32.15%E2%80%AFPM.png?VersionId=vY8hXHO4reBMdO8ZXMWCNtGZJofUPQ3j" />

&nbsp;

One Living will undertake a component of affordable housing in its schemes, which it will own and operate, and it could also run build-to-rent on some sites.

Green praised local policy settings.

“The NSW government is being very supportive, strategic and pragmatic in terms of how do we generate more supply of housing,” he said. “We think it’s actually positive for development and the bit that’s been lacking at that attainable level is that it’s lots of relatively small private developers, whereas we want to create an institutional platform.”

One Living is also&nbsp;looking at high-density projects and could take on more institutional funding in the future.

“The way we will be able to achieve economies of scale is through size,” Green added.

Joel Robinson

One Living enters Sydney's new apartment market with Northern Beaches site acquisition

It's been several years since there's been an opportunity to buy a brand new townhome in Melbourne's coastal suburb of Mordialloc. Even apartment developments in recent times have been few and far between in the area.

Local developer LDS Property identified the gap in new housing, securing a site on White Street, directly opposite&nbsp;Woodlands Golf Club Mordialloc. They've recently launched&nbsp;<a href="https://www.apartments.com.au/new-townhouses/wm-residences-mordialloc-102-white-street-mordialloc-vic-3195">WM Residences</a>, just 13 townhouses which they have already started building.

Projects by Buxton Director Heath Thompson, who is selling WM Residences, says the townhouses x that perfect middle ground be

"Mordialloc residents have had limited options to downsize within the suburb, often forcing them to look elsewhere despite long-standing ties to the area," Thompson says.

"With very little comparable new supply coming to market, projects like WM Residences are well placed, particularly as buyers look to capitalise on current conditions amid constrained supply."

[smartcode_project:default project_id=134646 project_image_fid=6109]

The development, designed by regarded architecture firm&nbsp;<a href="https://www.apartments.com.au/architects/ewert-leaf">Ewert Leaf</a>,&nbsp;adopts a deliberately restrained architectural approach, focusing on simplicity, durability and liveability rather than overt design gestures.

The boutique scale is central to the offering. With only 13 three-bedroom residences, each home is configured to prioritise functional layouts and everyday use, supported by private terraces and secure two-car garages.

Ewert Leaf’s design response leans into a calm, neutral material palette. Interiors are defined by oak flooring, white walls and soft finishes, creating a consistent and understated backdrop. The approach avoids trend-driven detailing in favour of longevity, with an emphasis on natural light and spatial clarity.

[smartcode_project:default project_id=134646 project_image_fid=6110]

Beyond aesthetics, the homes are designed to meet contemporary performance expectations. Each residence targets a minimum 6-star energy rating, incorporating double glazing, comprehensive insulation and all-electric Bosch appliances.

The project’s location supports a walkable coastal lifestyle, sitting within close proximity to Mordialloc’s foreshore, Main Street retail strip and the train station. Local cafés and dining venues, including Suburbia Deli and Hendriks Café, are within a short walk, reinforcing the area’s established neighbourhood character.

[smartcode_project:default project_id=134646 project_image_fid=6116]

While <a href="https://www.apartments.com.au/developments/mordialloc-vic-3195">Mordialloc</a> is often defined by its beach and pier, the project taps into other areas of day to day living, offering easy access to local food, casual dining and transport, rather than positioning itself purely as a lifestyle retreat.

WM Residences reflects a continued trend across Melbourne’s coastal suburbs towards smaller-scale, design-led townhouse developments, particularly on infill sites where proximity to amenity is already established.

With construction commenced prior to its market entry, the project aligns with a growing preference among buyers for developments with visible progress and defined delivery timeframes.

[smartcode_project_cta:default project_id=134646]

WM Residences fills gap in Mordialloc townhouse market

&nbsp;

Developer GURNER™ Group has revealed $1.65 billion in residential sales nationally across the 12 months to December 2025, driven largely by the continued momentum of its Docklands wellness-focused precinct, Elysium Fields.

The sales result was generated across seven projects in Victoria and New South Wales, headlined by Elysium Fields, GURNER™’s $2.75 billion mixed-use precinct planned for Harbour Esplanade in Docklands.

The project has recorded more than $500 million in sales across the first three towers, equating to around 580 apartments sold.

The first tower, Helios, has now sold out of its 240 private residences, with GURNER™ preparing to release a premium penthouse collection comprising 15 three-bedroom penthouses in coming weeks.

[smartcode_project:default project_id=144441 project_image_fid=370975]

Elysium Fields is being developed on the long-held 20,000 sqm Docklands site at 208-226 Harbour Esplanade, which had remained undeveloped for more than two decades prior to GURNER™ taking over the project around four years ago.

Construction has now commenced across four towers ranging between 18 and 30 storeys, with Hamilton Marino and Maxcon appointed as builders.

Once complete, the precinct is expected to comprise around 1,100 residences, alongside retail, hospitality and public realm uses integrated throughout the site.

[smartcode_project:default project_id=144441 project_image_fid=370981]

Designed by Fraser &amp; Partners in collaboration with GURNER™ Design House, the project has been positioned around the developer’s broader focus on wellness-led residential living.

“We don’t sell apartments. We create a true luxury lifestyle that simply doesn’t exist elsewhere in the market today,” Founder and Executive Chairman Tim Gurner said.

“To deliver that requires an extraordinary level of detail, coordination and discipline across multiple verticals, from design and hospitality through to wellness and service.”

“We’ve always believed that living extends far beyond the physical residence. It’s about how you feel the moment you arrive, how you live day-to-day, and the ecosystem that supports that.” 
[smartcode_project:default project_id=144441 project_image_fid=370977]

The project’s design places a heavy focus on landscaping, wellness amenities and biophilic design principles.

Plans include around 3,700 sqm of landscaped gardens and open space throughout the precinct, alongside a retail and dining offering spanning approximately 5,000 sqm.

The broader public realm strategy centres around what GURNER™ describes as the “Path of Life”, an urban forest and landscaped pedestrian environment intended to connect the various buildings and wellness spaces across the precinct.

The apartments themselves will incorporate a range of wellness-focused inclusions, including purified air and water systems, circadian lighting, antimicrobial surfaces, and optional in-home wellness upgrades.

[smartcode_project:default project_id=144441 project_image_fid=370980]

Gurner said the company’s experience through its Saint Haven wellness clubs had directly informed the residential offering now being incorporated into Elysium Fields.

“We’re seeing a clear global shift toward longevity, performance and proactive health,” Gurner said.

“Our role is to deliver that in a way that feels seamless, highly private and beautifully resolved within the environments we create.”

A large component of the wellness offering is planned through the resident amenity and health facilities proposed within the precinct.

That includes plans for bathing and recovery facilities spread throughout the towers, incorporating mineral pools, saunas, steam rooms, flotation therapy, red light therapy and wellness lounges.

The developer is also seeking approvals for what it describes as a “reverse ageing medical clinic” within the precinct.

[smartcode_project:default project_id=144441 project_image_fid=370978]

According to project information released by the group, the proposed facility would include cryotherapy, IV infusion therapy, infrared and dry saunas, PEMF beds, MRIs, DEXA scans, brain scans and blood analysis services.

Within the first tower, Helios, residents will also have access to a dedicated amenity offering known as the Sky Private Club.

The upper 15 levels of the building will include private lounges, dining spaces, rooftop amenities and optional private wellness studios integrated within residences.

The Helios tower itself comprises 260 apartments ranging between 60 sqm and 300 sqm, including a collection of penthouses.

That includes a planned two-storey penthouse spanning around 600 sqm with uninterrupted bay views.

The Elysium Fields precinct is being delivered in partnership with Digital Harbour Holdings, a consortium that includes the Liberman family, which controls the development rights across the Docklands site.

[smartcode_project:default project_id=144441 project_image_fid=370979]

The sales result comes as GURNER™ continues expanding its national development pipeline beyond Victoria.

“We have a strong pipeline across Australia and are now focused on scaling into key markets including New South Wales and Queensland, while continuing to build on our Melbourne base,” Gurner said.

“We currently have more than $3 billion in the market, growing to over $5 billion by October, and expect to materially outperform last year in the 2026 calendar year.”

The result also reflects the continued strength of the upper-end apartment market in Melbourne, particularly for owner-occupier-focused product with large-scale amenity and lifestyle offerings.

[smartcode_project_cta:default project_id=144441]

Record result anchored by the Group’s “utopian” Elysium Fields precinct – defying market headwinds in Docklands.

Elysium Fields drive Gurner to $1.65 billion in apartment sales over 2025

National Australia Bank (NAB) will fund <a href="https://www.apartments.com.au/new-apartments/palmera-residences-gold-coast-18-garfield-terrace-surfers-paradise-qld-4217">Palmera</a>, a $1 billion, 52-level luxury residential tower being developed by Central Equity in one of the Gold Coast’s most tightly held coastal locations at Northcliffe.

The project, launched recently by <a href="https://www.apartments.com.au/developers/central-equity">Central Equity</a>, one of Victoria’s largest private residential developers, comes at a time when construction funding for large residential developments has become increasingly competitive as lenders tighten exposure to the sector.

Multiplex has been appointed the builder, and construction is now underway.

[smartcode_project:default project_id=108274 project_image_fid=365784]

Since its first project, Central Equity has delivered more than 85 residential developments with a combined end value exceeding $8 billion.

Palmera reflects Central Equity’s growing focus on the Gold Coast luxury apartment market and continues a relationship between Central Equity and NAB that dates back to the late 1980s, when the bank funded one of Melbourne’s earliest inner-city residential towers at a time when high-rise apartment living in the CBD was largely unproven.

“NAB’s funding of Central Equity’s $36 million CBD development in the late 1980’s to the financing of the billion-dollar tower today highlights the long-term relationship between the two organisations in delivering major residential projects” said Central Equity Founder and Chairman Eddie Kutner.

He said NAB’s early support was instrumental in helping establish the company’s development model.

“When we commenced our first residential tower in the late 1980s the concept of funding off-the-plan apartments was still largely untested in Australia,” Kutner said.

“NAB recognised the opportunity early and supported the project when others were uncertain. That relationship has now continued for more than 37 years across many developments.”

[smartcode_project:default project_id=108274 project_image_fid=365771]

Central Equity was established in 1987 when Melbourne’s CBD and Southbank precinct were still dominated by warehouses and commercial buildings. Fewer than 100 residents lived in Southbank at the time, and large-scale residential development in the inner city was not widely considered.

Recognising changing demographics and lifestyle preferences, the company began developing high-rise residential projects designed to bring permanent residents into the city centre.

Central Equity has provided accommodation for approximately 40,000 residents across Melbourne’s CBD and Southbank, while also incorporating supporting infrastructure including essential lifestyle facilities like retail spaces, childcare facilities and neighbourhood activity centres.

Central Equity has spent many years assembling the Palmera development site on the corner of Garfield Terrace and Frederick Street in Northcliffe, creating a supersite of around 3,300 sqm.

The developer said the Palmera apartment tower reflects its long-term view of the Gold Coast as a growing and increasingly diversified economy.

[smartcode_project:default project_id=108274 project_image_fid=365768]

Supported by infrastructure including the light rail network, major road upgrades expanded education, hospital and medical facilities and continued expansion at the Gold Coast Airport with more international and domestic flights.

Positioned in the tightly held Northcliffe precinct, the 52-level tower will deliver 347 apartments, targeting buyers seeking a high-end coastal lifestyle, from downsizers to interstate investors.

Designed by Marchese Partners with interiors by DBI, Palmera has been conceived as a next-generation residential offering, featuring a collection of oversized apartments, with premium three-bedroom residences offering sweeping northern views stretching from Surfers Paradise through to Burleigh Heads.

[smartcode_project_cta:default project_id=108274]

NAB funds $1 billion Surfers Paradise apartment development, Palmera

Two years after completing one of the newest developments in North Sydney, developer <a href="https://www.apartments.com.au/developers/aqualand-australia">Aqualand</a> is turning its attention to the rapidly evolving St Leonards apartment market.

The developer, which completed AURA by Aqualand on North Sydney's Walker Street, has lodged plans for a 5,918 sqm site at <a href="https://www.apartments.com.au/new-apartments/33-37-herbert-street-st-leonards-nsw-2065">33-37 Herbert Street, St Leonards,</a> seeking approval for a pair of residential towers rising above a shared podium opposite Royal North Shore Hospital.

The proposal forms part of the broader transformation underway across the St Leonards-Crows Nest precinct, where former industrial and commercial sites are increasingly being redeveloped into high-density mixed-use projects tied to major transport infrastructure.

<img alt="Aqualand" data-entity-type="file" data-entity-uuid="2cc428cf-fe70-4cac-9cd5-264ad53af62c" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-05-28%20at%209.51.56%E2%80%AFAM.png?VersionId=otKSnHtbjAvAddOnovyXQMgcAwE6DMe1" />

According to the planning documents, the site sits “within the St Leonards–Crows Nest Strategic Centre, identified by the NSW Government as a key area for accommodating future jobs and housing across Sydney.”

The proposal has been designed by fjcstudio, formerly FJMT Studio, and is being progressed through the State Significant Development pathway due to its scale and affordable housing provision.

The scheme would comprise 413 apartments, including 46 affordable housing units, alongside retail and commercial uses fronting Herbert Street. The project would also include communal open space, landscaping, a swimming pool, gymnasium, children’s play areas and podium-level resident amenities.

Planning documents show the development would consist of a part-13, part-39 storey tower form positioned above a four-storey podium.

“The development comprises a unified podium that activates the street interface, and two setback towers to accommodate new housing supply while maintaining an appropriate human scale at ground level,” fjcstudio noted in its Design Report.

The northern and southern towers have been shaped to respond to the surrounding skyline while also limiting overshadowing impacts to nearby public open space, particularly Talus Reserve.

The design report said the differing tower heights were intended to “contribute to a varied skyline while responding to the surrounding built form context and solar access considerations.”

<img alt="Aqualand" data-entity-type="file" data-entity-uuid="36da62dc-ff9e-41f2-a7e3-7be38373751c" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-05-28%20at%209.51.45%E2%80%AFAM_0.png?VersionId=Mo6Rp2r.XRLTzIfg_PEEpw8NepDH8UBs" />

The site sits directly opposite Royal North Shore Hospital and within walking distance of both St Leonards Station and the new Crows Nest Metro station.

While the site itself sits just outside the formal Crows Nest Transport Oriented Development boundary, the planning documents repeatedly reference its alignment with the broader TOD objectives reshaping the Lower North Shore.

“The site is located adjacent to St Leonards Station and in close proximity to Crows Nest Metro which is within the Crows Nest Transit Orientated Development Accelerated Precinct which has been identified by the NSW Government to support housing delivery,” the Design Verification Statement noted.

According to fjcstudio, the project has been designed to respond to the broader transition occurring across St Leonards, where increasing residential density is being concentrated around transport infrastructure and employment hubs.

“The broader precinct is undergoing significant change, with a mix of existing mid-rise buildings and newer high-density developments,” the report stated.

“Recent and approved projects indicate a consistent shift toward taller built form, typically organised as tower-and-podium typologies with more active ground levels.”

The proposal includes close to 6,000 sqm of retail and commercial space across the ground floor and podium levels, designed to create a more activated street edge along Herbert Street.

Aqualand’s plans would also introduce a landscaped podium shared between the two towers, with communal open space in the form of a podium rooftop designed to support resident interaction and improve urban greening outcomes. The scheme would also introduce pocket parks at the northern and southern ends of the site, including a landscaped area at the corner of Herbert and Ella streets designed to improve pedestrian amenity and soften the streetscape.

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The proposal is being progressed through the NSW Government’s Housing Delivery Authority pathway, which was introduced to accelerate housing supply across the state. The application was declared State Significant Development in April 2025 following an expression of interest process.

<img alt="Aqualand" data-entity-type="file" data-entity-uuid="faf6d97d-2671-454f-b85a-fe1c6a7be608" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-05-28%20at%209.51.49%E2%80%AFAM.png?VersionId=diVd28OBVr5.YV.7prrOz.uAanwwwm7a" />

St Leonards has been particularly active with new developments in recent weeks. Developer SP Setia’s <a href="https://www.apartments.com.au/news/nsw/first-look-sp-setia-targets-st-leonards-skyline-with-40-storey-tod-tower">plans for a new 42-storey tower</a> recently went on exhibition through the same pathway, while <a href="https://www.apartments.com.au/news/nsw/first-look-stockland-plans-52-storey-538-apartment-st-leonards-tower">Stockland’s 52-storey tower proposal</a> was also recently unveiled.

Aside from the St Leonards project, which is expected to take around nine months to move through the approvals process ahead of a potential 2027 launch, Aqualand is also preparing to launch Boronia, a new apartment project in Roseville comprising around 111 apartments on Larkin Street.

The developer also has approvals in place for the next stage of the Barangaroo precinct, which will feature new residential, retail, hospitality and community uses, alongside a new metro entry across the five-hectare site.

More than 50 new retail destinations are planned for Central Barangaroo, alongside a 270-metre-long boulevard connecting Hickson Park to Nawi Cove. Together with Harbour Park, more than 50 per cent of the precinct will comprise public open space and parkland.

Jo Chivers

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