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Mortgage franchise RAMS has cut its suite of fixed-rate mortgage products, joining parent bank Westpac and fellow subsidiary St.George to announce fixed-rate cuts following last week's RBA cash rate cut.
RAMS has cut its one-year fixed rate by 36 basis points to 5.39% and reduced two-, three-, four- and five-year fixed rates by 10 basis points, with the changes taking effect today.
The RAMS three-year fixed rate now stands at 5.39%, matching the lowest three-year fixed rate offering on Ratecity.com.au – 5.39% from ME Bank.
Greater Building Society offers the lowest one-year fixed rate at 5.29%, according to Ratecity.com.au
A recent RAMS survey found that around two-thirds of first-home buyers intend to take out a fixed interest rate (22%) or split home loan (43%) in the next 12 months.
Earlier this month ME Bank recorded a surge in fixed-rate mortgage applications, which now account for 45% by value of all new applications, up from 14% earlier in the year.
“Fixing your interest rate could be a smart option, allowing customers to lock in the certainty of monthly repayments,” explained RAMS chief executive Melos Sulicich.
“Another option to consider is splitting your home loan between fixed and variable interest rates to make the best of both worlds."
Westpac will also cut its packaged fixed rates from today.
The bank’s one year packaged fixed rate will reduce by 20 basis points to 5.49%, while its three-year packaged fixed rate will fall from 15 basis points to 5.39%.
St George, also a subsidiary of Westpac, cut its fixed-rate mortgage products under its Advantage Package on October 5
It offers a one-year, two-year and three-year fixed rate at 5.39% per annum.
Just before the RBA cash rate decision CUA cut its two- and three-year fixed rate home loan products by 23 basis points to 5.5%.
RAMS will offer a standard variable home loan rate of 6.55% p.a effective from Friday, October 12 – below that of the major banks.
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RAMS joins St George and Westpac by cutting fixed rates

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The challenge posed by online retailing may start to impact on the tenancy mix in the Melbourne CBD, according to property valuation firm Herron Todd White.
In its October commercial property update, HTW notes a “more recent trend has emerged whereby clothing and fashion retailers are being replaced by food stores”.
It cites as on example Malaysian restaurant chain Petaling Street replacing Jays Jays clothing store as the tenant at 162 Swanston Street. Recent Swanston Street leases have been negotiated at around $1,600 per square metre.
The 110-square-metre shop next door at 160 Swanston Street, which formerly housed street wear retailer Crossover, is now vacant and also being marketed with food tenants in mind, including "the opportunity for kerb-side seating subject to planning approval". It is being marketed by Ben Stanley and Tom Ryan of Allard Shelton.
Another example is the Icey Dessert Café, which replaced Shibuya Fashion as the tenant at 231 Elizabeth Street, a 104-square-metre shop. Shops nearby on Elizabeth Street have leased for around $2,800 per square metre recently.
In its July 2012 Melbourne CBD retail report Knight Frank reported that around 30% of shops are leased to food businesses, almost on a par with those leased to clothes and soft goods retailers.
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Knight Frank also notes in this report that fashion and clothing stores are being replaced by “casual food concept” stores such as cafes.
The report also recorded a small increase in vacancies from 2.1% in December 2001 to 2.4% as of June 2012.
According to Knight Frank, "super-prime" rents on Bourke Street Mall range from $7,500 per square metre to $10,000 per square metre.
Prime retail rents range between $2,500 and $5,000 per square metre, while secondary retail rents range between $1,000 and $1,400 per square metre.
In its October report, HTW says that since the start of 2011 the Melbourne retail trading market appears to be undergoing a difficult period.
“Retail spending statistics supplied by the ABS suggests that retail spending is volatile and has been growing below trend for some time.
“Slowing growth in retail spending limits the rental increases payable by tenants and results in increasing vacancy rates and declining retail property values.
However, despite the uncertain retail environment, HTW says the higher vacancy rates have little effect on prime retail areas within the Melbourne CBD.
“Retail strips such as Bourke Street, Swanston Street and Elizabeth Street still have strong investor interest and remain highly sought after.
“It is anticipated that rental rates will remain relatively soft for the coming year due to the marginal increase in empty retail spaces.”
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Food stores replacing fashion retailers as CBD tenants in Melbourne: HTW

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Property investors should take a good look at the remote, historic Queensland outback town of Cloncurry, about 770 kilometres west of Townsville, according to hotspotting.com.au's Terry Ryder.
The town is the birthplace of the Royal Flying Doctors service and maverick independent MP Bob Katter.
Cloncurry is one of just three mining hotspots picked by Ryder – the others being coal seam gas-rich the Galilee Basin (inland from Townsville and Gladstone) and Broken Hill in outback NSW, where there are $7 billion in mining projects.
Ryder's mining town recommendations come with the warning that all mining towns are high-risk property investments – though with the potential for strong gains –  and only suitable for those investors with a high-risk appetite.
In Cloncurry's favour is the fact that it is the focus of a number of mining projects but also has ties to the grazing industry and to outback tourism.
<img src="/images/stories/2012/10/cloncurrymap.jpg">
“Cloncurry is not essentially a mining town, but a regional town of just 3,000 people far north-west Queensland near Mt Isa,” said Ryder in a Property Observer webinar.
“It services the grazing economy around it and the tourism industry, as it is quite a historic town.
“Mines are starting to spring up around it and are entering the construction phase.
“The good thing is they are not iron ore mines or coal mines (where commodity prices have fallen), but copper and zinc mines."
Major mining projects include Xstrata’s $580 million expansion of Ernest Henry mine (named after the founder of Cloncurry), which produces copper, gold and magnetite.
Other mining projects include the Cudeco copper mine just outside Cloncurry, where blast-hole drilling and other pre-blasting activities are now complete, MMG’s Dugald River project – one of the world’s largest and highest grade known undeveloped lead-zinc-silver deposits and Xstrata’s Mt Margaret mine, which will produce around 30,000 tonnes of copper per year over the next five years. 
At the same time a multi-user rail facility is being built to service all those mining companies and due for completion in mid-2014.
 
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The median house price in Cloncurry is around $260,000, making it one of the more affordable mining hotspots.
Ryder points out this is well below the median house price in other mining towns in Queensland, such as Moranbah and Dysart, where the median price is around the $700,000 mark.
“We are potentially going to see growth in prices and rents in Cloncurry as these mining projects create housing demand from those workers involved,” he says.
Houses in Cloncurry are not pretty, but recent sales show the potential for capital gains.
They include <a target="_blank" href="https://www.realestate.com.au/property-house-qld-cloncurry-108078636">this four-bedroom fibre cement house</a> (pictured below), which sold through Elaine Raffin from RealWay Property Consultants Mount Isa for $245,000 in January this year.
<img src="/images/stories/2012/10/burke.jpg">
The property last sold for $130,000 in February 2006.
It is listed for rent at $500 per week a gross yield of 10.6%
Another relatively recent sale was a <a href="https://www.realestate.com.au/property-house-qld-cloncurry-108836946" target="_blank">three-bedroom wood panel house</a> (pictured below) sold by Jean Rutherfurd also from RealWay Property Consultants Mount Isa.
<img src="/images/stories/2012/10/palmer.jpg">
The house sold for $300,000, having been listed between $275,000 and $325,000.
Cloncurry Shire Council sold the 914-square-metre block of land for $21,000 in November 2005.
Assuming rent of around $400 per week would equate to a yield of around 7%.
The majority of 1,300 dwellings in Cloncurry are houses, and two-thirds of these are three and four-bedroom houses according census 2011.
A high percentage – 52% of dwellings in Cloncurry– are rented, with only 22% of residents owning their homes outright.
In 1861 Burke and Wills with King and Gray were the first Europeans to come into the area on their ill-fated expedition to the Gulf of Carpentaria. Burke named the river “Cloncurry” for his cousin, Lady Elizabeth Cloncurry of County Galway in Ireland.
The Australian Aerial Medical Service (known more commonly as the flying doctors) took off on its first flight from Cloncurry on May 15, 1928.
The service made use of a de Havilland DH.50 aircraft hired from the then small airline Qantas.
A Royal Flying Doctor Service museum is situated in the town.
The town also includes the Mary Kathleen Memorial Park and Museum, with its notable memorabilia being a water bottle used by famed explorer Robert O'Hara Burke, who led the ill-fated Burke and Wills expedition from Melbourne to Gulf of Carpenteria and who died, alongside Wills and five other explorers, on the return journey.
Traces of copper were discovered at Cloncurry in the 1860s by John McKinlay, while searching for Burke and Wills, with pastoralist Ernest Henry discovering the first copper lodes six years later.
To listen to all of Terry Ryder’s tips for property investors looking to benefit from the mining boom, <a href="/news">view Property Observer’s free webinar here</a>
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Remote Cloncurry, Queensland, a hotspot with high yield potential: Terry Ryder

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A newly renovated corner retail property on Swan Street in Richmond that would suit a cafe has been listed for sale with an asking price of at $655,000 plus GST.
<img src="/images/stories/2012/10/swanst.jpg">
The property would suit a self-managed super fund investor or a cafe operator who wishes to own his or her own premises.
The 70-square-metre property at 255 Swan Street on the north-east corner with Mary Street has 5.6 metres of street frontage and also features a small timber deck area on Mary Street side with bifold windows opening on to the street
White says there is an opportunity for alfresco outdoor facilities with consent for tables and chairs on the Swan and Mary street pavements on obtaining the relevant permits.
“The property is also adjoined by an architecturally designed residential development at the rear and there is an established residential area further north from Swan Street," says White.
The vacant property is also available for lease at a net rent of $36,500, which would equate to a yield of around 5.5%.
It previously was the premises for a take-away business.
Recent retail premises on Swan Street include the 204-square-metre premises of Angus antique furniture just a few shops down from the vacant corner café, which sold for $1 million in March last year on a yield of around 3.7% through Tom Maule and Larry Takis of Teska Carson Richmond.
Swan Street runs perpendicular to Punt Road from the Royal Botanical Gardens to Park Grove.
Other nearby retail businesses on Swan Street include Greek Restaurant Salona (260A Swan Street) Lily and Weasel, a home, gift and accessories boutique (173 Swan Street), auction house Swan Street Sales (365 Swan Street) and the Swan Street veterinary clinic (445 Swan Street).
The corner property is for sale or lease with immediate occupancy.
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Alfresco café dining premises in Richmond listed at $655,000

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The retail property picture is improving for landlords that have a tenant mix favouring large retailers and chain stores, rather than boutique operators.
The graph below, prepared by Westpac, shows how the two opposite ends of the retail market (in terms of size and reach) are diverging on retail sales following the release of August retail sales data last week.
Click to enlarge
<img src="/images/stories/2012/10/westpacoct10thumb.gif">
“Small retailers have borne the brunt of the recent softening in sales with a 0.7% decline in August following July's 1.4% fall," noted Westpac senior economist Matthew Hassan.
“Large retailers recorded a milder 0.5% dip in July and a 0.8% rise in August. Much of the gap likely reflects the resilience in basic food retail, which is dominated by the big supermarket chains, and the rebound in department store sales in August.”
Overall retail sales remained flat in August, up just 0.2% after a 0.8% decline in July, a 1.2% rise in June and a 0.6% rise in May.
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Chart of the week: Why large retailers and chain stores can pay their rents

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Competition between Wesfarmer’s Bunnings and Woolworth’s Masters for the DIY market will deliver benefits for the south-east Queensland bulky goods property sector, according to the latest Midwood Report on the Queensland property market.
"The bulky good sector is set to begin its recovery this year," says the August quarter Midwood Report, authored by Bill Morris.
Both Bunnings and Masters plan to open around a dozen stores throughout south-east Queensland over 2012 and 2013.
Masters has plans for stores at Bremer, North Lakes, Upper Coomera and Stafford, while Bunnings has stores underway or planned for Arundel, Oxenford and Newstead.
Midwood also notes a number of other major retailers have plans to open bulky goods stores in the region in 2012 and 2013.
These include American bulk-buying chain Costco, which is looking to open its forth Australian store in Brisbane at Stockland North Lakes Business Park.
“Preliminary planning approval has been given for a 14,000-square-metre area with room for 750 car spaces on the seven-hectare space,” says the Midwood Report.
IKEA also announced plans to build its second superstore in Brisbane at the Westfield precinct at North Lakes.
"However, they are awaiting approval from the council," says Midwood.
A 27,660-square-metre Harvey Norman store is to be completed in Maroochydore on the Sunshine Coast, and a 10,451-square-metre Gold Coast Homemaker Centre on Bundall Road has been has been proposed for completion in late 2013.
Recent bulky good store sales include a showroom on Old Pacific Highway in Oxenford, which sold for $4.7 million in June, with the sale negotiated by Pat Cavanagh and James Crawford from Colliers International Gold Coast.
The 1,700-square-metre building on a 3,853-square-metre site, anchored tenanted by Reece Plumbing and Ideal Electrical, last sold for $1.7 million in 2004, according to RP Data records.
The improved outlook for the bulky goods sector is not just confined to south-east Queensland, with A-REIT Charter Hall currently negotiating to buy a $230 million portfolio of Bunnings Warehouse properties across Australia in a sale-and-lease back deal.
Charter Hall may roll the Bunnings stores into a new unlisted fund with the backing of a major pension fund, reported the Australian Financial Review.
In its September spring forecasting report, BIS Shrapnel forecast an 18% rise in  non-residential commencements in Queensland in 2012-13 led by a 37% increase in the value of warehouse commencements with four 40,000-square-metre developments currently anticipated to start.
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DIY wars good news for south-eat Queensland bulky goods property sector: Midwood

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It appears Federal Treasurer Wayne Swan has taken RBA governor Glenn Steven’s “glass half full” speech to heart, finding something positive in the International Monetary Fund’s (IMF) lastest downgrade of global growth and risk of recession warning.
<a href="https://twitter.com/SwannyDPM" target="_blank"><img src="/images/stories/2012/10/swantweet.jpg"></a>
Australia ranked the 15th  biggest economy in the world in 2007 when Labor came to power.
In its <a href="https://www.propertyobserver.com.au/economy/imf-vindicates-rba-october-rate-cut-as-it-warns-of-one-in-six-chance-of-recession-in-advanced-economies/2012100957047" target="_blank">October World Economic outlook, the IMF</a> warned there was a one in six chance (17%) of a recession in advanced economies, while also reporting that Chinese economic growth slowing to around 7% in the first half of 2012.
The IMF has cut its global GDP forecast by 0.2 percentage points to 3.3% for 2012 and by 0.3 percentage points to 3.5% in 2013.
Forecasted growth for advanced economies in 2013 has been cut from 2% to 1.5%.
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Tweet of the day: Australia is punching above its weight economically, says Wayne Swan

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The International Monetary Fund (IMF) says there is a one in six chance (17%) of a recession in advanced economies, with Chinese economic growth slowing to around 7% in the first half of 2012.
The warning, contained in its October 2012 World Economic Outlook report, vindicates the decision by the Reserve Bank to reduce the cash rate in October primarily due to global risks and concerns expressed by RBA governor Glenn Stevens in his monetary policy decision statement that growth in Asia "is being dampened by the more moderate Chinese expansion".
“There is now a one in six chance of global growth falling below 2%, which would be consistent with a recession in advanced economies and low growth in emerging market and developing economies," says the IMF, which has cut its global GDP forecast by 0.2 percentage points to 3.3% for 2012 and by 0.3 percentage points to 3.5% in 2013.
The IMF reports that the global recovery has continued “but it has weakened”.
“In advanced economies, growth is now too low to make a substantial dent in unemployment. And in major emerging market economies, growth that had been strong earlier has also decreased.
“Relative to our April 2012 forecasts, our forecasts for 2013 growth have been revised from 2% down to 1.5% for advanced economies, and from 6% down to 5.6% for emerging market and developing economies.
Australia's outlook is better than most advanced economies, with the IMF expecting Australian economic growth of 3.3% this year and 3% growth in 2013.
The IMF notes monetary policy has been easing and will "remain very accommodative", with "various advanced economies recently cut policy rates (Australia, Czech Republic, Israel, Korea) or postponed rate hikes".
In line with the RBA concerns, the IMF warns that slowing growth in China “has affected activity in the rest of Asia, a consequence of the deepening of linkages throughout the region in the past decade”.
The IMF forecasts Chinese growth to slow to 7.8% in 2012 and then pick up to 8.2% in 2013. The Chinese economy grew by 9.2% in 2011.
“Growth is estimated to have weakened appreciably in developing Asia, to less than 7% in the first half of 2012, as activity in China slowed sharply, owing to a tightening in credit conditions (in response to threats of a real estate bubble), a return to a more sustainable pace of public investment, and weaker external demand,” says the IMF.
The main impact of a global recession on Australia would be a further sharp fall in commodity prices, a decline in real national income and an increase in unemployment with the IMF noting that “in Australia, continued strong mining activity and related investment have also supported growth”.
Olivier Blanchard, economic counsellor at the IMF, warns that the recovery has “suffered new setbacks, and uncertainty weighs heavily on the outlook”.
“A key reason is that policies in the major advanced economies have not rebuilt confidence in medium-term prospects."
The IMF notes that there has been a clear change in attitudes in the key eurozone area, "where new architecture is being put in place”.
“The lessons of the past few years are now clear. Euro area countries can be hit by strong, country-specific, adverse shocks.
“Weak banks can considerably amplify the adverse effects of such shocks. And, if it looks like the sovereign itself might be in trouble, sovereign-bank interactions can further worsen the outcome.”
The IMF says its lower forecast rest on “critical policy action in the euro area and the United States, and it is very difficult to estimate the probability that this action will materialise”.
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IMF vindicates RBA October rate cut as it warns of one-in-six chance of recession in advanced economies

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Buyers’ agents have cautioned first-home buyers that viewing too many properties can create confusion rather than help them make the right first purchase.
This follows the latest Mortgage Choice First Homeowner Survey, which found that on average first-home buyers look at 21 properties as part of the home-buying process.
Almost one-quarter (23%) of respondents said they had looked at somewhere between 21 and 50 houses before making a purchase, and 8% looked at more than 50 properties.
The survey also found that more than four out of five first-home buyers (82.3%) said they had no regrets about their final choice, with those in WA the most satisfied (90%) and those in Victoria the least satisfied (79.4%).
Despite the overall high satisfaction rating, the survey found that the biggest regrets among first-home buyers was wishing they had bought a property in a different area (27% of respondents), followed by more than a quarter of first-home buyers (26%) wishing they had shopped around more for a property.
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One-fifth of first-home buyers wished they’d either waited until they could afford a different property closer to their idea property, bought a different property type, waited until they were in a better financial position to buy or bought a less expensive property.
Fewer than one in 10 (8.2%) expressed regret at their choice of mortgage provider.


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Catherine Cashmore from National Property Buyers tells Property Observer it is very fine balance between viewing too few properties and too many and getting confused, which is where most first-home buyers go wrong.
“It comes down to experience, knowing the area you want to buy in and the property you want. You need to filter out the rubbish," she says.
There is some evidence for this in the survey with WA first-home buyers the most satisfied despite viewing the fewest properties on average – 17.8 compared with a national average of 21.3
Cashmore says the number one regret highlighted in the survey – first-home buyers wishing they have bought a property in a different area – is “absolutely correct”.
She says many first-home buyers fall into a trap of wanting to buy, for example, a two-bedroom apartment in South Yarra but only have $300,000 or $400,000 to spend, when they need $500,000.
“It’s a balance between the three “Ps” – price property and position.
“You usually can’t comprise on price, so you must compromise on the other two. If you want a two-bedroom apartment, you might need to be more flexible on the location."
She also says that first-home buyers have to approach their first property purchase with something of an investor’s mindset.
“It’s your first property purchase… You won’t live there you whole life.”
Paul Osborne, founder of buyers’ advocacy group Secret Agent, makes a similar point about the number of properties first-home buyers should inspect.
“In terms of amount of homes inspected.  It works a couple of ways.  Those that have purchased the first place they've seen are taking a risk, while those that look at a huge amount of homes tend to get more confused with the more they view,” he says.
Osborne says buyers his agency advises often have remorse about buying something that is too common and has limited scarcity.
“These include new construction apartments and generic housing estates,” he says.
Another regret he says first-home buyers have is buying too far out from the city.
“Buyers often have remorse about getting something bigger – but located further out.  They find they don't really need the extra space but truly value the convenience of being close to the city. “
Lastly he warns of “emotional buying”.
“Many purchasers who engaged in emotion-filled auctions in 2009 and 2010 find themselves sitting in negative equity.  Some buyers regret how they bid at auction for their property,” says Osborne.
Commenting on the findings, Mortgage Choice spokesperson Belinda Williamson says the fact that people are viewing so many properties before making a purchase is a positive – “it makes sense to invest the appropriate amount of time into researching and viewing potential properties to make sure you are happy with the final decision.”
“If home buyers spent an hour viewing each potential property, the time can quickly add up. However, the hours spent planning and properly considering all your options upfront, can save you from the heartache of making a hasty decision that can either cost you financially or leave you dissatisfied with your decision.”
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 First-home buyers risk confusion by viewing too many properties: buyers’ agents

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Only four out of the 13 lenders that have announced interest rate reductions since the October 2 RBA cash rate cut have passed on the full 25 basis points, according to research by mortgage comparison website Ratecity.com.au
The lenders that have passed on the full rate cut include bankmecu, which also offers the lowest standard variable rate of the 13 lenders at 5.49%.
This is 108 basis points lower than the lowest standard variable rate offered of the big four – NAB, which has a new standard variable rate of 6.58% and 121 basis points lower than Westpac, which will decrease its SVR to 6.71% from October 15.
The other lenders to have passed on the full rate cut are ING Direct (standard variable rate of 6.09%*), non-bank lender Myrate (5.92%) and Mark Bouris’s Yellow Brick Road wealth management business (6.19%).
Bankmecu is a customer-owned mutual bank based in Melbourne and is made up of conglomerate of around 50 credit unions and co-operatives.
It received its APRA banking licence in September 2011.
“By being a bank we believe we can compete with the big banks on their own turf, while retaining our unique customer ownership,” said CEO Damien Walsh at its launch.
Prior to it operating as a bank, it was called the Members and Education Credit Union (mecu).
According to the most recent APRA figures, bankmecu had a loan book of around $2 billion with around $1.9 billion in household deposits.
Apart from ING Direct, these four lenders are all tiny when compared with the major banks, which have passed on between 18 and 20 basis points and have blamed the high cost of raising deposits and need to balance the competing needs of shareholders, savers and mortgage customers for their inability to pass on the full rate cut.
ANZ will make its independent interest rate decision on Friday but is unlikely to pass on the full rate cut.
"Out of the 13 lenders that have so far announced rate drops, only four passed on the full 25 basis point cut to their standard variable rates, and Greater Building Society passed on 25 basis points to its packaged home loan as well. The movements were between 15 and 25 basis points," says Ratecity.com.au’s spokesperson Michelle Hutchison
"There is a significant difference between the amount of money borrowers will save, depending on how much their lender passes on. For instance, a 15-basis-point rate cut to a new rate of 6.25% for a $300,000 mortgage is worth about $29, while a 25-basis-point rate cut to 6.19% is about $49 per month."
*Ratecity.com.au had prevously specified ING Direct's standard variable rate as 5.73% and was the rate originally published in this story.
The rate of 5.73% is the new rate for loans under $500,000 with a max LVR of 80%. 
The 6.09% reate reflects the new rate for ING Direct's Orange Advantage &lt;$250K 95% LVR loan which is currently published on ING Direct website at 6.34% prior the rate cut.
Ratecity.com.au wishes to clarify that ING Direct’s cheapest advertised variable rate is currently 5.88% (before the rate cut) for loans over $500,000 with a maximum loan to value ratio of 80%.
"However, this rate and other home loan rates with different tiers and LVRs are not shown on the ING Direct website. The new rate of 5.73% originally referred to in the article is for loans with an LVR up to 80%. RateCity often publishes lenders’ standard variable rates because lenders use these as benchmarks and announcements for their rate decisions," explained Ratecity.com.au.
RateCity would like to clarify that the above interest rates shown in this story sourced by RateCity are accurate and RateCity prides itself in publishing factually correct and unbiased information. 
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 Bankmecu puts major banks in the shade as just four out of 13 lenders pass on full rate cut: Ratecity.com.au

Camberwell Junction has long been the epicentre of amenity in Melbourne’s Boroondara region.

For nearly a century, it has drawn both locals and visitors, anchored by the Camberwell Sunday Market, which first operated in 1929 and quickly became a fixture of the suburb’s identity. Over time, the Junction evolved into one of Melbourne’s most established retail and lifestyle precincts, now comprising more than 400 stores and over 300 commercial businesses.

Despite that depth of amenity, one thing has remained notably limited: the supply of new apartments.

In a suburb defined by its heritage streetscapes and tightly held residential stock, new development opportunities have been scarce, particularly within the core of the Junction itself. That lack of supply has left a gap in the market for larger, design-led apartments suited to downsizers and owner-occupiers wanting to remain in the area.

Boutique developer Above Zero identified that gap when it secured a prime site on Burke Road, in the heart of Camberwell Junction.

[smartcode_project:default project_id=4896 project_image_fid=368543]

The site has a long planning history. Various proposals have been put forward over more than a decade, many of which were knocked back by the City of Boroondara, with initial applications dating back to 2015. Above Zero acquired the site in 2022 and returned with a revised scheme, refining both the building’s height and its ground-level interface to better align with Council expectations.

That process has culminated in approval for Camberwell House.

The Cera Stribley-designed development will deliver 57 residences on a 1,950 sqm site within the Camberwell Activity Centre, placing it directly within one of Melbourne’s most established retail and transport hubs.

It is expected to be one of the only new apartment developments to launch in the Junction in recent years, reinforcing the rarity of new supply in the precinct. Currently, there are just a handful of projects on the market in Camberwell, underscoring the significance of a development of this scale and positioning.

[smartcode_project:default project_id=4896 project_image_fid=368544]

Camberwell House has been conceived with a clear focus on larger-format apartments. The project will offer a mix of two-, three- and four-bedroom residences, alongside a limited number of penthouses, targeting owner-occupiers seeking scale rather than volume-driven product.

The building’s vertical presence will also set it apart.

Positioned on Burke Road, the development is set to become one of the taller buildings in its immediate context, allowing for elevated outlooks across Melbourne’s CBD skyline and toward the Dandenong Ranges. In a precinct characterised by lower-scale built form, that height provides a point of differentiation, particularly for buyers seeking outlook and natural light.

[smartcode_project:default project_id=4896 project_image_fid=368568]

Architecture has been led by Cera Stribley, with interiors by GOLDEN and landscape design by Florian Wild. The design approach centres on material consistency and restraint, with residences oriented to maximise light, ventilation and connection to outdoor spaces.

Full-height glazing and generous terraces form a key part of that strategy, allowing apartments to extend beyond their internal footprint and engage with the surrounding environment.

Beyond the private residences, a significant component of the project is its amenity offering.

Above Zero has positioned Camberwell House as a “complete living environment”, incorporating a full floor dedicated to resident facilities. At the centre of that is a wellness zone, including a 12.5-metre lap pool, spa, sauna and treatment spaces, alongside a gym and recovery-focused amenities.

This level of amenity is more commonly associated with inner-city developments, rather than established middle-ring suburbs like Camberwell.

[smartcode_project:default project_id=4896 project_image_fid=368588]

Additional shared spaces include a private library lounge, dining and entertaining areas, and an indoor golf simulator. A self-contained guest suite has also been incorporated, allowing residents to accommodate visiting family or friends without impacting their primary living space.

The inclusion of these facilities reflects a broader shift in buyer expectations.

As more downsizers look to transition from larger family homes into apartments, there is increasing demand for developments that offer not just a residence, but a lifestyle. That includes access to wellness, social and entertaining spaces within the building itself, reducing the reliance on external amenity while still maintaining proximity to established precincts.

Camberwell House is positioned to benefit from both.

Its location places it within immediate walking distance of Camberwell Junction’s retail and dining offering, as well as public transport connections, including tram and train services. That combination of internal amenity and external convenience is central to its appeal.

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Jellis Craig Projects Director Stephen Bowtell is handling sales for the project and says Camberwell House offers a rare entry point into one of Melbourne’s most tightly held markets.

“Buyers are recognising that Camberwell House offers something they simply haven’t seen before in Boroondara,”&nbsp;Bowtell&nbsp;says.

“It combines a level of resident amenity and service typically associated with Melbourne’s premium inner-city developments, while being positioned right in the heart of Camberwell Junction.

“The response to the concierge offering has been particularly strong. Buyers appreciate not only the convenience, but also the sense of security and peace of mind that comes from having a dedicated presence in the building every day.

“When you combine that with the wellness facilities, the exceptional arrival experience, and panoramic views across both the CBD skyline and the Dandenong Ranges, it creates a lifestyle proposition that is genuinely unique within the local market.”
</section>

[smartcode_project_cta:default project_id=4896]

Joel Robinson

Above Zero launches Camberwell House in undersupplied Camberwell Junction precinct

<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]

CPG unveils Castile Newstead ahead of upcoming sales launch

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

How Australia Post Parcel Lockers changed parcel delivery convenience in Australia

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

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

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

Larry Schlesinger

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