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The Perth property market has turned the corner and is now well into its upswing, according to property clock estimates from property valuers and investment advisors WBP Property Group.
WBP places Perth houses at seven o’clock on the property clock and its unit market further into an upswing at eight o’clock.
<img src="/images/stories/2012/10/clock-generic.jpg">
<ul>
<li>At 12 o’clock the market is at its peak (demand exceeds supply)</li>
<li>At 3 o’clock the downswing has set in (an evenly supplied market)</li>
<li>By 6 o’clock it has bottomed out (an oversupplied market).</li>
<li>At 9 o’clock the market is rebounding (supply tightening)</li>
</ul>
In its commentary on the Perth detaching housing market, WBP says supply has decreased and there has been a "significant increase in buyer activity in the sub-$500,000 market".
“Yields are continuing to rise as rental levels increase, which is resulting investors come back into the market.
“With supply issues now coming into effect and housing shortage becoming more evident, it is considered the cycle will continue for the medium term,” says WBP.
Taking a look at the Perth unit market, WBP says strong rental demand and the increase in the median rental has resulted in higher yields.
“Investors that are looking for even to positively geared properties are active in the sector,” says WBP.
According to October data from RP Data-Rismark released yesterday, Perth was the strongest performing market over the month, with dwelling values up 0.4% over the month and 3.5% year-on-year to a median of $460,000.
The Perth median house price is up 3.8% year-on-year to October to a median of $475,000, while unit prices are 3.5% to a median of $397,500.
RP Data puts Perth yields at 4.5% for houses and 4.9% for units.
According to RP Data senior research analyst Cameron Kusher the Perth housing market is just starting to turn around after more than five years of decline.
"Perth prices are still 7% below their peak," he says.
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Perth property market into its upswing: WBP

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As lenders continue to cut fixed-rates, demand for this mortgage type rose to a six-month high, according to October mortgage approval figures from Mortgage Choice.
Over the month, 22% of all new home loans taken out by new borrowers via a Mortgage Choice broker were for fixed rates, just above the 12-month average of 21%.
The most recent lender to cut its fixed-rate mortgages was Credit Union Australia (CUA), the nation’s biggest customer-owned lender, which dropped its one, two and three-year fixed rate home loans to 5.3% this week, following moves by other lenders throughout the month.
Currently, <a target="_blank" href="/news">three lenders offer a one-year fixed rate home loan under 5%</a> while Mortgage Choice says seven lenders on its panel dropped their fixed-rate loans over the past week.
Of those borrowers who did lock in a fixed-rate, the most popular term (74% of all fixed-rate home loans) was three years, followed by two-years (16%).
Only 5% of fixed-rate borrowers chose a one-year fixed rate term.
“Following speculation last month of fewer rate cuts to come this year, and the latest CPI data hinting at less rate activity, it comes as no surprise that borrowers are taking advantage of the good fixed rate loan offers available. By securing their interest rate they are also locking in peace of mind over the next few years," says Mortgage Choice spokesperson Belinda Williamson.
The Mortgage Choice October figures also show a considerable uplift in the preference for ongoing discount rates loans, reaching 40% of all new loans approved. This follows two consecutive monthly drops in demand in August and September.
 “There was a downward trend on the popularity of discount rates loans – where the loan is discounted over the entire loan term – in the months before October, as economists were predicting a number of rate cuts by the Reserve Bank before the end of the year,” says Williamson.
“This month appeared to buck this trend however, as we saw an increase in ongoing discount rate loan appeal. As the talk of further rate cuts dries up, this increase shows more borrowers are now shopping around for long-term bargains.”
Standard variable rate loan demand fell by three percentage points to 15% of all new loan approvals, while the preference for basic variable rates remained steady at 19%.
Demand for line of credit loans - popular with investors - fell by one percentage point to 3% and introductory rate popularity remained at less than 1%.
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Demand for fixed-rate mortgages climbs to six-month high: Mortgage Choice

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The median <a target="_blank" href="/news">Hobart </a>house price fell by 8.1% to a median of $340,000 in the September quarter, according to the latest figures from the Real Estate Institute of Tasmania (REIT).
This has pushed back prices to levels last seen around early 2008.
The median house price fell despite a 4.2% rise in the number of Hobart houses sold over the quarter to 393 and the number of days taken to sell a house decreasing by one day to 58.
Across the state there was a 6.2% increase in house sales to 1,242.
Figures released yesterday by RP Data-Rismark suggest Hobart house prices are continuing to fall, recording a 4.5% fall in the Hobart dwelling price over October (one month ahead of REIT figures) to a median of $300,375 with houses down 3.8% ($313,000) and units down 10.1% ($247,500).
According to the REIT, <a target="_blank" href="/news">Launceston </a>was the only region in Tasmania to record an increase in its median house price over the quarter – up just 0.9% to a median of $265,000 and the only region to record an increase in median rent paid per week, with the rent for two-bedroom units up 20% for the quarter ($270 per week) and the year, and rent for three-bedroom houses steady for the quarter ($240 per week).
Across the state the median house price fell 1.7%, a 3.4% decrease overall for the year, to a median of $285,000, while unit prices fell more steeply, down 3%, a 4.2% decrease overall for the year to a median of $232,750.
The decline did not affect the prestige suburb of <a target="_blank" href="/news">Sandy Bay</a>, just south of the CBD, where the median sales price was up 26% over the quarter and 4.9% year-on-year to a median of $640,000.
The most affordable suburbs or town in Tasmania is <a target="_blank" href="/news">Queenstown</a>, where the median price has risen 33% over the past 12 months to September to $100,000.
Click to enlarge
<a title="Click to enlarge" rel="shadowbox" href="/images/stories/2012/10/reitnov2.gif"><img src="/images/stories/2012/10/reitnov2thumb.gif"></a>
The price declines were particularly severe in the outer suburbs of Hobart, where the median house price fell 8.3% over the September quarter to a median of $307,250 to be down 11.6% over the past 12 months, while unit prices fell 18.5% over the quarter to a median of $232,250, down 17.8% since September last year.


<hr class="system-pagebreak">
House prices declined in the middle suburbs by 10.2% over the quarter to a median of $300,750, while units in the middle suburbs were more resilient, holding steady at a median of $241,000 and down a relatively modest 3.6% year-on-year.
Click to enlarge
<a title="Click to enlarge" rel="shadowbox" href="/images/stories/2012/10/reitnov21.gif"><img src="/images/stories/2012/10/reitnov21thumb.gif"></a>
The severe house price declines in the suburbs did not extend to the inner city, where house prices rose 7.9% to a median of $469,150 while units fell marginally by 1.9% to a median of $321,250.
REIT president Adrian Kelly says the increased number of sales over the quarter is a “positive sign bringing real estate in Tasmania back to a similar position as it was at the beginning of the year”.
“Anecdotal evidence from agencies across the state also indicates they are receiving similar or more enquires about properties for sale,” he says.
“There are currently seven municipalities across Tasmania recording a median house price higher than that of the state median, those being Brighton, Clarence, Hobart, Huon Valley, Latrobe and the West Tamar.”
First-time buyers increased slightly for the quarter, accounting for 18% of house sales across the state, with a median house price of $237,500.
<a target="_blank" href="/news">Devonport </a>on the central north coast of Tasmania recorded the highest number of sales for the quarter of 38. Despite this, house prices fell 14.2% to a median of $220,750 and are down 7.2% year-on-year.
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House prices tumble further in Hobart suburbs despite rise in sales activity: REIT

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Private investors were the most active purchasers of Brisbane industrial property over the year to September, according to research by Savills.
These investors bought 43% of the $500 million worth of industrial property that was reported as sold in Brisbane over this 12-month period.
The chart also shows that more than a third (36%) of businesses have been snapping up their own warehouse premises rather than rent – not surprising, as industrial land values have fallen 30% since 2007, according to Savills.
 
<img src="/images/stories/2012/11/pie_chart2.gif" width="500" height="326" alt="pie_chart2">
Click to enlarge
<a href="/images/stories/2012/10/savillsnov2.gif" rel="shadowbox" title="Click to enlarge"><img src="/images/stories/2012/10/savillsnov2thumb.gif"></a>
Savills reports that there is a good level of activity for industrial assets priced between $2 million and $5 million across "all asset types and precincts".
Yields range between 7.75% and 9.75% for industrial property across Brisbane.
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Private investors top buyers of Brisbane warehouses 

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The brief rally in Melbourne dwelling values ended in October with property values expected to bounce around near the bottom of the market for another 12 to 18 months, according to RP Data senior research analyst Cameron Kusher.
As the quarterly data (below) shows, Melbourne median house values are flat again, while unit prices are starting to decline after rising strongly in August and September. 
<table cellpadding="0" cellspacing="0" border="1"><tbody>
<tr>
<td valign="top" width="99"></td>
<td valign="top" width="84">
MEDIAN HOUSE PRICE
</td>
<td valign="top" width="86">
QUARTERLY CHANGE
</td>
<td valign="top" width="83">
RENTAL YIELD
</td>
</tr>
<tr>
<td valign="top" width="99">
OCTOBER
</td>
<td valign="top" width="84">
$508,000
</td>
<td valign="top" width="86">
0.6%
</td>
<td valign="top" width="83">
3.6%
</td>
</tr>
<tr>
<td valign="top" width="99">
SEPTEMBER
</td>
<td valign="top" width="84">
$507,750
</td>
<td valign="top" width="86">
2.8%
</td>
<td valign="top" width="83">
3.6%
</td>
</tr>
<tr>
<td valign="top" width="99">
AUGUST
</td>
<td valign="top" width="84">
$495,000
</td>
<td valign="top" width="86">
2.6%
</td>
<td valign="top" width="83">
3.6%
</td>
</tr>
<tr>
<td valign="top" width="99">
JULY
</td>
<td valign="top" width="84">
$510,000
</td>
<td valign="top" width="86">
-0.2%
</td>
<td valign="top" width="83">
3.6%
</td>
</tr>
</tbody></table>
 
 
<table cellpadding="0" cellspacing="0" border="1"><tbody>
<tr>
<td valign="top" width="86">
 
</td>
<td valign="top" width="86">
MEDIAN UNIT PRICE
</td>
<td valign="top" width="97">
QUARTERLY CHANGE
</td>
<td valign="top" width="75">
RENTAL YIELD
</td>
</tr>
<tr>
<td valign="top" width="86">
OCTOBER
</td>
<td valign="top" width="86">
$420,000
</td>
<td valign="top" width="97">
-1.3%
</td>
<td valign="top" width="75">
4.5%
</td>
</tr>
<tr>
<td valign="top" width="86">
SEPTEMBER
</td>
<td valign="top" width="86">
$417,500
</td>
<td valign="top" width="97">
4%
</td>
<td valign="top" width="75">
4.3%
</td>
</tr>
<tr>
<td valign="top" width="86">
AUGUST
</td>
<td valign="top" width="86">
$428,750
</td>
<td valign="top" width="97">
2%
</td>
<td valign="top" width="75">
4.4%
</td>
</tr>
<tr>
<td valign="top" width="86">
JULY
</td>
<td valign="top" width="86">
$426,000
</td>
<td valign="top" width="97">
-0.7%
</td>
<td valign="top" width="75">
4.4%
</td>
</tr>
</tbody></table>
 Source: <a href="https://www.myrp.com.au/" target="_blank">RP Data</a>. Note the median price is the middle price of all settled sales over the three months to the end of the final month.
“Melbourne did start to see a recovery in the last six months, but we were always a little bit surprised at this recovery,” Kusher says.
“The market did not correct for very long or by very much though and there is still the potential for further correction.”
Kusher says it could be 12 to 18 months before the market starts rising, and even then gains are likely to be modest.
Melbourne also has the weakest rental yields for both houses (3.6%) and units (4.5%) of all capital cities and is also the only capital city where gross returns (capital growth combined with rental income growth) are in negative territory (-0.8% in October), providing little  incentive for investors.
“Investors should be looking outside of Melbourne," Kusher says.
“The low rental yields are just a function of strong price growth over the last four to five years to late 2011, but with no pressure on rents due to extra housing coming through from the inner city unit market,” he says.
Unit values fell 3.2% over October to a median of $420,000, and Kusher says oversupply from inner -city developments is definitely a factor.
“There is a huge amount of supply in areas like Docklands and the CBD.”
Kusher says property market observers should keep in mind that a market like Perth is just starting to turn around, having taken 5 ½ years to fall from its peak. This was also the case with the Sydney market.
“Perth is just turning around and is still 7% below its peak. Sydney fell 10% from peak to trough,” he says.
Melbourne property prices only started trending down in late 2011 and are currently down only 2.4% from a year ago – the recent rally helping to correct some of the previous losses.
Kusher says the outlook is a little better for Melbourne houses than units.
This is principally because residential developers, which hold of lot of land-banked stock on the outskirts of the city, can hold off releasing this to the market.
However, developers of inner-city apartments that have sold off the plan are already committed to build, or in many cases, apartment projects are already under construction.
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Property investors should look outside of Melbourne as short-term rally ends: RP Data

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Nearly two-thirds of property investors and buyers expect the cash rate to fall over the next six months, according to a survey of more than 800 Property Observer readers.
More than a third (35%) of those surveyed expect one more rate cut over the next six months – the most popular choice among readers of the website with just over a quarter (28%) expecting two rate cuts (50 basis points)  between now and March next year.
However, a significant proportion – roughly in one five – expect no more rate cuts over this period while more than one in ten readers (12%) expect the cash rate to rise by either 25 basis points or 50 basis points in the short term.
The results of the survey suggest there is fair amount of uncertainty among investors and borrowers about the direction of interest rates.
This is also borne out by the response to a refinancing question in the survey with just a quarter of borrowers saying they would consider refinancing over the next year - a lower mortgage rate is a reason why many borrowers would refinance.
The results of the survey come less than a week until the Melbourne Cup Day November RBA cash rate decision, where sentiment has swung from a sure-bet of a rate cut to it now being a close call following a speech by RBA deputy governor Philip Lowe, who said “very low interest rates in many other economies should not be seen as a good thing or something to aspire to”.
<a href="/news">Commonwealth Bank chief economist Michael Blythe</a> interpreted the speech to mean that it was now only a “50-50 call” as to whether the RBA would cut rates.
Similarly, in a recent column for the Australian Financial Review, economist Christopher Joye said November rate cut hopes were dimming <a href="https://www.propertyobserver.com.au/news/fewer-economists-expecting-a-november-cup-day-rba-rate-cut-bloomberg/2012102657470">despite 21 out 28 economists polled by Bloomberg</a> still expecting the RBA to trim further.
Joye highlighted that bank interest rates rather than the target cash rate set by the RBA were having more of an impact on stimulating demand.
“The RBA is belatedly starting to acknowledge that interest rates, as opposed to its target cash rate, are getting quite stimulatory for rate-sensitive sectors,” said Joye.
"Two major banks have now cut the price of their fixed-rate home loan products to 20-plus-year lows. Unsurprisingly, auction clearance rates are reinvigorating," he added.
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A maximum of two more rate cuts to come say uncertain Property Observer readers

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Frank Lowy, the co-founder and chairman of the Westfield Group, has been inducted into the newly launched Australian Property Hall of Fame.
Lowy received the industry honour in front of 600 guests at the Property Council’s Property Congress gala dinner in Sydney last night.
The Australian Property Hall of Fame has been established by the Property Council of Australia to "honour individuals for their major pioneering contribution, sustained leadership and lasting legacy to the property industry and Australian society".
Lowy founded what was later to become Westfield alongside fellow Hungarian immigrant John Saunders.
Their first venture as business partners was in a small sandwich selling partnership until they set up their own delicatessen in <a target="_blank" href="/news">Blacktown</a>. They opened their first shopping centre, Westfield Place in July 1959.
Lowy came to Australia with his family via Israel in the early 1950s having survived the Nazi occupation of Hungary.
Lowy was inducted alongside the late Dick Dusseldorp, founder and chairman, of Lend Lease Corporation and the late Ray Powys, AMP’s first property investment manager and founding president and inaugural CEO of the forerunner to the Property Council, the Building Owners and Managers Association.
Property Council National President Darren Steinberg said each of the three inductees were giants of the industry.
“The Australian Property Hall of Fame acknowledges property industry pioneers whose astonishing imagination, unbridled energy and keen entrepreneurial talents transformed Australia into a dynamic, prosperous society,” Steinberg said.
“The inaugural inductees not only shaped Australia’s urban landscape, they helped unleash an aspirational ethos and vitality that defines our national identity.”
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Westfield co-founder Frank Lowy inducted into Australian Property Hall of Fame

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An internal ASIC taskforce will investigate the collapse of Victorian non-bank lender and debenture issuer Banksia as well as consider regulation of the wider Australian unlisted debenture sector.
Banksia Securities collapsed last week placing $660 million in small investor savings at risk. The financier lent on debenture holders' money as mortgages to fund property purchases.
Apart from Banksia, the other notable debenture issuer to collapse recently was <a href="https://www.propertyobserver.com.au/https://www.propertyobserver.com.au/news/provident-capital-s-creditors-vote-to-liquidate/2012102457415" target="_blank">NSW-based non-bank lender Provident Capital,</a> with unsecured creditors voting to liquidate the $130 million sub-prime lender last week.
Debenture issuers unlike banks, building societies and credit unions are not generally regulated by APRA nor are there any prudential standards that apply.
The ASIC taskforce will be led in Melbourne by Commissioner John Price and will make its recommendations to Treasury.
“The <a href="https://www.propertyobserver.com.au/https://www.propertyobserver.com.au/industry-news/victorian-non-bank-lender-banksia-securities-collapses/2012102657456">failure of Banksia</a>, an unlisted debenture company that has operated a mortgage financing business across a large part of regional Victoria, will affect the lives of many everyday Australians. ASIC wants to take a closer look as it is another area of retail-funded shadow banking,” says ASIC chairman Greg Medcraft.
"At the moment there are laws around disclosure and, to a limited extent, the conduct of debenture issuers. But we need to lift the regulatory intensity to make sure that investors are confident and informed.’ "The taskforce will review the extensive work we’ve done to date around the regulation of the unlisted debenture sector. The taskforce’s work may involve making recommendations to Treasury about law reform given we have pushed the existing conduct and disclosure regime to its limit.’ "We will also work closely with Banksia receivers and managers McGrath Nicol to try and get the best result for Banksia investors and retail clients who Banksia provided credit to.
"Importantly, we’ll also continue to remind debenture trustees of their obligations as gatekeepers to protect investors and monitor debenture investments - particularly bad loans and liquidity problems,” says Medcraft. 
Prior to the collapse of Banksia and Provident Capital, unlisted debenture issuers were on ASIC’s radar with the watchdog undertaking “general market reviews” of the sector and conducting “risk based surveillances on a small number of debenture issuers”.
ASIC is not a prudential regulator but will monitor disclosures made by debenture issuers.
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ASIC taskforce to investigate Banksia collapse and seek regulation of unlisted debenture sector

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Meriton has enough development land in its Sydney war chest for now and will not buy any more development sites unless the deal is “very attractive”, according to founder Harry Triguboff.
Australia’s biggest apartment builder has acquired six sites in Sydney this year at a combined cost in excess of $200 million.
The sites have the capacity for 2,000 apartments worth around $1.3 billion.
“We will only buy more land now if we consider the deals are very attractive,” said Triguboff in a report in The Australian.
“We have enough stock of land to develop and it is not necessary to take on debt.”
Meriton most recent development site purchase was a $21 million acquisition of a former industrial property in Rosebery in inner south-east Sydney with plans to build 200 apartments.
Triguboff’s biggest site acquisition this year was in Chatswood on Sydney’s north shore, with approval for 547 apartments. Meriton paid $50 million for the Thomas Street car park with plans for two towers of 29 stories each, one of which will be retained by Meriton as serviced apartments – a growing part of the Meriton business.
Other acquisitions included $48.5 million spent to acquire the controversial Lewisham Estates development site which has amended potential for between 377 and 430 units.
Meriton has also acquired sites in Talavera Road in North Ryde (423 units), South Dowling Street, Zetland (400 units) and McEvoy Street. Waterloo (200 units)
As it prepares to embark on its new building program, Meriton is also seeking to sell around 700 of its older Meriton apartments, some up to nine years old.
Meriton receives the full purchase price on older units immediately but must wait until new projects are completed to receive full payment on new apartment sales.
Older apartments up for sale include 400 units at South Dowling Street, Waterloo (priced around $600,000), 100 waterfront units at Abbotsford (around $650,000) as well as 170 units on the Gold Coast (around $420,000).
Triguboff expects interest rates to fall further making it cheaper to buy an apartment then rent.
He says borrowers can source variable loans as low as 5.5% well below the advertised variable rates of the banks at around 6.5%.
He expects rates to fall to around 4% and says rents are not rising.
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Debtless Meriton halts Sydney apartment site buying spree as it seeks to sell 700 older apartments: Harry Triguboff

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A four month mini-rally in capital city dwelling values has ended, with RP Data-Rismark recording a 1% fall over the eight capital cities in October to a median national dwelling value of $460,000.
The small fall in October follows dwelling value gains of 1.4% in September, no change in August, a 0.6% rise in July and a 1% gain in June.
A noticeable decline was the 3.2% fall in Melbourne unit values over the month, down 6% year-on-year to a median of $420,000.
“In particular, Melbourne unit values have shown a greater decline in values than any other mainland capital city over the past 12 months,” notes RP Data-Rismark.
Market commentators have warned that the Melbourne apartment market is heading into a situation of oversupply, particularly due to the large number of projects underway in the city and <a target="_blank" href="/news">Docklands</a>.
Click to enlarge <a title="Click to enlarge" rel="shadowbox" href="/images/stories/2012/10/rpnov1.gif"><img src="/images/stories/2012/10/rpnov1thumb.gif"></a>
Delivering housing forecasts last month, BIS Shrapnel managing director Robert Mellor said there would a big rise in new apartments being completed in Melbourne over the next two to three years, exacerbating the current oversupply of housing in the city.
RP Data research director Tim Lawless says the weak October result highlights how “delicately balanced the Australian housing market is”.
“Whether the October decline is a blip on the path to a recovering market or a sign of further weakness is yet to be seen.
“Other indicators are suggesting the market has gathered some strength, with auction clearance rates holding firm around the 60% mark across the two major auction markets and owner-occupier housing finance numbers showing steady improvements since February 2012, albeit from a very low base.”
However, he also points out that despite the current cash rate of 3.25% being just 25 basis points higher than the “emergency lows seen in 2009, there has yet to be a real improvement in consumer confidence or housing market transaction volumes”.
“Until we see optimists outnumber pessimists in consumer confidence surveys, a recovery in the housing market is likely to remain precarious,” he says.
<hr class="system-pagebreak">
Among the major capital city markets, the greatest decline was recorded in Adelaide where dwelling values declined by 2.4% to a median of $370,000 though they are still up for the quarter (1.3%).
Melbourne dwelling values fell 1.1% to a median of $470,000 to leave its housing market flat (0.4%) over the past three months.
Sydney property values fell by 0.9% to a median of $530,000 to be largely unchanged on a year ago (up 0.6%). It remains the strongest performing mainland capital city market for 2012 up 2.4% since January.
Brisbane also registered a 0.9% decline to a median of $410,000 – down just 0.8% year-on-year.
The stand-out major capital city market remains Perth, which recorded a modest 0.4% gain to $460,000, with property values up 3.5% since October last year.
Among the smaller markets, Darwin continues to surge, with a 4% rise recorded over October to a median of $486,000 and up 8.6% on a year ago.
Hobart (down 4.5% in October, 4.6% year-on-year) and Canberra (down 1.3% in October and 1.6% year-on-year) continue to fall.
Click to enlarge
<a title="Click to enlarge" rel="shadowbox" href="/images/stories/2012/10/rpnov12.gif"><img src="/images/stories/2012/10/rpnov12thumb.gif"></a>
Unit values were slightly more resilient that houses in October, declining 0.6%, compared with the 1% decline for houses.
Rismark International’s CEO, Ben Skilbeck, commented, “We are starting to see a reversal of the relatively poor performance of the top 20% of the market as compared to mid-market segment. Over the last quarter the top 20% of suburbs by price have outperformed both the mid-market and the bottom 20%.”
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'Precarious' housing market recovery halts in October: RP Data-Rismark

<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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