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Designing a fashionable evening gown for Miranda Kerr or Megan Gale is one thing, developing apartments that appeal to off-the-plan investors is another as Alex Perry has found out.
Two years after launching Alex Perry Residential in Fortitude Valley complete with models, champagne and canapés, the 11 level apartment block planned for 959 Ann Street has yet to proceed to construction.
And ambitious plans for nine <a href="https://www.alexperryresidential.com/gallery/" target="_blank">Alex Perry-inspired apartments </a>to be rolled out across Australia by 2021 haven't eventuated.
When first launched in mid-2011 with the fanfare attached to the fashion designer, construction of Alex Perry Residential was pencilled for January 2012, but was then put back to the end of 2012 following a re-design.
The redesign pulled out the expensive three-bedroom apartments and replaced them with one-bedroom apartments as part of a proposal that would to turn 77 out of the 143 apartments into serviced apartments. The website now lists a 2014 estimated completion date.
Construction is now set to begin in the final quarter of 2013, but subject to enough sales being achieved to satisfy the financiers of the development.
A December 2012 report on the project said one-bedroom apartments started from $350,000 and two-bedroom apartments starting from $513,000, ranging in size from 47 square metres to 81 square metres with a guaranteed rental return of 7%.
Developer Chrome Property did not provide a sales update to Colliers International for its March quarter inner Brisbane apartment report.
Colliers records just 40 apartments have been sold off-the-plan out of 143 in the $75 million project.
The top Fortitude Valley seller over the quarter was David Devine’s Central Village with 67 off-the-plan sales over the March quarter for Cambridge Towers, the first stage of the $450 million development, currently under construction.
Rod Fiddler, managing director of Xede Property Development Services, the project director of Alex Perry Residential, told Property Observer, they are “not in the business of publicly declaring sales results as these are too often manipulated or misinterpreted”.
Fiddler says the project has received development approval with a builder appointed.
“Sales are continuing and we are progressing towards financiers’ pre-sales targets."
He says construction is targeted to commence “this side of Christmas with demolition as early as September 2013."
Alex Perry’s involvement in real estate development dates back to 2008 when he lent his design expertise to the interiors of the doomed nine-apartment project at 10 Wylde Street, Potts Point, developed by Ashington, which collapsed in 2010.
The project’s promotion was originally handled by public relations firm Baker Brand, which says it is no longer involved in the project.
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Apartment development still not all that fashionable for Alex Perry

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Expectations that the Melbourne property market will enter a period of sustained downturn after being one of the strongest performing capital city housing markets, post-GFC, have not come to fruition.
The most recent RP Data-Rismark report to the end of July has Melbourne dwelling values up 6.8% since the housing market bottomed out in May last year.
While concerns remain for certain sectors of the market, such as the oversupplied Docklands apartment market and house and land estates on the fringe, the overall trend appears upwards.
Housing trends:
Indeed the market is performing better than most predicted, though the extent of the improvement depends on where you source your data.
The most recent report released by Australian Property Monitors (APM) has the Melbourne median house price up 5% over the June quarter to $554,000 and 6.1% year-on-year.
Unit prices have grown more modestly, up 3.7% over the June quarter and 4.2% year-on-year to a median price of $412,000.
Putting this into context, both sectors of the residential market have already far exceeded APM’s own forecast of between zero and 3% for Melbourne over the entire calendar year.
The Real Estate Institute of Victoria recorded a 2.4% increase in Melbourne house prices over the June quarter to $562,000 – 8.4% up on the same quarter last year with unit prices up 2.8% and 5.7% respectively to $464,500.
July figures from RP Data- Rismark (one month ahead of the other providers) has Melbourne house values up 2.5% over the July quarter to $530,000, and up 4.4% over the previous 12 months with units up a more modest 1.2% for the quarter and 3.1% year-on-year with a median value of $435,000.
Removing the dissonance in the data due to different methodologies the clear trend is of an upward momentum in the Melbourne housing market.
Commenting on the APM figures, senior economist Andrew Wilson says of the Melbourne housing market that it “continues to benefit from low interest rates and restored confidence, with solid buyer activity continuing this year”.
“Sales activity continues to be generally spread between price sectors and regions, with investor activity also on the rise."
“An increase in first-home buyer activity was generated by the recent changes to the state government grant, which expired for the purchase of established properties at the end of June, bringing forward significant demand."
Other property data also points a strong market with the auction clearance rate in June at 69% compared with 55% a year ago, and the average discount to secure a sale falling from 7.7% to 6.6% over the past 12 months to June.
RP Data records that it takes 44 days for a Melbourne house to sell and 51 days for a unit to sell – a little bit longer than Sydney (33 days and 31 days respectively) but quicker than it takes to sell a house or unit Brisbane, Adelaide, Perth, Hobart or Darwin.
Other figures also suggest a modest upswing with 4% home loan growth over the first five months of the year to owner occupiers, above the national average of 2.5%, according to seasonally adjusted ABS data.
But putting this into context, NSW recorded a 13% rise in housing finance from January to May while Queensland managed 9.1%.
The most recent dwelling approvals data recorded a 24% fall over June, though this may be due in part to changes in first-home buyer grants favouring those buying new homes only from July 1 - though the overall longer term trend is a declining one for units with Melbourne coming off its peak apartment development phase in areas like Docklands, the city and Southbank.
Hotspotting.com.au’s Terry Ryder says the figures coming out of Melbourne are “no indication” of a real estate boom but that the market is rising at a steady and sustainable pace.
 
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Economic trends:
Broader factors – economic growth unemployment, population growth, retail spending - all impact on demand or appetite for residential property.
In this regard, Victoria is performing adequately on some measures while poorly on others.
Importantly, the state’s population – a key driver of housing demand - is expanding by 1.8% per annum in line with the national average.
Victoria’s unemployment rate increased from 5.4% in May to 5.8% in June, just above the national figure of 5.7% and above that of NSW (5.4%) and Western Australia (4.6%) but lower than Queensland (6.4%), South Australia (6%) and Tasmania (8.9).
Annual retail sales growth is weak, up 0.8% in Victoria compared with 2.9% nationally while the Victorian economy is only expanding at 0.9% per year compared with 3.7% national GDP growth.
Putting this all together suggests there are some factors positively impacting on demand for housing and others reducing demand – supporting a moderately improving scenario.
Hits and misses:
Property market analyst Catherine Cashmore calls Melbourne an “unbalanced market” noting that the biggest gains in price have been recorded in the inner and middle regions of the city – principally, the auction-dominated terrains – with the outer suburbs remaining stable.
“It’s not quite the rampant atmosphere experienced in 2007 during which the lending frenzy leading up to the GFC was pushing excessive amounts of easy credit into the market. Prices are still well below their peak and results patchy,” she says.
Cashmore believes a number of economic and social factors have combined to push it well and truly into a sellers' domain.
Figures compiled by APM show that growth in the Melbourne market has been far from uniform with growth ranging from just 1.9% in the far south east to 9.3% in the over the past financial year.
Other strongly performing regions of Melbourne were the inner city (7.3%), west (7.2%) and inner east (6%).
Weaker returns were in the inner south east (3.5%) and north (3.7%)
However, the idea pushed by many market commentators and estate agents that investing in the inner city offers the best prospects for growth is not true, according to Terry Ryder.
He points out that most of the top performing suburbs over the past 10 years are outer Melbourne suburbs led by <a target="_parent" href="/news">Waterways</a> (median house price of $695,000 up 11.8% per annum) and <a target="_blank" href="/news">Narre Warren North</a> (median price of $763,000 up 9.3%) while the weakest markets were <a target="_blank" href="/news">Docklands</a> (median of $618,000 up 2.3%), <a target="_blank" href="/news">Parkville</a> ($606,000, up 2.4%) and <a target="_parent" href="/news">East Melbourne</a> ($655,000, up 3.1%).
 
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Should you avoid buying an inner city apartment?
Terry Ryder cautions against investing in an apartment in <a target="_blank" href="/news">Docklands</a>, <a target="_blank" href="/news">Southbank</a> or in the city due to an oversupply of new apartments, which he says is only going to get worse.
The vacancy rate in Docklands stands at 7.6%, it’s 8.9% in Southbank and 6.5% in the CBD compared with a Melbourne-wide vacancy rate of 2.9% according to SQM Research data.
Ryder says there are currently 300 apartment projects being marketed in these locations with 35,000 units planned.
“Developers are offering free marina berths, stamp duty rebates, furniture packages to entice buyers,” he says.
Similarly views are held by valuers at Herron Todd White, who in their latest monthly review write that “evidence continues to emerge of an over-supply of units in the development pipeline, particularly in the metro area.
“A large proportion of the demand is coming from overseas. Most foreign buyers are only able to buy off-the-plan, so when it comes to selling your market pool has shrunk considerably.”
So where are the hotspots in Melbourne?
Ryder suggests more affordable locations further out from the city with growing populations, good transport connections to the city and with good employment opportunities.
His recommendations include <a target="_blank" href="/news">Frankston</a>, an affordable Bayside suburb with a median house price of around $330,000 and units at $260,000. The suburb has rail links to the CBD as well a good motor link connections following the opening of the Peninsula Link. Property prices are rising by around 7% per annum.
He also picks the Epping precinct including <a target="_blank" href="/news">Lalor</a>, <a target="_blank" href="/news">South Morang</a>, <a target="_blank" href="/news">Thomastown</a> and <a target="_blank" href="/news">Craigieburn</a> due to their affordability, railway and motor links and job opportunities.
Another good option is <a target="_blank" href="/news">Berwick</a>, which has lower vacancy rates, average growth in house prices of 6.5% per annum and with Casey Hospital, Monash University and TAFE campus providing good employment prospects.
“Steer clear of the inner city apartment market and concentrate on affordable housing markets in the middle and outer ring suburbs,” says Ryder.
Picture of Melbourne courtesy of eGuide Travel.
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Melbourne in the housing spotlight: Are there any spring 2013 hotspots?

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<img src="/images/stories/2013/08/wbp-logo.jpg" width="317" height="87" alt="wbp-logo" style="display: block; margin-left: auto; margin-right: auto;">
Agent: Phillip Walters

<img src="/images/stories/2013/08/Phillip_Walters_-_Head_shot.jpg" width="200" height="200" alt="Phillip_Walters_-_Head_shot" style="float: right;">Position: Senior Property Manager
Company: WBP Property Group

Office location: Melbourne
How long have you been in the industry? <ol></ol>
I started in Real Estate over thirty years ago and have worked in various areas of property during my career. I had my own retail business for nine years but even during that time I worked as a consultant helping people with commercial property.  
What’s happening in the area you specialise in? <ol></ol>
Lately we seem to be helping people with relocations, expansions and generally helping people to adapt to the new economic environment. We have just completed a national rollout for one of our clients as their business expands.
We have a number of Retailers wanting to down-size as they alter their buying practises to compete with internet traders. We have negotiated a number of short term abatements and brought the retailers back to paying full rent thus helping the retailers’ cash flow and maintaining the capital value of the asset. Sometimes these are difficult decisions however our advice was not to go to market to secure a new tenant as the market was too soft. The Landlord was facing the inevitable of losing some money but our strategy protected the capital value. We didn’t give any advice until we had drilled down into the retailers business and financial situation.  
Describe the most interesting property you have managed <ol></ol>
There is no one property that is the most interesting.
Milleara Shopping Centre had four years worth of outgoings to reconcile, leases that needed clarifying in order to determine no recoverable outgoings and percentage rents. These issues went to the heart of the value of the centre. After determining the true income, I worked with Esanda, the selling agent, the buyer and the solicitors through the due diligence to settlement.  
Lansell Plaza in Bendigo had quite a few issues. On the whole the retailers were trading at one third the national average for retailers in similar centres. I worked on design issues, centre layout, leasing strategies, finishes and the centre’s amenities. We identified issues from our own observations as well as focus groups and detailed research. On completion of the redevelopment within twelve months the retailers traded in line with the national averages.  
Marysville business incubator was the most satisfying. Marysville had been completely devastated by a bush fire. Only a few buildings remained. I worked as a consultant with State Government, Treasury and Finance to alter an existing shed that had survived largely intact and turn it into a supermarket and business incubator. I set it up to function a bit like a shopping centre and established the building to government standards. I worked with the locals and trained a local real estate agent in the rudimentary skill of managing a centre. I am still in contact with these inspiring people.  
What are the ingredients to being successful in your job? <ol></ol>
Look at the facts, the legal frame work we work in and the potential for everyone to make money. Exit strategies are an important part of a leasing strategy and managing the whole process is a responsibility we have to our tenants and Landlords alike and key to maximising returns. Everyone is keen to focus on the leasing component but often not sure how to talk to sitting tenants about exiting or giving up space to create more opportunity. A lot of this comes from experience.  
What aspects of your role do you enjoy the most? <ol></ol>
Being an agent for change when the change makes everyone money.  
Where would you invest a spare $750,000? <ol></ol>
There are a number of standalone shop fronts and factories where the zoning is about to change and allow office uses. I would be targeting well positioned opportunities for potential development where you can get a good passing rent in the mean time.  
Which football team do you support? <ol></ol>
Next question! Richmond have been on the comeback trail since I was a teenager.  
What’s your favourite app or techno gadget? <ol></ol>
IPhone, a love hate relationship. I hate it when it goes off at inconvenient times then love it because I can resolve issues immediately. I can reply to emails, search the internet for quick answers and call anyone I need on my contact list. Then get back to my coffee within minutes of an issue blowing up.  
How do you use social media? <ol></ol>
Facebook and linkedin, truth be known, Facebook so I can keep an eye on what everyone else is up to and linkedin I am still fairly new to. Isn’t twitter what birds do? The new social media in real time that I am yet to embrace.
Twitter account: <a href="https://twitter.com/WBP_PropertyGrp">https://twitter.com/WBP_PropertyGrp</a>
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In profile: WBP Property Group's senior property manager Phillip Walters

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Brisbane property development icon David Devine continues to have the Midas touch in Brisbane’s Fortitude Valley.
Devine’s Metro Property Development group recorded 67 off-the-plan sales over the March quarter for Cambridge Towers, the first stage of its $450 million Central Village development in Fortitude Valley making it the top seller by some margin, according to the latest inner Brisbane apartment update from Colliers International.
Now under construction, Metro had sold 92 out of 165 units in the development as of the end of the March quarter.
In a release earlier this month, Metro said it had sold 80% of the 160 apartments in Oxford Towers, stage two of the project, with one and two bedroom apartments ranging from $275,000 to $575,000.
On completion Central Village will comprise five towers and approximately 970 apartments. The project is expected to take approximately five years to complete.
Metro Property Development general marketing manager Peter Hobbs attributed the success of Central Village to its high level of amenity, combined with its affordability and expects sales volumes to remain strong through the year.
“The market is definitely on the rise and buyers are looking to strike while the iron is hot,” he said.
“Interest rates are at a 53 year low in Australia and Fortitude Valley is one of only three Brisbane inner city suburbs offering rental yields in excess of 6%. This growth in rental returns is mainly due the fact that vacancy rates in Fortitude Valley currently sit at under 1%.”
<img src="/images/stories/2013/08/fortitude-valley.jpg" width="470" height="627" alt="fortitude-valley">
 
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Devine has been hugely successful with another Fortitude Valley project Brooklyn on Brooks, 88% sold and under construction and Madison Heights in nearby Bowen Hills 93% sold and also under construction.
David Devine told Property Observer in November last year that Metro’s ability to offer apartments to investors that qualify for the federal government’s <a target="_blank" href="https://www.propertyobserver.com.au/queensland/nras-and-smsf-investors-helping-keep-inner-brisbane-off-the-plan-market-afloat-david-devine/2012112858155">national rental affordability scheme (NRAS) </a>and that appeal to investors acquiring property through their self-managed super funds are key reasons for his success to date. The other top selling projects over the March quarter were Lend Lease’s Showground Hill project on the site of the RNA Showgrounds in Bowen Hills with 19 sales recorded and 197 out of 288 apartments sold. The apartments are part of a major redevelopment of the showgrounds, which include a business park, retail precinct, fresh food market and convention centre.
Belise being developed by Reed Property Group managed 13 sales over the first three months of the year with 100 out of its 228 one, two and three bedroom apartments now sold.
However, the much touted Alex Perry Residential development, which hit the market more than two years ago complete with supermodels and paparazzi, continues to struggle with developer Chrome Property providing no update on off-the-plan sales to Colliers International.
Colliers International records 40 apartments sold to date out of 143 for a project which was first marketed in May 2011 and is now being managed by property development services group Xede, after being re-jigged with three-bedroom apartments replaced with one bedroom apartments and more than half of the 143 apartments to be sold to investors as serviced apartments.
Xede managing director Rod Fiddler told Property Observer the project had received development approval with a builder appointed.

“Sales are continuing and we are progressing towards financiers’ pre-sales targets.

“We are not in the business of publically declaring sales results as these are too often manipulated or misinterpreted," he said.
“Construction is targeted to commence this side of Christmas with demolition as early as September 2013,” he said.
Colliers International says there are 30 apartment developments under way in inner north precinct, which incorporates Fortitude Valley, Bowen Hills, Albion, Hamilton, Kelvin Grove, New Farm, Newstead and Tenerife just north of the Brisbane River and makes up more than half of the inner Brisbane market.
It says demand for new apartments across the inner north was moderate over the first quarter of 2013 following a period of robust sales rates during the preceding year.
Construction image of Central Village (14/8/13):
<img src="/images/stories/2013/08/live-construction.jpg" width="470" height="313" alt="live-construction">
 
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There were approximately 880 unconditional sales reported during 2012, representing a 2% increase in the previous highest volume from 2010.
<img height="207" width="470" src="/images/stories/2013/larry_uploads/brisbane_new_apartments.jpg" alt="brisbane_new_apartments">
Annual sales over the 12 months to March 2013 were around 840, comprising around 52% of the inner Brisbane market.
“Owing to a large proportion of one bedroom investment stock sold, the weighted average sale price remains the lowest amongst all precincts in inner Brisbane at $495,000. This was punctuated by the number of unconditional sales under $450,000, accounting for 52% of the total,” says Alex Beer, researcher and analyst at Colliers International.
Colliers counts 1,263 apartments for sale in the inner north another 1,028 apartments that could potentially be released for sale in the coming year.
“This level of new supply is not expected to have an adverse effect of demand as results from preceding quarters show that new releases onto the market often see sales increase,” says Beer.
As an example, over the fourth quarter of 2011, there were 445 new apartments released to the market, yet it still recorded the highest number of unconditional sales in the precinct over the last five years.
Overall, the outlook for the inner Brisbane apartment market has firmed with more than 540 off-the-plan sales recorded in the March quarter – the first time quarterly sales have exceeded 500 in almost a decade.
The total future development pipeline as it currently stands is estimated at between 4,500 and 5,000 apartments.
However, in the short term, Colliers International forecasts indicate there could be as many as 810 apartments released in the next year.
“The market has been receptive of newly released projects over the past 12 months with an average absorption rate of 113 unconditional sales per quarter across the seven projects that were released in the year to the March quarter of 2013,” says Beer.
 
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David Devine remains apartment king of Fortitude Valley 

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Chiropractor Luke Smith has taken up the last available retail space in Colonial First State's 367 Collins Street office tower in the Melbourne CBD, known as the Optus Centre.
Smith, part of the Queen Street Chiropractic practice, has leased a 119 square metre shop paying gross annual face rent of $336 per square metre ($40,000 per annum).
The space has been sub-leased from the Commonwealth Bank for three years commencing from June 15.
The lease was negotiated by Ben Tremellen, manager of retail leasing at Colliers International.
Tremellen notes that this is the last remaining retail tenancy within the lobby of the Optus Centre. 
"The building is well serviced by numerous public transport options including trams traversing Collins Street and Elizabeth Street and trains from Spencer Street and Flinders Street Railway Stations. 
"In addition to the substantial amounts of building pedestrian traffic, Collins Street itself benefits from enormous amounts of daily pedestrian traffic – approximately 10,000 people," he says.
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Chiropractor takes up last retail space at the Optus Centre on 367 Collins Street office

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Bendigo Bank will cut its residential variable home loan interest rate by 25 basis points. to 6.01% per annum from August 26.
Bendigo and Adelaide Bank managing director Mike Hirst said the adjustment aims to find a fair balance for all of the bank’s key stakeholders.
Customers with an average variable home loan of $250,000 will see their repayments decrease by $40 a month (principal and interest home loan over 30 years).
Outside of the big four banks, Bank of Queensland and Suncorp have both announced they will cut their home lending variable rates by 25 basis points since the RBA cut the cash rate to 2.5% on Tuesday.
Suncorp Bank’s standard variable rate will drop to 5.99% p.a on August 26.
Bank of Queensland’s standard variable rate will drop to 6.01% p.a on August 27.
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Bendigo passes on full rate with 6.01 standard variable rate from August

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The housing market is one of the bright spots in an economy that continues to perform "below trend" the RBA has said in its monthly monetary policy statement.
The economy is now expected to grow by 2.25% this year down 0.5 percentage points on an earlier May forecast. Growth is expected to pick up to 2.5% for the 2013/14 financial year.
The RBA reports a "slightly weaker" global economic outlook than a few months ago "reflecting, among other things, the assessment that growth in China is now unlikely to pick up much, if at all, in coming quarters" and that the Australian economy has performed "below trend over the first half of this year".
In addition, the RBA notes "softer conditions in the labour market", "softer growth in incomes" and "weak growth of consumption over recent months" as the Australian economy transitions away from mining investment to non-mining sectors.
But "in contrast", the RBA said that "conditions in the housing market continue to improve".
"Dwelling prices increased further in recent months and auction clearance rates remain high.
"This has been accompanied by an increase in housing loan approvals in response to low interest rates.
"These factors, along with strong population growth and the relatively low level of dwelling investment for some years now, point to a continued rise in dwelling investment in the period ahead.
"Indeed, residential building approvals, especially for detached housing, increased in the June quarter and it seems likely that this will continue," says the RBA.
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Housing market conditions improving: RBA

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ANZ has announced it will pass on the full RBA 25 basis point cash rate cut to its variable rate borrowers following its monthly independent interest rate review.
Effective August 16, ANZ’s standard variable rate will reduce to 5.88% per annum (5.98% comparison rate).
The decrease will save customers about $58 per month or $700 per year for the average home loan of $280,000, says ANZ.
It means all the major banks have now passed on the rate cut in full, with Westpac passing on 28 basis points to bring it nearer in line with its rivals.
<table style="font-family: Verdana, Arial, Helvetica, sans-serif; font-size: 11px; border: 1px solid #666666; margin: 0px; border-collapse: collapse; color: #000000;" border="1" cellspacing="0" cellpadding="0"><tbody>
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Lender
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<td style="padding: 0px 5px; border-width: 0px;" valign="top" width="205">
New standard variable rate
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<td style="padding: 0px 5px; border-width: 0px;" valign="top" width="205">
Effective date
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<td style="padding: 0px 5px; border-width: 0px;" valign="top" width="205">
NAB
</td>
<td style="padding: 0px 5px; border-width: 0px;" valign="top" width="205">
5.88%
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<td style="padding: 0px 5px; border-width: 0px;" valign="top" width="205">
August 12
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</tr>
<tr>
<td style="padding: 0px 5px; border-width: 0px;" valign="top" width="205">ANZ</td>
<td style="padding: 0px 5px; border-width: 0px;" valign="top" width="205">5.88%</td>
<td style="padding: 0px 5px; border-width: 0px;" valign="top" width="205">August 16</td>
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Commonwealth Bank
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<td style="padding: 0px 5px; border-width: 0px;" valign="top" width="205">
5.90%
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<td style="padding: 0px 5px; border-width: 0px;" valign="top" width="205">
August 14
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</tr>
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Westpac
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<td style="padding: 0px 5px; border-width: 0px;" valign="top" width="205">
5.98%
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<td style="padding: 0px 5px; border-width: 0px;" valign="top" width="205">
August 19
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ANZ passes on RBA rate cut in full with 5.88% standard variable rate from August

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While it could hardly be called “fast-tracked” the pace of signficant investor visas issued by the Department of Immigration appears to have picked up of late.
The department has now issued 10 so-called “golden ticket” visas which are available to wealthy offshore investors who are able to invest $5 million in compliant schemes including commonwealth and state bonds and managed investment schemes.
A spokesperson could not say where they have been issued but are likely to be in Victoria and NSW given the pattern of visa applications to date.
This is up from just two issued between the November 24 start of the SIV scheme and July this year – one to a Chinese toy manufacturer investing in Victorian state bonds and another to an Asian investor making compliant investments in Queensland.
Despite the issue of eight visas over the last month, the Department of Immigrations has more than 300 applications to assess and it could be months or even years before some are approved.
Between November 24 and June 30, the Department of Immigration has received 544 expressions of interest from offshore investors and has invited 409 investors to submit applications.
Of those invited to apply for the visa, 305 have lodged applications with NSW (138) and Victoria (129) getting the vast bulk of these followed by Queensland (24), WA (16) and three in South Australia.
In June, the Department of Immigration told Property Observer it would take between six to nine months to process applications under a "business as usual" scenario.
Direct property investment is not among the qualifying investments under the program, but indirect property investment is possible with the likes of property fund manager Centuria offering investment in its unlisted property trusts that are now compliant.
In addition, the wealthy individuals who qualify for visas are in the market for expensive prestige real estate in Sydney, Melbourne and Brisbane with reports that some are looking for waterfront homes in the $30 million plus price bracket.
In June Macquarie Bank launched a new investment fund specifically targeted at providing SIV-qualifying investment options.
Others to offer complying investments include financial services group IOOF.
Last month, the Financial Standard reported that fund manager Legg Mason was packaging its four Significant Investment Visa (SIV) complying funds as a ready-made solution for private wealth advice firms.
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Significant investor visa numbers finally hit double figures as fund managers ramp up compliant offerings

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As the pace of mortgage lending picks up amid the cash rate at a new record low, competition among the major banks for borrowers is intensifying.
The most recent June ABS housing finance data reported a larger than expected 2.7% rise in owner occupier home loan commitments over the month and a 12.7% rise of the past financial year.
This desire to grow mortgage lending was apparent in the swiftness with which three of the four major banks announced their interest rate decisions after the RBA cut the cash rate to 2.5% on Tuesday.
NAB’s announcement to pass on the full rate cut came just a few minutes after the 2.30pm RBA announcement with Commonwealth Bank and Westpac both revealing their decisions before 4pm.
In previous RBA announcements, the major banks have taken days to pass on rate cuts in some instances, while also not passing on the rate cut in full.
Only ANZ, hamstrung by its independent interest rate decision on the second Friday of every month, could not make an immediate announcement, though it did announce its decision to pass on the full rate cut earlier than usual today (the bank also passed on 27 basis points in May, the only major bank to offer more than the RBA's 25 basis point cut).
The eagerness of the major banks to announce their rate decisions was matched by their willingness to pass on the rate cut in full, or in the case of Westpac to pass on more than the 25 basis points with a 28 basis point reduction.
Westpac also announced that it had cut its one-year fixed rates by 0.45 percentage points to 4.99% and its two-year fixed loans by ­0.10 percentage points to 5.09%.
The Commonwealth Bank announced yesterday that it was also cutting the interest rate on its three-year fixed rate home loans by 10 basis points to an enticing 4.89% per annum.
Australia’s biggest mortgage lender also pledged to beat the advertised rates on one-to-five year fixed rate home loans from its major bank rivals and Westpac subsidiary banks St George, Bank of Melbourne, and Bank SA for the next seven weeks.
The pledge ends on September 30 – just one day before the RBA meets to decide on interest rates on October 1.
While economists expect the RBA to hold fire on September 3 just four days before the federal election, a rate cut on October 1 is an outside possibility.
The timing of announcements and the more generous fixed and variable offers of Westpac and Commonwealth Bank suggest funding costs have eased and competition is set to heat up.
NAB’s head of personal banking, Gavin Slater, said the bank was committed to “being competitive and providing certainty for customers in the current economic environment”.
His counterpart at Westpac Jason Yetton said the bank was “delighted” to offer the 28 basis point rate cut also pointing out that Westpac’s home loan rates are now at their lowest level since October 2009.
He added that the bank had seen increasing signs of buyers returning to the housing market and that "the latest interest rate reduction would help support both new purchasers and existing homeowners".
The Commonwealth Bank’s acting head of retail banking, Clive van Horen said customers also were “increasingly looking to lock in a competitive rate” adding that some of the bank’s fixed home loan rates are now at 20 year lows.
ANZ has also been keen to stress the growth of its home loan business, taking exception to an article which appeared in AFR Boss magazine criticising its super regional growth strategy at the expense of its Australian business
The bank’s spokesperson Paul Edwards issued a statement highlighting that APRA banking data shows that ANZ has grown its share of the Australian mortgage market for 13 consecutive quarters rising from 14.1% to 14.8% since December 2007.
However the size of the major bank's mortgage books and their reliance on home loans has been criticised by Don Argus, the former boss of NAB, who warned that the major banks were starting to resemble building societies and were putting the economy at risk in comments reports by the Australian Financial Review.
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Major banks intensify battle for borrowers with home loan rate cuts

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.

Joel Robinson

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

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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]

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Nova Rêve arrives as Reve Group bets on Castle Hill's next growth phase

A collection of just 25 large-format apartments and penthouses overlooking Goodwin Park is entering the Coolangatta market, with <a href="https://www.apartments.com.au/new-apartments/marea-residences-coolangatta-27-27a-dixon-street-coolangatta-qld-4225">Maréa Residences</a> combining a low-density, residential-only approach with uninterrupted park and Pacific Ocean outlooks.

Located at 27 Dixon Street, Maréa comprises three and four-bedroom residences alongside a limited number of dual-level penthouses, with the project positioned between Goodwin Park and <a href="https://www.apartments.com.au/developments/coolangatta-qld-4225">Coolangatta</a>’s coastal precinct.

Construction has commenced, with completion currently estimated for late 2027. Three-bedroom residences are priced from $1.8 million.

[smartcode_project:default project_id=150999 project_image_fid=374005]

The project has been designed around its northern outlook across the park, with the building’s architecture, landscaping and material palette intended to establish a connection with the neighbouring green space. The residences have been configured to maximise natural light and views across Goodwin Park towards the ocean.

Inside, the material palette incorporates timber, stone and brushed brass, complemented by curved detailing and ambient lighting. Kitchens and bathrooms carry the same natural material approach, while residences also include basement parking, storage and lift access.

Maréa’s penthouses are arranged over two levels and include private pools, adding another layer to the project’s focus on larger-format apartment living. Across the development, residences are configured with three or four bedrooms rather than the broader mix of smaller apartment types commonly found in larger projects.

[smartcode_project:default project_id=150999 project_image_fid=374010]

Resident amenity is concentrated at rooftop level, where landscaped entertaining terraces and pools take advantage of elevated views across Coolangatta and the Pacific Ocean.

The project has so far been particularly well received by local owner-occupiers and downsizers, according to Urban Activation Property Sales and Marketing Director Matt George, with the residential-only format, construction quality and northern park outlook among the features resonating with purchasers.

“The uninterrupted northern aspect overlooking Goodwin Park has been a key point of difference, with buyers attracted to the sense of serenity and open space the park provides, while still enjoying easy access to the ocean and being within walking distance of the lifestyle and amenities Coolangatta has to offer,” George said.

[smartcode_project:default project_id=150999 project_image_fid=374002]

“The combination of high-quality construction, a residential-only building, park outlook and proximity to the beach has resonated strongly with the local downsizer market.”

The Dixon Street address is within walking distance of Coolangatta Beach and the broader southern Gold Coast coastline, including the surf breaks at Snapper Rocks and Kirra. Coolangatta’s cafés, restaurants and retail are nearby, while Gold Coast Airport is also within close proximity.

[smartcode_project_cta:default project_id=150999]

Maréa Residences brings parkside apartments to Coolangatta

Melbourne developer PDG has secured Victorian Government approval for its $1.5 billion Southbank development <a href="https://www.apartments.com.au/new-apartments/the-one-1-queens-bridge-street-southbank-vic-3006">The One</a>, clearing the way for the long-dormant riverfront site opposite Crown to finally be developed.

The Minister for Planning has approved the project at 1-29 Queens Bridge Street, with the Department of Transport and Planning issuing the planning permit following its assessment.

The approval will allow PDG to develop the prominent 5,059 sqm site with a major mixed-use tower comprising premium apartments, including branded residences, a luxury hotel and boutique office space.

PDG acquired the site in late 2024, with its position directly opposite Crown's main entrance and near Melbourne's Arts Precinct making it one of Southbank's most significant remaining development opportunities.

<img alt="PDG" data-entity-type="file" data-entity-uuid="3933013e-6332-4386-b9be-089df05caf17" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-08-27%20at%209.29.22%E2%80%AFAM.png?VersionId=sITIgBqDL0N3VNSMwWEmF5UA.uvcsRyu" />

Designed by COX in collaboration with ODO and PDG, the tower's architecture draws on the movement of the Yarra River, with six vertical pleats running the height of the sculpted facade.

The project will also see the heritage-listed Queens Bridge Hotel restored and incorporated into the development&nbsp;with new hospitality and public uses, including a rooftop venue.

A significant component of The One will be its residential amenity.

More than 5,000 sqm of resident facilities will be delivered across a single level, making it one of the largest consolidated residential amenity offerings proposed in an Australian apartment development.

The planning approval also incorporates a major upgrade of Queensbridge Square, which PDG will deliver in partnership with the City of Melbourne.

<img alt="PDG" data-entity-type="file" data-entity-uuid="73167fcd-1031-4b6f-a408-a064cfe45ed1" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-08-27%20at%209.29.17%E2%80%AFAM.png?VersionId=Pf1AEWxw6SNmBqR0zQW5lyEze.MtxgFp" />

The existing square will be revitalised as a new civic and pedestrian space along the Yarra River, strengthening the connection between the project, Southbank and the riverfront.

PDG Founder and Managing Director Vince Giuliano said the approval represented a major milestone for a site which has remained largely underutilised for more than 15 years.

“This is the most significant Planning Permit approval Melbourne has seen in recent years,” Giuliano said.

“For more than 15 years, this site has remained underutilised. This approval enables us to deliver a project that will contribute meaningfully to the revitalisation of Southbank, restore and reactivate an important heritage building, and create a new civic and hospitality destination for Melbourne.”

The latest approval follows an earlier planning permit issued by the City of Melbourne covering demolition works across part of the site at 9-29 Queens Bridge Street. Those demolition and early works are already underway.

PDG has also started generating early interest in the residential component from owner-occupiers ahead of a planned public launch in early 2027.

PDG secures approval for $1.5bn Southbank apartment development, The One

Local developer Harridan is seeking to turn its Woolloongabba apartment project into the first stage of a broader transformation of Burke Street, using a new 16-storey mixed-use building to establish a greener pedestrian connection toward the rapidly evolving Boggo Road transport and knowledge precinct.

The South East Queensland developer has filed plans for 154 apartments on the <a href="https://www.apartments.com.au/new-apartments/4-burke-street-woolloongabba-qld-4102">southern side of Burke Street</a>, where its proposal has been designed alongside a wider vision by LatStudios for the street.

That vision positions the southern side of Burke Street for buildings of 15 storeys and above, while envisaging lower-rise development of up to five storeys on the northern side to transition into Woolloongabba's existing character housing. It also proposes wider pedestrian verges, deep planting, new street trees and upgrades to the pedestrian approach to Boggo Road Station.

The Harridan development itself has been designed by Brisbane-based Arqus Design and will comprise 154 apartments across 16 storeys. The mix is weighted heavily toward two-bedroom apartments, with 121 proposed alongside 10 one-bedroom and 23 three-bedroom residences. There will typically be around 14 units per floor.

A lower-ground car park and three podium levels will accommodate 156 resident parking spaces, along with visitor and commercial parking. There will also be 154 resident bicycle spaces and 40 visitor bicycle parks.

&nbsp;

Harridan is a family-owned developer and part of the Holmwood Highgate Group, with more than three decades of development activity across South East Queensland. Its portfolio spans residential, commercial and industrial property, with current residential projects including Riverbank on Byron in Bulimba, Esperance Residences in Carina and The Precinct at Kinross Road in Thornlands.

Wooloongabba has been popular for apartment developers, particularly since the announcement of the 2032 Summer Olympics games in Brisbane.

While there have been a lot of development applications, it has failed to materialize into real supply.&nbsp;

Sarazin has been the major player in the area. They are under construction at Murcia Residences, on the fringe of East Brisbane and Woolloongabba. They have just launched <a href="https://www.apartments.com.au/new-apartments/the-stanley-residences-woolloongabba-8-trafalgar-street-woolloongabba-qld-4102">The Stanley Residences</a>, in Woolloongabba on Trafalagar Street. They also have Nuage coming soon on the nearby <a href="https://www.apartments.com.au/new-apartments/nuage-woolloongabba-14-wellington-road-woolloongabba-qld-4102">Wellington Road</a>.

Larry Schlesinger

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