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A mild upturn rather than a boom is on the cards for the struggling new housing sector, according to the chief executive of one of Australia’s oldest building materials providers, Adelaide Brighton.
Adelaide Brighton provides cement, lime, concrete and masonry products to the construction industry and dates back to 1882.
Speaking at a Citi Investment conference in Sydney, Adelaide Brighton chief executive and managing director Mark Chellew said anecdotal evidence from across the building industry suggests a boom is not coming.
Chellew pointed to changing living preferences as impacting on demand for new housing with less demand for detached houses and a greater willingness for families to live in smaller apartments.
“I think younger people are deciding to have children much later; they are deciding to stay in apartments and they are staying at home longer,” he said in a speech reported by the Australian Financial Review.
According to Chellew, Australia has fundamentally changed “from having large nuclear families to smaller units in smaller-sized apartments”.
His comments match up with research firm BIS Shrapnel, which is forecasting residential building to “tentatively return to modest growth” over the next two years.
BIS Shrapnel is forecasting 133,400 dwelling completion for the year to June 2013 – well below a requirement of 169,600 dwellings.
It forecasts this to rise to 144,700 dwellings by June 2014 – well below a requirement of 174,500.
BIS Shrapnel says a dwelling stock deficiency of around 57,500 dwellings exists as of June 2012.
“As migration and population growth picks up over the forecast period, dwelling commencements re not initially forecast to keep pace with aspirations,” says BIS Shrapnel in a September forecast report.
NSW is forecast to have a dwelling stock deficiency of 52,800 dwellings by June 2014, followed by Western Australia, with a 46,000 shortfall, and Queensland, with a 45,400 deficit.
In contrast, Victoria will be oversupplied by around 15,000 dwellings by June 2014.
Deutsche Bank is forecasting Australian housing starts to increase by 1% in the 2013 financial year to 138,000 and 6% the 2014 financial year to 155,000 provided interest rates continue to be cut.
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Changing living habits suggest less demand for detached housing: Adelaide Brighton

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Melbourne house and-land-developers should focus on offering land at its true value surrounded by the right mix of community amenities and drop their rebates and incentives, says Australand’s head of residential developments in Victoria.
The developer has set up a new website – <a target="_blank" href="https://www.righttimetobuy.com.au">www.righttimetobuy.com.au</a> – to inform prospective buyers that rebates and incentives do not add any real value and while they appear to lower the price, buyers need to “understand that banks and financial institutions factor all of this into their valuation which could ultimately jeopardise your loan application”.
Rob Pradolin, Australand general manager for residential in Victoria, says everyone who buys land that comes with an incentive is paying an inflated face price, meaning they are paying too much in stamp duty.
“As an example someone buying a block of land for $200,000 plus receives a free car worth approximately $30,000 should be paying stamp duty on only $170,000,” he says.
In addition, the unsuspecting buyer might go to the bank, having bought land for $200,000 to seek financing and run into difficulties.
“The bank will see that the buyer has a received a free gift or offer, and the buyer may need to find money to make up the difference between the valuation and the list price,” he says.
Pradolin says people should buy "on value".
He says developers need to acknowledge that the “market price of land has changed”.
“There has been a re-adjustment in Melbourne land prices. Even if there is a spike in demand there will be no dramatic increase in pricing.
“Let’s make it simple for the consumer and start selling value again not who has the biggest discount.
“The legitimate use of the rebate from a business perspective has been lost,” he says.
Pradolin says all developers have used rebates in the past, but when the market was operating normally and with a different purpose in mind such as “when you need to achieve a certain volume target that’s over and above what a normal market would deliver".
“We have use rebates to provide an incentive to a buyer to buy earlier than they would normally. Rebates allow you to adjust the net price and not affect underlying value of the property,” he says.
But he says now he says <a href="https://www.propertyobserver.com.au/land/flashy-developer-incentives-push-up-cost-%E2%80%93-and-attendant-stamp-duty-%E2%80%93-of-melbourne-land-packages-australand/2012101657196" target="_blank">“everyone” is offering rebates</a>, and “all the time” as a marketing tool, to attract buyers based on “how much incentive you can offer”.
“You lose what should be the real fundamental reason for buying – location, location, location – and the amenity and surroundings you offer in the development."
Pradolin says Australand has found that people have a degree of confidence when land is priced under $200,000.
A recent Colliers International report found the median Melbourne land prices fell by 9% from $215,000 to $205,000 over the first six months of 2012. Sales of land on Melbourne’s fringes have been in decline since the second half of 2009, falling from 16,000 sales in 2010 to just 6,000 for the first six months of 2012. Colliers International forecasts only modest growth ahead for the Melbourne residential land market.
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Price Melbourne land at its true value and buyers will come: Australand

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Aussie Home Loans founder John Symond has again downplayed concerns about a housing bubble building in Australia but says a majority government is needed to restore buyer confidence.
He also again took aim at the Reserve Bank, saying it has been too slow to cut interest rates and too focused on keeping inflation in check.
Previously, Symond had accused RBA governor Glenn Stevens and the RBA board of being “asleep at the wheel”.
Speaking a Citigroup conference in Sydney this week, Symond said he did not believe there was a “significant risk of a price bubble”.
He said the market would be propped up by lower interest rates and an undersupply of houses.
But he said buyers were still spooked by both global economic uncertainty and by political “bickering and scandals” at home.
Symond said only a federal election and the return of a majority government could restore confidence.
Despite his criticism of the RBA, Symond does not think lower interest rates will restore confidence, an argument supported by the recent editions of the benchmark Westpac-Melbourne Institute Consumer Confidence Index, which has only risen modestly despite a number of rate cuts.
Symond expects the RBA to continue to lower the cash rate, but he steered clear of bashing the banks over their decision not to pass on the full rate cut to borrowers.
He said that bank funding costs had risen and if banks were to pass on full rate cuts they would have to limit their mortgage lending.
Symond said banks needed to make a commercial profit, but they should not gouge customers.
"From what I have seen over the past two years, they haven’t been gouging,” he told the Citigroup conference in a speech reported by the Australian Financial Review.
Aussie built a reputation for taking on the major banks when it began operating in the late 1990s.
However, criticising the banks has become a trickier issue for Symond since the Commonwealth Bank acquired a third of Aussie in 2008.
The Commonwealth Bank also provides wholesale funding for Aussie Home Loan-branded mortgages.
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No risk of housing bubble but political bickering not helping buyer confidence: John Symond

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The iconic Darrell Lea Chocolate shop on the corner of George Street and King Street in the Sydney CBD has been leased on a short-term basis by a City Convenience Store.
The store, which forms part of what was once the Belfields Hotel (dating back to at least 1910) was bought by Darrell Lea in 1957 and was the flagship store for 55 years.
City Convenience Stores were started by Lebanese immigrant Jamal Gebara in 1996 and according to its website, now operates 180 such stores across Australia.
<img src="/images/stories/2012/10/darrell3.jpg">
The convenience store is occupying the site on a rolling month-by-month basis while a longer-term tenant is sought for both the former chocolate shop premises and a second shop, which is leased to fashion accessories chain Diva.
Telstra has a store two down from Darrell Lea, and Property Observer understands it has sub-leased the neighbouring store to Diva in a defensive move to prevent another telco company from leasing space next to it.
<img src="/images/stories/2012/10/darrell1.jpg">
The mezzanine level of the building is currently rented to a photography store.
According to industry sources, the combined 100 square metre space leased currently by City Convenience and Diva is being marketed as one space with a long-term leasing deal imminent.
The distinctive cream corner building is covered with Darrell Lea insignia and ornamental decorative mouldings and gables.
It is owned by the Darrel Lea family but is not subject to the recent collapse of the confectionery business.
Darrell Lea collapsed earlier this year and <a target="_blank" href="https://www.propertyobserver.com.au/retail/quinn-family-explain-their-decision-to-buy-darrell-lea-and-close-stores/2012090456399">was sold to the Quinn family in September</a>. All the remaining Darrell Lea stores ceased trading on September 9.
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Convenience store temporarily takes up historic Darrell Lea space on Sydney’s George Street

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Community First Credit Union has joined the Greater Building Society by offering a one-year fixed home loan interest rate of 4.99% per annum effective today (October 24).
The credit union has cut its introductory one-year fixed home loan interest rate by 56 basis points, more than double the 25-point cut by the RBA on October 2.
Unlike the <a href="/news">Greater Building Society</a>, the 4.99% rate is not part of packaged rate offering, a point stressed by John Tancevski, chief executive officer of Community First.
“The best thing about this rate is that it is not part of a package with an annual fee," he says.
Tancevski says the credit union is able to offer the 4.99% rate because it is a "mutual organisation, owned by members, who also happen to be its customers".
Community First bills itself as the largest community based credit union and has been operating since 1959, with 11 branches in Sydney and on the central coast.
It has 76,000 members.
“Unlike our competitors, we don’t have the pressure to deliver large profits to pay dividends on shares to investors.  Our benefits are passed directly onto our members,” he says.
The credit union also offers a First Home Buyer Headstart loan, which provides a $2,000 cash bonus to first-home buyers who take out a Community First variable rate home loan.
Though NSW-based, Community First home loans are available to borrowers outside of the state.
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Community First Credit Union becomes second lender to offer sub-5% one-year fixed home loan

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The banks have come under attack for their unwillingness to finance the development of new residential projects in Sydney and are potentially holding back the recovery of the new housing market, says BIS Shrapnel managing director Robert Mellor.
Speaking at the recent QBE LMI Housing Outlook breakfast, Mellor said developers had been telling BIS Shrapnel that a more favourable planning attitude had been adopted by the O’Farrell state government, ahead of changes to the planning regime next year.
“We are hearing from developers that the state government has changed its attitude significantly.
“The sorts of comments I am hearing is that the government is far more accommodative even without the new regime in place and that’s a favourable thing for new construction,” said Mellor.
But he said the most important thing needed to stimulate a recovery was “the banks freeing up their attitude to lending practices”.
“My personal view is that banks are being very tough on developers and very tough on individual borrowers.
“There is this perception [among the banks] that housing could still fall through the floor like it has done in other parts of the world
“They need to realise that everything has been thrown at this sector over the last three to four years – it will be nine years since the boom ended coming up this Christmas.
“You can’t talk about prices being massively overvalued when we have seen significant correction in prices, and in real terms they have declined around 12%.”
Mellor says while it is more still relatively more expensive to build in Sydney, there will be a recovery in construction on Sydney fringes.
However, he says the substantial recovery will need to come in medium density and high density construction because the old days of relying on owner occupiers building new houses are over
“You need investors.
“We have a favourable regime, but the problem is if banks take a negative attitude on that, then it will be held back
“If that’s the case there is the risk of asset price inflation – you need more supply.
“The banks have a part to play in that, whether it's funding fringe development or supporting high-rise development.
“People need to realise there is no oversupply risk and no collapse about to come.”
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Banks refusing to play ball on residential projects holding back Sydney new home construction: BIS Shrapnel

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ISPT’s 50 Lonsdale Street Property Trust has been the best-performing unlisted property trust over the past 12 months to September 2012, according to Mercer/IPD Australia Monthly Property Fund Index.
The trust, which holds the Urban Workshop, a 69,000-square-metre A-grade commercial building, delivered investors a return of 12.8% over the last 12 months, compared with an average annual distribution yield for the wholesale core property sector as at September 2012 of 6%.
Designed by John Wardle Architects, Hassell and NH Architecture and developed by ISPT, the Urban Workshop was constructed in 2006 and stands in the parliamentary precinct of Melbourne's CBD on Lonsdale Street.
It comprises ground-level foyer and coffee shop, 33 levels of office accommodation, five levels of basement parking and a leisure centre.
It adjoins the Madam Brussels Lane retail precinct, named after notorious Melbourne brothel owner Madame Brussels, who opened her first establishment at 8 Lonsdale Street in the late 1880s and ended up owning eight brothels in the district.
Following construction the Urban Workshop won numerous awards, including the 2006 Royal Australian Institute of Architects Victorian Chapter Sir Osborn McCutcheon Award for Commercial Architecture; the Marion Mahony Award for Interior Architecture; and the Joseph Reed  Award for Urban Design and The Melbourne Prize.
It has a 4 ½-star NABERS energy rating.
The building was valued at around $400 million as of September 30 2012 and is currently 100% leased, with tenants including Telstra, superannuation administrator Superpartners and accounting firm GMK Partners.
The chart below shows the top performance of the ISPT 50 Lonsdale Street Property Trust as well as the wide spread of returns across funds, ranging from 4.9% to 12.8% over the last 12 months.
Click to enlarge
<a title="Click to enlarge" rel="shadowbox" href="/images/stories/2012/10/ispt.gif"><img src="/images/stories/2012/10/isptthumb.gif"></a>
Dr Anthony De Francesco, managing director of IPD in Australia and New Zealand, says total returns for Australian unlisted core wholesale property funds have softened since their peak of 9.8% in August 2011, reflecting “general weakness across most of the macroeconomy”.
“The persistence of the sovereign debt crisis in Europe will continue to dampen global economic growth and constrain asset prices and fund returns.
“A possible downside risk to the Australian economy is the joint slowing of China’s economy and the ending of the mining boom. Both of these factors will prove to be detractors of growth to the Australian economy," he says.
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ISPT’s Urban Workshop in Melbourne CBD ranks as top-performing unlisted trust with 12.8% annual return

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<img src="/images/stories/2012/10/collierslogo.jpg">
Proving that the industrial property market is not just bland warehouses, Nathan Bingham, director in charge of Melbourne West for Colliers International, says he once negotiated the sale of a 21,000-square-metre facility featured a 25-metre lap swimming pool in the foyer. 
How long have you been in the industry?
Seven years dedicated to Melbourne’s west
<img style="margin: 5px; float: left;" src="/images/stories/2012/10/nathanbingham1.png">
What’s happening in the area you specialise in?
Leasing demand and activity continue to drive the market.  Industrial land sales activity is increasing, and owner-occupier demand is improving up to $3 million.
Describe the most interesting property you have sold/leased:
Without doubt a property at 1 Diamond Drive, Sunshine West.  It is a 21,000-square-metre facility, initially built for Times Printers.  The property featured a 25-metre lap swimming pool in the foyer, which also featured a double-storey glass atrium, including a glass ceiling over the pool.  We certainly do not see that every day in the industrial sector.
What are the ingredients to being successful in your job?
You must have an unrivalled market knowledge, very strong and consistent work ethic, and you must always work in the best interests of your client.
What aspects of your role do you enjoy the most?
The relationships you build with clients and colleagues.  It is also great to celebrate the hard-fought deals.
Where would you invest a spare $750,000?
A gun midfielder for Essendon, preferably Brendon Goddard.  Failing that, a well-located main road block of industrial land in Melbourne’s west.
Which football team do you support?
Must be wearing black and red – Essendon and Old Xaverians.
What’s your favourite app or techno gadget?
CamCard on the iPhone.
How do you use social media?
LinkedIn is a great tool to connect with people.
Find Nathan on <a href="https://www.linkedin.com/pub/nathan-bingham/18/653/18b" target="_blank">LinkedIn</a>
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In profile: Nathan Bingham, Colliers International’s Melbourne industrial property specialist

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An expatriate investor from Japan visiting friends on the Sunshine Coast has bought a 63-square-metre office suite in a commercial complex at Noosa Heads for $230,000 plus GST on an attractive gross yield of around 9%.
The sale of suite 7 at Noosa Central complex on Bottlebrush Avenue, <a href="/news">Noosa Heads</a>, which is leased for two years to Body Corporate Services, was negotiated by David Brinkley, along with Paul Forrest and Paul Butler of Ray White Commercial Noosa.
The current annual rental on the office is $20,812.
<img src="/images/stories/2012/10/bottlebrush.jpg">
Brinkley says the commercial property market has  picked up "a little bit" in last 12 months, with "lots of investors sniffing around that at the moment".
Ray White Commercial Noosa also negotiated the sale of suite 13 in the same complex, measuring 67 square metres and under lease for another 12 months.
It was sold for $220,000 to local professional Greg Martoo, who had been seeking a small office in the Noosa area.
The Noosa Central complex is located directly behind the Noosa Junction CBD shopping precinct. Office space in the complex is currently being advertised from $250 per square metre exclusive of GST and outgoings. “Both of these suites attracted strong enquiry levels from investors as they were tenanted and offering a yield of around 9%,” says Brinkley. “We are seeing an increase in enquiry levels from investors who will look seriously at commercial and retail property as long as it has an 8% or higher return and a reasonably long lease in place.”
Both office suites were offered for sale by locally based investors.
In August,<a href="https://www.propertyobserver.com.au/retail/opportunities-for-smaller-investors-with-noosa-shops-and-suites-from-%24800000-to-%242-million/2012081356002" target="_blank"> Property Observer reported on signs of a turnaround in the Noosa commercial property market </a>following a number of years of struggle. Paul Butler said at the time he was seeing an increase in confidence from buyers for properties with good lease covenants. “Super funds are becoming particularly active as buyers look for stable returns outside of the stock market,” he said. 
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Noosa office suite sells for $230,000 to holidaying expat investor on 9% yield

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There’s more money to be made selling home loans than flipping hamburgers, it seems.
Australian Financial Review columnists Christopher Joye has tweeted that the Commonwealth Bank, now has a greater market capitalisation than global brands like American Express and McDonald's, with the four major banks valued at a collective $300 billion.
<a href="https://twitter.com/cjoye" target="_blank"><img src="/images/stories/2012/10/joyetweet3.jpg"></a>
However, Joye believes Australian financial system would be safer and more stable with “eight medium-sized banks, which were individually non-essential to the overall economy, than the four too-big-to-fail behemoths we have today”.
Writing in the AFR today, Joye says the “majors’ too-big-to-fail features bequeath tremendous comparative advantages”.
“In banking, he with the lowest cost of funding wins via higher profits, greater market share, or both.
“Standard &amp; Poor’s lifts the majors’ credit ratings two notches higher purely because it believes taxpayers will bail them out during a crisis. No other Australian deposit-taker gets this rating relief.”
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Commonwealth Bank more valuable than McDonald's and American Express: Tweet of the day

<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.”

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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.

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Larry Schlesinger

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