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Expectations for house price growth improved marginally in the final quarter of 2012 but remain very modest, with just 2.1% growth tipped for the next two years, according NAB’s December 2012 quarterly residential property index survey. 
This compares with September quarter expectations of a 1.7% gain in house prices over the next two years. 
The expectations are based on the sentiments of around 270 property markets participants, predominantly estate agents (39% of respondents), property owners and investors (20%) and developers (17%). 
They indicate that despite rate cuts and improving housing affordability, there is still much caution among those directly involved in the property market about medium-term prospects, though they have brightened. 
The survey found that concerns over housing affordability are falling slowly as interest rates fall but are still “significant”. 
In addition, property professionals remain concerned about the domestic economy and a weakening labour market, with “employment security entrenched as the biggest impediment to purchasing existing property in all states”. 
“Access to credit also seen as a ‘significant’ impediment to purchasing existing property,” NAB says of the survey results. 
Property professionals expect “good” capital growth prospects in the sub-$500,000 market next year, but the outlook for premium stock is still “poor”. 
The strongest outlook is for the mining-states of Western Australia and Queensland, where house prices are expected to increase by 3.6% and 2.2% respectively over the next two years, driven by strong state economic growth, migration and rental growth. 
Click to enlarge
<a href="/images/stories/2013/01/nabjan31.gif" rel="shadowbox" title="Click to enlarge"><img src="/images/stories/2013/01/nabjan31thumb.gif"></a>
Perth will be the strongest performing capital city market with capital growth forecast to run at around 3.5% through the year to end-2013 and 5% in the year through to end-2014, “underpinned by improved affordability, population growth and above average state economic growth”. 
Brisbane house prices are forecast to increase by 1.7% over 2013 and then by 3.5% over 2014. 
Stronger price growth is also tipped for NSW (1.8% over the next two years compared with 1.5% in the previous quarter), with Sydney set to outperform with growth of 2.1% in 2013 and 3.7% in 2014. 
Expectations also improved in Victoria, where property professionals now expecting house prices to grow by 1.9% in the next two  years, having previously forecast 0.9% growth. 
Melbourne house prices are expected to continue to tread water over 2013 – rising just 0.4% – but are expected to pick up slightly in 2014, rising by 2%. 
Expectations for house price growth over the next two years for the combined South Australia/Northern Territory market were scaled back to 1.5%, from 2.4% previously.
Melbourne along with Adelaide (growth of 0.1% in 2013 and 2% in 2014) are forecast to be the worst-performing markets for house price growth in 2013 and “will continue to lag the capital city average with state economic conditions and employment prospects in both these states also expected to remain tougher”. 
The overall index rose 4 points in the final quarter to sit at 8 points attributed to the rate of decline in national house prices slowing and rents growing.
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Australian house prices to rise 2.1% over next two years: NAB industry survey

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The weekend release of Real Estate Institute of Victoria (REIV) median house and unit prices for the December 2012 quarter were greeted with a mixture of surprise and some celebration, perhaps indicating greater resilience in the Melbourne property market than first thought.
The REIV reported a 7.8% gain in the Melbourne median house price over the final three months of the year to $555,000, with units up 4.2% to a median value of $456,000.
But while REIV chief executive Enzo Raimondo says the results showed strengthening demand from a “combination of improved Victorian consumer confidence, four interest rate cuts and the seasonal increase in activity in the December quarter”, other quarterly data cast genuine doubt over the turnaround.
December quarter figures released by RP Data-Rismark based on its daily updated index suggest the Melbourne property market continues to undergo a correction, with house prices falling by 1.5% over the quarter and units down 2.7%.
The data provider Australian Property Monitors (APM) released its figures today, showing a more modest 2.4% gain in Melbourne house prices and a 1% gain unit prices of the December quarter, with both markets essentially treading water over the past 12 months.
Factoring in the figures from APM and RP Data provides a more sobering view of house and unit price changes over the December quarter.
Melbourne houses
<table border="1" cellspacing="0" cellpadding="0"><tbody>
<tr>
<td valign="top" width="491" colspan="4">
House price changes
</td>
</tr>
<tr>
<td valign="top" width="133">
 
</td>
<td valign="top" width="114">
Quarter
</td>
<td valign="top" width="134">
2012
</td>
<td valign="top" width="110">
Median
</td>
</tr>
<tr>
<td valign="top" width="133">
RP Data
</td>
<td valign="top" width="114">
-1.5%
</td>
<td valign="top" width="134">
-2.9%
</td>
<td valign="top" width="110">
$550,000
</td>
</tr>
<tr>
<td valign="top" width="133">
APM
</td>
<td valign="top" width="114">
+2.4%
</td>
<td valign="top" width="134">
+0.5%
</td>
<td valign="top" width="110">
$526,000
</td>
</tr>
<tr>
<td valign="top" width="133">
REIV
</td>
<td valign="top" width="114">
+7.8%
</td>
<td valign="top" width="134">
+4.7%*
</td>
<td valign="top" width="110">
$555,000
</td>
</tr>
</tbody></table>
 
Melbourne units
<table border="1" cellspacing="0" cellpadding="0"><tbody>
<tr>
<td valign="top" width="491" colspan="4">
Unit price changes
</td>
</tr>
<tr>
<td valign="top" width="133">
 
</td>
<td valign="top" width="114">
Quarter
</td>
<td valign="top" width="134">
2012
</td>
<td valign="top" width="110">
Median
</td>
</tr>
<tr>
<td valign="top" width="133">
RP Data
</td>
<td valign="top" width="114">
-2.7%
</td>
<td valign="top" width="134">
-2.5%
</td>
<td valign="top" width="110">
$435,000
</td>
</tr>
<tr>
<td valign="top" width="133">
APM
</td>
<td valign="top" width="114">
+1%
</td>
<td valign="top" width="134">
+2.2%
</td>
<td valign="top" width="110">
$391,000
</td>
</tr>
<tr>
<td valign="top" width="133">
REIV
</td>
<td valign="top" width="114">
+4.2%
</td>
<td valign="top" width="134">
+1.3%*
</td>
<td valign="top" width="110">
$456,000
</td>
</tr>
</tbody></table>
*The REIV figures compare December quarter 2012 figures with December 2011 quarter figures. APM and RP Data are annual changes over 2012.
The differences can be partly explained by the different median calculation methods used and in the case of the REIV, by the quality of the data used to calcuate its December results.
The REIV bases its figures on the median price – that is it ranks all sales from high to low recorded over the quarter and plucks out the middle or 50th percentile observation.
Australian Property Monitors (APM) and RP Data use what some would consider more sophisticated measures of median property price changes.
APM uses a stratified median price method, which controls for changes in the composition of properties sold by separating the total sample of properties into a number of sub-samples. It also issues revised figures based on better available data.
RP Data-Rismark uses a daily hedonic index, which measures home price movements on a “like-for-like” basis according to their key attributes, such as location, land size, number of bedrooms and bathrooms, and is the only provider that does not revise its figures.
The gains reported by the REIV suggest there is a trend of improving property values, but readers should keep in mind a number of issues which may have impacted on the stronger-than-expected results.
Firstly, they follow significant downward revisions to September quarter figures, which increased the gap between REIV figures quoted for the December and September quarters.
The September quarter median for Melbourne houses was revised down from $530,000 to $515,000, while units were revised down from $442,000 to $437,500.
As a result of the revisions the December quarter gains were much greater.
The stronger REIV results in the December quarter were also impacted by a lack of sales in nearly two-thirds of suburbs, which would also have skewed the data.
Property Observer analysis found there were 166 suburbs (63%) that had fewer than 30 sales over the December quarter – meaning their median price changes are less statistically reliable.
Indeed, there were only 95 suburbs that recorded a statistically significant figure of more than 30 sales.
Given that the majority of suburbs in the December quarter figures had fewer than 30 sales and revisions made to the September quarter figures, it is likely that December quarter figures will be revised downwards by the issuance of the next quarterly report.
Readers could of course consider taking an average of the three data providers (as Melbourne property market analyst Monique Sassoon Wakelin suggested investors do in her ABC radio program last year), which thereby confirms that any conclusion of a dramatic December quarter recovery may be premature.
Averaging out the three data providers’ results, house prices rose 0.8% over the quarter while units are up 0.3%, indicating something of upward trend, but no major rebound.
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Melbourne residential property market on the mend? Property Observer navigates the muddling median maze

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The residential property market appears to have bottomed out and is set for a “mild cyclical recovery" over the next 12 months” says AMP Capital Investors chief economist Shane Oliver.
Oliver anticipates only short-term gains in property prices in the range of 5% to 7% over this period as “buyers remain cautious about taking on excessive debt, particularly as job insecurity remains high”.
But he expects the property market to outperform both the bond market and what’s available through cash deposits - a reverse of the performance of these markets over the past five years.
Shares, Oliver says, are the most attractive asset class "offering relatively attractive starting point dividend yields of around 5.7% with franking credits added in" though he warns  investors against presuming a "smooth run" for shares in 2013.
But term deposit rates have fallen from as high as 8% a few years ago to 4% and continue to fall while Australian 10 year government bond yields have fallen from 6.3% to currently 3.5%
In comparison, Oliver says house and apartment yields are running around 3.7% and 4.8% respectively, which are well up from their lows last decade.
Despite offering a better return than cash or bonds, Oliver says capital growth in residential real estate is likely to be constrained over the next five to 10 years “by still very high property prices relative to incomes and rents and house prices still above their longer term trends”.
“This suggests that a cyclical rebound in real estate prices over the next year should be seen as part of a broad range bound market for property prices in real terms as the market continues to work off the excesses that built up over the property boom that started in the mid 1990s and continued into last decade.
“Of course, good quality properties in sought after locations will do well, but the medium term back drop for property returns is likely to remain constrained, albeit better than that from cash and bonds,” he says.
Oliver says there are two main risks to his forecasts.
The main downside risk to property is a hard landing in China, a risk he says is receding while the upside risk is that “the old housing bubble is reignited by the latest collapse in mortgage rates”.
“Again this seems unlikely though given Australians’ more cautious approach to debt since the GFC,” he says.
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“Mild cyclical recovery” for property market over next 12 months, but a better bet than bonds and cash: Shane Oliver

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Nearly a third of borrowers (30%) say they would ditch their Big Four bank if another lender offered them a 50 basis point discount off the rate they are currently paying, according to a survey by Australia’s biggest mutual lender, CUA.
More than half (56%) said they would “consider” switching for a 50 basis point discount.
Even a smaller discount of 25 basis points would tempt 60% of Big Four borrowers to consider refinancing with another lender.
Overall, the CUA’s National Mortgage Survey found a high level of discontent among borrowers who have their loans with Big Four banks.
A fifth (18%) said they would ditch their Big Four bank if they did not adjust their mortgage rates following an RBA cash rate cut with 60% saying they would “consider” doing so.
In addition, 70% of these borrowers would switch or consider switching for lower fees and charges.
“Overall, Australian mortgage holders are looking for a lender that provides competitive rates and makes decisions that are in the customer’s best interest,” says CUA’s general manager for products and marketing Jason Murray.
Borrowers who opt for a standard variable home loan would be 55 basis point better off with a CUA loan compared with a standard variable rate home loan offered by the Commonwealth Bank.
The CUA's standard variable rate is 5.85% (comparison rate of 5.91%) while the Commonwealth Bank's standard variable rate is 6.40% (comparison rate of 6.54%)
However, the Commonwealth Bank is more competitive on fixed rates and discounted variable rate offerings.
The lowest variable rate mortgage currently offered by CUA is its rate breaker package home loan at 5.42% with a comparison rate of 5.75%.
The CUA offers a three-year fixed rate of 5.30% with a comparison rate of 5.81%.
The Commonwealth Bank, offers a no-fee variable rate home loan at 5.70% with a comparison rate 5.70% and a one-year guaranteed rate of 5.34% with a comparison rate of 6.43%.
Its three-year fixed rate is 5.54% for non-home loan package customers and 5.39% for those that do opt for a packaged home loan deal.
Property Observer <a href="/news">compiled this list of the lowest home loan rates </a>offered by the major banks and their subsidiaries on January 8.
The CUA survey found that across all borrowers (not just those with a Big Four home loan), the propensity to refinance with another lender appears high with more than three-quarters (78%) of all mortgage holders saying they would switch or consider switching if their current lender failed to adjust rates following an RBA rate cut.
The results are based on a survey of 1,514 people carried out by Auspoll, commissioned by the CUA, of which four out of 10 have a mortgage.
Of those respondents that have a mortgage, 62% have their home loan with a major bank, 8% with a credit union or mutual lender and 31% with another lender (smaller bank or non-bank lender).
Respondents were questioned on their attitudes towards interest rates, switching home lenders and fixing their interest rates.
Other key findings from the survey were that fixed home loans remain largely unappealing to the majority of borrowers despite lenders continuing to cut fixed rates.
Only 7% of variable rate mortgage holders said they intended to fix their home loan in the next three months with 71% saying they had no intention of fixing.
The remaining 22% said they would fix their home loan, but not in the near future.
This is slight improvement on the 3% who said they would fix in last year’s survey and the 75% of respondents who said they had no intention to fix at all.
However, even among those survey respondents who expect rates to rise in 2013, fixed rates remain unappealing.
“Of those variable rate mortgage holders surveyed who believe rates are at the bottom of the cycle and will increase in 2013, still only 31% would plan to fix their mortgage in the future,” say CUA’s general manager for products and marketing Jason Murray.
Less than a third of those surveyed expect a cash rate cut in February and remain divided as to what will happen to interest rates in 2013.
Around 37% believe the cash rate will decrease further in 2013 while an almost equal number (38%) believe rates will be higher at the end of the year.
A quarter of respondents expect rates to stay the same in 2013.
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A third of borrowers would ditch big four banks for 50-basis-point discount: CUA

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Many home owners in flood-affected or flood-at-risk regions of Queensland and northern NSW have not taken out insurance against natural disasters, despite claims to the contrary by the Insurance Council of Australia (ICA).
The high cost of insurance premiums and social influences have been blamed as factors for the poor take-up.
To date, more than 3,000 properties have been affected by flood waters in Brisbane (Ipswich home below, courtesy of <a target="_blank" href="https://www.flickr.com/">Flickr</a>), with 9,800 insurance claims submitted in Queensland totalling $116 million and around 2,000 in NSW totalling $10 million, according to a report in the Australian Financial Review.
<img alt="insurance" height="294" width="470" src="/images/stories/2013/01/insurance.jpg"> 
According to Allianz figures, as a result of the unaffordable cost of flood cover, 98% of NSW customers with a risk of flood of up to 1 in 49 years have opted out of cover, while the equivalent figure for Queensland is 95%.
The average flood insurance premium offered by Allianz in Queensland is $8,200 but can be as high as $19,000 based on the on the average home and contents sum insured of $385,000 in Queensland.
In NSW, the average annual premium $4,704 but can be as high as $24,000 based on the average home and contents sum insured of $388,500.
These figures are for flood cover only.
They dwarf total insurance premiums (excluding flood cover) of $860 in NSW and $1,250 in Queensland.
In September the Insurance Council of Australia released data showing nearly four in five Australian household insurance policies contain flood insurance.
However, this is predominantly standard flood cover, with just 21,000 out of 2 million policies included in ICA data opting for optional flood cover – presumably of the type offered by Allianz and other insurers covering home owners in high-risk areas.
Allianz spokesman Nicholas Scofield says the key barrier to providing Australians living in flood prone areas with insurance protection “has and always will be the affordability of flood insurance”.
“The main reason is that the insurance model is not best suited for events that have a certainty of happening, rather than just a chance of happening.
“For a house on a flood plain, it is a matter of when not if it will be flooded, so the flood premium starts with a simple formula that begins with the expected value of the loss divided by the anticipated frequency of loss.
“As result, premiums for flood cover for properties vulnerable to flood can be prohibitively expensive,” he says.
In its submission to the federal government's Natural Disaster Insurance Review, commissioned following the 2011 Queensland floods, Allianz proposed a reinsurance-style pool as mechanism to make flood insurance affordable.
“The review picked up Allianz's proposal in its recommendations, however, the government is yet to respond to this aspect of the review,” says Schofield.
The federal government review did not recommend mandatory purchase of flood insurance, leaving it up to home owners in flood-at-risk regions to decide whether they wish to bear the risk.
 
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A research project carried out by Griffith University found that of 500 residents of south-east Queensland surveyed in 2012 (via telephone), more than 40% of respondents did not have flood insurance, or did not have home insurance at all.
The survey found that those respondents who know their homes were at high risk of flooding or who had experienced property damage in the 2011 were more likely to have flood cover on current policies, but did not find a strong positive relationship.
“Statistically, it is not conclusive to suggest that perceived risk and damage experience explain the tendency for non-insurance,” says Alex Lo, lecturer at the Griffith School of Environment at Griffith University, who carried out the research in The Conversation.
It also found that those who could afford the higher flood insurance premiums tended to insure against this disaster, but again there was no strong statistical relationship.
“Household income and affordability are not a good explanation either. The standard assumption does not always hold,” he says.
Lo says the motive to emerge from the study for taking out flood insurance was social influences
“The findings suggest that if the respondents believe that their family or friends would want them to insure, they tend to do so. Also if they believe that other people like them would buy flood cover, they tend to follow suit. The decision is predominantly socially motivated,” he says.
"Interestingly, such social factors are precisely what the Productivity Commission has identified but recommended not to deal with through government policy.
"Certainly there is something the market cannot do, for which the government should at least facilitate. Although it might not be appropriate for them to mobilise social influence directly, they should try to make sure the community has the capacity to spread the message. There is no excuse for the government to avoid addressing behavioural drivers. Governments have been using all sort of measures to encourage good behaviours and punish the bad ones.
"Local community organisations may help increase the voluntary adoption of flood insurance through word-of-mouth. Governments and the industry should support (financially) their efforts and harness the social forces they help to create," says Lo.
Submissions on exposure draft legislation aimed at making it easier for consumers to understand the terms of their insurance policies closed on December 12, led by financial services minister Bill Shorten.
Since the 2011 floods, the government has also introduced a standard definition of flood and a one page key facts sheet for all home and contents policies to help Australian consumers understand what they are covered for as well as launched the National Flood Risk Information Portal – an online “one-stop-shop for flood risk information”.
 
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Most home owners can't afford $8,200 flood insurance premiums as claims rise

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Suncorp says it has to date received 4,500 personal insurance claims as flood waters continue to rise in parts of Queensland and northern NSW from ex-tropical cyclone Oswald.
Queensland's largest personal insurer expects more claims to be lodged this week with around 5,000 homes, units and commercial properties at risk in Brisbane and Ipswich.
Suncorp says its immediate priority is assisting customers affected by the floods, which have to date claimed four lives and damaged hundreds of properties.
On Sunday the Insurance Council of Australia (ICA) declared a catastrophe for large parts of Queensland affected by the cyclone and subsequent flooding, reporting there had been moderate to severe damage experienced in communities from the NSW border all the way north to Cairns.
The ICA says it expecting a “very wet summer this year while also hoping Queensland might avoid a repeat of 2011”.
The Bank of Queensland says it has established package of relief measures for impacted customers, including the ability to defer mortgage and loan repayments for a period.
The bank is also offering discounted interest rates on personal loans taken out for the purpose of purchasing replacement goods and has also set up a special Flood Hotline for customers with questions or those requiring urgent assistance.
ANZ, Westpac and the Commonwealth have all announced support measures for customers affected by the floods, including the ability to suspend loan payments for a period of time.
Residents in flood-at-risk areas have been reassured that this disaster will not be on a scale of those that struck in across Queensland two years ago, killing 35 people and leaving a $6 billion reconstruction task.
Brisbane Times reports that the Bremer River peaked in Ipswich at 14.9 metres about 9.30pm on Monday night, almost five metres below the 19.4 metre peak in 2011.
The Brisbane River is forecast to peak at 2.6 metres on the 11am tide, nearly half of the 4.46 metre peak in 2011 with a second flood peak likely at noon tomorrow.
The Brisbane City Council has provides a <a href="https://www.brisbane.qld.gov.au/community/community-safety/disasters-and-emergencies/BRFFS/index.htm" target="_blank">Brisbane River Flood Forecast by Suburb reports</a> where homeowners can see if there home is likely to be affected by flood waters.
The City of Ipswich has compiled a <a href="https://www.ipswich.qld.gov.au/index.php?noticeboard=Home+Page&amp;noticeId=563" target="_blank">list of properties potentially affected by flooding</a>.
Flooding has put around 2,000 homes underwater in Bundaberg, where around 1,500 people have been airlifted to safety from fast-flowing flood waters.
On the Fraser Coast, the Maryborough River is at 10.7m and rising with Channel 7 reporting that 200 homes and 50 businesses are partially flooded.
The January 2011 south-east Queensland floods and northern Queensland cyclone one month later killed 35 people and affected more than 500,000 square kilometres of Queensland, including low-lying parts of Brisbane, Ipswich and the Lockyer Valley and up North, Cairns, Townsville Tully, and Innisfail.
The floods resulted in 58,463 claims totalling $2.4 billion, while cyclone Yasi resulted in 72,203 claims amounting to $1.33 billion.
Suncorp says it has made provisions for natural hazards and has an allowance of $520 million for events in the 2013 financial year.
For the six months to 31 December 2012, Suncorp’s total natural hazard claims were $147 million.
The insurer says it has a “comprehensive reinsurance program to limit the financial impact of natural hazard events.
The cyclone Oswald floods are the third catastrophe declared by the ICA in 2013, with insurers managing claims following severe bushfires in south-eastern Tasmania and northern New South Wales.
Since early 2010, the ICA has declared six catastrophes in Queensland for flooding and cyclone damage, with losses of almost $4 billion.
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Suncorp receives 4,500 insurance claims as anxious Queensland and northern NSW home owners await rising flood waters 

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A NSW inquiry into building company collapses has recommended the adoption of Queensland-style regulatory model, including the establishment of a construction industry trust to ensure sub-contractors get paid first should a construction company collapse.
The trust would hold all payments due to a head contractor, sub-contractors, sub-subcontractors and suppliers and be required for all projects valued above $1 million. Sub-contractors would be paid first before head contractors while there would be “no point at which the funds may be ‘scooped’ by the bank.
The final report prepared by Bruce Collins, QC, also recommends the creation of a single statutory and autonomous body, the NSW Building and Construction Authority, modelled along the lines of the Queensland Building Services Authority, which would undertake all of the administrative oversight, regulatory and operational responsibilities currently undertaken by different regulatory bodies.
Under the current system of regulation in NSW, the Office of Fair Trading deals with the regulation of contracting and industry licensing, policy is created by the Building Regulations Advisory Council (BRAC) and disputes handled by the Consumer, Trader and Tenancy Tribunal (CTTT).
In all, there are 44 recommendations made by Bruce Collins, QC in his lengthy, final report following a three month independent inquiry.
Other recommendations include a strengthened security of payments scheme and a licensing system for all commercial builders and construction contractors, which would limit participation to projects with demonstrated financial backing and licensed accreditation.
“The first key role of the NSW Building and Construction Commission will be to establish a licensing system which requires all builders and construction contractors operating in the commercial building sector to qualify within a particular graduated licence category according to the net financial backing they are able to demonstrate, in respect of proposed projects,” says Collins.
“The result will be that the work of builders and construction contractors will be restricted to the category of project value for which they have demonstrated financial backing and licenced accreditation.”
The second key role of the proposed new commission would be the financial monitoring and auditing of the accounts and financial affairs of all builders and contractors in NSW, including a “formal set of standard financial and accounting requirements”.
Collins notes in his introduction, that it is “rare to find unanimity upon any issue in a chattering society such as ours, however all those who gave evidence to the Inquiry from all sections of the industry with the exception of the Housing Industry Association (HIA) agreed that it was an essential part of any reform package to bring in a licensing model and regulatory structure along the Queensland lines”.
He notes that the HIA’s views on the Queensland model are “largely shaped by the opposition to the insurance role being included in the model”.
In its submission to the inquiry, the HIA claims the “Queensland Building Services Authority (QBSA) is fundamentally flawed” and says its various functions should be separated.
“The QBSA’s one-stop-shop structure with its multiple functions creates significant opportunities for internal conflicts of interest thereby exposing both the customers of the building industry and licensees to unjust outcomes from their dealings with the Authority,” says the HIA.
Instead, the HIA recommends the creation of a policy body that can take a “whole of government” approach to regulation of the industry.
The establishment of the NSW Building and Construction Authority has the support of the NSW Building Professionals Board, the Master Builders Association and the Building Regulations Advisory Council among others.
The building industry inquiry was instigated by NSW finance minister Greg Pearce in August last year, following the rising number of construction company collapses over the last three years which is estimated to have left thousands of suppliers and subcontractors more than $1 billion out-of-pocket.
High-profile <a target="_blank" href="https://www.propertyobserver.com.au/industry-news/liquidator-appointed-for-collapsed-nsw-builder-reed-construction/2012071155520">building firm collapses</a> last year included Reed Construction, 100-year old firm Kell &amp; Rigby, St Hilliers Construction, Baseline Constructions and <a target="_blank" href="https://www.propertyobserver.com.au/industry-news/nahas-construction-latest-aussie-home-builder-to-enter-administration/2012112057964">Nahas Construction</a>.
“The Queensland model presents the only solution to the problem of preventing insolvency in the first place.  The construction trust is important because it operates in a remedial manner after insolvency has begun to cause its problems,” says Collins.
“The inquiry cannot place too much emphasis upon that vital conclusion,” he adds.
“The most effective way to ensure a healthy industry is to ensure the healthy condition of those who aspire to participate in the industry.  That is what is done in Queensland and it is there that it has had its effect upon reducing the number of disastrous insolvencies in the building and construction industry."
The full list of 44 recommendations contained in the report, which is subject to public consultation until February 21, can be <a target="_blank" href="https://www.services.nsw.gov.au/updates/independent-inquiry-construction-industry-insolvency">downloaded from the NSW Department of Finance and Services website</a>.
“We now need to carefully work through the reforms in consultation with those stakeholders and the public,” commented NSW finance minister Greg Pearce following its release.
The NSW government has prepared separate consultation papers on <a target="_blank" href="https://www.services.nsw.gov.au/updates/independent-inquiry-construction-industry-insolvency">statutory construction trusts and the licensing of commercial builders</a>, which are available for public consultation by February 21.
  
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NSW building inquiry recommends construction trusts to protect sub-contractors

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Buoyed by its multi-billion dollar resource projects, Darwin ranks as the strongest property market in Australia with strengthening buyer activity and exceptionally high demand for houses recorded in the final quarter of 2012.
There were 825 property sales recorded over the quarter totalling $414.3 million, a 14% increase on the volume of sales in the September quarter where there were 732 transactions, totalling $364.8 million, according to a new report by Colliers International.
“In the December quarter the median house price was recorded at $600,000 and it was found that in Darwin 43 % of all house sales were recorded between $500,000 and $600,000” says Colliers International analyst Lianna Georges and author of the latest Darwin Residential report.
Rents also rose “substantially” over 2012 with average rental rates now around $700 per week for a three-bedroom house and $550 per week for a two-bedroom unit, “making Darwin very appealing to investors”.
However, Colliers also notes that the increased rental rates have pushed up the cost of living in Darwin and may "place home-ownership out of reach for young locals”.
Georges warns that a lack of affordable housing will remain a key issue for 2013 with minimal stock priced under $600,000, while changes to Northern Territory government incentives, could potentially affect home ownership.
“The previous First Home Buyers scheme included no stamp-duty up to a threshold of $540,000, a $7,000 grant to first home buyers and the addition of the $10,000 Build Bonus Grant for new dwellings. These incentives have been replaced by a new $25,000 First Home Buyers grant for the purchase of a new dwelling, or a $12,000 grant for an existing dwelling; although home buyers are now liable to pay for stamp-duty on their first home,” explains Georges.
A search on realestate.com.au for properties under $600,000 reveals no free-standing houses among the 197 properties listed under this threshold, with two and three-bedroom units dominating listings under this limit.
<a target="_blank" href="https://www.realestate.com.au/property-house-nt-darwin-112524147">A four-bedroom house and land package</a> is offered at $640,000 through Helen Saunders of KRK Properties – Mandurah, but does not disclose the address with the more than half of the listing devoted to describing the billion dollar liquefied natural gas projects in the pipeline or underway in and around Darwin.
According to RP Data, Darwin values for the year to December increased by 11.7 %, far surpassing Sydney where a 2.5% increase in house prices was recorded.
The unit market continued to record steady sales growth in the December quarter and offered a more affordable housing option for first-home buyers.
Over the course of 2012, the strongest price band for unit sales was $400,000 to $500,000 comprising 31% of all unit sales.
Georges says that as 2013 unfolds, Darwin will be “keenly observed particularly in regard to rental rates as interstate investors look to purchase property with enticing yields; although this has the potential to be counteracted by the rising cost of living that may place home-ownership out of reach for young locals”.
“The year ahead will be an interesting time for Darwin’s property market as the Territory continues to experience unprecedented economic development.
“The past 10 years have seen Darwin transform from a sleepy regional town, into a dynamic capital city that is burgeoning with trade, resource projects and new development.
“As Darwin continues to grow over the next decade and attract new residents, the need for infrastructure development to assist housing construction will become apparent,” she says.
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Darwin property market leads the nation but affordability headwinds for 2013: Colliers International

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ASX-listed property investor and funder manager Trinity Group has blamed the poorly performing Victorian coastal leisure market for a $3.1 million write-down in the value of its investment in the Cumberland Lorne Resort on the Great Ocean Road.
The group, which has been selling assets in its $95 million property investment portfolio to reduce debt levels in order to secure a debt facility extension with NAB, said the <a href="/news">Lorne </a>resort write-down was the “primary driver” for a steep earnings downgrade to interim results to December 31.
Trinity Group is forecasting an interim net loss of between $3.6 million and $3.9 million, having earlier advised shareholders of a $700,000 net profit.
“The primary driver of the group’s 2013 half year loss result and decrease in net tangible assets per security is a $3.1 million write-down in the value of the group’s property investment at the Cumberland Lorne Resort in Lorne, Victoria.
“This write-down reflects the poor market conditions, and the resulting impact on property values, that is being experienced by the coastal leisure property sector.
“The write-down has also been influenced by the result of the recent marketing campaign that has occurred for the Cumberland Lorne Resort,” said Trinity Group in a statement.
Trinity acquired 51 freehold apartments, the conference centre and the management rights to the Cumberland Lorne Resort in 2009 for around $20 million.
The 2012 annual report values the investment as being worth $17.7 million.
Lorne is a seaside town and popular holiday destination along the Great Ocean Road, a two-hour drive south of Melbourne.
The Cumberland Lorne Resort is situated on Lorne’s main street at 150 Mountjoy Parade and has 102 one, two-bedroom and penthouse self-catering apartments with private balconies offering ocean views.
It currently offers a two-night package special of $386 per room.
The resort was put up for sale in September last year after Trinity undertook a $500,000 “soft” refurbishment of the conference centre and apartments.
The resort is being sold along with the 5,900 square metre Compark Circuit business park in Mulgrave, which is listed as having a book value of $15 million.
An expression of interest campaign closed on December 19 for both properties, with Trinity in discussions with potential buyers.
The 2012 annual report notes that Trinity undertook 2011-12 summer sales campaign to sell the apartments at the Cumberland Lorne Resort “during difficult market conditions in Victoria”.
“As a result of the campaign, one apartment was sold with the sale price exceeding book value. Another apartment settled during the year as a result of the previous summer’s sales campaign.
The annual results record the sales generated revenue of $960,000.
As of June 30, Trinity Group owned 40 apartments, the conference centre, management rights and a manager’s apartment at the resort.
A recent survey by Roy Morgan lists the Great Ocean Road as the fifth most popular tourist destination for young Australians aged under 30 with 12% of 22,000 people surveyed saying they planned to take a holiday along the famous stretch of Victorian coast over the next two years.
Trinity Group reported an after tax profit of $18.7 million for the year ending June 30.
The report discloses that during the financial year, Trinity Group reduced its debt facilities with National Australia Bank (NAB) from $69.9 million to $46.1 million following the sale of an investment property at Richlands, Queensland, together with the disposal of the remaining 50% investment in the Trinity Funds Management business and the disposal of units in Trinity Property Trust.
These sales allowed it to reduce its debt by $23.8 million and reduce its loan to value ratio of 47.6% with NAB provided Trinity Group with an extension of its debt facilities by 14 months to October 31 2014.
A covenant of the debt arrangement with NAB requires that Trinity’s loan to value ratio not exceed 50%.
Trinity’s prized asset is The Chambers, a heritage-listed office building at 308 Queens Street in the Brisbane CBD, valued at $33.1 million.
Trinity Group shares are currently trading at 28¢.
Half-year results will be released at the end of February.
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Cumberland Lorne Resort $3.1 million resort write-down blamed on Victorian coastal market woes

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The ATO is warning investors about a tax avoidance scheme where they are encouraged to borrow funds to invest in a trust that buys a rental property and are then told they can claim the borrowings as a tax deduction.
In such a scheme a self-managed superannuation fund (SMSF) derives income through a direct or indirect interest in the trust.
“In this arrangement a promoter encourages you to borrow funds to invest in a trust which has, as one of its beneficiaries, an SMSF. The trust uses the funds to buy a rental property.
“You then claim all of the borrowing costs as income tax deductions. However, some of the income from the investment is distributed to the SMSF.
“This arrangement is considered to be a scheme because you are claiming deductions for all of the interest expenses on the borrowing but the borrowing has also been used to derive income for other beneficiaries of the trust such as an SMSF which is ordinarily taxed at the concessional rate.
“However, as the income distribution from the trust to the SMSF may be considered non arm's-length income, it may in fact be taxable at a higher rate,” says the ATO.
The ATO provides a more detailed explanation of this scheme in a <a target="_blank" href="https://law.ato.gov.au/atolaw/view.htm?Docid=TPA/TA20084/NAT/ATO/00001&amp;PiT=99991231235958">2008 taxpayer alert.</a>
The warning is part of a new guide issued by the ATO called Investigating tax-effective arrangements, which aims to help borrowers “recognise some of the common types of tax avoidance schemes so you can reject them and avoid the negative consequences associated with them”.
The ATO is also warning on two <a target="_blank" href="https://www.propertyobserver.com.au/tax/ato-warns-on-home-loan-tax-avoidance-schemes/2013012458979?utm_source=po&amp;utm_medium=aida&amp;utm_campaign=news">home loan tax avoidance schemes</a>.
The guide can be <a href="https://www.ato.gov.au/atp/content.aspx?menuid=0&amp;doc=/content/00268505.htm&amp;page=1&amp;H1">viewed online</a> or <a href="https://www.ato.gov.au/atp/content.aspx?menuid=0&amp;doc=/content/00268505.htm&amp;page=1&amp;H1">downloaded as a PDF document</a>.
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ATO warns investors about illegal SMSF rental property scheme

<a href="https://www.apartments.com.au/developers/consolidated-properties">Consolidated Properties Group</a> (CPG) is approaching the launch of its latest Brisbane riverfront development, Castile, on the dress circle Skyring Terrace in Newstead.

VIP buyers are now being engaged, with a full public sales launch coming later this year.

Positioned as the final opportunity to secure a new absolute riverfront residence on the East bank of Newstead, Teneriffe or New Farm, Castile at 47 Skyring Terrace has been designed by <a href="https://www.apartments.com.au/architects/woods-bagot">Woods Bagot</a> as a timeless addition to the Brisbane skyline.&nbsp;

[smartcode_project:default project_id=150489 project_image_fid=371113]

The name Castile draws on themes of permanence, sophistication and legacy, reflecting a broader vision centred on enduring architecture and timelessness in the rarest of riverfront positions.&nbsp;

CPG Chairman and CEO Don O’Rorke said the project had been envisioned as a future Brisbane icon.&nbsp;

“With 47 metres of direct river frontage and never to be built out views, 47 Skyring Terrace is the definitive address on the Brisbane River,” O’Rorke said.&nbsp;

[smartcode_project:default project_id=150489 project_image_fid=371114]

“Rather than following trend-based apartment design, Castile draws inspiration from Brisbane’s great heritage buildings, reinterpreting classical architecture into a contemporary riverfront landmark designed to stand proudly for the next 100 years,” he said.&nbsp;

The approved development will comprise 227 apartments across a 25-storey tower alongside a boutique six-storey riverfront building of just 12 residences.&nbsp;

Construction is scheduled to commence in September 2026.

[smartcode_project_cta:default project_id=150489]

Joel Robinson

CPG unveils Castile Newstead ahead of upcoming sales launch

Australia’s online shopping habits have shifted dramatically over the last decade. As eCommerce volumes surged, so too did the frustrations that came with traditional parcel delivery: missed deliveries, long Post Office queues, parcel theft and the challenge of being home during business hours.

Australia Post’s Parcel Lockers emerged as one of the more practical responses to that changing consumer behaviour.

What started as a relatively niche delivery option has evolved into a nationwide network of more than 1,400 self-service Parcel Lockers positioned at train stations, shopping centres, supermarkets and Post Offices across the country. The system allows Australians to send, collect and return parcels 24 hours a day, fundamentally changing how many people interact with deliveries.

The appeal is relatively straightforward: flexibility.

Instead of waiting at home for a delivery driver or rushing to a Post Office before closing time, users can direct eligible parcels to a Parcel Locker location of their choice. Once the parcel arrives, Australia Post sends a notification with a collection code or QR access through the AusPost app, allowing customers to retrieve their package at any time within the collection window.

For apartment residents in particular, the system has become increasingly valuable.

Higher-density living has created logistical challenges around deliveries, especially in buildings without concierge services or secure parcel rooms. Missed deliveries are common, while parcel theft has become an increasing concern as online shopping volumes continue to rise.

Australia Post itself has repeatedly highlighted the growing issue of “porch pirates” during peak shopping periods, encouraging customers to use Parcel Lockers as a safer alternative to unattended home deliveries.

That security aspect is one of the key reasons the Australia Post Parcel Locker network has grown so rapidly.

Parcel Lockers are positioned as secure, monitored collection points that reduce the risk of theft while also improving delivery efficiency for Australia Post. Instead of multiple redelivery attempts, parcels can be consolidated into a single secure destination.

The Parcel Lockers themselves are free to use through a MyPost account and support a range of parcel sizes up to 16 kilograms and dimensions of approximately 35 x 44 x 61 centimetres.

Beyond receiving parcels, the system has increasingly become integrated into the broader eCommerce ecosystem.

Customers can now use Parcel Lockers to return online purchases, while retailers have embraced the model as a way to improve delivery success rates and reduce friction in the shopping process. Australia Post has actively expanded partnerships with major retailers and promoted Parcel Lockers as part of a broader out-of-home strategy.

The timing of that expansion aligns with broader changes in Australian shopping behaviour.

The acceleration of online retail during and after the pandemic placed enormous pressure on delivery infrastructure. Parcel volumes reached record highs, particularly during Black Friday and Christmas periods, with Australia Post delivering more than 100 million parcels during peak festive seasons.

That growth forced logistics providers to rethink the “last mile” of delivery, widely regarded as the most expensive and operationally difficult stage of the process.

Parcel Locker systems have increasingly been viewed as part of the long-term solution.

The concept itself is not unique to Australia. Parcel Locker networks have become common globally, particularly across Europe and Asia, where dense urban environments and apartment living create similar logistical challenges. But Australia’s geography and suburban sprawl made adoption slower initially.

Now, however, the convenience factor is driving mainstream usage.

For commuters, Parcel Lockers near train stations allow parcels to be collected on the way home from work. For apartment dwellers, they remove the uncertainty around access and missed deliveries.

The rise of the AusPost app has also streamlined the experience, centralising notifications, tracking and Parcel Locker access into a single platform. Australia Post has increasingly pushed customers toward app-based delivery management, partly as a way to combat phishing scams and fake delivery notifications, which have become more sophisticated in recent years.

The Parcel Locker model is also beginning to influence property development itself.

Parcel management has become a growing consideration in apartment building design, particularly as online shopping becomes embedded in everyday life. Many new residential developments are now incorporating dedicated parcel rooms or Parcel Locker systems into foyers and communal spaces.

For developers, parcel management is increasingly viewed as part of the broader resident amenity offering, alongside gyms, wellness spaces and communal work areas.

That reflects a wider evolution in how residential buildings are designed.

Apartment buyers are placing greater emphasis on convenience, security and operational functionality, particularly in higher-density urban environments. Parcel delivery, once considered a minor operational detail, has become an increasingly important part of that equation.

Australia Post’s Parcel Locker network sits at the centre of that behavioural shift.

What began as a simple alternative delivery option has evolved into a key piece of infrastructure supporting Australia’s growing eCommerce economy and changing urban lifestyles.

And as online shopping continues to expand, the role of Parcel Lockers is likely to become even more embedded in how Australians live, shop and receive goods.

How Australia Post Parcel Lockers changed parcel delivery convenience in Australia

Perth’s new apartment market recorded its strongest quarter of sales since Q4 2021, with 412 apartments sold in Q1 2026 and a record quarterly sold value of $537 million, according to Urbis’ latest Apartment Essentials results.

Urbis said the March quarter result reflects strong, highly product‑specific demand across both ends of the market, from more attainable projects delivering at scale, through to premium stock being absorbed by equity‑rich downsizers.&nbsp;

David Cresp, Partner at Urbis, said the key story in Perth is not demand, it is the market’s ability to convert demand into delivered housing.&nbsp;

“This is the strongest sales quarter since Q4 2021, and it reinforces that demand in Perth is real and it’s local,” David Cresp said. “But the task now is delivery, turning that demand into projects that can actually be built and completed.”&nbsp;

[smartcode_project:default project_id=110291 project_image_fid=302785]

<h2>Affordable product leads, premium demand remains resilient</h2>

Sales in Q1 were led by more affordable projects, with The Boulevard (SKS Group) recording 115 sales in the quarter, the presentation noting this is only the second time a single project has surpassed 100 quarterly sales. The project was able to offer more affordable housing product right next to a train station.&nbsp;

Palmyra West (Finbar) also delivered strong results with 28 sales in Q1, following 84 sales in Q4, with an average price of under $800,000, underscoring depth of demand for well‑located, attainable new stock.&nbsp;

At the premium end, Urbis said downsizer demand is continuing, with the results highlighting Romeo (Applecross, Finbar) recording 75 sales and reaching almost 50% sold in one quarter.

Jual (Shenton Park, Celsius Property) also posted a strong quarter with 28 sales, reaching 39% sold in one quarter.

Urbis noted that Perth apartment demand is not speculative, not investor‑led, and not uniform, describing it as localised, often equity‑driven and highly product‑specific, a pattern reflected in the polarisation between strong “attainable” performers and premium downsizer product.&nbsp;

[smartcode_project:default project_id=148957 project_image_fid=364102]

<h2>Prices underpinned by costs, and the delivery risk is growing</h2>

Urbis said pricing pressure is cost not demand‑driven: construction costs and delivery risk are now a central constraint, with the results noting build costs remain elevated and volatile, and that energy, fuel and labour uncertainty weigh on feasibility.

David Cresp said a growing challenge for private Build‑to‑Sell developers is simply securing a builder in the current environment.

“Developers are really feeling the pressure from a building market that was operating at capacity and securing a builder is challenging,” David Cresp said, adding that even where a builder can be secured, “trying to get to the price that makes the development financially viable is incredibly challenging in the current market.”&nbsp;

Urbis’ broader WA commentary also notes that industry remains at or above capacity with lot and housing creation, and that many builders are limiting new sales to manage stretched workforces and fixed‑price contract pressures, conditions that flow directly into apartment feasibility and delivery timing.

[smartcode_project:default project_id=108869 project_image_fid=317905]

<h2>Supply: improving later, but still constrained, and Perth lags eastern benchmarks</h2>

While near‑term supply remains constrained, Urbis’ forecast shows completions lifting “Supply is forecast to be back above 1,500 apartments per annum for the first time since 2019”, with 1,775 completions forecast for 2026, and volumes remaining above that level over the following years.&nbsp;

Looking further ahead, completions are forecast to reach 2,500 in 2028, with the report noting 32% of that total is social/affordable, reflecting the role of government‑supported delivery in rebuilding the pipeline.&nbsp;

However, Urbis said Perth remains behind comparable markets on pipeline scale. In a national comparison of projects under construction, the report shows under construction Perth Build‑to‑Sell (BTS) at 3,446 apartments versus the Gold Coast at 7,922. Mr Cresp said “The challenge for Perth is how to we grow the delivery pipeline”.

Urbis’ conclusion is that Perth’s market is increasingly defined by product discipline and delivery certainty, with the research identifying “delivery certainty is key” and calling out builder risk and procurement models as core success factors, alongside “timing and staging”.&nbsp;

Perth apartment sales hit strongest pace since late 2021 as builder capacity tightens

<a href="https://www.apartments.com.au/developers/sammut-developments">Sammut Group</a> has secured development approval for its latest Brisbane apartment project, marking the Sydney developer’s next step in expanding its Queensland pipeline following the success of its debut Gold Coast development, Coast.

The approved project at <a href="https://www.apartments.com.au/new-apartments/44-glen-road-toowong-qld-4066">44 Glen Road, </a><a href="https://www.apartments.com.au/developments/toowong-qld-4066">Toowong</a> will deliver a 15-storey riverfront apartment building with 42 residences, significantly increasing the scale of the site’s previous approval for a smaller luxury scheme. Designed by Bureau^proberts, the development will comprise a mix of predominantly four-bedroom and two-bedroom apartments positioned to maximise Brisbane River and city views.

Sammut Director Julian Sammut said the group had been actively searching Brisbane for several years before identifying Toowong as the right fit.

“Brisbane was the right step for Sammut,” Sammut said.

“With the success of Coast we thought we should definitely look to do more in Queensland alone. We then pushed up to look at Brisbane. We've been looking for I'd say two to three years actually and it was hard to find the right location.”

<img alt="Sammut makes Brisbane apartment play" data-entity-type="" data-entity-uuid="" src="https://res.cloudinary.com/dz9xllyip/image/fetch/f_auto,c_limit,w_1440,q_75/https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/field/image/Screenshot%202025-12-23%20at%203.27.14%E2%80%AFPM.png?VersionId=dYAVIL7qdcGA8ojvkslSrLjczXFejSSx" />

Sammut said suburbs including New Farm and Teneriffe were considered before the group ultimately focused on Toowong due to its strong downsizer demographic and limited supply of developable riverfront land.

The site was acquired off-market after what Sammut described as a lengthy negotiation and planning process, with the developer pursuing an uplift to the original approval.

“We are DA approved now which is very exciting,” Sammut said.

“We've had our change approval come through and we've obviously doubled the height, 15 storeys plus rooftop. We've got 42 amazing apartments that are going to be coming to market soon.”

<img alt="Sammut makes Brisbane apartment play" data-entity-type="" data-entity-uuid="" src="https://res.cloudinary.com/dz9xllyip/image/fetch/c_scale,w_580,dpr_2.0,q_auto:good/https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202025-12-23%20at%203.27.26%E2%80%AFPM.png?VersionId=ohkRkY0dIZlqdfME2EZePsCQavRiBadE" />

Bureau^proberts said the design responds to Toowong’s evolving urban character, balancing contemporary apartment living with the area’s established residential identity.

“A place where traditional Queensland living has taken place for centuries; Toowong is seeing a shift of contemporary influence, commercial and retail hubs mixed with well-considered residential offerings – all the while maintaining its character and charm,” the architect noted in planning documents submitted to Brisbane City Council.

The architecture practice said the project’s form was shaped by its riverfront setting, flood considerations, neighbouring building scales, and view corridors.

“They said the mix of four and two-bedroom apartments capture the ‘fundamental qualities of Queenslander living,’ translated into the context of a contemporary subtropical building.”

The development sits just off Coronation Drive within walking distance of Toowong’s retail precinct and the upgraded Regatta ferry terminal, while also benefiting from proximity to the incoming green bridge connection to West End. Sammut said the accessibility and amenity offering were central to the site’s appeal.

The approval adds to growing residential activity along the Toowong riverfront, joining nearby projects including Consolidated Properties’ Monarch Residences and Spyre Group’s ARC Residences.

Sammut secures approval for debut Brisbane apartment development in Toowong

Developer Lanevick is heading back into Sydney’s apartment market after focusing more heavily on the luxury townhouse and terrace sector in recent years.

Lanevick, founded and directed by Steve Maroun, is expecting to receive approval in the coming months for a new apartment development in Gladesville, with the aim to launch it to the market later this year.

The 51-apartment project, designed by Studio Johnston, will comprise a mix of one-, two-, and three-bedroom apartments positioned toward the Hunters Hill downsizer market.

“Traditionally it’s been difficult for people in that market to downsize because there just hasn’t been the right product available,” Maroun said.

“We’re targeting buyers who might have 30 to 40 per cent of their house value sitting in the bank after downsizing.

“They still want good spacious entertaining areas, they still want quality design, but they also want flexibility and the ability to enjoy life a bit more after working hard for a long time.”

The project sits near Boronia Park and within close proximity to the Parramatta River foreshore, an area Maroun says offers more of a Hunters Hill lifestyle than a traditional apartment precinct.

“From a lifestyle perspective, it’s really more Hunters Hill than Gladesville,” Maroun said. “You’re close to the foreshore, close to parklands, and still connected back into the village precinct.”

From level four and above, apartments will capture water views&nbsp;toward Sydney Harbour. Communal amenity will include rooftop entertaining areas, wellness spaces, and a gym tailored toward owner-occupier buyers.

“We’ve really designed these apartments around that buyer coming from the Hunters Hill LGA and what they’re actually looking for in their next chapter.”

The proposed development has also been designed to respond to the changing character of the broader Gladesville town centre, where a growing number of mixed-use and residential proposals are expected to emerge over the coming years.

“Gladesville presented a rare opportunity to deliver a genuinely design-led residential project within an evolving lifestyle precinct, just moments from the growing Gladesville town centre, and we’ve approached the project with a strong focus on architecture, liveability and long-term community value,” Maroun said.

Maroun said Lanevick saw a first-mover advantage within the precinct as planning controls continue to evolve to accommodate greater housing density.

“We think there’s a real opportunity there that hasn’t really been serviced properly yet,” he said.

“There’s going to be a broader evolution of the whole Gladesville village precinct over time, particularly with more activation and mixed-use outcomes.”

The Venus Street proposal will include a commercial and retail component at ground level designed to contribute to that evolving streetscape activation.

“A big part of the thinking was how do you activate that area properly and create more vibrancy and amenity, which is what Hunters Hill has been looking for,” Maroun said.

Lanevick’s focus since 2020 has largely been on smaller-scale luxury townhouse and terrace developments. The developer recently completed Royale Randwick, also designed by Studio Johnston, where prices reached $3.65 million. The project was featured in the UDIA NSW 2026 Professional Development Prospectus and was also named a finalist for Development of the Year.

&nbsp;

Larry Schlesinger

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