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The arguments Terry Ryder presents need to be anchored in facts, he urged last week, and we couldn’t agree more. The subject of Mr Ryder’s piece for Property Observer was about recent GetUp email on negative gearing and unfortunately the facts of the matter were the first casualty. 
Getting into the policy nuances of an issue as complex as housing affordability is challenging in a blog. What we have to do is cut through the haze of complexity, often used by politicians and lobbyists to diffuse popular calls for reform, and get to the heart of the issue in clear language, anchored in the facts. With the luxury of a few more words, let’s go through Mr Ryder’s statements compared to GetUp’s, and see which way the facts fall.
1. Mr Ryder said we were wrong to claim “millions of first home buyers” were priced out of the market, because: “Australia has 8.6 million households, of which 6 million are homeowners and much of the rest (according to the research) are renters by choice.”
Mr Ryder was looking at household data, not individuals - but if you look at individuals, the last census in 2011 <a href="https://www.abs.gov.au/websitedbs/censushome.nsf/home/factsheetshtdc?opendocument&amp;navpos=450" target="_blank">found about 2.3 million people in Australia rent</a> (and that figure doesn’t include the people who want to buy, but are living at home with their parents rather than renting). 
Mr Ryder does not provide any reference to the “research” allegedly showing most of these are “renters by choice.” However, a November 2014 report by the <a href="https://www.ahuri.edu.au/publications/download/ahuri_51002_fr2" target="_blank">The Australian Housing and Urban Research Institute</a>, under a section titled “deferring, not rejecting purchase”, shows renting for longer to save for a later purchase is one of several approaches would-be homebuyers are using to deal with higher prices.
It’s difficult to know for sure how many renters would rather be home owners, so we probably should have qualified it by saying “potentially” millions in our email, but when you look at the numbers and the research there are plenty of clues to suggest millions of renters would rather own their own homes. 
2. He claims, “25% of all current residential sales are to first-time buyers.” 
That’s wrong. The <a href="https://www.abs.gov.au/ausstats/abs@.nsf/Latestproducts/5609.0Main%20Features3Apr%202015?opendocument&amp;tabname=Summary&amp;prodno=5609.0&amp;issue=Apr%202015&amp;num=&amp;view=" target="_blank">Australian Bureau of Statistics Housing Finance figures for April 2015</a> shows first home buyers made up just 15% of residential sales. The last time first home buyers made up 25% of the market was nearly five years ago, in October 2009. In fact, this precipitous drop in less than five years supports the proposition that would-be first home buyers are being pushed out of the market.
3. He questions the link between negative gearing and housing affordability, saying, “An 18-month federal parliamentary inquiry … couldn’t provide any definitive evidence that it did.”
Research from the Australian Bureau of Statistics shows housing finance for investment properties rose from 16% to over 40% over the past 25 years, with the proportion of people renting increasing over that period, too. In particular, rental loss reported through negative gearing exploded after the capital gains tax discount was introduced in 1999. All this points to more investors in the market bidding up the price.
4. Though it’s not a key point in our email, Mr Ryder takes issue with the implication that investors are buying a second or third property, referencing ATO data showing “three-quarters of investors own only one property.” 
But that ATO data refers to investment properties. Mr Ryder forgets most people who buy an investment property are also owner occupiers. So when they buy an investment property, it’s generally their second property.
5. Mr Ryder says “the [GetUp] claim about ‘a skyrocketing housing market’ is patently absurd, given that only one of the eight capital cities has a boom market.” 
If that’s true, we’re not sure what all the fuss is about in the media, every single day. But let’s look at the figures and listen to the experts.  
A fascinating article on 15 April by ABC Business journalist Michael Janda quotes:
<ul>
<li>RMIT housing expert Emeritus Professor Mike Berry: "Housing prices more or less doubling over the last 10, 12 years in the capital cities.”</li>
<li>ABS statistics: Australian capital city home prices rose 68% over the past 10 years, and 125% in the decade before.</li>
<li>
BIS figures: over the last 40 years Australia has seen stronger house price growth than anywhere except Norway.
</li>
<li>International property analysts at Demographia: Australia is one of the world's least affordable places to live, with their measure of median home prices to median incomes showing all five of Australia's biggest cities are "severely unaffordable," with Sydney and Melbourne in the world's top 10, along with Tweed Heads.</li>
</ul>
According to the International Monetary Fund, Australia has the third highest house prices, relative to the level of people's incomes, among 24 advanced economies.
Even if you limit the discussion to the Sydney and Melbourne property markets, that’s where more than nine million Australians live. Other capital cities, like Perth and Brisbane, have also seen<a href="https://www.abs.gov.au/AUSSTATS/abs@.nsf/DetailsPage/6416.0Dec%202014?OpenDocument#Time" target="_blank"> dramatic price rises</a> at times within the past 12 years (more than doubling and a 75% increase, respectively) that have made it very difficult for first home buyers. 
6. Mr Ryder disputes this statement: “A massive $4.2B in negative gearing tax breaks per year go to the top 10% of income earners.”
The $4.2 billion in tax breaks for the top 10% of income earners is the combined impact of the negative gearing and Capital Gains Tax (CGT) discount - we should have said this in the email (and have since done so on the web page). That figure comes from the GetUp commissioned Australia Institute report, ‘It’s the revenue stupid,’ released in May this year, which was cited in the email.
The wider issue is how negative gearing interacts with the capital gains tax discount to drive up prices. It is the two policies working together that makes property investment so profitable and means that more and more of it is happening. For this very reason, scrapping the capital gains tax discount is also part of the GetUp/Australia Institute policy recommendations. It is simply too difficult to tell that entire story in one blog (and many in the media have had the same difficulty), though we have information about it online.
7. Mr Ryder then cites ATO data to argue that most Australians who own an investment property earn less than $100,000. 
On this point it is essential to understand that one of the core purposes of using negative gearing is to reduce the investor’s taxable income (i.e. below $100,000, or $80,000, the marginal tax thresholds).
As ABC Business Journalist Michael Janda explains, “the “ATO's measure of ‘total income’ includes net, not gross, rent - that is, rental earnings or losses after deductions such as interest payments have already been removed. The very reason that many housing investors fall below the $80,000 threshold is because they have used negative gearing to slash their tax bill.”
For this reason, both Mr Janda and Greg Mckenna (in an article for Business Insider), point out that the HILDA survey data, used by the Reserve Bank of Australia (RBA), is more accurate. According to the RBA (as cited in Mr McKenna’s piece), “investor households with incomes in the top 20 per cent of the income distribution owe the bulk of the investor housing debt and over a quarter of total housing debt outstanding … The bottom 20% [of the income distribution] account for just 2% of investor housing debt.”
For further reinforcement, Professor Judy Yates, one of the country’s most respected housing experts, who was seconded by the Australian government to work on their National Housing Strategy, said: “the biggest benefits [of negative gearing] go to high-income households, lowest benefits go to lower-income households."
8. Mr Ryder next takes issues with our claim there’s a “consensus among housing experts and economists that negative gearing is one policy area driving unaffordable housing.”
In arguing this, he says only a minority are concerned about negative gearing, and describes highly respected economist, Saul Eslake, as being part of the “lunatic fringe”. (Who knew the chief economist at Merrill Lynch could possibly be considered fringe?) Nevertheless, here are a few other notable ‘lunatics’ who have shown concern about negative gearing:
<ul>
<li>Former Governor of the Reserve Bank Bernie Fraser </li>
<li>Former Commonwealth Bank CEO David Murray </li>
<li>ANZ boss Mike Smith</li>
<li>Australian Council of Social Service </li>
<li>John Daley, CEO of the Grattan Institute </li>
<li>The Australia Institute </li>
</ul>
We’d run out of pixels if we completed the list.
9. Mr Ryder claims “the GetUp campaign is based on the notion that eliminating negative gearing will somehow make housing cheaper.” 
Except, that’s not what we said. The GetUp/Australia Institute policy recommendation was to limit future negative gearing to new properties, which currently represent only six per cent of the value of negatively geared purchases. By driving investment dollars into new properties, the idea is to stimulate the creation of additional housing supply, which can help reduce prices and rents, as well as create construction jobs. This is also an approach that’s been put forward by the McKell Institute and is reportedly being considered by the Labor party.
But, to take Mr Ryder’s point on more directly, the logic is pretty straight forward. Reducing the tax incentives for investors buying second hand property will reduce demand for that property and therefore put downward pressure on prices. 
10. Finally, Mr Ryder takes issue with our reference to the property bubble. He says, “What we have seen throughout history is that boom markets eventually stop growing and prices level out. But we have never seen a crash, not in the history of this nation.”
In fact, RBA data shows several <a href="https://www.rba.gov.au/publications/rdp/1999/pdf/rdp1999-06.pdf" target="_blank">precipitous price drops in the history of the Australian property market</a>, including in 1891 and the Great Depression. And if we go just a bit outside the direct experience of our nation, the entire Global Financial Crisis was triggered by a property bubble and crash in just one country - the United States. As a reminder, that included the near collapse of some of the largest financial institutions in the world (only prevented through massive government intervention) and recessions in most industrialised nations of a scope and duration not seen since the Great Depression (prevented in Australia only by a $52.4 billion stimulus package). So property bubbles and crashes do happen and they can have pretty dire consequences.
Tens of thousands of Australians have signed the petition calling for reform to negative gearing - we’re disappointed to hear Mr Ryder doesn’t support it, but GetUp’s member driven, which means if members don’t support a campaign they are free not to. We welcome constructive criticism, but as Mr Ryder said, it needs to be grounded in the facts. 
Picture this: 43% of Australia’s wealth is held in real property now, compared to 30% of America’s wealth in 2001, just prior to the Global Financial Crisis. Australia also has just four banks holding 75% of all Australian mortgages. So, if you want to talk about systemic economic risks, then the property bubble would have to be at the top of your list. With that in mind, it makes sense why Saul Eslake, the RBA Governor and the Treasury Secretary, among others, have been so concerned.
In the context of so much risk, the burden is on Mr Ryder to explain what magical mechanism would prevent the Australian housing bubble from a price crash.
Mark Connelly is GetUp's Campaign Director. GetUp can be reached <a href="https://www.getup.org.au" target="_blank">here</a>.
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Property market facts are stubborn things: GetUp's Mark Connelly

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The three level Stamford Residences penthouse at The Rocks has been finally sold for $16.2 million to a buyer from China, Zhang Zetian.
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The 2012 Kann Finch-designed block was designed on Gloucester Street by architect Ron Keir, of the Kann Finch Group. The site was first mooted for residential development in 2008.
The Thomas Hamel-designed four-bedroom, five-bathroom penthouse, with 567 square metres of indoor and outdoor space that faces north and west, has frontages to Gloucester and Cumberland streets.
It was listed at $16 million plus.  
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Stamford Residences penthouses sells at $16.2 million

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Conditions in the housing market in Sydney and parts of Melbourne had remained "very strong," though trends were more mixed in other cities, according to the Reserve Bank of Australia June meeting minutes.
The ratcheting up of the market strength comes after prior commentary that had these markets as "strong." 
It noted dwelling investment looked to have grown strongly in the March quarter and forward-looking indicators of construction activity pointed to a further pick-up.
Members noted that conditions in the established housing market had continued to vary across the country.
"Although housing price inflation had remained high in Sydney and, to a lesser extent, in Melbourne over recent months, there had been some divergence in price developments for different segments of these markets; price inflation of detached houses had increased, whereas price inflation for units had eased in both cities."
This trend was picked up in the <a href="/expert-insights/buying/apartment-price-decline-mays-most-marked-trend-corelogic-rp-data">June CoreLogic RP Data statistics</a>. 
"Noting that housing price growth in other cities and regional areas had declined over recent months, members discussed the strength and composition of underlying supply and demand conditions in different parts of the housing market."
They also observed that there was a relatively low stock of dwellings for sale in Sydney and Melbourne and that dwellings took only a short time to sell.
Members noted that housing credit growth overall had been broadly steady at around 7% (on a six-month-ended annualised basis), though the latest data on loan approvals had showed a pick-up.
Over the past six months or so, growth in investor credit had eased back to be running at an annualised pace of a bit above 10%. However, over more recent months there had been solid increases in housing loan approvals to both owner-occupiers and investors, particularly in New South Wales, following earlier declines.
 
  
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Units off the boil, but house inflation in Sydney and parts of Melbourne now "very strong" RBA June minutes 

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Barnaby Joyce, the Federal Agriculture Minister, has backed calls for a veto on foreign governments being allowed to buy Australian farmland.
Mr Joyce said he had no issue with private foreign companies buying farms, agribusinesses or food processing assets because they “come and go” depending on the financial returns they earn.
“I just don’t want to see agricultural land owned by foreign governments,” Mr Joyce was reported as saying to The Australian.
“The land we stand on is intrinsic to our values and identity as a nation. I wouldn’t want to see Australian farmland become under the control of the government of another nation.”
The comments come as the Kidman cattle empire is for sale with $350 million hopes.
Prime Minister Tony Abbott said in Canberra this morning that the government had "always taken a special interest in foreign governments buying anything in Australia, including land.
"Any foreign government investment in Australia is subject from the first dollar to Foreign Investment Review Board scrutiny and that’s the way it should be.
“(Mr Joyce) was simply making the point that when it comes to foreign governments as opposed to private businesses from overseas different rules apply. 
"They always have and, as far as I’m concerned, they always will.”
 
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Barnaby Joyce doesn't want S Kidman farms to fall into sovereign wealth government hands

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<h4>GUEST OBSERVER</h4>
As the Senate Economic References Committee (SERC) begins its public hearings into insolvency in the Australian construction industry, the vexed issue of phoenixing deserves to be highlighted.
It is generally believed that illegal phoenix activity - where a company is liquidated and rises again in a way that avoids paying creditors - is widespread in the Australian construction and building industry.
In fact, it is difficult to substantiate whether this is the case due to a paucity of reliable data. But anecdotal reports suggest such concerning behaviours as deliberately avoiding tax, the use of false statutory declarations and refusing to pay wages and entitlements, are commonplace.
In our submission to the inquiry, fellow researchers Professors Ann O’Connell and Ian Ramsay of Melbourne Law School, Associate Professor Michelle Welsh of Monash Business School and I argue that better detection and greater enforcement via existing powers might be the most effective way of dealing with this sort of illegal activity.
Defining illegal phoenix behaviour
It’s important to note that not all phoenix activity is illegal. Our ongoing research identifies <a href="https://law.unimelb.edu.au/cclsr/centre-activities/research/major-research-projects/regulating-fraudulent-phoenix-activity" target="_blank">five categories of phoenix activity</a> - only three of which are illegal.
For instance, it is reasonable to expect that a failed business person will try to start their next business in the same industry and will want to buy assets from the failed company. In the construction industry, it is common for each large building project to be executed by a separate company that forms contracts with its subcontractors.
Each project succeeds or fails on its own merits without affecting other projects or the parent company’s solvency. Therefore high rates of company formation and liquidation do not automatically equate to high levels of illegal behaviour or improper exploitation of the corporate form.
In Australia, one of the difficulties in assessing the incidence, cost and enforcement of phoenix activity is the general paucity of reliable data. The mere fact of company creation and liquidation is not evidence of illegality.
Australian Bureau of Statistics data about <a href="https://www.propertyobserver.com.au/https://www.abs.gov.au/ausstats/abs@.nsf/mf/8165.0" target="_blank">company registrations and insolvencies</a> reveals that the total number of insolvencies in the construction industry for the period of 2013-2014 was 1,802.
Not all of these insolvencies would have involved illegal phoenix activity. While this is a large number, it represents only 0.54% of the total number of companies that were operating in that sector at the start of the 2013 financial year. There are eight other sectors where the number of insolvencies as a percentage of registered companies was greater than it was in the construction sector.
This is not to deny the prevalence of illegal phoenix activity in the construction industry; rather it should prompt better data collection from relevant regulators.
The bad forcing out the good
People associated with the industry warn that when the incidence of illegal phoenix activity reaches a critical point, other companies in the industry will face a difficult choice between succumbing to the same illegal behaviour or else risking being priced out of business.
We have heard of “net of tax tendering”, where it is so well understood that taxes will not be paid that quotes are calculated on that basis. In these instances it is likely that the head contractor or client knows that the tender does not allow for tax to be paid; otherwise, the contract would be unprofitable. Within corporate groups, the apparent use of labour hire companies, created purely to accrue PAYG(W) and payroll tax debts before being liquidated, is also concerning.
There are also some characteristics of the construction industry that make debt recovery particularly difficult. The sub-contracting system is a key feature of major building works. The head contractor undertakes to perform the contract and is paid for it by the client. Work is then contracted out through layers of sub-contractors.
The various layers of sub-contractors must complete statutory declarations that they have paid their employees and other debts, in order to receive payment from the contractor above them. We have heard that the use of false statutory declarations is common in the industry, and ASIC is currently investigating this.
Recovery of unpaid wages and other entitlements is also fraught. Employees may not be sure of the company name of their employer which may change from payslip to payslip, remaining unaware that their employment is now with a new employer who has no liability for wages or other entitlements accrued previously.
The industry employs high numbers of temporary migrant workers whose knowledge of their entitlements may be minimal. Backpackers on 457 visas can lose their employment and their employer’s sponsorship if they question the payment of their entitlements, and are then forced to return home. Recovery of redundancy entitlements is especially problematic in the construction industry.
Law reform
It might be assumed from this discussion that law reform is required, and that at the very least, a specific phoenix offence should be introduced. We urge caution. Directors’ duties already capture the essence of illegal phoenix activity.
There are also other mechanisms – director disqualifications and director penalty notices amongst them – which are available to regulators even in the absence of proof of improper intent. Better detection and greater enforcement via existing powers should be considered first.
Helen Anderson is Associate Professor, Melbourne Law School, at the University of Melbourne. She can be contacted <a href="https://www.law.unimelb.edu.au/melbourne-law-school/community/our-staff/staff-profile/username/Helen%20Anderson" target="_blank">here</a>.
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Is illegal phoenix activity rife among construction companies?

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GUEST OBSERVER
Property investment is a thicket of anxiety-inducing moments, according to our recent research. There is hardly a stage in the process that doesn’t make some investors break out in a nervous sweat.
<img src="/images/2015/06/16/ev.owa.jpeg" alt="">
 
 
The most worrisome aspect of investment is choosing the right property. Which shouldn’t be a surprise given the sheer choice and variety of property types investors have to choose from. Moreover, even a novice investor knows that investment performance varies between properties and that the cost of getting it wrong is high.
The next most troublesome part of campaign is around finding a property manager and good tenants.  It’s not a misplaced fear and I’m glad to see prospective investors are thinking about it. With the excitement attached to the buying process, it is vital that attention is paid to this less glamourous aspect if money isn’t to be lost on high tenant turnover and vacancy.
The bronze medal for principal fear is shared between two elements: securing lending and negotiations. I suspect the fear of securing lending relates as much to the choice and complexity of lending options as it does to receiving a yes or no from the bank manager – although with increased talk of tightening lending standards I may be wrong.
The negotiation is the main fear for 17% of investors. I’m pretty confident that number skyrockets when it comes to making an offer!
Bringing up the fear field is settlement at 4% – a low number which may indicate a degree of complacency about a necessary part of the process that can cause huge headaches if it goes wrong. By the way, no one seems to worry about managing a portfolio. Perhaps that’s seen as looking too far into the future.
I’ve no doubt that many a hopeful investor has walked away from property over the years because these multitude of fears have been too much. Of course, like many fears they can be overcome. The key is to <a name="_GoBack" href=""></a>break the problem down into manageable parts and to do the proper research and preparation for each element.
Paul Nugent is a director of Wakelin Property Advisory. At 12.30pm, Wednesday 17 June he’ll be presenting a webinar, The six steps to safe residential property investment.<a href="https://wakelin.com.au/webinar" target="_blank"> Click here</a><a href="https://wakelin.com.au/webinar" target="_blank"> to register</a>.
 
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Different anxieties holding back property investors: Paul Nugent

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The grand dame of Australian cooking, Beverley Sutherland Smith secured $3.3 million at weekend auction for her Melbourne home which comes with kitchen where she hosted her iconic cooking school for the past five decades. 
The Mt Waverley offering was a 2,200 square metre garden estate with 1960s house with pool and court.
It was in the 1967 that foodies began attending one of Australia's first cooking schools at <a href="https://www.realestateview.com.au/Real-Estate/29-regent-street-mount-waverley/Property-Details-buy-residential-8892422" target="_blank">29 Regent Street</a>.
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Even American boxer George Foreman filmed a commercial for his electric grill at the house which was auctioned through Stockdale and Leggo. 
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Cooking school pioneer Beverley Sutherland Smith sells Mt Waverley home

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Onthehouse Holdings Limited, the ASX listed online real estate content and services platform, has announced it is looking for a joint venture partner to assumed majority ownership of its consumer online division, the platform providing free access to property sale prices and estimated home values on most properties in Australia.
A strategic review of the company following months of internal company turmoil has resolved to keep and concentrate on its real estate solutions division that provides software tools for real estate agents, other property professionals and financial institutions through Console and Real Estate Ad Network. 
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It conclusions reached by the board have been touted as avoiding the need to raise capital and dilute the current shareholding, or obtain debt funding.
The board told shareholders:
<ol>
<li>
Consumer Online (COD) and Real Estate Solutions (RES) are distinct businesses and there is no compelling inter-dependency between them;
</li>
<li>
As a consequence they need to be managed independently with a focus on an individual strategy for each business;
</li>
<li>
Sharing of data will be by way of license agreements;
</li>
<li>
The new COD subsidiary will have its own Board chaired by Onthehouse’s largest shareholder Michael Dempsey and will include current Board member Lisa Hickson;
</li>
<li>
RES generates approximately $9 million in free cash per year and is able to self-fund implementation of its strategy;
</li>
<li>
COD consumes approximately $7 million in cash per year that is currently being funded by the cash generated by RES;
</li>
</ol>
It said both businesses had "significant intrinsic value that is not currently recognised by the market."
Its COD will be developed in a non-listed JV vehicle in which OTH Holdings would maintain an interest, of between 30% and 49%.
The board anticipates JV partners could be one or several of the following:
<ol>
<li>
Like businesses that can add experience, technology or other industry assets etc. to the venture; and/or,
</li>
<li>
Venture capital investors or other funders.
</li>
</ol>
"The board believes significant value can be created in this structure without the responsibility of funding the COD business.
"The search for appropriate JV partners has commenced and OTH is currently in discussion with a number of parties," chairman Tony Scotton told shareholders.
The Board expects that the separation strategy will take six months to execute. 
The new company structure, allowing the RES business to develop its potential without the constraints of funding COD, would see the listed company having a stable, profitable core business with a significant investment in the "potential upside of the COD business."
Over recent times activist investors have appeared on its share register and then its board following the abrupt mid-2014 departure of its founding shareholder and chief executive Michael Fredericks. Chris Meehan has been named chief executive officer having been acting chief executive since February. Other recent appointments include Emily Santucci as chief financial officer and Andy Antonini as chief operating officer.
Michael Dempsey who pocketed about $150 million from the sale of Ezidebit, took an 8 per cent stake in Onthehouse in December last year.
In 2013 it billed itself as Australia’s third largest real estate portal when it reached one million unique browsers per month. It is now more than three million.  
Onthehouse.com.au provides free access to 13.6 million Australian property data sets to its online and mobile visitors, including live sales and rental listings.
But the Consumer Online consumes about $7 million in cash annually triggering recent pre-tax impairment charges of $10.5 million, which led to a $9.1 million half-yearly loss for the company.
The $9.1 million loss for the six months to 31 December 2014 came after reporting a $587,000 profit the year before.
Disregarding the one-off costs, Onthehouse posted a $93,000 underlying profit – an 86 per cent drop on the previous year.
Onthehouse's total revenue sits at around $13 million - the group’s Real Estate Solutions division at $10.7 million.
The group’s Consumer Online and Data Analytics saw revenue at $2.3 million.
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Onthehouse.com.au seeks to sell unprofitable consumer website after strategic review

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Now on his retirement circuit, tennis star Lleyton Hewitt has stepped up the marketing of his super sized St Kilda Road, Melbourne penthouse.
Overlooking Albert Park lake, he purchased two apartments and merged them into a mega, six-bedroom penthouse.
He has been seeking to sell for several year, formally relisting it fully furnished in August last year.
After previous $15 million hopes, he amended the price significantly to around $10 million. But no formal asking price in the latest campaign.
The 2006 Yve apartment complex's most recent sale has been on the 17th floor at $1.88 million, having previously sold in 2010 at $1,665,000. It first sold off the plan in 2004 at $1,828,000. 
Sotheby's retain <a href="https://www.melbournesothebysrealty.com/property/melbourne-1903578-st-kilda-road" target="_blank">the Yve penthouse listing</a> which has 710 square metre internal space plus 443 square metres outdoor living space over levels 19 and 20. 
The residence is controlled by a world-leading AMX Smart System that includes remote-controlled sheer and blackout blinds, plasma screens in each room, zoned music and an extensive video library. 
Finishes include terrazzo flooring, marble bench tops, European appliances and soundproof glazing to all glass walls.
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Lleyton Hewitt's Yve, Melbourne penthouse remains for sale

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It sounds very posh, but the cheapest buying opportunity across Sydney weekend auctions was at Regents Park.
The two bedroom unit fetched $375,000 pre-auction through the cheekily-named Posh Property on a property available for rent late last year a $350 a week.
<img src="https://i1.au.reastatic.net/456x342/57617f0c3f406f9acc050749bc81570a1212a3deffd37b6239005f75cc501802/main.jpg" alt="2/20A Edwin Street, Regents Park" title="2/20A Edwin Street, Regents Park" data-index="0">
It last sold in 1977, well before the first time buyers entered the market. Lisa Yan, the selling agent, told Property Observer it sold to a first time buyer.
The block's previous highest sale was $330,000 in March last year through John Nicolaides who said it was difficult to now price the market.
It too was a two bedroom plus car space totalling 70 square metres.
Sydney's next most affordable weekend sale was $376,000 for a two bedroom Liverpool apartment.
<img src="https://i3.au.reastatic.net/456x342/7103c5e6743ecfeded751aa36d284cb0e71c1a5a54548904305dd4724d1976db/image6.jpg" alt="34/51-57 Castlereagh St, Liverpool" title="34/51-57 Castlereagh St, Liverpool" data-index="5">
It (above) last sold in 2011 at $255,000. Pricing estimates were given as $340,000 by agents Simon Perri and Linda Chidiac at Prudential Real Estate Liverpool. 
Linda Chidiac told Property Observer it was bought by an investor.
In fact all six registered bidders were investors.
The property had been positively geared with a tenant paying $360 per week.
 
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Regents Park cheapest of 11 weekend Sydney auction opportunities under $500,000

Sydney developer&nbsp;<a href="https://www.apartments.com.au/developers/central-element">Central Element</a>&nbsp;is doubling down in Drummoyne, lodging plans for a boutique apartment development on St Georges Crescent, only one-kilometre down the road from its first Drummoyne development, Bianca.

The new project at 15A-21 St Georges Crescent,&nbsp;a&nbsp;1,701sqm north-facing site overlooking Iron Cove, will have 45 apartmnts across 10 levels. Eight of the units will be dedicated to affordable housing.

The site sits within walking distance of Drummoyne Village, Birkenhead Point, ferry services and the Bay Run, and offers harbour views towards the Sydney Harbour Bridge and CBD skyline.

Designed by MHN Design Union, the development will deliver a mix of one, two and three-bedroom apartments, alongside resident amenity including a gym, landscaped communal open space and three levels of basement parking.

The project has been lodged under the NSW Government's Low and Mid-Rise Housing reforms, with Drummoyne Village identified as a town centre capable of accommodating additional housing supply.

Central Element acquired the site earlier this year as part of its continued expansion across Sydney's eastern suburbs, lower north shore and inner west.

The developer's current pipeline includes luxury apartment projects Pearl Bondi and a separate development on Lamrock Avenue in Bondi, a residential project in Barry Street, Neutral Bay, and a mixed-use seniors living community in Greenwich.

Central Element Managing Director Nathan Chivas said the project would address a shortage of new owner-occupier housing opportunities in Drummoyne.

"While we're seeing a significant shift across Canada Bay as major infrastructure investment, population growth and planning reform drive a new chapter for the region, in suburbs like Drummoyne there remains a genuine shortage of new boutique luxury housing opportunities for owner occupiers," Chivas said.

"Sites of this nature are increasingly difficult to secure, particularly those that combine a north-facing aspect with direct water outlook. Our St Georges Crescent project responds directly to the market demand, offering a level of exclusivity, outlook and lifestyle in the highly sought after suburb."

The development application has been lodged with the City of Canada Bay Council, with the project expected to launch to market in early 2027.

&nbsp;

Joel Robinson

Central Element seeks second Drummoyne apartment development

The NSW Government has unveiled plans that could deliver around 1,300 new homes across Nowra and Kiama, continuing its push to unlock housing in well-located regional centres along the South Coast.

The proposals, now on public exhibition, would pave the way for around 830 homes in Nowra and a further 450 homes in Kiama, while also introducing affordable housing requirements and increased building heights in key locations.

The larger of the two proposals is centred on Nowra, where the NSW Government is seeking to rezone land within the Mandalay and Riverfront precincts.

The Mandalay sub-precinct, located close to Shoalhaven Memorial Hospital, Nowra Library and the city's aquatic centre, could accommodate around 530 new homes. Around 30 per cent of housing delivered on Homes NSW-owned land would be dedicated to social and affordable housing, equating to roughly 100 homes. Building heights would increase from the current two-storey limit to between three and six storeys.

A separate rezoning proposal for the Nowra Riverfront Precinct would unlock a further 377 homes while creating stronger connections between the Shoalhaven River and the CBD. The plans include building heights ranging from five to 12 storeys, floor space ratios of up to 2:1 and a requirement for two per cent affordable housing.

Together, the two proposals would deliver more than 900 homes across the broader Nowra area, reinforcing the city's role as one of regional NSW's key growth centres.

The housing push builds on previous infrastructure commitments in the Shoalhaven, including government funding aimed at supporting thousands of future homes in West Nowra through upgrades to water and wastewater infrastructure.

Further north, the NSW Government is also progressing plans for the former Kiama Depot site, a two-hectare parcel near Kiama's town centre.

The rezoning proposal would transform the former industrial site into a residential community capable of delivering up to 450 homes. Buildings would range between six and eight storeys, with at least 10 per cent of homes allocated as affordable housing. The proposal also includes approximately 600 parking spaces and improved walking and cycling connections.

Planning Minister Paul Scully said the proposals are designed to increase housing supply in locations close to jobs, transport and services.

"For too long, families have struggled to find somewhere to live, and activating underutilised sites allows us to deliver the new homes these families need," Scully said.

"The Minns Labor Government is getting on with the job of unlocking well-located sites close to transport, jobs, and town centres and building the homes our communities need.

"These rezonings are about removing barriers to housing delivery and making sure land is put to better use so more people can find a place to call home within the communities they choose."

The latest rezonings form part of the Minns Government's broader strategy to accelerate housing delivery across NSW, particularly in established centres where existing infrastructure can support additional population growth.

Community consultation on the proposals is now underway, with feedback set to inform the final planning controls before the rezonings are determined.

Around 1,300 new homes earmarked for Nowra and Kiama as NSW Government pushes housing supply

<a href="https://www.apartments.com.au/developers/mrcb">MRCB International</a> has commenced construction on its latest Gold Coast apartment development, Maris, on the site of the former Sundale Motel in Southport.

The start of construction by <a href="https://www.apartments.com.au/builders/binah-constructions">Binah</a> follows an exceptionally strong sales campaign, with more than 90 per cent of apartments sold since launch. Every purchaser has been local, an&nbsp;indicator of confidence in both the development and Southport's evolution into a thriving CBD.

<a href="https://www.apartments.com.au/new-apartments/maris-southport-20-queen-street-southport-qld-4215">Maris</a> will deliver 192 residences across 20 levels. The project forms part of MRCB's Australian and New Zealand development pipeline now exceeding $1.6 billion in gross development value, alongside a growing portfolio of projects globally.

[smartcode_project:default project_id=134403 project_image_fid=350663]

The company also commenced construction on its $600 million 26 Vista residences in Surfers Paradise last year, following strong sales momentum, with over 70 per cent of residences sold.

Maris has been designed to meet evolving buyer demand, offering architecturally designed layouts suited to long-term liveability. The approach reflects a growing preference for quality and adaptability among Gold Coast buyers.

Positioned next to the Broadwater in the <a href="https://www.apartments.com.au/developments/southport-qld-4215">Southport</a> CBD, Maris sits directly opposite the Broadwater Parklands light rail station and within easy reach of retail, dining and lifestyle precincts, placing residents at the centre of one of the Gold Coast's most connected and rapidly maturing urban centres.

[smartcode_project:default project_id=134403 project_image_fid=372756]

Maris will offer a full suite of resort-style residential amenities, including a pool, gym and sauna, along with a rooftop level featuring decks, lounges and dining and yoga areas that command sweeping views across the Broadwater and out to the ocean.

Binah, a New South Wales headquartered company co-founded by Amen Zoabi and Khalil Hafza in 2008, has expressed its excitement at establishing its first partnership with MRCB.

Binah's Managing Director Khalil Hafza said partnering with MRCB on Maris is a significant moment for Binah.

"MRCB's financial strength and a track record that speaks for itself give this project a solid foundation, and this marks the beginning of what will be a long and successful relationship.

"With the right people, systems and partnerships behind it, Maris is set to become a significant addition to the Gold Coast's premium residential market."

[smartcode_project:default project_id=134403 project_image_fid=350664]

MRCB International CEO Ravi Krishnan said the project's progression to construction reflects both sustained demand and tightening conditions across the apartment sector, as well as MRCB's continued confidence in the Gold Coast market.

"Commencing construction at Maris is a significant step and reflects the depth of demand for quality apartments in well-connected urban locations," said Krishnan.

"Across Southeast Queensland, new apartment supply remains constrained, particularly in established precincts with infrastructure and amenity already in place. Projects like Maris are increasingly critical in meeting that demand, especially on the Gold Coast and in the city's CBD precinct."

[smartcode_project:default project_id=134403 project_image_fid=372761]

Krishnan said Southport's ongoing transformation, supported by infrastructure investment and long-term planning, was underpinning renewed buyer confidence.

"We're seeing a clear shift back towards well-located urban centres where infrastructure, connectivity and amenity are already established," said Mr Krishnan. "Southport is evolving into a more mature CBD environment, and that is being reflected in buyer behaviour."

Construction at Maris is anticipated to be completed in 2029.

[smartcode_project_cta:default project_id=134403]

Construction commences on MRCB’s $200m Maris Residences in Southport

Moonee Valley Park’s latest residential release <a href="https://www.apartments.com.au/new-apartments/the-eveline-at-moonee-valley-park-moonee-ponds-100-thomas-street-moonee-ponds-vic-3039">The Eveline</a>, has achieved a new benchmark for off-the-plan apartment sales in the suburb, with the sale of The Alexandra penthouse selling for $5,435,000.

Positioned on the top floor of a 16-level residential building, the three-bedroom, three and-a-half-bathroom penthouse features uninterrupted city skyline views across the future Valley racetrack.&nbsp;

The landmark sale comes as momentum at the precinct continues to build, with the Moonee Valley Racing Club progressing works on its new racetrack ahead of the 2027 Cox Plate. The transformative development will see MVRC reimagine the beloved Valley as a vibrant year-round entertainment and lifestyle destination.

Alongside a world-class racing experience, the historic precinct will be activated with events, hospitality and public green spaces designed to attract broader audiences, while breathing new life into one of Melbourne’s most iconic destinations.&nbsp;

[smartcode_project:default project_id=142519 project_image_fid=372786]

Development partners <a href="https://www.apartments.com.au/developers/hamton">Hamton Property Group</a> and Hostplus have delivered five residential stages over the past four years, the most recent in November 2025 with Trackside House and Stonepine House. The flourishing community is now home to almost 500 families.&nbsp;

The latest residential release, The Eveline, has recorded strong demand since launching publicly last July, securing more than $200 million in sales to date, satisfying its pre sales hurdle for construction to commence.&nbsp;

Hamton Founder and Executive Chairman, Paul Hameister OAM said, the sales&nbsp;team have been overwhelmed by demand for these unique homes in this unique project.

"Buyers continue to be predominantly hyperlocal and attracted by the 40 hectare botanic masterplan in Melbourne’s inner north west," Hameister said.

[smartcode_project:default project_id=142519 project_image_fid=372788]

Hamton’s Sales and Marketing Director Fergus Humphries said the team has achieved more than 70 sales over the past eight weeks, including the penthouse purchase by a local buyer.

"These results reinforce that, even in a challenging market, purchasers continue to be drawn to quality projects that offer more than just a home, they offer a lifestyle.”

Designed by Cera Stribley, the penthouse has been created with entertaining in mind, spanning close to 400 sqm of indoor and outdoor living space, including multiple terraces designed to capture sweeping views across Melbourne’s skyline, the new Valley racecourse and sunset views over Moonee Ponds.

Moonee Valley Park is one of Melbourne’s largest urban renewal projects, transforming the iconic racecourse site into a vibrant mixed-use neighbourhood integrating homes, parklands, retail, racing and community amenities.

[smartcode_project_cta:default project_id=142519]

Moonee Valley Park penthouse sets suburb record as sales surge clears construction benchmark

A company linked to one of Australia's largest privately owned cattle businesses has lodged plans for a new residential tower in <a href="https://www.apartments.com.au/developments/newstead-qld-4006">Newstead</a>, continuing the rapid transformation of one of Brisbane's most sought-after, inner-city precincts.

Bottletree Holdings, an entity associated with Stanbroke Managing Director Brendan Menegazzo, has submitted a development application for a 28-storey mixed-use tower at <a href="https://www.apartments.com.au/new-apartments/9-longland-street-newstead-qld-4006">9 Longland Street</a>, a site that made headlines last year when it changed hands in an off-market transaction that reportedly set a benchmark land rate for the suburb.

The proposal would replace an existing two-storey commercial building on the 1,510 sqm corner site with a Bureau Proberts-designed tower comprising 76 apartments, ground-floor retail, office space and a suite of resident wellness amenities.

<img alt="9 Longland" data-entity-type="file" data-entity-uuid="c710a836-568e-4382-bc91-3c34b8e80a8b" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-06-22%20at%209.41.45%E2%80%AFAM.png?VersionId=Vy.mQWBc7GA_a.vIBdxKqRC9XGjWalo2" />

According to planning documents lodged with Brisbane City Council, the development would comprise a mix of 36 two-bedroom apartments, 24 three-bedroom apartments and 16 four-bedroom residences, positioning the project firmly at the premium end of the market. The apartments would sit above a podium containing retail and commercial space, with three levels of communal recreation facilities spread throughout the tower. The proposal also includes 198 car spaces and 95 bicycle spaces.

Bureau Proberts has drawn heavily on Newstead's industrial heritage in developing the architectural response.

"Occupying a prominent corner in the heart of Newstead, the proposal draws from the area's industrial lineage of robust brick warehouses to deliver a distinctly contemporary response," the architects said in the design statement.

"It is conceived as a subtropical sanctuary and elevated private retreat embedded within one of Brisbane's most vibrant lifestyle precincts."

The design seeks to reinterpret the traditional Queensland vernacular through wraparound verandahs, deep shading elements and permeable facades that respond to Brisbane's subtropical climate.

<img alt="9 Longland" data-entity-type="file" data-entity-uuid="25524f59-395c-4825-8fad-9b639822fa8a" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-06-22%20at%209.42.09%E2%80%AFAM.png?VersionId=dlWlbpCc_g3Y6yTLGqRVKvGJvO2ubMJ3" />

Planning documents describe the building as embodying the principles of "buildings that breathe", a design approach increasingly favoured in Brisbane's apartment market as developers focus on natural ventilation and outdoor living spaces.

The tower itself would rise above a heavily landscaped podium designed to reference the woolstore architecture that helped define Newstead and neighbouring Teneriffe for generations. At ground level, fine-grain retail tenancies would activate Longland Street, Wyandra Street and the existing Wyatt Street laneway, further extending the pedestrian network that has become a hallmark of the Gasworks precinct.

The application notes that more than 54 per cent of the site would be dedicated to landscaping and deep planting, while approximately 1,750 sqm of communal recreation space would be delivered across multiple levels.

<img alt="Planning" data-entity-type="file" data-entity-uuid="fed3b189-1054-4b68-af5f-b0befc4a66e5" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-06-22%20at%209.42.19%E2%80%AFAM.png?VersionId=gqeE3cjsbnLAfeTUKA1HtPZfqDs6S4Xa" />

Bottletree paid $22 million for the 1,510 sqm development site, equating to more than $14,500 per sqm, a reflection of the strong demand for development opportunities in Newstead. The suburb continues to attract both developers and buyers, underpinned by the ongoing evolution of the Gasworks and Teneriffe precincts into some of Brisbane's most sought-after lifestyle destinations.

Brisbane City Council's Sustainable Growth Strategy and Inner City Strategy both identify Newstead as a priority growth precinct capable of accommodating additional housing density due to its proximity to employment hubs, public transport and lifestyle infrastructure.

The proposed tower joins a growing pipeline of high-end apartment developments in the suburb. Fortis recently launched <a href="https://www.apartments.com.au/new-apartments/crest-walker-newstead-12-kyabra-street-newstead-qld-4006">Crest &amp; Walker</a>, a 65-apartment owner-occupier-focused development on Kyabra Street, while Consolidated Properties Group is preparing to launch <a href="https://www.apartments.com.au/new-apartments/castile-47-skyring-terrace-newstead-qld-4006">Castile</a>, a 227-apartment waterfront project on Skyring Terrace.

Meanwhile, builder-developer BPG is planning its own Newstead project on Maud Street, comprising just over 100 apartments and more than 1,380 sqm of dedicated wellness and resident amenity spaces, further highlighting the shift towards lifestyle-driven apartment developments in Brisbane's inner-city market.

Jonathan Chancellor

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