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During a tour of the besieged agricultural districts of the Liverpool Plains, Gunnedah and Armidale in the north of NSW last week, Wentworth MP and opposition spokesman for broadband Malcolm Turnbull has suggested Australians need not worry too much about foreign ownership of farmland.
But Turnbull says they certainly should worry about how rural land is being used.
"The more important question is not the national identity of who owns the land but what they are doing with it," he says.
"Now, if land is being used in a way that undermines the productivity of that land, that puts at risk the water resources, then it's really the use of the land that is the issue."
The rich agricultural district of the Liverpool Plains is currently being challenged by the twin issues of foreign companies and coal mining, with the trigger point being Shenhua Watermark Coal, a subsidiary of the world's biggest coal company, Shenhua Energy, seeking approval for a coalmine that would eventually produce $40 billion tonnes worth of thermal coal for Chinese power stations.
Shenhua Watermark has bought land in the Liverpool Plains for up to $8000 per hectare. The company has bought significant farmland from 34 vendors ranging in price between $1.1 million to $18.3 million between June 2009 and December last year, totalling $160 million. There were also several properties bought in the town of Gunnedah for between $190,000 and $550,000.
The company paid an upfront $300 million to the NSW government for a minerals exploration licence covering 19,500 hectares.
The company has promised to confine its activities to hill areas and not to mine within 150 metres of the productive "black soil" farming country.
Turnbull says Australia's understanding of its groundwater resources is embarrassingly inadequate. He says Australia must gather more science on its underground aquifers, or run the risk of destroying them for good.
"The problem is we have not done nearly enough research on it, and interfering with ground water resources without really understanding them is like jumping into a pool of water head first without knowing how deep it is," he told ABC radio rural reporter Catherine Clifford.
"It's very, very dangerous, and you've got to be prudent, and you've got to be careful, and you've got to do your homework first."
Turnbull says foreign companies have owned agricultural land in Australia since European settlement.
But he says when the activity on that land threatens Australia's long-term economic future something has to be done.
In 2007 the federal MP for New England, Tony Windsor, sought a meeting with Federal Water Minister Penny Wong, after the apparent collapse of a Commonwealth commitment to fund a groundwater study of the Liverpool Plains.
Former environment minister Malcolm Turnbull promised stakeholders before the 2007 election was called he would provide almost $5 million for an independent study into the effects of coal mining on ground water aquifers.
Windsor says Turnbull then failed to give a direction to his department after the election.
"Malcolm Turnbull said it was a commitment of government and not an election promise," Windsor says.
"He's subsequently written to the National Water Commission during the campaign saying he'd like to come forward with a proposal, not endorsing the proposal the Liverpool Plains land management people had put before him."
The Liverpool Plains, 450 kilometres north east of Sydney, is considered by many to be the best farming country in the world.
Its fertile black soils have a high water holding capacity with reliable summer and winter rainfall.
Over the past four decades there have only been four occasions where it twice-yearly crop productions have failed.
Its grows a diverse range of crops such as wheat, sorghum, oats, soybeans, barley, corn, sunflowers and cotton.
It has a beef industry. It also produces chickpeas, soybeans, mungbeans, canola, olives, turkeys, chickens, pigs, lamb and wool.
It has been estimated that the Liverpool Plains contribute $332 million to the GDP annually.
The Liverpool Plains also boast an estimated 300 billion tonnes of coal.
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jchancellor-FAypfDUnLy

Be wary of how investors use rural land: Turnbull

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The sale of 5993 properties over the past financial year yielded $5.7 billion in transactions by the three-state McGrath Estate Agents group. The record tally eclipsed the previous financial year, when 5095 properties were sold for a $5 billion tally.
The average sale price eased from $981,000 to $951,000 between the two financial years.
“The past 12 months has been somewhat of a rollercoaster in the residential sector, with many locations experiencing the toughest of conditions for many years," chief executive John McGrath noted.
"However, I believe our results indicate good sales can still be made in less certain times," he says.
The agency, which opened four new offices to bring the company’s tally to 39, secured 1393 sales above $1 million and 375 sales above $2 million. There were 40 sales above $5 million.
"The top end of the market has been most challenging but we have still delivered some extremely strong results for properties above $5 million," he says.
"The market appears to be waiting for a bit more good news and evidence that the worst of the economic woes are behind us."
McGrath’s eastern suburbs office was the group's best performer, contributing $1.21 billion to the total.
The agency has company owned offices and franchise offices, with a presence in NSW, the ACT and Queensland.
Before its interstate expansion the group, which started 23 years ago in Paddington, Sydney, had notched up 3485 sales totalling $3.25 billion in the 2009 financial year. Many of the company’s original agents remain with the firm today.
"For many companies this is the first tough market they're endured.
"If you've been through a few periods like this, you learn not to panic, stick to the basics and stay the course,” McGrath says.
"I envisage, barring any macroeconomic disasters, we will see solid growth over the next 12 months in many of the best eastern state markets.”
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No panic: tried and tested McGrath continues to grow after 23 years

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<img style="outline-style: none; outline-width: initial; outline-color: initial; padding: 2px; border: 0px initial initial;" src="/images/stories/flagtitletat.jpg">JACKIE O, the top-rating 2Day FM announcer, and her husband Lee Henderson have sold their 1890s Paddington house. The three-level, four-bedroom Victorian terrace that sits on a 210-square-metre block with lock-up parking for two cars had been listed with $3 million hopes for March auction.
<img src="/images/stories/jackieo-cropped.png">
The terrace (above) sold just days ago through Martin Maskin at Raine &amp; Horne Double Bay, who had been confident he could secure close to the expectation. The couple have revamped the Elizabeth Street terrace since buying it in 2009 for $2.75 million from Shine producer Jane Scott, whose film credits started rolling in 1972 on the set of The Adventures of Barry McKenzie. Scott, who paid $520,000 in 1989, had it revamped under the guidance of designer Robert Grubb. The couple hasn’t yet been spotted out looking for a replacement Sydney bolthole, with the Hendersons happy in the meantime to maintain a 42-hectare Kangaroo Valley farm that was recently featured on the cover of the must-read Southern Highlands magazine, High Life. The cover story showed off its amazing construction completion since the $825,000 purchase of the block in 2005. Since the birth of Kitty, their first child, Jackie can do most of her broadcasts from the south coast property, allowing her to sleep until shortly before her three-hour shift at 6am.
<img src="/images/stories/flagtitletat.jpg">Fox FM Melbourne breakfast co-host Jo Stanley and her husband Darren McFarlane have sold their Elwood home (below) for $1.26 million.
<img src="/images/stories/jo-stanley-cropped.png">
It had been listed with $1.15 million to $1.25 million hopes. The couple purchased the three-bedroom terrace in 2006 for $752,000, about three years before the arrival of daughter Willow. Near the beach and Elwood village, the semi-detached Edwardian has two living areas and a relatively large side yard. They have upgraded to a four-bedroom plus study Art Deco family home after the sale by Chisholm &amp; Gamon Elwood agents Torsten Kasper and Daen Ziegler. Jo Stanley’s real maiden name is Bailey, which she changed to avoid confusion with fashion expert Jo Silvagni (née Bailey) and hairdresser Joh Bailey.
<img src="/images/stories/flagtitletat.jpg" style="outline-style: none; outline-width: initial; outline-color: initial; padding: 2px; border: 0px initial initial;">The Brisbane home of the late sound man Sam Savvas has been listed for August 4 auction. Its columns leave the Acropolis in the shade. The seven bedroom-house (below), which covers 2500 square metres, was built in 2000 after the 4047-square-metre block cost $305,000 in 1999.
<img src="/images/stories/savvas-cropped.png">
It has been listed through Sarah Bushell of Place Estate Agents Bulimba. Stretton, which is 17km south of the CBD, has a $325,000 median price, according to RP Data.
<img src="/images/stories/savvas2-cropped.png">
Savvas, who died of a heart attack in May, was behind the Brisbane-headquartered Wow Sight and Sound chain of electronics superstores.
<img src="/images/stories/flagtitletat.jpg" style="outline-style: none; outline-width: initial; outline-color: initial; padding: 2px; border: 0px initial initial;">Executive chairman of the Macquarie Radio Network, Russell Tate, and his wife, Carole, have sold their Longueville waterfront mansion for just shy of $5.8 million. The Tates, who are downsizing, bought the three-level Mediterranean-style house in 1998 for $2,775,000. With views over Yacht Bay, the four-bedroom, four-bathroom house was built in 1991 on a 1454-square-metre block, which cost $1.7 million in 1988. The Tates had the Amalfi Place cul-de-sac property listed with Brent Courtney at McGrath Lane Cove with $6.6 million hopes since November 2010.
<img src="/images/stories/flagtitletat.jpg" style="outline-style: none; outline-width: initial; outline-color: initial; padding: 2px; border: 0px initial initial;">Chef Steven Snow, who Title Tattle seems to recall gained his following at Chez Gourmet in Darlinghurst in the mid-1980s, and his Portuguese wife, Margarita, have sold their hinterland Byron Bay retreat. Snow opened Fins in 1991 in a quirky old building on the riverbanks of Brunswick Heads on the NSW far north coast, becoming renowned for Brunswick bouillabaisse, his saffron-scented Portuguese-style caldeirada crammed with local bug tails, mussels, scallops, spannercrab and fish. The property, bought back in times when $79,000 got you a hillside acreage, sold just weeks after its scheduled June auction. Seeking more than $1.2 million, First National Byron agent Helen Huntly-Barratt had the listing of the four-hectare property at Possum Creek. Reflecting the ambient north coast lifestyle, the Greg Tollis-designed house (below) was master built by Steve Lucas using the finest grade timbers.
<img src="/images/stories/pine-mountain-road-cropped.png">
Its chefs kitchen features solid Portuguese marble benches. The positioning of the property on the block ensured it had the best northern aspect, privacy and also an easy stroll to their own swimming hole and waterfall on the creek. The one-hatted restaurant Fins moved in the late 1990s to The Beach Hotel in Byron Bay, but Snow left when the Van Haandel syndicate took possession of the property from John “Strop” Cornell and his wife, Delvene Delaney, in early 2007. His book Byron: Cooking And Eating, with photography by Brett Boardman, was published by Murdoch Books in 2008. Given Fins is now at the Salt Village at Kingscliff, the property had been in the rental pool at $800 a week.
<img src="/images/stories/flagtitletat.jpg" style="outline-style: none; outline-width: initial; outline-color: initial; padding: 2px; border: 0px initial initial;">Just down the Pine Mountain Road is Cedar Springs, the imposing Possum Creek holding still listed by Duncan and Sally Mount. The 132-hectare property (below) was bought from actors Paul and Linda Hogan in 2006 for $8.1 million.
<img src="/images/stories/possum-creek-cropped.png">
Its five-bedroom, Renaissance-style mansion overlooking a rainforest canopy now sits on 47 hectares following a subdivision. It comes with $7.9 million-plus hopes through Nicolette van Wijngaarden at Unique Estates. The property advertising history website, REfindhouseprices.com, suggests it had been listed for 444 days when Title Tattle looked mid-week, compared with the Snow property which sold on its 44th day on the market.
<img src="/images/stories/flagtitletat.jpg" style="outline-style: none; outline-width: initial; outline-color: initial; padding: 2px; border: 0px initial initial;">Title Tattle aims to tell you as soon as we know – often before it happens – so the word from Sydney’s eastern surburbs is that estate agents have been making tracks to appraise the former Sydney Harbour home (below) of arts patron Ann Lewis.  
<img src="/images/stories/lewis-cropped.png">
It was her home for about 55 years, and will now be listed by her four children, Amanda Zsebik, Tony Lewis, Annalise Scanlan and Daniel Lewis, following her death in May. Gone is her contemporary art collection – having been given to regional galleries in her last act of generosity – including a massive John Olsen painting that hung from her dining room ceiling for 45 years. It’s now, with an estimated $2 million value, at the Newcastle Regional Gallery. Her home town of Moree has been given 65 works by indigenous artists. A Mungindi grazier's daughter, Ann Livingston met building construction magnate John Lewis on the dance floor at Prunier's in Woollahra. Luciano Pavarotti was just one of many dinner guests at Anne Lewis’ three-level villa, which would not look out of place overlooking the Mediterranean.
<img src="/images/stories/flagtitletat.jpg" style="outline-style: none; outline-width: initial; outline-color: initial; padding: 2px; border: 0px initial initial;">Speaking of which, and don’t say Title Tattle told you, but apparently currency trader Ivan Ritossa, who once held the record for the highest-priced Sydney harbour-front purchase, has just had friends and family to celebrations for his 50thbirthday at St Jean Cap Ferrat in the south of France. It’s becoming quite the trend of late; investment banker John Wylie had his super-quiet 50th birthday celebrations recently in nearby Monaco. Of course Ritossa has his own Cap Ferrat retreat – L'Aniram du Cap – bought through his Narnia Investments company.
<img src="/images/stories/ritossa-cropped.png" style="outline-style: none; outline-width: initial; outline-color: initial; padding: 2px; border: 0px initial initial;">
It (above) has views across the so-called bay of billioniares towards Monaco and Italy from its vantage point in the shadow of the palms of Villa Ephrussi de Rothschild. The expatriate Singapore-based global head of foreign exchange for Barclays Capital, and his wife Marina, own the $45 million Sydney residence Coolong, which they bought for a then-record price in 2008. The Vaucluse house with a private beach, currently rented to Lachlan and Sarah Murdoch, dates back to Sir Alexis Albert, from the Boomerang music songbook family, who built on the 4100-square-metre block in 1936.
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Jackie O swaps Paddington pad for valley hideaway

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<img src="/images/stories/stjohns2-cropped.png">
The historic St John’s church site, one of the oldest and most well-known properties on Sydney’s Oxford Street strip, is being transformed into a boutique residential and retail project.
The St John’s Paddington project comes with eight residences as well as retail and café space fronting the busy Sydney hub.
Prices start at $1,675,000 in the project, which is being developed by Australasia Properties Pty Ltd and marketed through Savills residential projects divisional director, Peter Coulton.
The site was sold by Savills last year for $9 million to the developers who have since worked with designers Ancher Mortlock Woolley and architects Marchese Partners.
They have adjusted the initial 2005 conditional development consent for the redevelopment granted by the Land &amp; Environment Court.
“For almost two decades the buildings have been left vacant, subject to vandalism and in an increasing state of deterioration,” its April 2011 Graham Brooks &amp; Associates heritage impact statement says.
It has frontages to Oxford and Regent streets, and at the rear, Renny Lane.
“These historic Paddington landmarks will be given a new lease of life,” Mr Coulton says.
The terrace-like apartments range from 171 square metres up to 339 square metres.
The free-standing 1904 former manse will be a Torrens title offering. It’s a two-storey Federation Arts and Crafts property on Regent Street.
The St John’s manse was built in 1845, with later additions, making it one of Paddington’s oldest buildings. The colonial Georgian manse, built at a cost of 240 pounds, has had a small tree growing in its chimney for several years.
In 1859 the Gothic-style St John’s church was built next door to a design by Henry Robertson.
In 1885 it was extended by the church hall at the rear. It was deconsecrated as a Presbyterian church in 2000.
The church sold in 2004 for $8.3 million to a syndicate headed by Tony Braham. The syndicate offloaded the project in 2010.
It sits within the Sydney City Council municipality.
<img src="/images/stories/stjohns4-cropped.png">
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Religious colonial Paddington readies for retail and residency 

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Melbourne businessman Paul Preat, who heads a helicopter adventure tourism company, has spent $8 million on an Airlie Beach retreat.
He has bought Mandalay Coral Gardens, a record-setting waterfront residence in tropical North Queensland, which comes with its own helipad.
It was sold by Whitsundays developer Bill Sharpe and his wife, Kirsty.
It won the Australian Master Builders Association house of the year award for 2007-08.
It took four years for the Sharpes to complete building on the 4749-square-metre property, to designs by architect Peter Connelly.
The four-bedroom main building has two levels with sliding glass walls, plus huge outdoor terraces and a marina berth.
It comes with a 40-metre infinity-edge pool that wraps around three sides of the house and has a swim-up wet bar. Informal living areas extend to a private beach with a teppanyaki pavilion.
Ken Jacobs and Darren Curtis at Christie's International oversaw the listing in conjunction with Rob Taylor at PRD Nationwide Whitsundays. It was initially listed in 2008, with the Preats being the keenest buyers when it didn’t sell at its June 2010 auction on Hayman Island.
The 1000-hectare Larundel farm, the Preat family residence in Victoria's Western District, remains listed through Jock Langley at Abercromby's Real Estate Armadale.
Most recently priced at $14 million, it was initially listed with $20 million hopes in late 2009.
The Larundel homestead is at Cargerie, near Meredith. Its interiors are by designer John Coote, and it is now set in Paul Bangay gardens. It was built by the Austin family, founders of the Larundel psychiatric and Austin hospitals.
Mr Preat, who has been associated with veterinary products, has indicated previously he and his wife Gabrielle were selling to pursue a new tourism opportunity in Queensland.
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Melburnian shells out $8m for Whitsundays winter escape 

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Australian house prices have started a substantial decline, a senior academic economist at the Australian School of Business says.
“It is likely that this is the beginning of a substantial housing correction, because the stimulus effects are continuing to fade,” Jonathan Reeves says.
Dr Reeves says that in contrast to other developed countries, Australian house prices rose in 2009 and 2010 – due to the government stimulus package that included specific housing measures.
He noted the impact an increase in interest rates may have on Australian house prices.
“The magnitude of a fall in Australian house prices will most likely be influenced by overseas events, and the most immediate threat may come from the European sovereign debt crisis and the impact this could have on raising mortgage interest rates in Australia.”
He noted the deputy governor of the Bank of England, Charlie Bean, said at a conference in Australia yesterday that there may be little option for policy makers other than to clamp down on house price growth, even though it would be politically difficult and economically costly.
Dr Reeves also highlighted the impact of events in other overseas countries on Australian house prices.
“Business cycles transmitted by China are also a high concern, along with the performance of the US economy. In addition, falling house prices in New Zealand, with a weak New Zealand economy, may have substantial impacts on Australian banks operating in New Zealand.”
He says most Australian forecasters of house prices rely on Australian house price index returns, rather than overseas figures, which could lead to a fundamental problem in forecasting.
“There is simply insufficient historical Australian data available for reliable models to be constructed.
“In house price modelling with US and European data over the last century, the simple model of long-run average house prices being a multiple of four times the average gross household salary, has proved to be a reliable guide.
“The economic rationale behind long-run house prices not staying above a multiple of four for long periods is that households simply cannot afford this through all phases of the business cycle.
“Currently in Australia the multiple is over six and therefore they are very likely to fall considerably in value,” Dr Reeves said.
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Aussie house prices set for big slide: leading academic

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Sydney’s landmark Exchange Centre, the home of the Australian Securities Exchange, has been listed with $200 million hopes by receivers.
It’s being offloaded by Record Realty, the listed property arm of Allco Finance Group, which paid $238 million to German fund Deka Immobilien in 2006. 
Record bought the 13-storey building on the corner of Bridge and Pitt streets after a bidding war that reputedly included GPT, Mirvac, Commonwealth Property Office Fund and Stockland.
Deka had paid $177 million for the site in 1999.
The ASX has a 12-year lease signed in 2000, with a further five-year option. The deal incorporates an annual fixed rental increase of 4.5%.
At the time of its purchase, with just $68 million of equity, Record's chief executive, Stewart Tillyard, said the Bridge Street property was a "trophy" asset for the growing business.
"The deal specifically fits with our investment mandate, which is to focus on properties with long-term quality tenants," Mr Tillyard said.
It was 2009 when administrators were appointed to the management arm of its office property business, after Record Realty's main bankers, the then struggling Bank of Scotland International, called in its debts. The bank has a reported $190 million exposure.
The building was thought to be sold in 2009 at somewhere between $140 million and $170 million, but the deal did not eventuate. Its reputed buyer was the Hong Kong-based CLSA Asia Pacific Markets, the brokerage and investment arm of French bank Credit Agricole.
There has since been a renovation and several vacant floors tenanted that have improved its occupancy to 93%.
Receivers KordaMentha have appointed CBRE executive managing director Scott Gray-Spencer and CBRE regional director of institutional investments, Rob Sewell, to undertake the marketing campaign.
Mr Gray-Spencer said the quality of the building and the premium tenancy profile would attract significant buyer interest.
“The Exchange Centre is one of Sydney’s most securely leased prime office investments, with the recently refurbished entrance foyer and public viewing gallery attracting a number of quality tenants to the building,” Mr Gray-Spencer said.
“Tenant enquiry has resulted in approximately 3,400 square metres of new tenant commitment and a further 1,000 square metres of lease renewals  in the past six months which has increased the average lease expiry to six years.”
Mr Gray-Spencer suggested as the 20 Bridge Street building was the only real prime asset of its size to be offered this year, pent-up market demand was expected to fuel interest.
“Currently there is more capital looking to invest in the office sector than prior to the GFC.
“In particular, Australian domestic superannuation and wholesale funds are becoming increasingly active and presently have $10 billion in firepower.”
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$200 million hopes for Allco collapse Sydney office listing

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Popular Sydney eastern suburbs watering hole, the Golden Sheaf Hotel in Double Bay, has been listed with $80-million-plus hopes by Bruce Solomon's Solotel Group.
The heritage-listed 1936 pub was bought for $5,327,000 in 1991. Its New South Head Road premises was expanded after $4.8 million was spent in 2006 with purchase of the adjacent George's restaurant from Leo Varvaritis. The refurbished hotel and rear beer garden was launched in 2009.
Solotel has earmarked the sale proceeds to fund its new Bar Sydney in Westfield Sydney, and a possible complex in New York.
The Golden Sheaf forms part of Solotel's portfolio of 16 hotels and four restaurants.
The group includes the two Aria restaurants in Sydney and Brisbane, run by celebrity chef Matt Moran, who will also run the new Bar Sydney.
Jones Lang LaSalle's national director of pub investment sales John Musca has listed the Golden Sheaf. The SMH reported it is considered among the country's most profitable pubs.
The Golden Sheaf’s neighbour is the Kiora Lands proposed development – a joint venture between Woollahra Council and Woolworths, who have often been mooted buyers. The current Kiora project will occupy the current Woolworths site and council car park and eventually house a four-storey complex.
It was 1987 when the Sheaf was contemplated as being part of a bigger development during its ownership by John Lyons’ Realty Property Group and its major shareholder, Sir Ron Brierley’s Industrial Equities Ltd. There had been brief contemplation of a 12-storey international hotel.
The hotel had been bought by the Lyons syndicate for a reported $10 million from the well-known Ryan hotelier family in 1986. The Ryans, who had been there since 1974, sold because they thought the land content had become too valuable for it to be just a pub.
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Double Bay's Sheaf comes with golden expectations

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Two of Australia's wealthiest entrepreneurs have bought Gunns woodchip mill on Tasmania's east coast, throwing into doubt the state's forest industry given the buyers’ long-term intentions are to run the site as an eco-tourism venture.
Wotif creator and Australian Greens donor, Graeme Wood, and Kathmandu clothing founder, Jan Cameron, have paid $10 million for the operation. The conservationists stunned the timber industry by outbidding logging company Aprin for the woodchip mill.
Premier Lara Giddings has said the forest industry in the south would have to shut down if the mill was closed.
But Jan Cameron has pledged to keep the mill running in the short term, while the industry moves out of native forest logging.
"Most likely we'll tender the mill out to an operator for this period because obviously we have no experience in running woodchip mills," she told Radio 936 ABC Hobart.
The woodchip mill is among the assets of Gunns which is exiting native forest logging.
In June last year Cameron, who also owns Chickenfeed, bought about 28,000 hectares of native forest from Gunns Limited for conservation.
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Tasmanian timber turning into tourism after $10m buy

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Hardly a week goes by without another international survey rating how our capital cities compare with the rest of the world.
The us-versus-them notion always gets ready headlines.
But of course the real rivalry lies between our capital cities, and sometimes even the boardrooms of the country get caught in the crossfire.
The latest international survey had Sydney jumping 10 places to be the 14th most expensive city for expatriates to live, ahead of London and New York, according to Mercer’s annual cost-of-living survey.
Collectively we perhaps smugly like the idea of ripping off international semi-permanent residents to our capital cities, but the bit about outdoing New York and London does seem to be stretching credulity.
The business consultancy survey revealed all the Australian cities recorded dramatic shifts in ranking as the Aussie dollar gained almost 14% against the US dollar.
Melbourne moved from 33rd to 21st and Perth surged 30 spots to number 30.
Up 44 places to 46 was Adelaide. It was Australia’s highest riser, apparently due to a dramatic increase in rental prices where market supply was extremely low, which would please South Australian property investors.
The survey, which covers 214 cities across five continents, still uses New York as the base city, with all other locations compared against it, which takes some of the sheen off our elevated , but probably transient status.
 
And Australian cities remain among the most affordable destinations across the Asia-Pacific region, Mercer notes.
Last week it was that rising Australian dollar, and increasing house prices, that meant Australia outdid New York again. Australia claimed four of the world's 15 most expensive cities to live in, according to the global living cost survey of 133 cities released by the Economist Intelligence Unit.
Four Australian cities are now costlier than London, Rome, Berlin, Hong Kong and Beijing.
Sydney jumped from 32nd place just two years ago to sixth spot on the list, with Melbourne up from 38th to seventh, with overall living costs some 40% higher than New York.
Perth and Brisbane, which are almost 25% more expensive than New York, are ranked 13th and 14th.
The Australian cities' rankings have rocketed sharply over the past decade. Sydney ranked 71st most expensive in 2001 with Melbourne 80th, Perth 91st and Brisbane at 93rd with survey author Jon Copestake saying the strength of Australia's dollar was partly to blame for soaring living costs given it has climbed by about 120% against the US dollar, after bottoming out at US48.4c in 2001.
Any collective pride in our international positioning belies the internal rivalries.
It seems even Australian corporates get bogged down with capital city rivalry, as revealed in a confidential Westpac Bank board briefing.
The leaked document described Melbourne as a “provincial global community” and Sydney as ''bright and brash''.
Probably a fair call.
The journalist who wrote the expose was Eric Johnston, the banking writer for The Age and Sydney Morning Herald. He ought know the not-so-subtle differences, as he divides his time between the two cities.
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Bright, brash, provincial – but we're still world-beaters

International developer&nbsp;<a href="https://www.apartments.com.au/developers/spg-land">SPG Land</a> is preparing to re-launch its long-awaited $1.5 billion <a href="https://www.apartments.com.au/new-apartments/paradiso-place-surfers-paradise-103-ferny-avenue-surfers-paradise-qld-4217">Paradiso Place</a> development at Budds Beach, bringing a new price point to the Surfers Paradise apartment market.

The developer will release one-bedroom apartments from $825,000 and two-bedroom apartments from $1.24 million in the three-tower development.

According to Urbis, the starting price for the two-bedroom apartments is more than $400,000 below the weighted average sale price for comparable two-bedroom apartments in Surfers Paradise during 2025, which was pinned at $1.7 million.

&nbsp;

Urbis reported quarterly average sale prices for new two-bedroom, two-bathroom apartments ranged from around $1.2 million to $1.7 million throughout 2025, peaking in the December quarter.

[smartcode_project:default project_id=106566 project_image_fid=185853]

Paradiso Place is now moving into its formal sales campaign, with a limited early-release opportunity available ahead of the public launch.

The development will comprise 845 apartments across three towers rising 40, 41 and 44 storeys from a 1.15-hectare site spanning an entire city block. The towers will sit above a new retail precinct.

"Paradiso Place represents a rare opportunity in today's market, offering premium apartments at a price point that is significantly more competitive than anything else currently available," SPG Land Sales Director Brad McMahon said.

"When you look at comparable new developments across Surfers Paradise, Main Beach and the Southern Beaches precinct, buyers are typically paying hundreds of thousands more for a similar product.

"The scale of this project and the developer-builder construction model allows us to unlock efficiencies that smaller developments simply cannot achieve. We are passing those benefits directly to buyers, while still delivering a five-star residential experience with an unmatched lifestyle."

[smartcode_project:default project_id=106566 project_image_fid=374280]

Each of the three towers designed by Rothelowman will have its own podium, connected by an elevated skybridge network to create a beachside village for residents. The resident amenity has been designed to rival a five-star hotel, with private dining rooms, resident lounges and entertainment spaces.

McMahon said the pricing strategy was a deliberate response to the current market.

"What Paradiso Place offers is a unique balance, genuine value within a premium market. Buyers are not compromising on quality, design or amenity, they are gaining access to it at a more competitive price point at a time when prices across the Gold Coast continue to reach new highs."

[smartcode_project:default project_id=106566 project_image_fid=362498]

Located around 100 metres from the beach and within walking distance of the Surfers Paradise North light rail station, Paradiso Place occupies one of the Gold Coast's most tightly held beachfront precincts.

Construction is continuing to progress, with eight of the project's 112 foundation piles now complete. Excavation has also commenced on the first diaphragm wall panel, with the first concrete poured on 15 June, marking a key milestone in the project's early works program.

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Joel Robinson

SPG Land launches $1.5 billion Paradiso Place at attractive price point

Luxury developer-builder <a href="https://www.apartments.com.au/developers/lowe-living">Lowe Living</a> has achieved a new Victorian benchmark for an off-the-plan apartment, with the sale of two penthouses at its ultra-exclusive Maison Savoy development in Brighton.

The two penthouses achieved a combined sale rate of $49,926 per sqm. Both transactions eclipsed the previous identified Victorian off-the-plan price-per-square-metre benchmark, set by the 449 sqm apartment at Como Toorak, which sold at $46,659 per sqm.

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<a href="https://www.apartments.com.au/new-apartments/maison-savoy-brighton-150-esplanade-brighton-vic-3186">Maison Savoy</a>, Lowe Living's redevelopment of the former Brighton Savoy Hotel on absolute beachfront land at 150 The Esplanade, Brighton, has gained significant momentum since launching just eight weeks ago. Around 30 per cent of the project's 19 residences have already been secured, generating approximately $45 million in sales.

"Securing two of the three penthouse sales at this stage, within eight weeks of launching to market speaks to the confidence our clients place in Lowe Living," Lowe Living co-founder Emma Lowe said.

"They know we'll be with them through every stage of the journey, and that assurance is something we've worked hard to earn and never take for granted."

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Lowe said Maison Savoy was conceived as a genuine alternative to a prestige Brighton home, combining house-scale proportions with the convenience, security and lock-up-and-leave appeal of apartment living.

Lowe Living co-founder Tim Lowe said the early sales success demonstrated the resilience of Melbourne's prestige market and highlighted the growing demand for house-sized apartments among ultra-high-net-worth buyers.

"The Melbourne market has definitely been tested in recent years, with interest rates and global economic factors all creating a period of uncertainty across the real estate sector. The sales success at Maison Savoy however demonstrates that confidence remains exceptionally strong at the top end of the market.

"The prestige market is being driven by long-term lifestyle decisions rather than short-term market sentiment, which continues to create a level of certainty that befits an absolute beachfront property in a blue-chip location like Brighton.

"Brighton's fundamentals remain among the strongest in Melbourne, with limited new supply, enduring demand from an overwhelmingly local owner-occupier market, and a rare combination of beachfront amenity and proximity to the CBD."

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According to Cotality, Brighton remains one of Melbourne's most tightly held prestige suburbs, with an average ownership tenure of 15.3 years for houses and 12.3 years for units, while more than 73 per cent of homes are owner-occupied.

Tim Lowe said selling two of the project's three penthouses so early in the campaign was an uncommon result.

"This sales result is a reflection of quality and understanding the local market. It's incredibly rare to transact the penthouses so early in a sales campaign in any project so to have sold two of the three penthouses at Maison Savoy so soon after launch, all in-house without any external sales agency appointed, is reflective of our careful consideration of our buyers' needs and lifestyle.

"This is knowledge that is accumulated not just from data and demographic analysis, but via a deeply embedded understanding of how this type of buyer wants to live and feel in their home. We pride ourselves on getting to know our clients personally, and over the last 10 years we have been able to refine our product offering by talking one-on-one with our clients about their design and floorplan preferences.

"Being a fully integrated developer-builder with an in-house design and sales team allows us to lead every part of the process and ensure the highest quality of product and service at every touchpoint. It's a really important part of our DNA and the recent sales success at Maison Savoy indicates that our clients and purchasers are resonating with this point of difference.

"It reinforces that demand remains strong for thoughtfully designed residences that offer rarity, lifestyle and long-term value in tightly held locations, which ultimately validates Maison Savoy's positioning as creating a new benchmark for house-scale, wellness-led apartment living on Brighton's beachfront."

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The residences at Maison Savoy start from 295 sqm, with most enjoying uninterrupted views across Port Phillip Bay. The project sits moments from the Brighton Bathing Boxes, Royal Brighton Yacht Club, Middle Brighton Baths and Church Street's retail and dining precinct.

A key feature of the development is its private residents-only bathhouse, curated by the founder of Aurora Spa &amp; Bathhouse and modelled on traditional European bathing rituals and the award-winning Sorrento bathhouse.

The wellness offering includes a hydrotherapy pool, salt room, sauna, steam room, cold plunge pool, foot activation zone and a Vichy rainfall bed, one of only a handful in Australia. Residents will also have access to a Technogym studio, lounge spaces and a dedicated concierge service offering everything from morning coffee delivery and restaurant bookings to dry cleaning and home coordination.

"Wellness-led design has become a defining factor for luxury buyers," Emma Lowe said.

"Purchasers increasingly value homes that enhance wellbeing through thoughtful design, private amenity, privacy and liveability."

The penthouse purchasers are now undertaking a bespoke customisation process curated personally by architect Pete Kennon and the Lowe Living team, one of the developer's signature service offerings.

Construction on the $160 million transformation of the former Brighton Savoy Hotel site commenced last month, with completion expected in early 2028. The project has secured funding from NAB alongside development partner Monark.

Just one penthouse remains available, along with a limited number of two and three-bedroom residences starting from $3.75 million.

Lowe Living currently has eight projects on the market across Melbourne and recently celebrated its 10th anniversary, having grown a $1 billion development pipeline alongside a $350 million construction pipeline.

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Lowe Living set new Melbourne off the plan apartment record

For more than three decades, Hyecorp has been delivering residential projects across Sydney's Lower North Shore, building a portfolio centred on design-led apartment living in some of the city's most established neighbourhoods.

Hyecorp recently launched the latest in its long line of apartment developments, Celine, a 29-storey tower on Archer Street in Chatswood. Like the majority of the developer's projects, Celine caters to a broad buyer demographic, offering a mix of one, two, three and four-bedroom apartments, all designed with owner-occupiers in mind.

Functionality and flexibility are often buzzwords in the new apartment market, but they sit at the core of Hyecorp's design philosophy.

Hyecorp Joint Managing Director Stephen Abolakian says the developer understands it isn't designing apartments for today's needs alone, but for how buyers will live several years into the future.

"When we launch our projects we need to be aware that these developments aren't finished for several years," Abolakian says.

"That home office in the here and now might be a nursery by the time the project completes for a prospective buyer, so we need to think about how the apartment spaces function for future uses so there's longevity in the ownership."

Celine's architects, Fuse, followed the same philosophy, saying the design extends well beyond aesthetics.

"Celine focuses on timeless architectural form and functionality, with a strong emphasis on light, proportion and materiality. The design responds to the urban context of Chatswood while delivering calm, highly liveable interiors that feel both contemporary and enduring. The floorplans have been carefully resolved to maximise usability and outperform typical market offerings in terms of efficiency and liveability."

Most apartments incorporate multipurpose rooms designed for flexibility. Each includes an integrated desk and a standard Murphy pull-down single bed, allowing the space to transition from a home office or study to guest accommodation as needs change. The layouts have also been designed to maximise natural light, storage and overall functionality.

One and two-bedroom apartments feature Miele appliances, while three and four-bedroom residences are appointed with integrated Gaggenau appliances and Taj Mahal stone benchtops.

Buyers who purchase early in the construction process can also take advantage of Hyecorp's "Live Your Way" interior design service, allowing them to personalise finishes and tailor elements of their home to suit their own lifestyle. It's a feature designed to appeal to owner-occupiers who want their apartment to feel uniquely theirs from the day they move in.

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While flexible floorplans have become a hallmark of Hyecorp's apartment design, the developer has also continued to place significant emphasis on resident amenity.

As buyers increasingly expect more from apartment living, shared spaces have evolved beyond a gym and barbecue area. They are now an extension of the home, providing spaces to relax, exercise, entertain and connect with neighbours.

At Celine, the resident amenity has been designed with a focus on wellness, centred on the level six podium. An infinity-edge swimming pool, spa, sauna and fully equipped gym are complemented by barbecue facilities and a residents' lounge, creating a range of spaces for relaxation, recreation and social connection above the streets of Chatswood.

Practical conveniences have also been integrated throughout the building, including EV charging provisions, smart parcel lockers, bicycle storage, a pet wash station and dedicated car wash bays, reflecting the project's focus on making everyday living as seamless as possible.

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"Celine has been designed to deliver a refined residential experience that reflects the evolution of Chatswood into a premium urban centre,"&nbsp;Abolakian says.

"With over 30 years of experience delivering projects across Sydney's Lower North Shore, Hyecorp brings a deep understanding of what local buyers value. Every detail has been considered to balance luxury, functionality and long-term liveability. This is not just about apartments, but about creating a lasting residential address for discerning buyers."

Hyecorp, vertically-integrated builder-developer, is anticipating construction commencement later this year.

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Hyecorp brings 30 years of Lower North Shore experience to Celine in Chatswood

Burgeoning South East Queensland developer <a href="https://www.apartments.com.au/developers/frank-developments">Frank Developments</a> is continuing to pad out its capital city development pipeline.

The developer, led by Frank Licastro, has its sights set on Kingsford Smith Drive in Hamilton, where it is planning <a href="https://www.apartments.com.au/new-apartments/avela-60-kingsford-smith-drive-albion-qld-4010">AVELA</a>, a 166-apartment development across three towers that tier down from 28 storeys to 19 and 17.

The towers will rise above the iconic Breakfast Creek Hotel.

Frank has brought on Melbourne architecture practice <a href="https://www.apartments.com.au/architects/rob-kennon-architects">Kennon</a> to design the building, conceived as a “defining architectural marker where the airport corridor meets the inner city.”

<img alt="First look: Frank Developments plans sculptural AVELA for Brisbane's Breakfast Creek gateway" data-entity-type="file" data-entity-uuid="e787c64e-f0a4-4725-891e-e86b40ee5c5c" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/AVELA.png?VersionId=1ulwuZ9w2vQ2td7v.J2zUI7Ih_DT4Kwz" />

Kennon describes the project as a once-in-a-generation opportunity.

"Positioned at the northern gateway of Brisbane's primary CBD corridor, this project represents a singular moment in the city's urban evolution, one that will not come again," the architecture practice said in the documents submitted to the Brisbane City Council.

"Where the airport and world beyond meets the city, the building will rise as a sculptural landmark, a defining piece of architecture that signals arrival into Brisbane and anchors the connection between the city and the communities to its north."

<img alt="First look: Frank Developments plans sculptural AVELA for Brisbane's Breakfast Creek gateway" data-entity-type="file" data-entity-uuid="d572bf62-a98d-4847-95d0-889e3d3283e1" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/AVELA%20podium.png?VersionId=6.Ax4jBzTbY5ahm55iaMWNR03ODhDQSm" />

The development is centred around owner-occupier apartments, with a mix of two, three and four-bedroom residences designed to capitalise on city and river views.

Four basement levels accommodate resident parking, allowing the podium to prioritise pedestrian activity and public-facing uses like ground-floor retail, a cafe, a&nbsp;neighbourhood grocer, and a public accessible indoor pickleball court and event space.&nbsp;

There will be nearly 2,000 sqm of communal wellness and recreation facilities across three levels.

<img alt="First look: Frank Developments plans sculptural AVELA for Brisbane's Breakfast Creek gateway" data-entity-type="file" data-entity-uuid="c5ac3cbf-3c11-4219-89f3-e12d9e0f9ffd" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/AVELA%20podium%20A.png?VersionId=_.4zd1HLCKa1s6I_oxkY4NNqX6o3Yevn" />

&nbsp;

Frank Developments has increasingly focused on design-led residential projects across South East Queensland.

AVELA is Licastro's second on Kingsford Smith Drive following <a href="https://www.apartments.com.au/new-apartments/alba-92-kingsford-smith-drive-hamilton-qld-4007">Alba</a>, 85 apartments just down the road. The developer has <a href="https://www.apartments.com.au/new-apartments/mira-61-garfield-terrace-surfers-paradise-qld-4217">MIRA</a> and <a href="https://www.apartments.com.au/new-apartments/myst-burleigh-heads-270-the-esplanade-miami-qld-4220">MYST</a> on the Gold Coast, as well as <a href="https://www.apartments.com.au/new-apartments/murano-teneriffe-37-wyandra-street-new-farm-qld-4005">Murano</a> coming up in Teneriffe and <a href="https://www.apartments.com.au/new-apartments/bel-air-33-oxlade-drive-new-farm-qld-4005">Bel Air in New Farm</a>.

Frank Developments plans sculptural AVELA for Brisbane's Breakfast Creek gateway

ASX-listed developer <a href="https://www.apartments.com.au/developers/stockland">Stockland</a>&nbsp;is continuing its push back into the new apartment market, filing plans for a prominent gateway site between Collingwood and East Melbourne.

The development giant, which moved back into the new apartment space when it announced Stanton Place in Sydney's Rosebery and have since filed plans for a 50-storey tower, are jumping into the off the plan Melbourne market.

They are hoping to create a mixed-use neighbourhood precinct for <a href="https://www.apartments.com.au/new-apartments/79-81-victoria-parade-collingwood-vic-3066">79-81 Victoria Parade</a>, replacing an existing commercial building with a scheme by <a href="https://www.apartments.com.au/architects/john-wardle-architects">Wardle</a>&nbsp;for 478 apartments,&nbsp;ground-floor retail, new public open spaces and a publicly accessible pedestrian laneway.

<img alt="First look: Stockland plans new mixed-use neighbourhood precinct for Collingwood gateway site" data-entity-type="file" data-entity-uuid="72dbbca9-3918-4073-afad-a0c0c35be8e7" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/stockland%20pers.png?VersionId=bzMVUKKxvwuNK1m0v_td126Rgct32uk_" />

The design report identifies the public realm as a central driver of the proposal.

"Collingwood has limited access to high-quality parks and public open space, and the proposal delivers valuable new areas for respite, social interaction and fine-grain retail activity."

The development would deliver a diverse mix of housing, including studio, one, two and three-bedroom apartments alongside townhouse-style residences. Two basement levels are proposed beneath the development, providing resident and retail parking as well as extensive bicycle facilities.

Wardle's design draws heavily on Collingwood's industrial character, using articulated building forms, brickwork and robust materials inspired by the suburb's warehouse and manufacturing heritage. The built form has been broken into a series of smaller volumes to better respond to the surrounding streetscape while extensive communal gardens, rooftop amenities and shared resident spaces are integrated throughout the project.

<img alt="First look: Stockland plans new mixed-use neighbourhood precinct for Collingwood gateway site" data-entity-type="file" data-entity-uuid="7b2135ed-65df-4253-ad53-f216f06bd467" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/stockland%20podium.png?VersionId=l1B6Hqn8zs772VxH6L1fDPg0KHshan9v" />

The planning documents describe the existing office building as offering little engagement with the public realm, with the redevelopment intended to create a more permeable and active neighbourhood destination.

"The proposed scheme presents a significant opportunity to deliver a vibrant retail plaza and a local neighbourhood hub serving both existing and future Collingwood residents."

The 79–81 Victoria Parade site occupies a strategic location about 1.5 kilometres east of Melbourne's CBD, at the threshold between Collingwood and East Melbourne. It is well served by tram services along Victoria Parade and sits within walking distance of St Vincent's Hospital, Fitzroy Gardens, the Fitzroy activity centre and a broad range of employment, retail and hospitality destinations.

Jonathan Chancellor

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