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GUEST OBSERVER
A weaker set of economic results. A modest slide in the number of dwelling approvals, and a substantial rise in the trade deficit. The only positives to be taken out of the data related to the rise in the value of building approvals. Overall there is nothing in the data to stop the Reserve Bank from cutting interest rates if they deem it necessary.  
The housing sector continues to bubble along at a healthy pace. Home prices remain resilient despite changes in regulation and tighter lending standards that have been adopted by the banking sector. Importantly the pipeline of new building will continue to support broader-based economic growth over the coming 12-18 months.  
Over the past year 233,246 new homes were approved, easing further from the record high 240,842 in the year to October 2015. The anticipated lift in housing supply should ensure a more balanced environment – in essence house price growth is likely to be more contained over the medium term.  
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The housing sector isn’t the hotly contested issue it was a year ago, but still the Reserve Bank will keep a close eye on the sector, particularly in Sydney and Melbourne.
The trade accounts remain firmly in the red. Not only have the trade accounts been in deficit for over two consecutive years, but the 12-month rolling annual deficit came in at a sizeable $35.7 billion. However the trade data doesn’t have the impact on the currency that it once did.
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What do the figures show?
 Building Approvals:
Dwelling approvals fell by 2.9 per cent in June after falling by 5.4 per cent in May. In trend terms, approvals fell by 0.9 per cent in June.   Over the past year 233,246 new homes were approved, easing further from the record high 240,842 in the year to October 2015.   House approvals fell by 2.4 per cent in June after a 0.5 per cent rise in May (private sector fell by 2.3 per cent). Meanwhile ‘lumpy’ apartment approvals fell by 3.4 per cent in June after falling by 10.7 per cent in May. Private sector apartment approvals fell by 2.4 per cent in June. Dwelling approvals in June were down 5.9 per cent on a year ago with house approvals down 5.5 per cent while apartments are down by 6.3 per cent.  
Across states and territories in June: NSW (-4 per cent); Victoria (+4.1 per cent); Queensland (-2.1 per cent); South Australia (-12.3 per cent); Western Australia (+2.4 per cent); Tasmania (-23.6 per cent). In trend terms, approvals rose by 3.6 per cent in the Northern Territory and by 2.8 per cent in the ACT.  
The value of all commercial and residential building approvals rose by 5.3 per cent in June after falling by 10.7 per cent in May. Residential approvals fell by 1.5 per cent with new building down by 1.2 per cent while alterations &amp; additions fell by 3.8 per cent. Commercial building rose by 20.8 per cent in June to be up 18.8 per cent on a year ago.  
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International trade:
Australia’s trade deficit widened from $2.42 billion in May to $3.2 billion in June. It was the 27th consecutive  monthly deficit. The rolling 12-month deficit eased from $36.2 billion to a 7-month low of $35.7 billion.
In June, exports of goods and services fell by 0.8 per cent (goods down 1.1 per cent) while imports of goods and services rose by 2 per cent (goods up 2.6 per cent). Exports are down 0.9 per cent on a year ago, while imports are down by 2.3 per cent.  
Within imports, consumer imports rose by 7.4 per cent with capital goods imports up by 2.9 per cent while intermediate goods imports fell by 1.1 per cent.
Consumption goods imports are up 8.9 per cent on a year ago while capital goods imports are up 8.6 per cent and intermediate goods imports are down by 18 per cent. 
Australia's annual exports to China stood at $80.1 billion in the year to June. Annual exports were down 1 per cent on a year ago. Exports to China accounted for 32.9 per cent of Australia's total exports.  
Australia's annual imports from China eased from $61.4 billion to $61.3 billion in the year to June, up 7.6 per cent on a year ago. Imports from China accounted for 23.3 per cent of Australia's total imports.  
Australia's rolling annual trade surplus with China held near recent 5-year lows. The annual trade surplus was $18.7 billion in June – but well down from the record high of $51.2 billion set in April 2014.  
Australia annual exports to the US eased from $13.3 billion to $13.2 billion in the year to June and down from a record high of $13.69 billion in the year to October 2015. The share of annual exports going to the US eased from a 7-year high of 5.5 per cent to 5.4 per cent.  
Australia’s annual exports to India eased further from the two-year high of $10.34 billion set in the year to December 2015 to $9.52 billion in the year to June.  
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What is the importance of the economic data? 
The Bureau of Statistics' monthly Building Approvals release contains figures on local council approvals to build residential structures such as homes and units as well as commercial premises such as offices and shops. Approval is one of the first stages of the construction ‘pipeline’ and is thus a key leading indicator of future activity. An increase in approvals would point to stronger future activity for construction-related companies.  
The monthly International Trade in Goods and Services release from the Bureau of Statistics provides estimates on exports and imports of physical goods (such as coal, beef and computers) and services (such as travel receipts). The balance of goods and services (BOGS) is a narrower description of Australia’s external position than the current account estimates. The import data is a useful gauge of consumer and business spending while exports reflect global demand as well as domestic influences such as drought.  
What are the implications for interest rates and investors?  
While new council approvals to build new homes appear to have peaked, activity levels are still healthy. But now investors and builders need to do more research to ensure that the projects they are interested in remain viable with competing projects. There is certainly potential for indigestion in certain towns and regions as new projects are completed and the stock is absorbed.
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The Reserve Bank will closely monitor developments in China and financial markets more generally. Encouragingly the Reserve Bank has plenty of firepower to provide stimulus to the economy, especially given the low inflation environment.  
Savanth Sebastian is an economist for <a href="https://www.commsec.com.au/" target="_blank">CommSec</a>
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Weaker housing approvals, trade deficit blowout: CommSec's Savanth Sebastian

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GUEST OBSERVER
Subdivisions are the alluring sirens of the investment world.
There's a blunt logic to the concept that seems unshakable. Which is... If you've got a massive plot of land, dividing it up into two plots will instantly make you money, won't it?
Whether you’re a home owner looking to make extra capital from your oversized property or an investor subdivision certainly seems attractive. 
Especially, if you do it smartly and thoughtfully. With careful research, you can enjoy great capital growth with a booming yearly rental income. It's a wonderful, tantalising prospect.
Is this the best use of your time and resources? What is your skill set?
Yet, like most investment options, if not done carefully, it can also go horribly wrong. 
Here are some of the things you'll need to consider: 
Council regulations and permissions: All councils have very definite rules on subdivisions, so you need to find out your local environment plan and zoning rules. Many councils will have a minimum land size the property needs to be before they'll allow the development. You may also find that you’re limited as to what you can actually build. They will usually have a rule about car access and parking for both dwellings. There may be a certain amount of land that has to be left as open space (to prevent two houses sitting on top of each other).
There may be restrictions on the height of the dwellings or how close they are to the boundary. And expect that there will be rules about the impact of your proposed subdivision to the neighbours. All this means you need to do meticulous research. It's certainly a good idea to use a solicitor or legal expert to drill down through the fine print.
Building costs: Make sure you get a number of quotes from builders and architects, with the caveat that these costs can often balloon out. Ideally find a builder and architect through referral on a similar project so you know what to expect in terms of time and money. Architects can be expensive if you’re not designing it yourself. Another option is to use a draftsman, who’ll be cheaper, but maybe not ideal if the development is very complex.
The more organized and prepared you are about what you want, the less likely it is that the timeline and budget will go out of control. And think about who will project manage the subdivision? It’s expensive to hire someone but very time consuming to take it on yourself.
 
Consider the aesthetics: It's not enough to merely subdivide. You have to consider what the final dwellings will look like. If they're not appealing to a majority of renters then you've wasted your time. Common mistakes include: blocks with bad subdivisions where two houses are sitting on top each other. Or houses where there's little privacy and the occupants can see into the other's windows.
Or simply, unattractive houses that are cheap to manufacture but hardly anyone would want to live in. A badly designed subdivision will have the result of devaluing your entire property. This is where experienced designers and professionals come in. DPN's acclaimed CASA Allegra project home is a good example of well-designed home suitable for subdivision, that are economical yet aesthetically pleasing. 
Is subdivision economically practical?: In other words, consider whether the area is growing enough to sustain dual rental incomes off the one property. If you’re in a solid growth district which has good infrastructure, a strong local economy and an influx of people coming from outside the area, then there’s a clear path ahead. You also need to know what are the future plans for the area. For instance, if the area is about to be heavily developed with lots of apartment blocks and townhouses this will soak up a lot of the rental demand.
It could even lead to oversupply. Suddenly you’ll be competing with many other rental properties. This could then impact on your rental yields, even driving them downwards. So both present and future research into the plans for the area are critical. Remember, you don’t want your properties sitting vacant for long periods so there needs to be a strong pool of renters and high demand. Also do your sums and ensure that the rental yield from the subdivided property works out for your budget.
Finally, budget out the cost of subdivision in complete detail. It may not always be economically advantageous to subdivide if, for instance, the property isn’t all that big; there are lots of complications with the council or the land and the cost is on the high end. 
Hidden costs that you may not have thought of have will impact heavily on your budget: These can be things like contribution fees from local councils. Councils impose these on developers towards the cost of providing local services or facilities because of the effects of the planned developments. For example, if more water or sewerage is needed, because there’s an increase in the number of lots/ houses.
Or it can be deemed necessary if your new developments create extra water run-off, which in turn impacts the environment or flooding. In which case you, as the owner, may be up for having to pay for additional reports and research.
This council contribution fee is commonly known as a section 94 or a section 94A. This fee can be quite hefty depending on the council and the amount of extra infrastructure needed. Alternately there may be extra environmental issues that arise from your subdivision (for example, if they threaten an animal or plant species or impact the soil). And never rule out the possibility of a neighbor strongly objecting to the subdivision and issuing a legal challenge. 
Ask yourself – is this the best use of your time and resources? What is your skill set? Is this too arduous to take on yourself – remember that you’re managing a formidable and costly project. 
In which case, consider chatting to DPN about much less stressful and positively geared property investment options. We’ll arrange everything for you! 
Instead of subdividing, you may opt for a granny flat if your goal is simply to add rental yield to your existing property If this is the first time you’re dipping your toes into the water of subdivision and looks very complicated, you may be better off simply selling the property to a developer. 
If you’re determined to go ahead with subdivision, then ensure that you can afford it and you’re not sinking funds into a black hole. Also, make sure that what you’re putting on the property is really value for money. In other words: ask questions and make sure all your choices are backed up with research and what you can afford.
SAM KHALIL is founder and director of <a href="https://www.dpn.com.au/" target="_blank">Direct Property Network</a>.
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When should you subdivide? DPN's Sam Khalil

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There was a recent survey that again ranked real estate agents as less trustworthy than politicians. 
Roy Morgan's annual professionals survey placed real estate agents third-lowest - at 10 percent - among the 30 professions rated, only beating advertisers at 9 percent and car salespeople at 4 percent.
Nurses ranked the highest at 92 percent. Ranking slightly higher in ethics and honesty than estate agents, were trade union leaders on 13 percent and Federal MPs getting 17 percent.
The survey results, which I guess are even starker when considering the electorate backlash at the polls last month, come at a time the the NSW government is conducting a review of training in the property industry.
Indeed Rod Stowe, the NSW Fair Trading commissioner, recently got a report that referred to the Roy Morgan results. The report on training in the New South Wales property services industry, which was chaired by Chris Batt, noted the level of trust in agents was much higher in rural NSW, mainly because of the establishment of longer-term relationships.  
According to his department, there were 6455 complaints about property matters in 2014-15. The mismanagement of trust funds becoming one of the significant issues. 
Better Regulation Minister Victor Dominello has noted NSW has among the lowest entry standards in the country.
There has been ongoing debate on the role of government as the prevailing wisdom is that it not the role of a licensing regime to increase real estate professionalism, although that may be a desirable outcome.
It is the role of a licensing regime to protect the public interest.
The recent report noted submissions invariably began by saying that training standards were too low. 
For some, the issue is about the need for more training before people start, but also about the need to improve the quality of training.
The report to Stowe by review chairman, Chris Batt noted a common complaint was about the difficulty in attracting the right people to enter the industry.
His review explored the attributes that make for good estate agents. 
"The key skill appears to be the ability to gain people’s trust and a capacity for hard work."
But Batt's report noted there is a public perception that "selling real estate is a glamorous industry where people drive expensive cars, wear nice clothes and make lots of money." 
The report suggested the reality was often far different and a better understanding would help to "encourage the right people to enter the industry."
Most stakeholders agreed training courses left an inadequate level of knowledge because they were too short. 
There were also concerns of trainers not having currency in industry experience. 
And as assessments were in a simulated environment they not did reflect the real life environment.
The review noted that supervision out in the workplace was either poor or absent.
It even raised concerns about the literacy and numeracy skills of the aspiring agents.
All this translates into detrimental impacts on consumers with poor selling and appraisal skills, which meant that a vendor did not always get the best price or service. 
One real estate trainer recently suggested the industry’s poor perception had remained low for the past dozen or so years years because many agents had learned bad habits from having the industry teach the industry.
Not enough looking at it from the customer’s point of view, he said, pinpointing scripts and dialogues to outsmart clients in sales, along with "the controversial things in the industry like cold canvassing or vendor contributions." 
This article was first published in the Saturday Daily Telegraph.
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Real estate agents less trustworthy than politicians: survey

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The Hughenden hotel in Woollahra has been sold having been listed in May with expectations of $20 million plus.
The buyer has not been disclosed, but the 1356-square-metre site was likely acquired by a developer. No sale price was offered on realcommercial.com.au for <a href="https://www.realcommercial.com.au/property-hotel+leisure-nsw-woollahra-501942758" target="_blank" style="font-size: 12.16px; line-height: 1.3em;">The Hugheden</a> which was built in 1870 as a grand Victorian residence for Dr Frederick Harrison Quaife, president of the British Medical Society who brought the first X-ray machine to the colony. 
It later served as a Masonic Hall, nurses home, dance hall and ladies college before falling into disrepair in the early 1990s.
The 32-room hotel was offered by the children's author Susanne Gervay who commissioned agents Lincoln Blackledge and Philip Gartland of Stonebridge Property Group to sell the Queen Street property.
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The Hughenden, Woollahra sold

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The month of June saw more than $6 million in residential sales in Brisbane's Ecco Ripley masterplanned community, a total of 19 transactions for house and land packages and land-only sales in the $500 million Sekisui House development in Ripley Valley.
Ecco Ripley state sales manager Scott Blaney said Ecco Ripley is already a thriving community with over 500 residents now living here or with their homes under construction. 
"Sekisui House expected sales to accelerate further with the first home buyer grant having risen to $20,000 on July 1," he said.
“It makes our already affordable, quality offering here at Ecco Ripley even more accessible and attractive for first-time buyers.
“The town centre will become the commercial and social hub of the region as all of the surrounding communities and developments will feed into it.
“It will offer a major regional shopping centre, a transit centre, health and education facilities, cafes, restaurants, parks and community facilities to cater for this region’s projected population of 120,000 people over the next 20 years.”
Buyers at Ecco Ripley presently can choose from duplex, Fit &amp; Finished homes, house and land packages and land-only options.
Land lots are currently available from $158,000 with house-and-land packages, including new duplexes available from  $325,000.
For more information <a href="https://www.eccoripley.com.au" target="_blank">click here</a> or contact 1800 RIPLEY (741 593) for more.
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$6 million in home sales on Ecco Ripley, the Brisbane valley project by Sekisui

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GUEST OBSERVER
Suburbs such as Fitzroy and East Melbourne have historically strong capital gains. 
Conventional wisdom is that by investing in neighbouring suburbs that have lower median prices, an investor would achieve stronger growth than in the blue chip suburb. 
This is because they would benefit from the spillover effect of buyers being unable to afford the blue chip locations and the subsequent gentrification of the suburb. 
We have analysed the growth of 5 bride and bridesmaid suburb pairs in inner Melbourne. 
A bride suburb is a relatively expensive suburb with good capital gains. It may be out of reach for a large proportion of property investors due to the high entry point. 
A bridesmaid suburb is a neighbouring suburb that boasts a lot of the qualities that make the bride such a good investment, yet with properties selling for much lower prices. 
To compare, the median sale prices and annual growth rates since 2011 for all suburbs shown in Figure 1 were gathered. 
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These suburbs were divided into suitable pairs, based on locality and differences in median prices. The results are shown in Table 1 below.
This data tells us that while entry points for bridesmaid suburbs may be considerably lower, bride suburbs still offer better returns. This is most likely a reflection of these areas being more desirable and having a lower turnover rate, resulting in reduced supply, than their cheaper neighbours. While the average property in Brunswick East can be bought for $150,000 less than comparable properties in Carlton North, median growth over the past five years has been half as good. The best alternative in the list is Kensington, where properties grew in price on average only 0.2 percent less than properties in North Melbourne, while being on the market for about $115,000 less.
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To conclude, it is often not the suburb that determines your returns, but rather selecting the right property for the right price. Great returns are possible in almost all of inner Melbourne, provided that the property selected meets the right value criteria.
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For more information, <a href="https://secretagent.com.au/" target="_blank">click here</a>.
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Melbourne's bride and bridesmaid suburbs: Secret Agent

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The regional mutual lender Newcastle Permanent has dropped home loan interest rates by up to 45 basis points ahead of the today's Reserve Bank monetary policy meeting.
Newcastle Permanent has reduced its two-year year fixed home loan rate by 5 basis points, its three-year fixed home loan rate by 10 basis points and its four-year fixed home loan rate by 45 basis points. 
All rates are now under 4 percent with the new two, three and four-year fixed rates advertised at 3.69 percent, 3.79 percent and 3.94 percent, respectively. 
All new rates are effective Monday 1 August, the Australian Broker website advised.
Peter Arnold, data insights director at RateCity.com.au, said fixed home loan rates continued to tumble, with more than 600 rate cuts in June and July.
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Newcastle Permanent drop rates to below 4 percent fixed

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<img src="https://counter.theconversation.edu.au/content/63097/count.gif" alt="The Conversation" width="1" height="1">
GUEST OBSERVER
There is a strong geographic element to the transitions in the Australian economy that our prime minister so frequently refers to.
Generally, the old economy, based on manufacturing, mining and agriculture, provided employment and opportunity in regional Australia, whereas the new jobs in knowledge-intensive industries are predominantly created in the centre of our largest cities.
The federal government’s recent Smart Cities Plan states: Australia’s growth as a knowledge-based economy, and the prosperity this offers, goes hand in hand with the growth of our cities and the regions surrounding them.
But how does this growth in city-centric industries translate to regional growth? Commuting may provide the answer.
That people travelling from regional areas to work in cities may distribute both financial and population growth was first proposed by Gunnar Myrdal in 1963. This applies particularly when this commuting is associated with the relocation of households from the cities.
More recently, the CLARA proposal bases regional development on high-speed city rail access and attracting commuters to new cities between Sydney and Melbourne.
In Victoria, the flight of city dwellers to picturesque regional cities and towns has received regular media coverage over the past decade. An example is the Northcote North phenomenon: 2006 Census data indicated most of the new residents of Castlemaine had relocated from Melbourne’s inner north.
Rise of the long-distance commuter
Census data also indicate that a significant number of these metropolitan escapees work in Melbourne. In Geelong, 2011 Census data show that more than 11,000 residents of the regional city travelled to work in Melbourne. That was nearly 13 percent of the city’s resident workforce.
This growth in commuting has occurred across Australia. Wollongong Lord Mayor Gordon Bradbery said it’s no longer a steel city but “a lifestyle city” when proposing that Sydney commuters may help offset continued job losses at the local steel plant. He said more than 20,000 of the city’s residents commute to the New South Wales capital each day.
For cities like Wollongong and Geelong, commuting may provide important economic benefits as their traditional industrial strengths decline and even close.
The increase in regional-urban commuting can be seen as not just the result of the increase in well-paid employment towards the centre of our larger cities. Rising housing costs have also played a part.
In a recent interview, a new resident of Torquay said that, for similar prices, it was a choice between the beachside town and a new housing development on the outskirts of Melbourne. Other reasons for regional relocation include friends and family, rural amenity and work arrangements for other household members, but metropolitan housing costs appear to be a significant factor.
What do regions get out of this?
Regional-urban commuters’ access to well-paid employment is an important factor in spreading economic benefits. For example, about 30% of Geelong residents who earned more than $2,000 per week in 2011 worked in Melbourne.
It is also important to note that, in 2011, more than 50 percent of the Victorian regional-urban commuters had changed their place of residence in the preceding five years: people are moving to commute and bringing higher incomes and families with them. There is evidence to suggest that this additional income may lead to higher regional employment in retail and service industries.
However, research indicates that many people do not continue long-distance commuting for more than a few years. This can be attributed to the links between long-distance commuting and poor physical and mental health, family problems and reduced community engagement.
Economists suggest that when deciding to commute long distances, people are not good at evaluating the non-pecuniary costs of commuting and the higher wages associated with commuting do not fully compensate for these costs.
Regional-urban commuters are more likely to work in the growing knowledge-based industries than their regional counterparts, in the census categories information, media and telecommunications; financial and insurance services; and professional, scientific and technical services.
When commuters tire of the travel, should they continue to live regionally and seek local work, this may be more significant for regional growth than the impact of the additional income. Some of these people may start new businesses closer to home, or provide a labour pool for other businesses in the area.
A survey is under way asking regional-urban commuters about their work and considerations of change. Preliminary results indicate that the main reason people start regional-urban commuting is that their work is not available where they live. Many would work locally if they could.
The tendency for commuters to find or create local employment as they tire of the time spent in transit is central to understanding how regions can grow through interactions with larger cities.
Todd Denham is PhD candidate, School of Global, Urban &amp; Social Studies, RMIT University and author for The Conversation. He can be contacted <a href="https://theconversation.com/profiles/todd-denham-282116" target="_blank">here</a>.
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Commuters help regions tap into city-driven growth

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GUEST OBSERVER
The Queensland Government has announced that it will introduce a 3 percent Additional Foreign Acquirer Duty (‘AFAD’) to be paid by foreign persons who purchase certain land in Queensland that is, or will be, solely or primarily used for residential purposes from 1 October 2016.
The move comes as part of the 2016-2017 Budget measures and will apply only if liability to pay transfer duty, landholder duty or corporate trustee duty arises in respect of a transaction on or after 1 October 2016.
The AFAD has been introduced by the Government “to ensure that foreign purchasers of residential land, who benefit from Government services and infrastructure, make a contribution to their delivery” as they are “not necessarily subject to some of the other major sources of State Government revenue”.
The Duties and Other Legislation Amendment Bill 2016 (Qld) (‘the Bill’) was introduced to Parliament to amend the Duties Act 2001 (Qld). The Bill was passed on 17 June 2016 and will now be presented for royal assent after which it will become law.
In other Budget measures, it has been announced the existing family farm transfer duty concession for the familial transfer of farm businesses will be extended from 1 July 2016 to remove the requirement that the transaction be by way of gift (meaning the concession will now also be available where consideration is paid for the transfer).
The Government has also made a commitment to temporarily increase the First Home Owners’ Grant from $15,000 to $20,000 to assist first home buyers to enter the housing market. The grant will be available for contracts signed between 1 July 2016 and 30 June 2017 for new houses, units or townhouses valued at less than $750,000.
Clive Nichol is partner at Barry. Nilsson. Lawyers and can be <a href="https://www.bnlaw.com.au" target="_blank">contacted here.</a>
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Property 101:  The Queensland AFAD property tax

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The announcement by the NSW Government that the Sirius Building in the Rocks will not receive heritage listing opens the way for a sympathetic yet modern replacement.
The Minister for Heritage, Mark Speakman, has not supported the nomination of the Sirius Building in the Rocks as a state heritage item.
The Urban Taskforce agrees with the Minister that the building is of dubious heritage value and that a new building could yield significant funds for social housing.
We are however concerned by statements by the Minister for Finance, Services and Property, Dominic Perrottet that a replacement building should be made of brick and stone. The current Sirius Building was very innovatory in its day and while it is in the brutalist architectural style that many people are not comfortable with, it did attempt to be of its time rather than a pastiche of the past. 
It is important that a replacement building is about the spirit of today while understanding its context.
A good example of the blending of new and old is demonstrated by the new building over the ‘Money Box’ building in Martin Place. The modern interpretation of the proportions and scale of the existing façade have been carried into a modern glass office building set back from the old façade. The 5 Martin Place project last week won the Urban Taskforce Urban Renewal Development Award at the Development Excellence Awards 2016.” 
While The Rocks is a very special precinct it is important that new architecture and structures represent the aspirations of today while respecting the sensitive context. 
The site of the Sirius Building is adjacent to the Sydney Harbour Bridge approach and this heritage structure must also be respected.
Chris Johnson is chief executive officer of property development industry group Urban Taskforce and can be contacted <a href="https://www.urbantaskforce.com.au/index.php?option=com_content&amp;view=article&amp;id=97&amp;Itemid=126#.Vdaart55dFI" target="_blank">here</a>. 
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Sirius Building replacement must represent today not copy the past

Apartment buildings are increasingly being designed around how people actually live day to day, not just how they want a building to look.

For buyers, that shift is showing up in practical inclusions that respond to changing habits. Work-from-home spaces, EV charging, wellness amenities, secure bike storage and parcel management are becoming part of the broader apartment conversation, reflecting a move toward buildings that reduce friction in everyday life.

Online shopping has become one of the clearest examples of that change.

Australians spent a record $82.6 billion online in 2025, with nearly one in four retail dollars now spent online. That has made parcel delivery a regular part of apartment living, rather than an occasional inconvenience.

For apartment residents, however, the delivery process can be less straightforward than it is for detached homes. Parcels may be left in lobbies, redirected to Post Offices, missed entirely, or placed under the responsibility of building managers and concierge teams.

That is why secure parcel infrastructure is increasingly being considered alongside more familiar apartment amenities.

<iframe allow="accelerometer; autoplay; clipboard-write; encrypted-media; gyroscope; picture-in-picture; web-share" allowfullscreen="" frameborder="0" height="315" referrerpolicy="strict-origin-when-cross-origin" src="https://www.youtube.com/embed/-VjjLwoViX0?si=A3k7ws9NX35Uac7_" title="YouTube video player" width="560"></iframe>

Australia Post Parcel Lockers offer one way to address the issue. When a parcel arrives, residents receive a notification through the AusPost app or SMS, then collect it using a QR code or one-time PIN. The parcel is kept secure, accessible and removed from common areas.

The broader Parcel Locker network now includes more than 1,500 locations across Australia, positioned at Post Offices, shopping centres, supermarkets, transport hubs and other accessible locations.

For new apartment projects, the relevance is clear. A building’s amenity offering is no longer only about lifestyle spaces, but also about convenience, security and functionality.

As buyer expectations evolve, secure parcel delivery is becoming part of the same design conversation as flexible working, sustainable transport and resident wellbeing.

It is one less thing for residents to worry about, and another example of apartment design adapting to the way Australians now live.

Joel Robinson

Apartment design is adapting to the way Australians shop

While school holidays and trips to Europe tend to define the winter property market, there's been no cold snap at <a href="https://www.apartments.com.au/new-apartments/the-walden-north-sydney-177-walker-street-north-sydney-nsw-2060">The Walden</a> in North Sydney.

Developer-builder&nbsp;<a href="https://www.apartments.com.au/developers/aland">ALAND</a> sold more than $35 million worth of apartments throughout June, including a $6.8 million apartment that now ranks among the highest apartment sales ever recorded in North Sydney.

SRM Residential agent Ben Stewart said buyer demand throughout June reflected a mix of improving market confidence and longer-term thinking from owner-occupiers.

"We're seeing strong demand from owner-occupiers who are taking a longer-term view," Stewart said.

"Many recognise the opportunity to secure an apartment in an iconic building and premium location while values remain attractive. They may initially lease the property, but the intention is to eventually move in themselves, rather than purchasing purely as an investment."

[smartcode_project:default project_id=134323 project_image_fid=367129]

Located at 177 Walker Street, The Walden will deliver 161 one, two, three and four-bedroom residences across a 30-storey tower designed by Rothelowman. Every apartment occupies a corner position, maximising natural light, cross ventilation and views across Sydney Harbour, the Opera House, Sydney Heads and the northern districts.

Rather than a traditional balcony, the residences feature winter gardens that seamlessly extend the open plan living areas, creating versatile spaces for relaxing or entertaining throughout the year. Floor-to-ceiling glazing draws in natural light while showcasing sweeping views from the building's elevated Walker Street position.

Every apartment features high-end Calacatta marble, bespoke joinery, and fully integrated appliances.

The larger residences have been planned with distinct entertaining and private zones, with many master suites positioned on corners to capture natural light and harbour views. Walk-in dressing rooms, freestanding baths and refined stone finishes reinforce the house-like feel that has resonated with downsizers and owner-occupiers.

[smartcode_project:default project_id=134323 project_image_fid=6393]

Rothelowman Principal Ben Pomroy said the project was designed to make the most of its unique position overlooking the harbour.

"The Walden is a celebration of all things beautiful, curated for those who expect nothing less than exceptional," Pomroy says.

"Meticulously designed entertaining spaces and light-filled living areas that capitalise on capturing the natural beauty of Sydney's iconic harbour."

Residents will also have exclusive access to The Pavilion, a dedicated amenity building featuring a rooftop pool, wellness studio, gymnasium, sauna, concierge service, residents' lounge, private dining spaces and work-from-home facilities.

[smartcode_project:default project_id=134323 project_image_fid=6402]

The project marks ALAND's first major luxury apartment development in Sydney's inner-city market after more than two decades delivering residential communities across Greater Sydney.

Founder and CEO Andrew Hrsto previously said the rarity of the Walker Street site made it an opportunity the company could not overlook.

"This is a rare opportunity to bring a truly exceptional project to life in one of Sydney's most iconic locations, and to showcase our craftsmanship and design expertise at a world-class level," Hrsto said.

[smartcode_project:default project_id=134323 project_image_fid=6383]

The Walden has been introduced to the market at a time when demand for living in North Sydney is at an all-time high. Billions of dollars have been invested in infrastructure, including the recently opened Victoria Cross Metro station, located just 300 metres from The Walden, providing residents with direct access to the Sydney CBD in just minutes.

Private investment has also transformed the area through the arrival of new retail and dining destinations, elevating the lifestyle offering in what was once considered primarily a commercial precinct rather than an aspirational residential address.

The Walden is currently under construction and is scheduled for completion in 2028.

[smartcode_project_cta:default project_id=134323]

ALAND records $35 million in sales in North Sydney as The Walden bucks quiet winter selling season

The long-awaited redevelopment of the former Eastlakes Shopping Centre site has reached a major milestone, with Conquest's plans for a new mixed-use precinct officially placed on public exhibition.

The State Significant Development Application would transform the 1.7-hectare site at <a href="https://www.apartments.com.au/new-apartments/19a-evans-avenue-eastlakes-nsw-2018">19A Evans Avenue</a> into one of Sydney's largest urban renewal projects, delivering 736 apartments above a new shopping centre anchored by Woolworths, alongside specialty retail, dining, commercial space and new public open spaces.

The public exhibition marks the next chapter for the project after <a href="https://www.apartments.com.au/developers/conquest">Conquest</a> acquired the stalled Stage Two development from Crown Group, who completed the first stage across the road prior to their voluntary liquidation.

<img alt="First look: Conquest unveils plans for 736-home Eastlakes Shopping Centre redevelopment" data-entity-type="file" data-entity-uuid="5fca22c5-d1ed-4e2c-8801-03f7df1eafc8" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/eastland%20podium.png?VersionId=uomwr41nF8CmLUZRDcu3mHQechlbxucS" />

&nbsp;

Designed by DKO Architecture, the proposal comprises four residential buildings ranging from 14 to 18 storeys above a two-level retail podium. The development would deliver 736 apartments, including 74 affordable homes, 215 Build-to-Rent apartments and 521 market residences. Provision has also been made for dual-key apartments, which could increase the total number of dwellings to 877.

At ground level, the shopping centre has been designed as the suburb's new meeting place, anchored by a full-line Woolworths and complemented by a curated mix of fresh food retailers, cafés, restaurants, health services and everyday convenience shopping. Generous pedestrian links and landscaped public spaces will connect the retail precinct through to Jack Mundey Reserve, creating a more walkable and connected neighbourhood.

Conquest CEO Michael Akkawi said the redevelopment was about far more than replacing a shopping centre.

"Eastlakes has been overlooked for too long, and this is the community’s moment. We are building a shopping centre and homes, a genuine heart for the suburb, and we genuinely want locals to help shape it."

"We enrich communities through the creation of homes, places, and experiences designed for life, built to last, and owner for generations. That starts with listening, so we warmly encourage everyone with a connection to Eastlakes to view the plans and share their thoughts."

<img alt="First look: Conquest unveils plans for 736-home Eastlakes Shopping Centre redevelopment" data-entity-type="file" data-entity-uuid="22f6fb20-54fb-4bd7-8a92-48fafdd00608" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/eastland.png?VersionId=cugp7s9hrMHGJJdYzkeAkrFoQgnF4GXf" />

DKO said the design had been shaped by the site's landscape setting and surrounding open space.

"Our vision for the site embraces its unique Bidjigal identity by blending the residential living with generous landscaping and a material palette inspired by the Bidjigal locality, and celebrating the panoramic views to Botany Bay and the wetlands reserves."

"Taking cues from Country, we seek to harmonise built form with the landscape and lightly touch the earth. By reconnecting, retaining and regenerating existing ecology, and weaving in natural elements, we can deepen our connection to Country."

The landscape strategy extends across the podium and rooftops, incorporating communal gardens, children's play areas, lawns, community gardens, family gathering spaces and extensive tree planting. New landscaped links will also strengthen the connection between the precinct and Jack Mundey Reserve, while publicly accessible open spaces have been integrated throughout the development.

The proposal builds on Conquest's broader placemaking strategy for the site. Through an ongoing partnership, local artist Joe Rashbrook has been appointed Urban Art Curator, working alongside young residents to transform the project's site hoardings into a public art gallery that allows the community to engage with the redevelopment before construction is complete.

Conquest has rapidly expanded its development pipeline since acquiring the Eastlakes site, with more than $6 billion worth of mixed-use projects now in planning across Sydney, including Stanmore, Castlecrag and Waterloo.

Conquest CEO Michael Akkawi said the redevelopment was about far more than replacing a shopping centre.

First look: ‘Far more than replacing a shopping centre’ as Conquest unveils 736-home Eastlakes redevelopment

Abadeen has lodged a State Significant Development Application (SSDA) for one of Mosman's largest apartment developments in recent years, seeking approval to transform the former Honeysuckle Garden and Midas site on Military Road into a 100-apartment mixed-use development.

The SSDA, lodged with investment partner Phoenix Property Investors, proposes around $230 million worth of new housing on the prominent <a href="https://www.apartments.com.au/new-apartments/494-516-military-road-mosman-nsw-2088">494-516 Military Road</a> site.

The proposal comes as Mosman Council continues to progress its recently endorsed Masterplan, which identifies the precinct for increased housing density while maintaining the suburb's established character.

Designed by DKO Architecture, the development would comprise 100 apartments above ground-floor retail, with a rooftop wellness precinct including a gym, sauna, entertaining areas and landscaped communal spaces.

Rather than pushing to the full 12-storey height identified in Council's Masterplan, the proposal ranges between five and nine storeys, stepping down towards Hale Road. A tenth level would accommodate resident amenities rather than additional apartments.

The project has been designed to appeal to a broad range of buyers, from first home buyers and young professionals through to families and local downsizers looking to remain on the Lower North Shore.

<img alt="Mosman" data-entity-type="file" data-entity-uuid="5dada03f-5b4c-43ba-ba62-2868add31440" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-07-27%20at%209.57.55%E2%80%AFAM.png?VersionId=7LBy0B.Jo8_iWAFJsClcV7Q3UnXrv49r" />

Abadeen Executive Chairman Justin Brown said the apartments had been designed as genuine long-term homes rather than investor-focused stock.

"The apartments have been designed as genuine long-term homes, with efficient floorplans that maximise usable living areas, generous storage, natural light and strong connections between indoor and outdoor spaces," Brown says."

"We've focused on creating homes for a broad range of buyers, from first home buyers and growing families through to downsizers who want to remain in Mosman."

The rooftop wellness offering forms a key part of the proposal, with residents set to have access to a gym, sauna, outdoor entertaining spaces, communal dining areas, landscaped gardens and a multi-use recreation court overlooking Sydney Harbour.

<img alt="Mosman" data-entity-type="file" data-entity-uuid="d37c2d6b-583a-4a0f-b7a9-9f46b893d2f4" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-07-27%20at%209.58.06%E2%80%AFAM.png?VersionId=FPoa5FCm2RtzjhAh2w5FTWJbV6GHfY8D" />

DKO drew heavily on the site's natural and cultural history, undertaking a Connecting with Country process with local Aboriginal Elders to inform the architectural and landscape design.

Senior Associate Matthew Ritchard said the design sought to create a building that responded to both the site's landscape and its cultural significance.

"The architectural language of the project is a deep expression of Connecting with Country, where the materiality and colour palette serve as a bridge between the site's geological history and its future as a residential sanctuary."

The proposal also retains the site's established blue gum tree as the centrepiece of the communal landscaped gardens, while introducing activated retail fronting Military Road to strengthen the connection between Mosman and Cremorne villages.

If approved, the project would deliver 100 new homes within walking distance of shops, public transport, schools and local amenities, adding to the limited pipeline of new apartments on the Lower North Shore.

<h2>Project Snapshot</h2>

Project: Honeysuckle Garden Redevelopment

Address: 494-516 Military Road, Mosman

Developer: Abadeen and Phoenix Property Investors

Architect: DKO Architecture

Lead Architect: Matthew Ritchard

Value: $230 million

Residences: 100 apartments

Key features:

<ul>
	<li>
	Ground-floor retail
	</li>
	<li>
	Rooftop wellness precinct
	</li>
	<li>
	Gym and sauna
	</li>
	<li>
	Outdoor entertaining and BBQ areas
	</li>
	<li>
	Landscaped communal gardens
	</li>
	<li>
	Multi-use recreation court
	</li>
	<li>
	Retained mature blue gum tree
	</li>
	<li>
	Connecting with Country design process
	</li>
	<li>
	Harbour, CBD and Balmoral views from upper-level apartments
	</li>
</ul>

Abadeen Executive Chairman Justin Brown said the apartments had been designed as genuine long-term homes rather than investor-focused stock

First look: Abadeen plans 100 apartments on former Honeysuckle Garden site in Mosman

The wave of apartment proposals sweeping through Mosman shows no signs of slowing, with another major residential development lodged through the NSW Government's State Significant Development pathway.

Developer First Quadrant Properties, which recently completed Willoughby Grounds and has several projects in planning across the North Shore, has unveiled plans for <a href="https://www.apartments.com.au/new-apartments/cove-on-ourimbah-40-56-ourimbah-road-mosman-nsw-2088">Cove on Ourimbah</a>, a 63-apartment development on Ourimbah Road, adding to the growing pipeline of projects reshaping one of Sydney's most tightly held harbour suburbs.

The proposal would consolidate nine properties at 40-56 Ourimbah Road into a part eight, part nine-storey apartment building, continuing the momentum created by the NSW Government's accelerated planning pathways that have seen several significant developments emerge across Mosman over the past 12 months.

Designed by Doroch Architects, the project would deliver 63 apartments, resident wellness facilities including a gym, pool and sauna, landscaped communal spaces and basement parking, while using recessed upper levels, generous setbacks and extensive planting to reduce the perceived scale of the building.

<img alt="First look: First Quadrant Properties eyes nine-storey Mosman apartment project under State Significant pathway" data-entity-type="file" data-entity-uuid="32ee68e4-141e-4a10-8f83-48e961a5e71e" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Ourimbah%20Road%2C%20Mosman%20a.png?VersionId=CUeILFc6APlwXPc.iplElbxHvREKwjig" />

Doroch Architects said the building had been designed to reinforce Mosman's established character.

"The building's aesthetic is grounded in the existing residential character of Ourimbah Road and the broader Mosman context," the architect noted in the planning documents submitted to the NSW Government.

The design adopts a contemporary material palette of natural stone, textured concrete and brown concave metal cladding, complemented by integrated planters and deep balconies. The podium incorporates softened curved concrete forms, while increased setbacks have been provided adjacent to the heritage-listed property at 60 Ourimbah Road to create a more sympathetic transition.

The site sits around 330 metres from Mosman Town Centre, placing it within the NSW Government's Low and Mid-Rise Housing policy area, where increased residential density is being encouraged close to shops, transport and services.

The proposal follows a string of major apartment projects lodged or declared State Significant in Mosman in recent months, including Abadeen's 100-apartment Honeysuckle Garden redevelopment on Military Road and several other developments across Awaba Street, Redan Street and Muston Street from the likes of Time &amp; Place, HELM and Prosker Property.

&nbsp;

Read more:&nbsp;<a href="https://www.apartments.com.au/news/nsw/time-place-to-take-on-mosman-apartment-market">Time &amp; Place to take on Mosman apartment market</a>

Read more:&nbsp;<a href="https://www.apartments.com.au/news/qld/first-look-abadeen-plans-100-apartments-on-former-honeysuckle-garden-site-in-mosman">First look: Abadeen plans 100 apartments on former Honeysuckle Garden site in Mosman</a>

&nbsp;

Jonathan Chancellor

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