<html><body>
The Australian arm of Parragon Publishing, the world’s largest illustrated non-fiction book publisher, has relocated across the Yarra renting office space in Richmond at a net rent of $320 per square metre.
It will rent half of the top floor (460 square metres) of building 2 in the <a href="https://www.realcommercial.com.au/property-offices-vic-richmond-5542594" target="_blank">Richmond business park at 658 Church Street, with CBD views.</a>
Other tenants in the business park include Just Jeans, Mattel, Country Road and advertising agency DDB.
The publisher had previously rented office space in the Como Centre on Chapel Street, just on the other side of the Yarra River.
Current leasing listings suggest Parragon was paying more to lease space on Chapel Street, with space in the Como Centre currently being advertised at $340 per square metre excluding GST and outgoings.
The new three-year lease was negotiated by Michael Darvell, senior executive for office leasing at Colliers International.
“The rental rate reflects a quality asset right in the heart of Richmond’s commercial hub,” says Darvell. 
 
The lessor is PodCo Property, a property development company, headed by well-known former commercial agent Anthony "Pod" Wilson. 
</body></html>

lschlesinger-FZcF9M3vE6

Non-fiction book publisher Parragon moves from South Yarra to Richmond at $320 per square metre

<html><body>
A Centuria fund holding a non-CBD Brisbane office building has been named as the unlisted property fund of the year at the 18th Annual Property Funds Industry Forum this week.
The closed-end unlisted property fund comprises a two-storey office building at 19 Corporate Drive, <a target="_blank" href="/news">Cannon Hill</a>, six kilometres from the Brisbane CBD within the Southgate Corporate Park and was constructed in 2008.
Centuria was commended for its high level of income return and forecast capital gain the fund will provide investors.
The fund will deliver a return of 9.75% to investors in its first year, rising to 10% in its second year, with distributions paid quarterly.
Centuria expects capital growth from the asset from actively managing it as well as a wider recovery in the property market over the long term.
Centuria purchased the two-storey office building for $23.3 million in September (excluding stamp duty) at 4.9% discount to the independent valuation and a 19% discount to the previous sale in May 2008.
The building features over 6,000 square metres of net lettable area and is fully occupied, tenanted by Honeywell, Canon, Westpac, NAB, Optus, GM Holden, Orica, Rivercity Motorway QBuild and a number of state and federal government departments such as the National Archives of Australia (federal government) and the National Broadband Network Co, with a weighted average lease expiry term of just under five years and fixed annual rent increases of 3.8% per annum.
Retail tenants include McDonald's, Coffee Club and First Choice Liquor. There is also a childcare centre and a medical centre.
Investors were required to make a minimum investment of $100,000 held for six years with the aim of raising $15.8 million in equity.
Centuria notes that the only at-risk tenant is Rivercity Motorway (operator of the CLEM7 tunnel in Brisbane), which is currently in administration, though it is not currently in arrears on its lease.
Jason Huljich, chief executive of Centuria Property Funds, says the company is experiencing strong demand from individual investors and wealth management groups and has “great expectations” for the 19 Corporate Drive Fund.
“Investors are seeking opportunities that provide strong income returns backed by ‘hard assets’. Property as an asset class, with its high proportion of total return generated by income yields, is well positioned to meet this demand," he says.
</body></html>

Centuria Brisbane office fund generated 10% returns and named unlisted fund of the year 

<html><body>
<img src="/images/stories/2012/10/kflogo.jpg">
Eugene Evgenikos is Knight Frank’s national director of industrial property.  He tells Property Observer he is seeing a lot more interest from offshore investors. He would invest a spare $750,000 in the south Sydney industrial market.
How long have you been in the industry?
<img style="margin: 5px; float: left;" src="/images/stories/2012/10/eugene.png">
Twelve years.
What’s happening in the area you specialise in?
We are seeing increased levels offshore investor activity coupled with further concentration of ownership of industrial property with landowners.
Describe the most interesting property you have sold.
A 27,000-square-metre property that was the last holding of the<a target="_blank" href="https://properties.knightfrank.com.au/wp-content/plugins/Realty/display/elements/brochure.php?property_id=81995"> original ACI Glass Factory in Waterloo</a> (ACI merged with Corning Glass Works of USA to form Crown Corning Limited in 1972, now called Crown Commercial). It was always an exciting facility to inspect. Unfortunately the facility was demolished to make way for a bulky goods warehouse.
What are the ingredients to being successful in your job?
Passion, commitment, enjoyment, dedication.
What aspects of your role do you enjoy the most?
Firstly the people. Meeting successful and self-made individuals has been amazing. Many of these people have influenced me, and I would like to think I have been able to influence (reciprocate) or add to their success.   There is no rule book or manual in property, but you do need the ability and scope to think laterally and creatively.
Where would you invest a spare $750,000?
In the south Sydney industrial market. This is one of the most "bulletproof markets", but like any market, you need to understand what the drivers are.
Which football team do you support?
Sydney FC, Parramatta Eels, Waratahs, Sydney Swans.
What’s your favourite app or techno gadget?
I am a devoted Blackberry user going against the convention of using iPhones. I am lost without it.
How do you use social media?
More so to keep in contact with overseas friends and relatives, but I’m starting to use social media professionally.
</body></html>

In profile, Knight Frank’s head of industrial Eugene Evgenikos 

<html><body>
The historic Lygon Street premises of Donati’s Fine Meats in Carlton has sold for $2.89 million at auction, with a private investor paying nearly $1.4 million above pre-auction expectations for the trophy inner-Melbourne retail asset.
<img src="/images/stories/2012/10/donatis.jpg" width="470">
The price equates to $38,533 per square metre for the 75-square-metre two-level <a href="/news">Carlton</a> premises, a yield of just 2.31%.
The 402 Lygon Street building was up for sale for the <a target="_blank" href="https://www.propertyobserver.com.au/retail/historic-lygon-street-butcher-prepares-to-meat-the-market-at-auction-with-%2415-million-plus-hopes/2012101657212">first time in 100 years</a>, having operated as a butchery since the early 1900s, with Donati's based there since 1972. 
Colliers International agent Jeremy Gruzewski, who led the campaign alongside colleague Tom Noonan, admitted the price paid made little financial sense, with emotion driving the bidding.
“People have been ringing me and asking if it was a misprint,” he told Property Observer soon after the October 30 auction.
<img src="/images/stories/2012/10/donatisflicker.jpg" width="470">
The two most recent sales on Lygon Street were the 84-square-metre premises of Intrepid Travel at 231 Lygon Street, which sold for $1.9 million in July last year equating to $22,619 per square metre and a passing initial yield of 3.62%, and 163-165 Lygon Street, the premises of Casa Del Gelato, which sold for $2.8 million ($10,294 per square metre) in June 2010 on a yield of 3.48%.
In absolute terms, the highest price paid since August 2008 was $3.71 million paid for 350 Lygon Street, a two-level corner site in November 2009 measuring 173 square metres, equating to $21,445 per square metre. The shop is leased to national hamburger chain Grill’d.
The sale of the butchery premises is only the eighth sale of retail premises on Lygon Street in the last four years, reflecting just how tightly held the retail strip is, with the low yields reflecting the attraction of owning property on one of Melbourne’s most famous suburban retail strip, which is lined with Italian restaurants, ice-cream shops and cafes.
Gruzewski says emotions were the overriding factor driving the record price per paid per square metre for the butchery, which attracted a lively, 60-strong crowd and an opening bid of $1.4 million.
In total there were almost 80 bids, with three parties pushing the price upwards, before finally selling to the unnamed high-net-worth investor.
“The property generated in excess of 70 enquiries from owner-occupiers and investors looking for a well-located retail investment,” says Noonan.
“There is an enormous level of demand for retail properties of this size and within close proximity to the CBD."
Gruzewski says the purchaser plans to own it as an investment in the medium term.
“This sale re-enforces the strength of the Melbourne retail investment market, which has been driven by investors wanting to secure well-located retail properties under $3 million.
“402 Lygon Street was further evidence that there is a continued strong demand from investors to secure city fringe freehold assets with genuine value add potential.
“A sale of this magnitude begs a couple of questions. Firstly, is the confidence of Melbourne investors on the rise, and secondly, is the imminent interest rate reduction making investors look to old fashioned ‘bricks and mortar’ to place their cash? We certainly think so, on both fronts.”
</body></html>

Lygon Street premises of Donati's Fine Meats smashes records with emotion-driven $2.89 million sale at auction

<html><body>
A speech last night by RBA deputy governor Philip Lowe has reduced what seemed like a sure bet cash rate cut on Melbourne Cup Day to only a "50-50 call", according to Commonwealth Bank chief economist Michael Blythe.
Blythe says the overall impression of the speech is that “lower interest rates may be required at some point but there was no strong signal that the Bank was preparing to cut rates at next week’s board meeting”.


“We still favour a Melbourne Cup Day rate cut but it is increasingly looking like another 50?50 call,” he added.
Speaking at the Australasian Fixed Income Conference, where he gave an overall positive assessment of Australia’s stronger position relative to Asia and other advanced economies, Lowe said “lower-than-average interest rates” were providing “some support to demand in the economy”.
He said there was also “some sign that they have led to a slight improvement in the property market, although there has been little change in the appetite for debt”.
Blythe highlighted the remarks made by Lowe comparing Australia’s high interest rate settings relative to other countries.
Lowe says the main reason for these higher settings is that “the rate of return on new investment in Australia is higher than in many other countries, as evidenced by the high level of investment”.
“The very low interest rates in many other economies should not be seen as a good thing or something to aspire to. They reflect those countries' difficult economic circumstances, and particularly the low risk-adjusted returns available on new investment,” Lowe says.
Blythe says the case for lower rates at some point revolves around “weak global growth, the global uncertainties impacting on household and business decisions and the asset allocation decisions triggered by quantitative easing (QE) measures that are putting upward pressure on exchange rates in non?QE economies.
“The deputy governor explicitly noted that high exchange rates in some countries “should not come as a surprise” but could be “uncomfortable” for those involved.”
In his speech Lowe noted that “uncertainty stemming from problems in the advanced economies" was having an impact on confidence in Australia.
“It has adversely affected confidence and has led to the deferral of some decisions and more cautious behaviour.
But he also says that subdued confidence levels have “domestic roots”
“Employment growth, the rate of asset price increases and consumption growth are all lower than they were over the decade to the mid-2000s," said Lowe.
“During this earlier period the outcomes in these areas were very strong as the economy adjusted to low inflation and the increased availability of credit.
"But this adjustment is now complete, and the return to more normal patterns has come as a disappointing surprise to many who thought that the previous outcomes were the norm.
"This gradual realisation that the future is likely to be different from the past is an important factor weighing on sentiment in Australia,” Lowe says.
</body></html>

Melbourne Cup Day rate cut now only a '50-50 call' following deputy RBA governor speech: Michael Blythe

<html><body>
Commonwealth Bank chief executive Ian Narev has defended the bank’s decision not to pass on full rate cuts to borrowers, who he says are using lower mortgage rates to pay off their mortgages faster rather than take on more debt.
As a consequence, the bank does not expect interest rate cuts to stimulate a recovery in the housing market in the short term.
The Commonwealth Bank passed on 20 out of 25 basis points of the October RBA cash rate cut and has passed on 131 out of 150 basis points cut from the cash rate since November last year. The average for the major banks is 116 basis points.
Speaking at the bank’s AGM yesterday and on the back of full year profits in excess of $7 billion, Narev said it did not make a difference if the bank passed on 25 basis points, 20 or 18, as the reductions were being used to “accelerate repayment of debt”.
Also speaking at the AGM, Commonwealth Bank chairman David Turner said rate cuts should not be expected to stimulate the housing market in the near term.
"The rule of thumb is in an economy that's buoyant, an interest rate cut doesn't feed through to house-buying activity for about 18 months," he said.
In its annual report, the Commonwealth Bank describes the 2012 financial year as “another challenging one for financial institutions in general, and for the Group in particular”.
“The macroeconomic environment has again been dominated by uncertainty and volatility in global financial markets.
“While the fundamentals of the Australian economy appear sound, a lack of corporate and consumer confidence has dampened demand for credit and seen our customers move to strengthen their balance sheet as they remain cautious about the immediate outlook," says the annual report.
However Narev said the bank not passing on rate cuts in full has not been a factor in the current consumer caution and unwillingness to take on more debt.
He says he expects demand for credit to remain subdued in the current financial year with higher savings rates and more nervousness regarding investments.
Overall, Narev said the Commonwealth Bank was pleased with the performance of the group “by our financial performance and our performance for our customers and our dividend stream for shareholders.”
“Particularly in the environment we are operating in at the moment, confidence for a financial institution is critical," he said.
Narev said while short-term performance was important, customers and shareholders relied on the bank to prosper for the long term.
He said the bank remaining customer-focused was key to building long-term value
In this regard, Narev pointed to the September Roy Morgan survey, which has customer satisfaction with the Commonwealth Bank at the highest it has been for the history of the survey.
The annual report notes that customer deposits make up 62% of total funding and says that funding costs were “elevated” in the past financial year.
“Customer deposits increased to $379 billion as at 30 June 2012, up $30 billion over the prior year. Customer deposits represented 62% of the Group’s total funding source at 30 June 2012, up from 61% in the prior year,” says the annual report.
</body></html>

Rate cuts won’t stimulate housing market whether passed on in full or not: CBA chief executive Ian Narev

<html><body>
The sale of detached homes hit a 18-year low in September, according to the latest HIA survey of Australia's 100 largest volume builders.
New home sales of around 5,200 in September were 17.3% lower than a year ago and have fallen at a double-digit annual rate for the past 10 months, notes CommSec chief economist Craig James.
Sales fell 3.7% in September, reflecting a fall of 3.5% in the persistently weak detached housing segment and a 4.2% decline in the more volatile multi-unit market.
<img src="/images/stories/2012/10/hiaoct30.gif">
The number of seasonally adjusted new detached house sales fell by 1.6% in New South Wales, 6.7% in Victoria, and 3.5% in Queensland, but increased by 2.8% in South Australia and were up by 3.1% in Western Australia.
The drop in NSW new home sales may partly reflect first-home buyers waiting for the new $15,000 grant available for those building or buying a new home that only kicked-in on October 1.
A similar $15,000 grant was available for Queenslanders first-home buyers mid-way through September.
Commenting on the latest figures, James says interest rates have fallen sharply over the past year but there has been a “decidedly muted response by the new home market”.
“Australia’s population is growing, driven by migration, while housing affordability is the best in a decade and the rental market continues to tighten.
“But despite an apparent increase in the underlying demand for homes, new home construction is mired at 15-year lows.
 “So what gives? Well, in large part it is the worldwide trend for “Emerging adults” (largely Generation Y) to stay home with their parents for a longer period rather than moving out with friends or getting married.
“It is estimated that 70% of 18- to 30-year-olds in Italy still live at home, and while the trend is happening also in Australia, there are no formal estimates.
James says state governments are “actively attempting to lift construction via grants and stamp duty concessions directed to new home purchase or construction.
“But to date, the attempts aren’t showing up in the data.”
James says building-dependent companies will continue to experience challenging conditions over the next six months and expects the RBA to cut the cash rate on November 6, Melbourne Cup Day.
HIA chief economist Dr Harley Dale says the persistent weakness in new home sales in 2012 “reflects another factor conspicuous in its persistence this year – a dire lack of confidence towards housing”.
“Interest rates have come down since November 2011 and there is a recognition that the home-buying environment has improved in 2012. However, households remain reticent to actually make a decision to buy. This situation is especially evident in the new home building sector where excessive taxation instills a bias against new housing relative to existing property,” says Dale.
“Interest rate cuts should help foster a recovery in new home sales in the December 2012 quarter, along with new home incentives for first time buyers in three states and a nascent recovery gathering legs in Western Australia.
“The Reserve Bank of Australia needs to play its part by cutting rates again next Tuesday – a renewed easing of rates in October that is not followed up could add to household uncertainty and, perversely, further damage confidence.”
</body></html>

New house sales slump to 18-year low in September: HIA

<html><body>
Receivers have taken charge of the Campbelltown Square shopping complex in Sydney’s outer west, owned by a subsidiary of ASX-listed commercial property group Metroland Australia, which recently exited administration.
The shopping centre at 218-240 Queens Street near the Campbelltown train station was acquired by Metroland in August 2006 for $14.8 million and transferred to its wholly owned subsidiary Global Real Estate Assets Corporation in May 2007 with a loan provided by Colonial First State.
It covers 5,380 square metres of lettable area and was earning gross income of $1.2 million when acquired in 2006. Current real estate listing show<a href="https://www.realcommercial.com.au/property-retail-nsw-campbelltown-500093686" target="_blank"> two retail shops </a>available for lease covering up to 1,065 square metres with no prices given.
It has been placed in the hands of receivers Michael Jones of Jones Partners by Perpetual Nominees Limited acting as custodian for Colonial First State Wholesale Pooled Mortgage Fund (CFS), the mortgagee for the shopping complex.
Metroland was placed in the hands of administrator David Levi at the end of August.
A creditors’ reported issued by Levi on September 26 shows that Metroland had a $10.4 million liability to Perpetual Nominees as custodians of CFS.
Conditional contracts of sale for the shopping centre were exchanged in August at a price of $9.025 million.
The sale of the complex, which is conditional on a subdivision currently in progress, will not satisfy in full the estimated claim of CFS, resulting in a short fall of $1.4 million should the sale proceed to settlement.
In its June 2012 full-year results, Metroland reported an impairment expense of $3.8 million in relation to the condition sale of the shopping centre.
This was to reflect the conditional exchange of contracts at less than the book value to meet the “property financiers repayment demand on the bank loan which is secured over the Campbell town property”.
Metroland reported a net loss of $10.8 million for the financial year ending June 30 and noted with regret that the property market “especially in the retail sector has further deteriorated thus reducing further the values of the assets of the company".
Metroland exited administration on October 8 when it entered into a deed of company arrangement (DOCA) with the company placed back under the control of its directors.
</body></html>

Campbelltown Square shopping complex placed in hands of receivers over loan shortfall

<html><body>
Penrith, on the western outskirts of Sydney, is emerging as an investor hotspot offering rental yields in excess of 6% with local council plans to encourage more high-density residential construction, according to a new report by PRDnationwide research analyst Oded Reuveni-Etzioni.
The report finds that rents have been rising strongly over the past five years with the median rent for a three bedroom house up 44% in the suburbs comprising post code 2750 (Emu Heights, Emu Plains, Jamisontown, Leonay, Penrith, Penrith Plaza and Penrith South) and up 40% in the suburbs in postcode 2747 (Cambridge Gardens, Cambridge Park, Claremont Meadows, Kingswood, Llandilo, Shanes Park, Werrington, Werrington County and Werrington Downs).
Rents for apartments, which make up a smaller but rising share of the market (about 25% of dwellings) have risen even more strongly over this period up by 62% and 59% increase in the 2750 and 2747 postcodes respectively.
Current property listings show yields of 6% and more are achievable.
A <a href="https://www.realestate.com.au/property-townhouse-nsw-kingswood-111759339">three-bedroom townhouse</a> in Kingswood, currently under contract from Greg Robertson of Property Central is priced between $259,000 and $289,000.
Robertson says the property will rent for around $330 per week, equating to yield of between 6.63% and 5.94% at these two price points.
According to PRDnationwide data, units in post code 2047 rent for around $270 per week and for $308 per week in post code 2750.
Houses rent for around $375 per week.
The report finds that capital values have risen moderately over the past year to July 2012, with unit price up 1.9% to $263,000, while the median house price has increased by 3.3% to $377,000.
The results of the 2011 census shows that the Penrith LGA had a median rent of $300 per week, median weekly income of $1,398 and median monthly mortgage repayments of $1,983.
Just over a quarter (26.7%) of Penrith residents rent.
The development of Penrith as a potential investor hotspot is being supported by efforts of the Penrith City Council, which aim to increase Penrith population by allowing higher density construction around transportation hubs.
Penrith is about 50 kilometres west of the Sydney CBD and connected by two CityRail lines. A journey from Penrith to Sydney’s Town Hall station takes just over an hour.
“Ultimately, the local government aims to create 10,000 new jobs in the CBD. Penrith urgently requires an urban consolidation policy to streamline the development of large residential projects around the CBD to support the increase in employment,” says the report.
“Buyer activity has been steadily increasing as investors take advantage of rent returns which in many cases exceed 6%. The last time we had returns this strong was back in the late 1980s. At the peak of the market in 2003 the returns were as low as 3%,” says PRDnationwide Penrith principal Darren Latty.
However, he warns that Penrith "urgently requires an urban consolidation policy to streamline the development of large residential projects around the CBD to support the increase in employment"
Overall, he says the outlook for the region is positive.
“Increased activity, above average rent returns, affordable housing, record low unemployment and low interest rates are all great indicators. These conditions are coupled with nearly nonexistent building activity within the CBD areas. Investors should be getting as excited as we are,” he says.
The report notes that developers often find the area inhibitive for investment, due to low selling prices, the high cost of construction and extended approval periods eroding profit margins.
However, developers now expect firm demand for centrally-located units expected due to an improvement in buyers’ confidence and the recently introduced $!15,000 state government grant for first-home owners building their first homes.
</body></html>

Penrith offering yields of 6% and strong demographics to tempt investors

<html><body>
Lenders continue to cut their fixed-rate home loans as anticipation builds that the RBA may cut the cash rate to 3% on Melbourne Cup Day on Tuesday.
Yesterday Credit Union Australia (CUA), the nation’s biggest customer-owned lender, dropped its one, two and three-year fixed rate home loans to 5.3% following moves by other lenders throughout the month.
Mozo product data manager Peter Marshall told Property Observer earlier this month that fixed rates <a href="/news">“still have some way to fall”</a> and have not matched the falls in variable rates since the RBA starting cutting the cash rate in November last year.
This follows Community First Credit Union and Greater Building Society both offering one-year fixed rate home loans at 4.99%.
The following results are based on advertised mortgage rates listed by <a target="_blank" href="https://www.ratecity.com.au/">ratecity.com.au</a>, <a target="_blank" href="https://mozo.com.au/">Mozo.com.au</a> and <a target="_blank" href="https://www.infochoice.com.au/">infochoice.com.au</a> as of October 30:
Lowest variable rate offerings:
<table border="1" cellpadding="0" cellspacing="0" width="470"><tbody>
<tr>
<td valign="top" width="134">
Provider
</td>
<td valign="top" width="124">
Loan name
</td>
<td valign="top" width="97">
Rate
</td>
<td valign="top" width="116">
Comparison rate*
</td>
</tr>
<tr>
<td valign="top" width="134">
Loans.com.au
</td>
<td valign="top" width="124">
Dream Catcher
</td>
<td valign="top" width="97">
5.42%
</td>
<td valign="top" width="116">
5.45%
</td>
</tr>
<tr>
<td valign="top" width="134">
UBank
</td>
<td valign="top" width="124">
UHome Loan (for refinancing)
</td>
<td valign="top" width="97">
5.47%
</td>
<td valign="top" width="116">
5.47%
</td>
</tr>
<tr>
<td valign="top" width="134">
Nationwide Mortgage
</td>
<td valign="top" width="124">
True Save Home Loan
</td>
<td valign="top" width="97">
5.47%
</td>
<td valign="top" width="116">
5.47%
</td>
</tr>
<tr>
<td valign="top" width="134">
Mortgage View
</td>
<td valign="top" width="124">
Pro Pack
</td>
<td valign="top" width="97">
5.47%
</td>
<td valign="top" width="116">
5.49%
</td>
</tr>
</tbody></table>
Lowest one-year fixed-rate offerings
<table border="1" cellpadding="0" cellspacing="0" width="470"><tbody>
<tr>
<td valign="top" width="137">
Provider
</td>
<td valign="top" width="123">
Loan name
</td>
<td valign="top" width="95">
Rate
</td>
<td valign="top" width="114">
Comparison rate*
</td>
</tr>
<tr>
<td valign="top" width="137">
Greater Building Society
</td>
<td valign="top" width="123">
Ultimate home loan
</td>
<td valign="top" width="95">
4.99%
</td>
<td valign="top" width="114">
6.02%
</td>
</tr>
<tr>
<td valign="top" width="137">
Community First Credit Union
</td>
<td valign="top" width="123">
12 month fixed
</td>
<td valign="top" width="95">
4.99%
</td>
<td valign="top" width="114">
6.46%
</td>
</tr>
<tr>
<td valign="top" width="137">
My Mortgage Freedom
</td>
<td valign="top" width="123">
Fixed rate &gt;75 LVR
</td>
<td valign="top" width="95">
4.99%
</td>
<td valign="top" width="114">
5.98%
</td>
</tr>
<tr>
<td valign="top" width="137">
UBank
</td>
<td valign="top" width="123">
UHome Loan (for refinancing)
</td>
<td valign="top" width="95">
5.03%
</td>
<td valign="top" width="114">
5.4%
</td>
</tr>
</tbody></table>
Lowest three-year fixed-rate offerings
<table border="1" cellpadding="0" cellspacing="0" width="470"><tbody>
<tr>
<td valign="top" width="133">
Provider
</td>
<td valign="top" width="133">
Loan name
</td>
<td valign="top" width="97">
Rate
</td>
<td valign="top" width="108">
Comparison rate*
</td>
</tr>
<tr>
<td valign="top" width="133">
UBank
</td>
<td valign="top" width="133">
Three year fixed
</td>
<td valign="top" width="97">
5.13%
</td>
<td valign="top" width="108">
5.40%
</td>
</tr>
<tr>
<td valign="top" width="133">
Pacific Mortgage Group
</td>
<td valign="top" width="133">
Three year fixed
</td>
<td valign="top" width="97">
5.19%
</td>
<td valign="top" width="108">
5.43%
</td>
</tr>
<tr>
<td valign="top" width="133">
HSBC
</td>
<td valign="top" width="133">
Three year fixed
</td>
<td valign="top" width="97">
5.29%
</td>
<td valign="top" width="108">
6.15%
</td>
</tr>
<tr>
<td valign="top" width="133">
CUA
</td>
<td valign="top" width="133">
Residential Fixed Three years
</td>
<td valign="top" width="97">
5.30%
</td>
<td valign="top" width="108">
5.9%
</td>
</tr>
</tbody></table>
*A comparison rate includes both the interest rate and the fees and charges relating to a loan, combined into a single percentage figure.
For information on refinancing, watch our free webinar <a target="_blank" href="/news">Refinancing and the Interest Rates Riddle</a>
</body></html>

Lenders cut fixed rates: guide to the lowest rate home loan offerings fixed and variable as of October 30

<a href="https://www.apartments.com.au/developments/broadbeach-qld-4218">Broadbeach</a> offers plenty of reasons to live vertically, but moving from a substantial family home into an apartment can expose the compromises of high-density living. Privacy, room for guests and usable living space tend to matter more when an apartment is intended as a permanent home rather than an occasional coastal base.

A typical residential floor at <a href="https://www.apartments.com.au/new-apartments/the-eveleigh-broadbeach-7-9-surf-parade-broadbeach-qld-4218">The Eveleigh</a>, on Surf Parade,&nbsp;contains just four apartments. The 94-residence development by <a href="https://www.apartments.com.au/developers/hirsch-faigen">Hirsch &amp; Faigen</a> is predominantly made up of expansive three-bedroom homes, with a limited collection of half-floor penthouses above.

Across the apartment floors, <a href="https://www.apartments.com.au/architects/rothelowman">Rothelowman</a> has used the relatively limited number of residences to give each home greater access to natural light and outlook. Living spaces extend towards full-height glazing, while a series of bay windows frame selected views across the Pacific Ocean, city and hinterland rather than treating the building edge as a continuous wall of glass.

&nbsp;

[smartcode_project:default project_id=149670 project_image_fid=360965]

“The apartment floors deliver a collection of homes that embrace controlled outlook via a series of bay windows deliberately framing moments of view,” Rothelowman Director Kim Lowman said.

From outside, those projecting forms contribute to the tower’s faceted profile. Strong horizontal and vertical elements establish its proportions, while the changing position of the sun alters the light, shadow and reflection across the façade throughout the day.

The same attention moves inside the apartments, where the material palette combines warm timber, natural stone, metallic detailing and softer curved forms. Kitchens sit within the main living zone, with stone island benches, integrated joinery and European appliances, before the living areas extend towards the glazing and the outlook.

&nbsp;

[smartcode_project:default project_id=149670 project_image_fid=360981]

Three genuine bedrooms provide room to accommodate family and guests, while two secure car spaces and storage address some of the practical considerations that can become more noticeable when moving from a larger home. Feedback from the display suite has centred on the warmth and restraint of the interiors, with buyers commenting that the residences feel like homes rather than conventional coastal apartments.

A limited collection of half-floor penthouses occupies the upper levels, increasing the scale of the living spaces and adding private balconies and elevated finishes. From this position, the outlook extends between the ocean and hinterland.

Outside the private residences, The Eveleigh separates its shared spaces between the podium and rooftop. The podium is centred on wellness, with subtropical landscaping surrounding a swimming pool and pool terrace, yoga garden, private gymnasium, sauna and hot and cold plunge facilities. Landscaped retreats and pavilions provide additional places to sit away from the main recreation areas.

&nbsp;

[smartcode_project:default project_id=149670 project_image_fid=360966]

Higher in the building, a rooftop pavilion and private dining suite sit alongside resident lounge, barbecue and outdoor dining areas, opening towards panoramic views across the ocean, city and hinterland.

“Buyers are no longer just looking for an apartment, but a lifestyle where they can relax, reset, and enjoy a balanced way of living,” Hirsch &amp; Faigen Director of Sales Matt George said.

Interest to date has come from established owner-occupiers and interstate lifestyle purchasers, including buyers planning a future move to the Gold Coast. Many are coming from larger homes and want to reduce ongoing maintenance without giving up space for family and guests, privacy, two car spaces or the ability to entertain at home.

&nbsp;

[smartcode_project:default project_id=149670 project_image_fid=360969]

Much of that daily life can also take place beyond the building without requiring a drive. Kurrawa Beach and Pratten Park are an easy walk from Surf Parade, while Pacific Fair, Oracle Boulevard, The Oasis, restaurants, cafés, entertainment and public transport are also within walking distance.

The Eveleigh is Hirsch &amp; Faigen's fourth Gold Coast development since entering the market in 2021, following The Hemingway at Palm Beach, The Emerson at Kirra and Yves at Mermaid Beach. Each of the preceding projects sold out before completion.

“Broadbeach had been on our radar throughout our time operating on the Gold Coast,” the developer said. “Following our projects in Palm Beach, Kirra and Mermaid Beach, Broadbeach represented the natural next step for the business.”

The Surf Parade site brought together proximity to the beach, protected coastal outlooks and walkability to dining, shopping and recreation. Hirsch &amp; Faigen also identified the street as an emerging premium residential address, with enough separation from Broadbeach's busier destinations to retain a quieter environment at home.

The Eveleigh is now under construction by Maxcon, with completion forecast for mid-2028. Three-bedroom residences are currently available from $2.87 million.

[smartcode_project_cta:default project_id=149670]

Joel Robinson

The Eveleigh brings house-like apartments to Broadbeach

A long-stalled Campbelltown development site is back in play, with new plans for 139 apartments set to supersede a mixed-use scheme approved almost a decade ago but never built.

The new proposal for 28 Cordeaux Street would deliver 116 market and 23 affordable apartments in a part 14-storey building, bringing a substantial new project into a Campbelltown market where new apartment supply remains limited.

Plans have been filed over the 3,092 sqm corner site at Moore-Oxley Street, around 600 metres from Campbelltown Railway Station and the city-centre retail core.

The site already carries a mixed-use residential approval dating to 2016. Doroch Architects has now been engaged on a larger replacement scheme, which is progressing as a State Significant Development Application following a Housing Delivery Authority determination in August 2025.

The apartment mix comprises 39 one-bedroom, 72 two-bedroom and 28 three-bedroom residences. Two-bedroom apartments make up just over half of the project, while three-bedroom homes account for 20 per cent.

<img alt="First look: New 139-apartment plans revive long-stalled Campbelltown city centre site" data-entity-type="file" data-entity-uuid="136dd5b9-3791-4da6-9e31-76f533f5b4de" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Campbelltown%20da2.png?VersionId=LgOSy9nwf5u.MGswBBwaGGxuX8QpHSl_" />

Of the 139 apartments, 23 will be delivered as affordable housing under the in-fill affordable housing provisions of the Housing SEPP. The affordable component represents 15 per cent of the residential gross floor area and will be managed by a registered Community Housing Provider.

Doroch has sought to break the scale of the building into two distinct elements, with a masonry podium of around four storeys establishing the street edge before the residential tower steps back above.

The corner position has shaped that approach. Cordeaux Street faces toward the commercial and civic centre, while Moore-Oxley Street leads into the lower-scale residential neighbourhood to the south, and the design verification report describes the site as "bridging the commercial core to the north and established residential areas to the south."

The podium will be expressed predominantly in face brick, while the upper levels shift to brushed and grooved concrete cladding with darker metal detailing. Recessed sections, deep balcony edges and landscaping break down the upper form, with an approximately 11.8-metre setback to the northern boundary addressing the adjoining St Peters Anglican School.

<img alt="First look: New 139-apartment plans revive long-stalled Campbelltown city centre site" data-entity-type="file" data-entity-uuid="c8b3d2d3-c561-4bfc-a5d9-a68c0c10dac1" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Campbelltown%20da1.png?VersionId=AeAEyJU02Gk2k5noUj2StziCvdQ7fW4B" />

Campbelltown has been starved of new residential developments in the last decade.

The only other notable development set to come to market this year is ALAND's Queen Square, a mixed-use precinct on over two hectares that will comprise apartments above a vibrant ground-level retail and hospitality dining precinct.

First look: New 139-apartment plans revive long-stalled Campbelltown city centre site

First Look: Sherlock Construction pitches apartments for low-rise Deception Bay

Queensland builder-developer MAYD has revealed the first look at its major North Kirra beachfront development, lodging amended plans that reduce the number of apartments and increase the proportion of larger residences.

The project is planned across a substantial 4,742 sqm amalgamated site spanning seven lots at <a href="https://www.apartments.com.au/new-apartments/2-6-pacific-parade-bilinga-qld-4225">2-6 Pacific Parade</a> and 27-33 Golden Four Drive in Bilin​ga, directly opposite Nor​th Kirra Beach.

<a href="https://www.apartments.com.au/developers/mayd-group">MAYD</a> secured the site for $32.5 million in 2025, in what was one of the Gold Coast's largest property transactions of the year.

The development will be delivered across two stages, with the first stage carrying an estimated gross realisation value of around $360 million.

The latest amendments seek to reduce the overall apartment count and shift the project further toward the owner-occupier market, with larger residences designed for buyers wanting considerably more space than traditionally offered in a beachfront apartment.

The residential mix will include townhomes, oversized two-bedroom apartments, substantial three-bedroom residences and four-bedroom homes.

MAYD has appointed Cera Stribley to lead the architecture and interiors, with the Melbourne-based design practice drawing on the beachfront setting through a series of ocean-facing terraces and heavily landscaped balconies.

Strong horizontal forms and curved balconies will define the exterior, with subtropical landscaping integrated throughout the building to soften the built form and increase the connection between the residences and the beachfront.

The project will also include an extensive collection of resident wellness and lifestyle facilities, continuing the broader shift across the Gold Coast's luxury apartment market toward larger homes supported by resort-style amenity.

<img alt="MAYD" data-entity-type="file" data-entity-uuid="d1bcbb05-e659-4b47-8bd4-1e595315e2ad" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-08-27%20at%202.05.03%E2%80%AFPM.png?VersionId=jj0XEud1X1DuLt7_KyElhjMdZGOXmLHP" />

MAYD Founder Todd Mould said North Kirra was increasingly appealing to buyers attracted to the more established, lower-density character of the southern Gold Coast.

"North Kirra presents one of the most compelling luxury residential opportunities currently emerging in Australia, combining absolute beachfront with the character and authenticity that buyers are increasingly seeking, and the same sense of tight-knit community that defined Burleigh and Currumbin perhaps 10 or 15 years ago," Mould said.

"With Gold Coast Airport on its doorstep, it also offers a level of accessibility that broadens its appeal across almost every market demographic."

The project comes as the southern Gold Coast continues to attract an increasing share of high-end apartment development and buyer activity.

Kirra in particular has emerged as one of the region's more tightly held beachfront markets, with its relatively low-density character, established surf and hospitality scene and proximity to Gold Coast Airport differentiating it from the higher-density markets further north.

Mould said those characteristics had informed the approach MAYD and Cera Stribley had taken to the project.

"We've worked closely with Cera Stribley to create a vision that is deeply connected to its surroundings," he said.

"Inspired by the coastline itself, the architecture has been shaped around space, privacy and resort-style living, creating a collection of homes that reflects the next generation of luxury on the southern Gold Coast."

MOTIV Managing Director Carly Cottam, who has been appointed to market the project, said buyer attention had continued to move south along the Gold Coast.

"Purchasers who may once have defaulted to Broadbeach, Main Beach or Surfers Paradise are increasingly recognising the value of a genuine beachfront location that offers lower density, strong amenity and a more established sense of community," Cottam said.

"Kirra has a powerful combination of growing demand and genuine scarcity. Beachfront supply is inherently constrained, the area remains relatively low density, and buyers are increasingly placing a premium on locations that feel established, uncrowded and authentic rather than heavily developed."

Cottam said the proximity to Gold Coast Airport was also proving increasingly important for interstate and second-home buyers.

"Being minutes from Gold Coast Airport makes it particularly compelling for interstate buyers, frequent travellers and second-home purchasers who can access an authentic coastal lifestyle almost immediately after stepping off a flight."

The acquisition takes MAYD's active development portfolio to more than $500 million, with the North Kirra project representing one of its largest undertakings to date.

MAYD is targeting an early 2027 launch.

First look at MAYD's North Kirra mixed-use precinct

<main data-perf-region="main">
Castle Hill, the longtime hub of the Hills District, has been one of the major beneficiaries of Sydney's Metro expansion, with improved connectivity helping drive continued population growth, development and buyer demand across the Hills District.

But despite that growth, the suburb has seen relatively few major new apartment projects brought to market over the past 18 months.

Hills District developer Reve Group is looking to fill that gap with <a href="https://www.apartments.com.au/new-apartments/nova-r-ve-castle-hill-2-garthowen-crescent-castle-hill-nsw-2154">Nova Rêve</a>, a major new mixed-use precinct on the corner of Garthowen Crescent and Old Castle Hill Road, a short walk from Castle Hill Metro Station and Castle Towers.

[smartcode_project:default project_id=152737 project_image_fid=377679]

The project will comprise three residential towers alongside a hotel, restaurants, cafes and a skybar, more than 1,600 sqm of ground-floor retail and almost an acre of landscaped gardens.

It represents the largest project undertaken by Reve Group, the development arm of the Kassis family, which has been building across the Hills District for more than 30 years through Kassis Homes.

[smartcode_project:default project_id=152737 project_image_fid=377675]

Nova Rêve also represents a significant step up from the family's first apartment development, Grand Rêve, which was delivered nearby on Garthowen Crescent.

Grand Rêve introduced larger, house-like apartment layouts and premium inclusions including Wolf and Sub-Zero appliances to the Castle Hill market.

Nova Rêve takes that approach to a precinct scale, combining the residential component with hospitality, retail and substantial public and resident landscaping.

[smartcode_project:default project_id=152737 project_image_fid=377685]

Reve Group Managing Director Sam Kassis said the project reflected the family's three decades of building in the Hills, which has evolved from trophy homes on quarter-acre blocks to larger-scale apartment development.

"Grand Rêve was our first apartment project here and it showed us what this pocket of Castle Hill could be. Nova Rêve is the refinement of that idea: not just apartments, but a place the whole suburb can use," Kassis said.

A key part of that approach is the hotel, which has been designed to operate as an amenity for the wider Castle Hill community rather than solely hotel guests.

It will include restaurants, cafes, skybars and all-day dining, alongside conference and event facilities catering to business functions, community groups and private events.

At ground level, more than 1,600 sqm of shops and cafes will open onto the surrounding streets and landscaped areas.

Almost an acre of gardens designed by Land and Form Studios will run through the precinct, incorporating pathways, seating, barbecue areas and children's play spaces.

[smartcode_project:default project_id=152737 project_image_fid=377680]

Reve Group's Romio Georges said creating an active ground plane had been central to the planning of Nova Rêve.

"There are gardens with pathways, barbecues, seating and play areas, shops and cafes opening onto the street, and a hotel with restaurants and a skybar that anyone in Castle Hill can walk into," Georges said.

The project's elevated position on one of Sydney's highest ridgelines will also provide apartments with outlooks toward the Sydney skyline, surrounding parkland and the Blue Mountains.

More than 80 per cent of the apartments will occupy corner positions, with Turner responsible for both the architecture and interiors.

&nbsp;

[smartcode_project_cta:default project_id=152737]

<h3 data-end="3697" data-section-id="q3n5ak" data-start="3672">&nbsp;</h3>
</main>

Larry Schlesinger

Editor's Picks

Have something to contribute?

Developments

New apartments

New townhouses

News