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Next Saturday sees record volumes for the near-final Saturday before Christmas.
Then one solitary Sydney vendor will be trying their luck on December 24, Christmas Eve.  
Next Saturday, December 17 Melbourne will host more than 1000 auctions, which will be the highest final weekend offering for the city on record.
Domain's senior economist Dr Andrew Wilson says Sydney will host well over 600 auctions next Saturday, which is also the highest final weekend offering for the city on record.
The only known December 24 auction is at Leumeah.
Raine and Horne Strathfield agent David Porcellato is auctioning the five bedroom house at noon on Christmas Eve.
Mr Porcellato said he would never normally schedule an auction on Christmas Eve, but believed the home at <a href="https://www.realestate.com.au/property/29-menindee-ave-leumeah-nsw-2560" target="_blank">29 Menindee Avenue</a> had a good chance of selling under the hammer.
“Next year we don’t really know what the market will do, so we wanted to get in while it’s still very strong for the ­sellers,” he told the Daily Telegraph.
The caravan in the driveway suggests the owners wish to head off as soon as possible.
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jchancellor-FAypfDUnLy

Christmas Eve auction for Leumeah

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<img src="https://counter.theconversation.edu.au/content/69863/count.gif?distributor=republish-lightbox-basic" alt="The Conversation" width="1" height="1">
GUEST OBSERVER
When it comes to discussions about Chinese real estate investors, we tend to focus on the idea that they are buying up property in places like Australia, pushing up prices – even if that is somewhat questionable.
But it also ignores the other side of the equation. The number of properties built by Chinese developers outside of China has grown significantly, even as residential construction within China slows. 
The expansion of Chinese residential development outside China has impacts on a number of levels, from property prices through to regional diplomacy.
<h2>The shift to Asia</h2>
Country Garden, a property development company based in Guangdong, China, is constructing apartment buildings that would add more than half-a-million homes and house 700,000 people in Johor Bahru, in southern Malaysia. This project goes far beyond constructing apartment buildings, however. It is part of an even bigger project named “Forest City” that Country Garden plans to build on four artificial islands. 
The idea is that Forest City will be equipped with schools, shopping malls, parks, hotels, office buildings and banks. All ensconced in rich greenery, clean water and a quiet transportation system. 
This grand project is just one example of the recent surge of overseas investment by Chinese property developers. Total investment in the Chinese real estate sector was growing at a rate above 10% until 2014, then dropped to less than 1% in 2015. This indicates a significant shift in Chinese real estate investment.
All the while, Chinese investment in the real estate sector overseas has picked up strongly. It has grown from $US0.6 billion in 2009 to US$30 billion in 2015. Several Chinese property developers have identified overseas investment as their main business growth strategy.
<h2>Two reasons for the pivot</h2>
Chinese investors have begun looking offshore for a couple of reasons. 
Chinese buyer demand for overseas properties is growing. Since China reformed its economy and started growing at a fantastic rate, households have accumulated significant wealth. They now want to diversify their investment portfolios, and so are seeking property elsewhere. 
Volatility in domestic housing prices has intensified this trend, despite various government policies aimed at smoothing out price fluctuations. An oversupply of properties in third and fourth-tier cities such as Ordos and Qinhuangdao created “ghost towns” where property isn’t desirable. In first and second-tier cities, however, prices have skyrocketed. House price-to-income ratios of these cities are ranked highest in the world, making it difficult to invest in properties in China.
In recent years there has been a huge expansion of production capacity. In 2015, China produced 51.3% of the cement and 49.5% of the crude steel in the world. As production capacity grows beyond the demand from the domestic market and runs into overcapacity, it is natural that firms will seek returns overseas. 
<h2>The impact of it all</h2>
Taking Country Garden as an example, it is worth noting that the developer is not just building residential property, but designing and constructing the entire infrastructure for a city. Transport, greenery, water and noise control are all being put in place. These are beyond the scope of a conventional property developer. 
Therefore, one potential positive impact of this project is to help boost the quality of infrastructure in Johor Bahru and so nurture more business activities in the future. The economic and geographic relationships between Johor Bahru and neighbouring Singapore may develop into one similar to that between Shenzhen and Hong Kong. 
It is, however, critical that the local government monitors and enforces strict environmental protection and regulation to ensure the project won’t damage the natural environment or disrupt the local market. 
The huge influx of newly built apartments has resulted in the value of residential sales dropping by almost one-third in in Johor Bahru last year. Whether this is a short-run phenomenon and housing prices will rally in the long run depends on whether more business activities and job opportunities can attract population inflow to the city and hence create higher demand for housing. In the short run, the fall in housing prices may lower the cost of living and attract firms and workers into the city.
For the Chinese government, it will be important to nurture more talent with legal and financial expertise to help Chinese property developers go out and invest overseas. This expansion by developers is just one, early facet of China’s new diplomatic efforts to develop infrastructure overseas.
Yixiao Zhou is lecturer in Economics, Curtin University and author for The Conversation. She can be contacted <a href="https://theconversation.com/profiles/yixiao-zhou-320417" target="_blank">here</a>.
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As its economy changes, China is starting to export its real estate ideas too

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Former Australian banking executive Stuart Grimshaw and his wife Anneliese put their Mosman home up for weekend auction, but there were no registered bidders.
It follows their move to Austin, Texas where the former Bank of Queensland chief executive took up a job as executive chairman at the pawnbroking US EZCORP group.
<a href="https://www.realestate.com.au/property-house-nsw-mosman-124057046" target="_blank">Their 1920s-era home</a> with views from Clontarf to North Head was redesigned by French architect Guy de Compiegne when owned by San Francisco-based technology network boss Pascal Brochier and his interior architect wife Sue-Anne, who sold to the Grimshaws in 2011 for $4.85 million.
The four-bedroom home now has approved plans for a BKH-redesign.
Dino Gatti, of Province had expected more than $7 million.
The Grimshaw want to acquire a property in the US, but will miss their Middle Habrour outlook.
"There is always an abundance of activity on the water directly in front of us, there’s never a dull moment," Annelise advised pre-auction.
"Whether it’s the navy seals morning training, the dozens of little skips sailing over from the Spit Yacht Club, the Manly ferry and Cruise ships in the distance, humpback whales frolicking during migration season.. it really is a breathtaking, dynamic view. That’s the wow factor" she said.
Another Parriwi Road auction offering saw limited interest too, but there was a $6.2 million opening bid and it sold through Tim Foote at Belle Property for $6.48 million.
This article first appeared in The Sunday Telegraph.
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Former BOQ boss' weekend Mosman auction falls flat

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Quentin Wallace, the owner of International Racehorse Transport, has paid about $12.5 million for a South Yarra boarding house with strong art nouveau influences.
It is an unrenovated 54-room boarding house set over two neglected buildings.
<a href="https://www.realcommercial.com.au/property-land+development-vic-south+yarra-502143018" target="_blank">The St Arnaud complex</a> sits on an 890 square metre block at 93-103 Park Street, near the Royal Botanic Gardens and Domain Road shopping strip.
Gross Waddell’s Michael Gross and Jonathon McCormack and RT Edgar’s Jeremy Fox were the marketing agents.
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South Yarra boarding house fetches $12.5 million

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The Star Entertainment Group’s new six-star hotel planned for Sydney has ­selected a winning design.
It is the FJMT design for its Pyrmont site. 
It was the most dramatic tower with a spiral twist, which some have already suggested looks like an askew stack of silver Star casino gaming chips.
The $500 million tower marks the return to the NSW capital of Marriott's premium Ritz-Carlton brand which will rival Crown's planned 71-storey tower across Darling Harbour at Barangaroo. 
FJMT's design was chosen out of a competition that pitted it against local rival BVN and UK-based Grimshaw Architects.
Local sandstone will feature in the base of the building and will fade out out as the tower rises. 
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Star Casino selects FJMT spiral as design winner

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<img src="https://counter.theconversation.edu.au/content/65224/count.gif?distributor=republish-lightbox-basic" alt="The Conversation" width="1" height="1">
GUEST OBSERVER
Ocean health relies on a strong backbone of protection and management. Marine reserves can be part of the solution, but only if they’re constructed in the right way. Recent recommendations on Australia’s marine reserves would leave more ocean unprotected. 
Marine reserves are a mix of multiple-use zones that allow activities such as mining and fishing, and highly-protected zones called marine national parks that are free of extractive activities. These marine national parks are the gold standard for protecting our oceans. Globally, less than 1 percent of the world’s oceans are fully protected in no-take marine national parks or their equivalents. 
Australia is currently deciding how much of its ocean territory it will place in marine national parks and where. To this end, the government recently released its commissioned review of Australia’s Commonwealth Marine Reserve Network. 
Such a review is welcome as Australia has yet to provide comprehensive, adequate and representative protection for its oceans. This is despite the general recognition within the Australian community that economic growth depends on a healthy and properly functioning environment.
Marine national parks play a fundamental role in contributing to ocean ecosystem function and provide a means to assess the health of areas outside of these zones that are open to greater use by humans.
This understanding of the interdependence of how we protect and sustainably use our oceans is, unfortunately, largely missing from the review’s recommendations.
<h2>The gold standard</h2>
In early 2016 the Ocean Science Council of Australia (OSCA) prepared a scientific analysis aimed at helping define what Australia’s marine reserves should deliver. 
Based on hundreds of peer-reviewed publications and myriad international consensus statements from researchers on the need for strong ocean protection, the Council concluded that science-based decisions and actions should:
(1) Prevent fishing, mining and other extractive activities on at least 30% of each marine habitat, according to the international standard for ocean protection to deliver protection of both biodiversity and ecosystem services
(2) Improve representation of marine national parks in bioregions (regions of the ocean defined by particular species and climate) and key ecological features (such as the continental shelf and offshore reefs) that were already under-represented in the 2012 marine reserve plans
(3) Build and maintain large, contiguous, highly-protected marine national parks in regions such as the Coral Sea
(4) Quantify the benefits of Australia’s marine reserves so as to make their value to Australia clearer.
What the review says
The government review reflects science and community concerns in some respects, recommending for instance that more bioregions have at least one marine national park. This review also recommends more protection for some important coral reefs and there is an expansion of protection from mining in some areas.
Most importantly, the review recognises the fundamental role of highly-protected marine national park zones in the conservation of species and ecosystems. As a corollary of this, the review also recognises that “partial protection” zones within reserves are primarily used to address narrow sector-based concerns such as fishing, and result in reduced conservation outcomes (as reviewed here and here). 
It requires explanation therefore that the review mostly fails to recommend zoning changes consistent with its own findings on the science. In comparison with the 2013 recommended zoning, the review’s recommended zoning would: 
(1) Remove a total of 127,000 square kilometres of marine national park from the overall network, an area 1.9 times the size of Tasmania, with a net loss of 76,000 sq km
(2) Reduce by 25 percent the contiguous Coral Sea marine national park
<a href="/images/2016/12/09/image-20161024-26504-r42j87.jpg" target="_blank">Click to enlarge</a>
<img src="/images/2016/12/09/image-20161024-26504-r42j87.jpg" alt="">
Changes to Coral Sea marine national park proposed by review. Map generated from shape files provided by the Department of the Environment.
(3) Demote 18 areas from marine national park zones to varying forms of partial protection
(4) Shift the location of some marine national parks from the continental shelf to offshore areas as a way of maintaining cover but further eroding representation and indeed reducing protection on the shelf where it is most needed. 
Overall, the review’s recommendations would see only approximately 13% of Australia’s Exclusive Economic Zone protected in marine national parks. This falls well below the recommended international standard of at least 30% of habitats being under high protection, or indeed higher levels as recently determined.
<h2>Smoke and mirrors</h2>
The recommendations in the review are tainted by a feeling of smoke and mirrors. While some of the review’s authors suggest that their recommendations would increase protection, there would indeed be a net loss of highly-protected zones should these recommendations be adopted by the government. 
Under the review’s recommendations, Australia would do a great job of protecting the deep water abyss, but achieve little to protect ocean wildlife on the continental shelf where human pressures are highest. This out-of-sight-out-of-mind approach does not address the principles of marine conservation and also departs from recommendations from the research community.
Australian marine national parks are too-often relegated to residual areasof relatively little conservation value simply because these areas are of little value to commercial interests.
The significant erosion of protection in the Coral Sea is further evidence of this failure. Much of the erosion of this important reserve reflects a shift from full protection to partial protection in order to open up more ocean to tuna fishing. 
The 25% reduction in large marine national park would increase tuna catch and value by 8-10% across the fishery, worth a mere A$26,376 to individual tuna fishers. This recommendation fails both the science and the economic test. 
<h2>Where to from here?</h2>
The changes recommended by the review in many cases appear to prioritise economic benefits, no matter how trivial, over conservation. This is despite conservation being the core reason behind the marine reserves.
This stands in stark contrast to international moves towards protection of large areas of the ocean as a response to ongoing declines in ocean health. 
Key examples of such large-scale protection are US President Barack Obama’s recent expansion of the Papahānaumokuākea Marine National Monument over the North West Hawaiian Islands and New Zealand Prime Minister John Key’s declaration of the Kermadec Marine Sanctuary in New Zealand’s waters.
Australia still has a major opportunity to protect and secure its marine ecosystems and make a significant contribution to global ocean conservation. At the same time we can develop important economic activities such as fishing and mining. Large and well-managed areas are going to become more important, not less, as climate change intensifies. 
This will require the federal government to acknowledge and build on the global body of science and create a backbone of representative marine national parks. This will include retention of the Coral Sea’s high level protection and resisting the temptation to shift of marine national parks offshore. At a time of great environmental change, these moves are not just important, but urgent.
 
<a href="https://theconversation.com/profiles/jessica-meeuwig-110" target="_blank">Jessica Meeuwig</a> is professor &amp; director, Centre for Marine Futures, University of Western Australia.
<a href="https://theconversation.com/profiles/craig-johnson-183972" target="_blank">Craig Johnson</a> is professor, University of Tasmania.
<a href="https://theconversation.com/profiles/david-booth-1152" target="_blank">David Booth</a> is professor of Marine Ecology, University of Technology Sydney.
<a href="https://theconversation.com/profiles/ove-hoegh-guldberg-2012" target="_blank">Ove Hoegh-Guldberg</a> is director, Global Change Institute, The University of Queensland.
All are authors for The Conversation.
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Changes to Australia’s marine reserves leave our oceans unprotected

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<img src="https://counter.theconversation.edu.au/content/69895/count.gif?distributor=republish-lightbox-basic" alt="The Conversation" width="1" height="1">
GUEST OBSERVER
Foreign reserves at the People’s Bank of China (PBoC), China’s central bank, fell for the fifth consecutive month in November, dropping by US$69.1 billion to US$3.1 trillion. This is a level not seen since 2011, with reserves shrinking more than US$500 billion this year alone.
The Chinese government has moved to clamp down on capital flight, by introducing restrictions on foreign investment and curbing gold imports. But it could go further as the yuan stares down its worst year since 2005, making it harder for Chinese companies to borrow and repay debt. 
The decline in China’s foreign reserves is not a blip, but has roots that go deep and could affect the ability of Chinese consumers and companies to be our customers. So the introduction of currency controls, especially if China revisits the quotas for Chinese individuals to spend on foreign goods or travel, is something to watch. 
<h2>Why China is bleeding foreign exchange</h2>
The story goes back to August 2015, when China devalued the yuan in an apparent attempt to boost exports and growth. The devaluation probably would not have drawn so much attention if not for the fact that it appeared to trigger a huge outflow of capital from China. 
It all has to do with historical patterns of borrowing by Chinese companies (and some wealthy individuals). During the boom years of export-and-investment-led economic growth, investing in China offered a good return (especially compared to what was available in Western economies). China’s shadow banking system grew and flourished – offering even greater returns to Chinese firms and individuals. 
At the time it made sense to borrow at near-zero rates in the US and Europe, convert the money to yuan and invest in China. But the Chinese government brought this trade undone when it devalued the yuan back in August 2015. Borrowing in US dollars then selling those dollars to buy yuan-denominated assets no longer works. 
It is now happening in reverse – yuan-denominated assets are being sold at record rates to buy US dollars in order to pay back old loans before it becomes too late. This outward flow of yuan generates downward pressure on the Chinese currency, which recently fell to its lowest levels in years. This is creating a feedback loop. 
Before 2015, the PBoC bought dollars from Chinese companies that earned export income, printing lots of new yuan to do so. This money then circulated within the Chinese banking system and supplied the credit for China’s huge expansion. 
But now the PBoC is selling down its reserves of US dollars to prop up the yuan. This also places pressure on Chinese banks, and may force the PBoC to allow banks to free up more of their available capital. These deteriorating conditions in the banking sector, along with China’s fast-rising private-sector debt, increase the cost of capital and put further pressure on foreign exchange reserves. 
<h2>The economy isn’t helping</h2>
Further adding to the pressure since 2015 has been Chinese government encouragement for local companies to “go global”. Often such investments have been supported by subsidised loans or grants from China’s Export-Import Bank (China Exim Bank). At the same time, foreign investment into China has dwindled as labour and other costs have risen. 
Both of these phenomena have been part of the Chinese government’s overall strategy of internationalisation, while moving away from an economy dependent on exports and towards an economy based much more on services and domestic consumption. The problem is, however, that the hoped-for rise in domestic consumption has not eventuated at anything like the rate necessary. 
A crackdown on luxury consumption – seen as a sign of corruption by senior Communist Party members and officials – has further detracted from the desired growth in domestic consumption. 
<h2>What all this means for us</h2>
Even with the restrictions put in place, there isn’t a total yuan lockdown. It is hard to prevent the movement of yuan out of China through the offshore yuan market. The Chinese banking authorities have fewer ways of preventing such transfers, especially as the government pushes the yuan as an alternative to traditional US dollar settlements. 
But it’s likely China and its people will be much less able to afford direct purchases of Australian goods (iron ore, coal) and services (education, tourism) in the near future. This does not mean that Chinese demand for Australian goods will fall, but things might have to change. 
It means that instead of just “selling stuff” to China, Australia needs to engage with the Chinese economy – to understand what that economy really needs. Australia has know-how and technology in health care, education, agriculture and energy that China needs and wants.
With the limitations of Chinese currency and investment controls, Australia may need to be more generous in its willingness to transfer some of that technology and know-how. For its part, China has to be much better at ensuring that the intellectual property involved in such transfers and the returns from them are properly protected. This could be the start of something brand new.
Alice de Jonge is senior lecturer, International Law; Asian Business Law, Monash University and author for The Conversation. She can be contacted <a href="https://theconversation.com/profiles/alice-de-jonge-118840" target="_blank">here</a>.
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Why capital is fleeing China and what it means for Australia

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GUEST OBSERVER
Buying a new home in Australia has become as easy as reserving a hotel room online following the release of a new 'Online Reservation System' from ASX-listed property marketplace iBuyNew.com.au.
IBN has developed technology that allows new home buyers to reserve their preferred properties completely online, without the need for any human contact. 
IBN is focused on creating a fairer and more transparent experience for Australian consumers seeking to buy new property, and has already sold more than $500 million worth of property. The platform has thousands of properties across more than 190 developments in Sydney, Melbourne and Brisbane including apartments, townhouses plus house and land packages.
The new online reservation technology is revolutionary in the property market, and enables prospective buyers to access the thousands of properties available via the <a href="https://www.ibuynew.com.au" target="_blank">www.ibuynew.com.au</a> website, and then immediately reserve their preferred property 24/7 without waiting for a real estate agent to become available.
This is a revolutionary development in real estate. To be honest we can't even find anyone globally who has deployed this technology before like the way we have.
We are always looking for ways to make the process of purchasing new property easier for prospective buyers. This system means buyers no longer have to wait for a real estate office to be open in order to put down a deposit on a new property.
We have developed this online reservations system from scratch, and the beauty is that it allows a buyer to reserve their desired property in a matter of minutes at any time of day from anywhere in the world. Even a foreign investor in China can simply log on to the reservations system on our website and secure a property in Australia.
The online reservations system will provide buyers with the most complete list of new developments in Australia, allowing them to access many first release and pre-public release projects before they are generally available as well as potentially taking advantage of additional buyer incentives in the future for those that buy online. 
IBN recently listed on the ASX and is positioning its platform for global growth in the coming years. Last month it acquired Nyko Property, a research and advisory business servicing the needs of mortgage brokers, accountants and financial planners, enabling iBuyNew to also provide research and other information to help buyers make more educated purchasing decisions.
The new online reservation technology means buyers will now be able to view full price lists, floor plans and related property documents, then reserve their chosen property though a simple 3-step process by supplying purchaser, solicitor and deposit payment details.
While most of the Australian real estate industry will shut down over Christmas, prospective buyers will continue to be able to reserve their preferred properties throughout the holiday break via the iBuyNew online reservations system.
iBuyNew is committed to using technology to reshape the new property buying experience, making it fairer, more efficient and more transparent. Our plan is to become the number one destination for new property buyers in Australia.
Mark Mendel, is founder and chief executive officer of iBuyNew.com.au and can be contacted <a href="https://www.ibuynew.com.au/">here.</a>
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Buying property online now as easy as booking a hotel room: Mark Mendel 

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<img src="https://counter.theconversation.edu.au/content/69711/count.gif?distributor=republish-lightbox-basic" alt="The Conversation" width="1" height="1">
GUEST OBSERVER
Internet and broadband connectivity are the foundation of the networked economy.
But to ensure the benefits of the networked economy are evenly distributed, the Australian government needs to ensure access to the internet to encourage and support innovation. 
A recent report from SGS Economics and Planning highlights a widening gap between the economic workhorses of Sydney and Melbourne and regional Australia. 
All of the key sectors experiencing growth depend upon the networked economy. The emerging economic environment is leveraging the rapid rise in real-time connectivity between people, businesses, devices and systems. 
The result is the digitisation of many transactions and growing importance of data. The Productivity Commission’s draft report on data use and availability highlights the need for clear thinking to make this transformation fair for all stakeholders. 
When the telephone network was rolled out, this was enshrined in the Universal Service Obligation (USO), a framework to provide a basic level of connectivity. 
A key question is whether the USO principle of connectivity is sufficient for the emerging Australian networked economy. The answer is very clearly “yes”. But urgent attention is required to deliver fair, equitable and cost-effective access to broadband and internet connectivity to enable economic development in the cities and the regions.
To be digitally inclusive, Australia needs to overcome the digital divide. There is a significant divergence in the nature and availability of communication and internet services for regional Australia. 
nbn co’s broadband index clearly highlights the widening gap between metropolitan areas and regional areas not serviced by an NBN plan. 
The reaction from regional Australia has been very clear. A new Regional, Rural and Remote Communications Coalition between the Australian Customer Action Network (ACCAN), the National Farmers’ Federation, the Country Women’s Association of NSW, the Isolated Children’s Parents’ Association and AgForce Queensland is advocating for better access in five key areas. 
This sentiment is supported by Internet Australia’s submission to the Productivity Commission. The group, which includes the Melbourne Networked Society Institute, argues for important changes to ensure connectivity. 
So, what is being advocated? 
Universal service obligation
Australians need a new USO provision that incorporates both voice and data connectivity to ensure internet access is guaranteed to all citizens. 
This will address digital cohesion and ensure everyone can participate in the growing networked economy. nbn co should be allowed to provide retail services to customers where there is only one commercial provider to encourage competition and access. 
Service guarantees and reliability
As broadband deployment and uptake increase, service offerings need to provide better and more transparent guarantees to customers. The network should have better reliability measures and offer services with certain quality of customer experience. 
Countries such as the UK already provide a reporting framework to make ISPs accountable for their performance. This includes the speed of connection customers can expect to receive during peak hours. 
Such requirements support competition by focusing service providers on differentiation while lifting performance. This creates incentives for investing in resources to address emerging issues such as the effect of backhaul networks on broadband performance.
Mobile network access
Mobile network technology is critical for the economic activities of regional Australia. Ensuring that network coverage is expanded to everyone also promotes social cohesion. 
Regional Australia needs network coverage to take advantage of emerging opportunities from technologies such as the internet of things. This will enable significant productivity gains in industry sectors such as mining and resources, agriculture and food processing, as well as professional services. 
A government commitment to mobile network coverage is a key step to guarantee such investments and make it attractive for network operators to build the network. 
Fair and equitable broadband access
nbn co’s SkyMuster satellite services (the second satellite will be available in 2017) and its fixed wireless services will face significant demand, which presents issues for fair and equitable access. This will create difficulties in matching the needs of different stakeholders across regional Australia. 
On the one hand, new services such as internet access on (Qantas and Virgin) flights could potentially add congestion to satellite services, depending on the access and allocation of resources. 
Alternatively, new business opportunities enabled by the internet of things and the digital economy might demand low-latency connectivity, which a satellite service cannot provide in regional Australia. 
Therefore, to realise the potential gains, nbn co needs to support investment in development and adoption of new broadband technologies that can provide greater bandwidth, or lower latency, services cost-effectively to regional Australia.
Digital capacity building
Through the government’s digital transformation agenda, it is imperative to ensure regional Australia is empowered through programs focused on digital capacity building. 
This should include skills development, assistance to access new technologies and support for businesses and consumers. As the data becomes a key economic enabler, data skills and platforms for regional Australia will also become a major priority.
While the case for lifting the economic and social participation of regional Australia in the emerging networked economy is very strong, will the policy framework evolve to make it a priority? The bush is crying out for equitable access to broadband.
Thas Ampalavanapillai Nirmalathas is director - Melbourne Networked Society Institute, professor of Electrical and Electronic Engineering, Co-Founder/Academic Director - Melbourne Accelerator Program, University of Melbourne and author for The Conversation.
He can be contacted <a href="https://theconversation.com/profiles/thas-ampalavanapillai-nirmalathas-824" target="_blank">here.</a>
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Regional Australia is crying out for equitable access to broadband

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GUEST OBSERVER
Australian third quarter GDP data was very weak, declining by 0.5 percent, missing consensus estimates for a 0.1 percent fall. 
Annual GDP growth has now declined to 1.8 percent, the lowest level since March 2009. All components of GDP were weak in the September quarter and the key points are:
Soft-ish consumer spending growth (up by 0.4 percent over the quarter resulting in a contribution of just 0.3 percentage points to quarterly GDP growth) as evidenced by poor retail sales outcomes over the quarter, although this may have been impacted by election uncertainty and poor weather;
A fall in dwelling investment (-1.4 percent qoq or a 0.1 percent point detraction), but this follows a few quarters of very strong growth;
A marginal lift in private business investment (+0.1 percent or a flat contribution), with a rise in machinery and equipment investment offsetting  a 1.3 percent qoq fall in non-residential construction as the slump in mining investment continues to impact. However, underlying private investment was actually weaker with the headline being boosted as a large asset transfer from the private to the public sector in the June quarter washed through;
A large decline in public spending (-2.4 percent qoq or a 0.6 percent point detraction) with headline government investment looking particularly low because of the asset transfer in the June quarter. Even adjusting for theasset transfer, public spending was still low in the September quarter;
<ul>
<li>A small contribution from total inventories (+0.1% point contribution to growth); and</li>
<li>A small detraction from net exports (-0.2% point detraction from growth) with import volume growth stronger than export volumes.</li>
</ul>
<a href="/images/2016/12/08/image004.png" target="_blank">Click to enlarge</a>
<img src="/images/2016/12/08/image004.png" alt="">
Source: ABS, AMP Capital  
This is only the fourth quarter of GDP contraction since the last recession ended in 1991 – with the last three being in the December quarter 2000 (after the introduction of the GST), December quarter 2008 (the GFC) and March quarter 2011 (mainly because of a hiccup in exports). 
<a href="/images/2016/12/08/image005.png" target="_blank">Click to enlarge</a>
<img src="/images/2016/12/08/image005.png" alt="">
Source: ABS, AMP Capital 
While the GDP contraction in the September quarter will no doubt invite talk of a recession (defined as two consecutive quarters of falling GDP) growth is likely to bounce back in the December quarter avoiding a recession so there is no reason to get too gloomy. 
A lot of the factors which drove the weak third quarter outcome will not repeat in the fourth quarter GDP numbers. Weak September quarter GDP partly looks like payback for stronger than expected GDP growth over the year to theJune quarter of 3.1 percent.
Looking forward, there is going to be a further ramp up in resource export volumes, non-residential building approvals are lifting considerably, mining investment is getting closer to a bottom, retail sales growth trends have picked up again, there is still a lot more dwelling construction in the pipeline, state government budgets indicate a lift in public investment and the rebound in commodity prices with the terms of trade up 4.5 percent in the September quarter tells us that the income recession in Australia is over.
So we expect GDP growth to lift back to around a 2.5 percent pace in the current quarter and through 2017. 
The Australian dollar has remained surprisingly resilient on the poor data, dropping from 0.7465 to around 0.7430 and the share market actually rose 0.2% at the time of writing – indicating that markets also expect growth to bounce back. 
But despite our expectation that recession will be avoided and that growth will bounce back, growth is still likely to be fragile and constrained. In an ideal world now would be a time for some fiscal stimulus focussed on infrastructure spending. But with public debt well up from pre GFC levels and the Government focussed on reducing the budget deficit and the (increasingly difficult) task of maintaining Australia’s AAA credit rating this looks unlikely.  
As such the pressure is likely to remain on the RBA. With the RBA likely to reduce its circa 3 percent growth forecasts and further delay the expected return of inflation to its 2-3 percent target in its February Monetary Statement we remain of theview that it will cut rates again next year. The need to offset increases in bank mortgage rates that are being driven up by the rise in global bond yields and the desire to push the $A lower are additional reasons to expect further RBA monetary easing.
<a href="https://www.propertyobserver.com.au/https://plus.google.com/110172465327488162875?rel=author" target="_blank">SHANE OLIVER</a> is head of investment strategy and economics and chief economist at <a href="https://www.ampcapital.com.au/home" target="_blank">AMP Capital</a> and is responsible for AMP Capital's diversified investment funds.
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The Australian economy hits an air pocket - but recession unlikely: Shane Oliver

Investors may soon find themselves with fewer reasons to buy established property and more incentives to look towards the new apartment market.

Proposed changes to negative gearing and capital gains tax concessions would see new and off-the-plan apartments retain access to the tax benefits, while established properties would miss out, creating a clear advantage for buyers purchasing newly built housing.

The policy direction aligns with what many developers have been saying for several years. Australia needs more housing supply, and governments are increasingly looking for ways to encourage investment into new stock rather than existing homes.

The challenge for investors is that suitable product is becoming harder to find.

For much of the last decade, one-bedroom apartments were the cornerstone of investor demand. They offered a lower entry price, strong rental appeal, and were a common feature across most apartment developments.

Today, the development pipeline looks very different.

Across both New South Wales and South East Queensland, developers are increasingly targeting owner-occupiers and downsizers, delivering larger two, three and four-bedroom apartments in response to changing buyer preferences. While one-bedroom apartments still exist, they now form a much smaller portion of many new projects.

That shift has created a shortage of investor-friendly stock, particularly in well-located projects close to transport, employment hubs and lifestyle amenity.

At the same time, rising apartment prices have pushed many new developments beyond the reach of traditional investors. On the Gold Coast and across South East Queensland, it's becoming increasingly difficult to find new apartments priced around the $1 million mark, particularly those offering strong rental fundamentals and long-term growth prospects.

We've rounded up four new apartment developments where investors can still secure a foothold in the market for around $1 million or less.

<h2 data-end="1140" data-start="844">Flourish Soleira</h2>

<h2>Priced from: $1.07 million</h2>

Popular Palm Beach developer Sherpa is soon to officially launch its newest local apartment development, Flourish Soleira.

The one-bedroom apartments in the building were only offered to first home buyers rather than investors, and all of those have been snapped up. The two-bedroom apartments will start from $1.07 million, and the three-bedrooms, still a good investment given the popularity of Palm Beach for owner-occupiers, starting at $2,045,000.

&nbsp;

[smartcode_project:default project_id=150017 project_image_fid=370964]

Flourish Soliera will comprise 153 apartments across two buildings, connected by a skybridge, the first ever delivered in the suburb.

True to Sherpa's booming Flourish brand of apartment projects, Flourish Soleira will have extensive rooftop amenity across both buildings including a&nbsp;wellness centre with gym, work from home, yoga, pilates, a&nbsp;heated pool, private dining rooms, pizza oven and barbecues, basketball court, and golf simulator.

<h2>Corallo, Palm Beach</h2>

Priced from: $841,500

Nearby Flourish Soleira is Changfa Group's beachfront-inspired Corallo development. They still have some one-bedroom apartments remaining, priced from $841,500.

The 105-apartment project on Palm Beach Avenue is otherwise dominated by larger two and three-bedroom residences, many of which are aimed at owner-occupiers and downsizers.

[smartcode_project:default project_id=112194 project_image_fid=808]

For investors, the appeal lies in Palm Beach's continued transformation from a laid-back beachside suburb into one of the Gold Coast's most sought-after residential markets. Residents at Corallo will be within walking distance of Palm Beach's surf beaches, the recreational amenity of Tallebudgera Creek, and the increasingly popular collection of cafes, restaurants and boutique retailers along the suburb's central dining precinct.

<h2>Corner House, Stones Corner</h2>

<h2>Priced from: $880,000</h2>

One of only two Brisbane apartment developments to make the list with prices under $1 million is DeMartini Fletcher's Corner House development in Stones Corner.

One-bedroom apartments start from $880,000 within the 88-apartment development, providing investors with exposure to one of Brisbane's most established inner-south locations.

[smartcode_project:default project_id=149098 project_image_fid=330594]

Stones Corner has long been supported by strong tenant demand due to its proximity to major employment and education destinations. The suburb sits less than five kilometres from Brisbane's CBD and is within easy reach of the Princess Alexandra Hospital, Greenslopes Private Hospital, Queensland Children's Hospital and several university campuses.

The project's location within a walkable urban village environment, surrounded by retail, dining and public transport infrastructure, continues to attract both professionals and healthcare workers seeking accommodation close to work.

Parkdrive Apartments, Chermside

Priced from: $749,000

The most affordable apartments across Brisbane's new and off the plan market are in Chermside where developer AusDev is selling one-bedroom apartments from $749,000, and two-beds from $929,000, at its recently launched Parkdrive development.

The development is strategically positioned in one of Brisbane's largest employment and retail precincts, placing residents within easy walking distance of Westfield Chermside, The Prince Charles Hospital, St Vincent's Private Hospital Northside and the suburb's major bus interchange.

[smartcode_project:default project_id=152125 project_image_fid=363782]

Already under construction and scheduled for completion in early 2028, Parkdrive benefits from Chermside's ongoing evolution into Brisbane's northern metropolitan centre. The suburb continues to attract significant public and private investment, supporting population growth and underpinning long-term rental demand.

For investors focused on yield and tenant depth, the combination of healthcare, retail and transport infrastructure within close proximity provides a strong foundation for occupancy and rental performance.

Joel Robinson

Investors to turn to new apartments after Federal Government changes spark hunt for Queensland's best $1 million apartments

A mix of Gold Coast locals, fly-in, fly-out purchasers from Sydney and Melbourne, and Brisbane-based families has driven early sales success at Broadbeach's newest apartment tower, Lumara.

The 26-level project, a joint venture between builder-developer 5Point Projects and Bourke Projects, comprises just 37 luxury residences and is attracting a buyer profile that is looking for exclusivity, above the most amenity-rich suburb on the Gold Coast.

[smartcode_project:default project_id=150454 project_image_fid=364156]

Jamie Bourke, Director of Bourke Projects, says every buyer secured so far intends to use Lumara as a lock-up-and-leave residence, combining holiday use with the ability to work remotely when required.

“The size of the apartments, both half- and full-floor options, and the different zones within the floorplans, lends itself perfectly to dedicated home office setups and multi-generational family holidays,” Bourke says.

That flexibility has become a key drawcard for affluent buyers seeking a second residence on the Gold Coast without sacrificing the ability to conduct business away from their primary home base.

The absence of holiday letting within the building has also resonated strongly with purchasers.

“This type of buyer doesn't need to generate holiday rental income,” Bourke says. “They're paying for exclusivity, privacy and certainty around who their neighbours are.”

[smartcode_project:default project_id=150454 project_image_fid=366491]

The strong demand comes amid broader shifts in the high-end apartment market following the Federal Budget announcements in May.

“We were already seeing strong enquiry from high-net-worth buyers, but that has only accelerated since the policy changes,” Bourke says.

“A lot of those buyers are looking to place more capital into premium lifestyle assets rather than investment-grade stock that has been targeted by the Federal Government.”

[smartcode_project:default project_id=150454 project_image_fid=366486]

Designed by Cottee Parker, Lumara adopts a slender, sculpted form with an emphasis on natural materials suited to its beachfront setting. The architectural approach draws on coastal influences, with a palette of stone, timber and concrete selected for durability and the ability to weather over time.

Apartments are limited to three and four-bedroom configurations, with a maximum of two residences per floor through the mid-levels and a selection of full-floor and dual-level homes in the upper levels. All apartments are oriented to the north to maximise natural light, cross-ventilation and views across the ocean, city skyline and hinterland.

A two-level amenity offering is positioned high within the building on levels 20 and 21, conceived as a sky wellness retreat. Facilities include a magnesium pool, spa, sauna and steam rooms, alongside more social spaces such as a private dining room, resident lounge, workspaces and outdoor barbecue areas integrated with landscaped greenery.

The uppermost levels are reserved for larger-format residences, including several full-floor homes and a dual-level penthouse with its own private wellness features and recreational spaces.

&nbsp;

To give buyers confidence, 5Point and Bourke commenced construction ahead of the apartments launching to the market, a sure-fire way to prove they mean business, and the building will be delivered. They are targeting a 2028 completion date.

[smartcode_project_cta:default project_id=150454]

Locals, interstate holiday makers, drive early sales at Lumara, Broadbeach's newest luxury apartment tower

Often when it comes to purchasing property, the biggest barrier to entry is the deposit. Buyers of established homes typically aim for a 20 per cent deposit to avoid the added cost of Lenders Mortgage Insurance, while most property transactions require around a 10 per cent deposit when contracts are exchanged.

The off-the-plan market works differently, with buyers typically paying a deposit during construction and settling the balance upon completion. As completion approaches at <a href="https://www.apartments.com.au/new-apartments/fabbrica-fitzroy-369-gore-street-fitzroy-vic-3065">Fabbrica Fitzroy</a>, developer <a href="https://www.apartments.com.au/developers/pace-development-group">Pace</a> is making it easier for buyers to secure a residence through a deposit-matching incentive. Purchasers need only contribute a five per cent deposit*, with Pace matching the remaining five per cent.

The offer comes as Pace unveils a completed display apartment and townhouse, now available for inspection by appointment ahead of the project's Spring completion.

[smartcode_project:default project_id=139552 project_image_fid=371009]

Designed by <a href="https://www.apartments.com.au/architects/sjb-architects">SJB</a> with interiors by <a href="https://www.apartments.com.au/interior-designers/winwood-mckenzie-architecture">Winwood Mckenzie</a> and landscaping by <a href="https://www.apartments.com.au/landscape-architect/acre">Acre</a>, Fabbrica draws on Fitzroy’s industrial and manufacturing history, incorporating references to the former Argyle Shirt Factory and Life Savers Confectionery Company that once occupied the site.

The development comprises 85 residences, spanning low-maintenance apartments through to larger-format townhouses with private street access and double lock-up garages, a relatively uncommon offering in Fitzroy’s higher-density apartment market.

Pace says the project has been designed to appeal to buyers seeking inner-city convenience without sacrificing space, flexibility, or amenity.

[smartcode_project:default project_id=139552 project_image_fid=371016]

Inside the residences, Winwood Mckenzie has focused on adaptable layouts and integrated detailing, with features including custom joinery, and concealed storage solutions. The material palette leans into warm, tactile finishes intended to complement the building’s industrial architectural language.

Fabbrica’s rooftop amenity is a key part of the project offering. Spanning around 800 sqm, the communal rooftop includes a private dining room, communal kitchen, lounge spaces, work-from-home zones, and outdoor dining areas overlooking the Melbourne CBD skyline.

[smartcode_project:default project_id=139552 project_image_fid=371017]

Landscape architecture studio Acre has introduced a layered rooftop garden designed to soften the urban setting while creating a more communal environment for residents.

The Fitzroy location also positions residents within walking distance of Brunswick Street, Smith Street, parks, cafés, galleries, and public transport, while remaining only minutes from Melbourne’s CBD. The project has an enviable Walk Score of 96.

[smartcode_project:default project_id=139552 project_image_fid=371025]

Pace, which is also delivering the project as builder, has developed more than 100 projects across Melbourne over the past three decades. The vertically integrated approach has become increasingly common among developers seeking greater control over construction delivery amid broader market pressures affecting the apartment sector.

The strikingly contemporary Gore Street development is now around 70 per cent complete, with purchasers expected to move into their new homes in Spring 2026. A limited number of residences remain available under the current deposit match offer.

*Conditions apply in relation to the deposit match offer.

[smartcode_project_cta:default project_id=139552]

Pace offers five per cent deposit match at Fabbrica Fitzroy ahead of Spring completion

Sydney developer Hyecorp's roots on the Lower North Shore stretch back three generations, and that deep understanding of the market continues to shape where and how it develops today.

From high-rise towers to boutique apartment projects, the family-run developer has built its reputation by focusing on a part of Sydney it knows intimately. Founded by Michael Abolakian in the early 1990s, Hyecorp is now led by his sons Stephen, Troy and Patrick.

Stephen Abolakian, joint managing director alongside Troy, has spent more than two decades in the business, overseeing development, planning, finance, marketing and sales.

Abolakian says the developer's disciplined focus on where it chooses to operate has been, and continues to be, one of Hyecorp's greatest strengths.

“We know the buyer profile exceptionally well,” Abolakian says.

“The demographics between places like Willoughby, Chatswood, St Leonards and Roseville are very similar. There are nuances between suburbs and projects, but culturally and from a buyer perspective, there’s a strong overlap.”

That buyer has historically been overwhelmingly owner-occupier driven.

Unlike many Sydney apartment developers that have traditionally relied heavily on investor demand, Hyecorp’s projects have typically attracted downsizers, upsizers, rightsizers and family owner-occupiers seeking long-term homes rather than short-term investments.

“Historically, investors have been a much smaller portion of our demand profile,” Abolakian says.

“We design for owner-occupiers. We don’t design for yield, we design for comfort, amenity, family living and long-term usability.”

That philosophy extends well beyond apartment layouts.

From landscaping and communal gardens to shared amenities and circulation spaces, Hyecorp’s developments are designed around how people actually live, something Abolakian believes has become increasingly important in Sydney’s apartment market.

“There was probably a period where having an approved project in market was enough,” he says.

“There wasn’t as much competition and if you built it, buyers would come. That’s no longer the case.”

“There’s more supply in the pipeline now, particularly with TOD precincts and low and mid-rise reforms opening up opportunities across Sydney. Buyers have more choice, so if you get the product wrong, they’ll simply go elsewhere.”

[smartcode_project:default project_id=110379 project_image_fid=311393]

The shift has forced developers to become more sophisticated in how they approach apartment design, particularly as owner-occupier expectations continue to rise.

For Hyecorp, that means thinking beyond who the buyer is today and designing for who they may become in five or 10 years' time.

“People buying now often aren’t moving in for several years,” Abolakian says.

“You might have a young couple buying today, but by the time they move in they may have children, older children, or changing lifestyle needs. You’ve got to think about how families evolve.”

That thinking also shapes Hyecorp’s approach to amenity, which positions wellness at the forefront.

[smartcode_project:default project_id=149594 project_image_fid=362634]

While resort-style facilities have become increasingly common marketing tools across Sydney apartment developments, Abolakian says the challenge is ensuring amenities are genuinely usable and appropriate for the scale of the project.

“If amenities are done right, they can materially improve the living experience,” he says, adding however that if you&nbsp;overdo it or get it wrong, you can end up with facilities nobody uses that simply create ongoing strata costs.”

That balance is something Hyecorp is aiming to strike with projects like Roseville Avenue, one of the group's upcoming Lower North Shore developments, which Abolakian describes as bringing a resort-style living experience into a metropolitan setting.

“It’s about creating something that feels special without being excessive,” he says.

“Good gardens, quality apartments, thoughtful amenity. Creating that resort feeling in a metro location.”

<img alt="Hyecorp" data-entity-type="file" data-entity-uuid="13c4c0f3-b1b7-44cf-9344-0b3d1d07797a" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-06-02%20at%2012.14.57%E2%80%AFPM.png?VersionId=9OLWjyj2bYkDV35F78WJnyMSPfc2bJ2z" />

The focus on owner-occupier product comes as Sydney’s apartment market continues to navigate a difficult development environment.&nbsp;For Hyecorp, maintaining an in-house operating model across construction, sales, marketing and development management has become increasingly important in navigating that environment.

“We’ve always believed in keeping a lot of the process in-house,” Abolakian says.

“It creates efficiencies, but it also creates quality control. You can make faster decisions and ensure the end product stays aligned with the original vision.”

Despite the challenges, Abolakian believes demand for quality owner-occupier apartments across Sydney remains strong beneath the surface, particularly across established Lower North Shore suburbs where downsizers continue to seek new housing options close to existing communities.

“There are definitely people waiting,” he says.

“Once some of the broader uncertainty settles, whether that’s the global environment or some of the local economic noise, I think the right projects will perform very strongly.”

Hyecorp currently has three residential developments on the market across Sydney’s Lower North Shore.&nbsp;Audrey, St Leonards, positioned opposite Newlands Park, is nearing completion and preparing to welcome its first residents, with the project now almost sold out.

Hyecorp has also recently launched&nbsp;<a href="https://www.apartments.com.au/new-apartments/celine-chatswood-37-archer-street-chatswood-nsw-2067">Celine Chatswood</a>, an architectural tower, while continuing to deliver&nbsp;<a href="https://www.apartments.com.au/new-apartments/juliet-roseville-64-pacific-highway-roseville-nsw-2069">Juliet Roseville</a>, a more boutique scale of development with just 34 apartments.

Why Hyecorp continues to back Sydney's Lower North Shore apartment market

South East Queensland’s apartment market is entering a new phase defined by rising prices, constrained affordability, and mounting pressure on the construction pipeline, according to RPM Group’s latest SEQ Apartments &amp; Townhomes Market Report.

The May 2026 report highlights a widening divide between what buyers can afford and what developers can viably deliver, with detached house prices continuing to push more buyers toward apartments across Brisbane, the Gold Coast, and the Sunshine Coast.

RPM says Brisbane’s median house price has reached around $1.5 million, accelerating the shift toward higher-density housing as buyers are increasingly priced out of the detached market.

[smartcode_project:default project_id=135094 project_image_fid=356540]

Median unit prices rose across all three major SEQ markets in the March quarter. Brisbane City recorded the strongest annual growth, with median unit prices climbing 21 per cent to $862,000, while the Gold Coast reached the highest overall median at $950,000, up 17 per cent year-on-year. The Sunshine Coast followed at $870,000, representing annual growth of nine per cent.

RPM noted the affordability gap between houses and units remains significant, with detached homes commanding premiums of 67 per cent in Brisbane and 68 per cent on the Gold Coast relative to apartments.

The report suggests this price disparity is increasingly consolidating buyer demand within the apartment market, particularly among downsizers and owner-occupiers.

“Demand is real. Supply is moving. But they’re operating on different timelines and the gap between what’s being built and what buyers can afford is the defining tension in this market right now,” RPM Queensland and NSW Managing Directors Peter Neale and Clinton Trezise said in the report.

[smartcode_project:default project_id=150787 project_image_fid=366230]

While approvals and commencements are strengthening, RPM argues the delivery pipeline remains constrained by construction costs, labour shortages, and extended build timelines.

Apartment approvals across Queensland increased 86 per cent over the year to February 2026, reaching 12,682 approvals, the highest level recorded since 2016. Brisbane overtook the Gold Coast as the state’s most active apartment approval market, with nearly 5,000 apartments approved over the past 12 months.

Unit commencements also strengthened considerably, rising 48 per cent year-on-year to 5,453 commencements in the December 2025 quarter, the highest level since 2018.

However, RPM’s research found apartment delivery timeframes have expanded sharply compared to the previous cycle. Projects are now averaging around 30 months from approval to completion, compared to roughly 20 months a decade ago.

[smartcode_project:default project_id=143932 project_image_fid=367515]

The number of units under construction has climbed to approximately 31,530 dwellings, nearing the previous 2016 peak, though projects are remaining in the pipeline for considerably longer.

Construction costs continue to weigh heavily on feasibility. RPM found the average apartment construction cost in Greater Brisbane reached $630,000 per dwelling in 2025, exceeding both Sydney and Melbourne. Coastal Queensland markets, including the Gold Coast and Sunshine Coast, were even higher at an average of $817,418 per apartment due to the prevalence of larger premium product.

The report also points to increasing pressure from Olympic-related infrastructure spending ahead of Brisbane 2032, with labour competition expected to intensify over the next several years.

[smartcode_project:default project_id=150017 project_image_fid=370960]

ANZ Associate Director of Property Daniel Gradwell said the underlying demand drivers across South East Queensland remain strong, supported by interstate migration, downsizers, and population growth.

“The challenge is bringing enough supply to market to meet that demand, and nothing on the horizon makes that straightforward,” Gradwell said.

RPM’s analysis found the affordability challenge is becoming more pronounced in the new apartment market itself, with only three per cent of surveyed new apartments priced below $1 million.

Instead, the market is increasingly concentrated in higher price brackets, with the most common new apartment price band across SEQ sitting between $1.5 million and $1.75 million. Around half of all new apartment stock surveyed is priced below $2 million.

The report suggests developers are not necessarily avoiding lower price points by choice, but because current construction economics make delivering affordable apartments increasingly difficult at scale.

Rental conditions also remain tight across the region. Median rents for one-bedroom apartments rose 12 per cent in Brisbane over the past year to $580 per week, while Gold Coast one-bedroom rents increased nine per cent to $630.

Despite rising rents, RPM noted bond lodgements have generally trended downward over the past five years, indicating more apartments are being absorbed by owner-occupiers rather than retained as investor-held rental stock.

Looking ahead, RPM expects projects targeting the mid-market owner-occupier segment between $1.25 million and $2 million to remain the most viable part of the market, while premium projects in highly constrained coastal or riverfront locations continue to attract demand.

“Construction costs are rewriting the feasibility rulebook across Greater Brisbane, and with little relief in sight, only projects in the right price band, right location, and with presales secured early will make it through,” the report concludes.

Jonathan Chancellor

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