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A Sony Bank online mortgage lending operation could be a profitable venture in Australia but does not pose an immediate threat to the market share of the major banks, according to analysts at Nomura.
This follows reports that <a target="_blank" href="https://www.propertyobserver.com.au/industry-news/tokyo-based-sony-bank-investigating-online-mortgage-lending-in-australia/2012070355392">Sony Bank has been granted permission by APRA to undertake a feasibility study</a> into launching an offering in Australia.
Nomura analyst Victor German says Sony Bank's success in profitably offering mortgages in the Australian market “rests on its ability to fund growth using Australia dollar-denominated deposits in Japan”.
“At the current rate of around 2% (which Sony offers in Japan for Australian dollar one-year term deposits), Japanese banks can generate returns of around 50%, while with a 3.5% [Australian cash] rate, returns are lower but still remain attractive at around 20%,” says German.
German says a bank like Sony would pose a small risk to the major banks – “even if successful, we believe it will take some time for the Japanese banks to take market share”.
However, if Australian dollar-denominated deposits in Japan become a more popular product, German says Japanese banks “could provide a cheaper alternative in the Australian mortgage market, which may result in pricing and market share pressure”.
“This however, rests on both Japanese households and the regulator being comfortable with households taking on foreign exchange rate risk,” he says.
According to German, a more profitable option than raising deposits in Japan would be for the bank to purchase residential mortgage-backed securities (RMBS).
“We estimate that return on capital would be twice as high if banks buy RMBS instead of directly offering mortgages, predominantly due to more favourable capital treatment for AAA-rated paper,” says German.
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Sony Bank online mortgage lending could be profitable in Australia: Nomura

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Fund manager and non-bank lender Provident Capital Limited has been placed in the hands of receivers PBB on the orders of the Federal Court.
 The court order follows Provident’s $120 million fixed interest debenture fund being temporarily frozen last month with 3,500 small-time investors having an average of $30,000 invested in the fund.
 A report last month by PPB found a $28 million gap between Provident’s property valuations and PPB’s assessments.
 The court appointed Phil Carter, Tony Sims and Marcus Ayres of PPB Advisory as receivers following an application by Australian Executor Trustees Limited (AET), a trustee for Provident Capital debenture holders.
AET expressed concerns in court, supported by ASIC, that there a “deficiency in [Provident’s] net tangible assets available to meet the claims of debenture holders”.
 Property Observer understands the receivers will be seeking to ensure an equitable return for all investors which have investments that mature at different points in time.
 A meeting of debenture holders is scheduled to take place in a month’s time.
 The appointment of receivers was contested by Provident Capital.
 AET began its court proceedings two weeks ago.
Provident operated as a registered managed investment scheme raising money from investors through fixed-term investments, a high-yield mortgage fund a monthly income mortgage fund.
The money raised was then on-lent to property developers – mainly in NSW and Queensland, with News Limited reporting that these including Warren Anderson, Donna Batiste, and Paul Hanna.
 Many of these mortgages have not performed while the assets secured against them have also devalued in some cases.
Provident provided a range of mortgage products and positioned itself as specialist lender in the low-doc space.
According to receivers PBB, there are 3,500 debenture holders who have invested in Provident Capital’s debenture product. 
Half-year results to December 31, 2011 show that Provident Capital made a $9 million loss with its equity capital ratio 10 times lower than the benchmark set by the corporate regulator.
Have you invested in Provident Capital debentures or do you have a Provident Capital mortgage? Send an email to Property Observer with any news or thoughts:<a href="mailto:news@propertyobserver.com.au">news@propertyobserver.com.au</a>
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Fund manager and mortgage lender Provident Capital placed in receivership following court order to protect small-time investors

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There's some good news for retail landlords, with retail sales up a solid 0.5% in May, slightly better than the 0.2% gain expected, according to ABS figures.
Westpac attributed the better-than-expected figures for May in part to the impact of lower interest rates and government support payments to families.
“The May result suggests rising incomes and interest rate cuts provided more of a lift despite the muted response from consumer sentiment and signs of ongoing cautious behaviour,” says Westpac.
“Rate reductions and fiscal payments ('schoolkids' bonuses totalling $2.1 billion) will give support in June-July, suggesting the second-quarter retail result should be a reasonable one.”
All states recorded monthly rises led by WA (up 1.1% for the month).
“While retailers and the consumer sector more broadly have had a better than expected start to 2012, many have been under intense pressure over the last few years and will still be experiencing pressures on profitability from an aggressive pricing environment,” noted Westpac.
“Most notably, the sector has been shedding staff fairly aggressively, with employment across the broader consumer sector (retail plus consumer services sectors) down an alarming 2.7% in the year to May.”
ABS revisions resulted in the April's 0.2%  fall revised up to a 0.1% rise and March's 1.1% increase was marked down slightly to a 0.9% gain, “smoothing the recent monthly pattern of spending but leaving in place a 0.4% trend rate of growth – a 4.7% annual pace (10-year average is around 5%)”.
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Rate cuts and schoolkid bonuses help lift retail sales by 0.5% in May: Westpac

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There has been a marked decline in the proportion of Gen Y borrowers who expect to have to ask their parents to help them buy their first home, according to the 2012 National Savings and Debt Barometer compiled by RaboDirect.
Just over a quarter (26%) of Gen Y respondents surveyed in May this year by RaboDirect said they would need to get assistance from their parents to purchase a house or apartment, compared with more than a third (35%) in 2011.
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Generation Y refers to those people born in the late 1970s and early 1980s. 
This increase in first-home buyer confidence comes with interest rates falling and affordability improving.
The most recent rate cuts have sparked a rush of new home buyers in Melbourne and Sydney’s suburban housing estates and apartment market seeking to claim government handouts and rebates before the June 30 cut-off date.
From October 1 NSW first-home buyers will be incentivised with a $15,000 handout from the O’Farrell government if they purchase or build a new home.
According to the RaboDirect, the findings suggest that more Gen Ys are feeling more financially independent from their parents – “possibly helped along by a softer housing market”. 
The survey also found a small rise in the proportion of baby boomer parents (those born around 1946) who expected to provide financial assistance to their children to buy their first house – 18% to 20% – but the majority (57%) say they won’t help.
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The propensity of parents being less willing to help their children financially and spend more on themselves has led to the term “SKIers” being coined, an acronym for “spending the kids’ inheritance”.
The survey found that 30% of baby boomers expect to retire with a mortgage.
This compares with 14% of Gen Y borrowers and 18% of Gen X borrowers who expect to retire with a mortgage.
Renee Amor, spokesperson for RaboDirect, says the softer housing market sounds a warning for boomers relying on the property market to fund their retirement.
“It has been traditional in this country to expect to retire with the family home paid off and increasing in value.
“It’s been seen as the ultimate safety net and often used to help younger family members get their start in the property market as well as funding retirement lifestyles,” she says.
“Our survey findings directly contradict this expectation and are of real concern in an environment where housing values are slipping and our population is ageing,” she says.
This sentiment is reflected in gap between parent’s concern about their children being able to buy their first home and the desire to help them. 
Around 22% of baby boomers agree strongly that they are concerned about how their children will afford their first home, but only 13% agree strongly that they would like to help.
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The National Savings and Debt Barometer was conducted by researchers RFi on behalf of RaboDirect and was a national survey of 2,355 Australians aged 18-65.
For advice on buying your dream land package,<a target="_blank" href="/news"> sign up for our free short course.</a>
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Fewer Gen Ys expect to ask their parents for help in buying their first home: RaboDirect

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Perth and Brisbane will be the next hubs of commercial development activity between now and July next year, according to Jones Lang LaSalle, after commercial sales spending declined 13% nationally in the first six months of 2012. 
Jones Lang LaSalle analysis shows that Australian investment volumes for office, retail and industrial for the first half of the year (as at June 21) reached $4.6 billion, compared with $5.3 billion for the first half of 2011. 
Despite the 13% drop, John Talbot, managing director of the investment and advisory group at Jones Lang LaSalle, says investment volumes had held up well “despite the uncertain global environment”. 
“Office markets have proved resilient despite the caution amongst investors and occupiers.  Sales volumes recorded for the first half of this year have almost reached the volumes recorded in the first half of 2011,” he says. 
Office sales declined from $2.47 billion to $1.95 billion, with retail the strongest performer, recording higher volumes in the first half of this year compared with last. 
There were $2.07 billion of retail sales recorded in the first half of the year (as at June 21), up from $1.8 billion in the first half of 2011. 
This figure was helped by <a href="https://www.propertyobserver.com.au/retail/perron-group-to-acquire-half-stake-in-three-centro-centres-for-%24690-million-setting-post-gfc-commercial-retail-record/2012051754740" target="_blank">the Perron Group paying a post-GFC record in May of $690.4 million</a> for a 50% ownership stake in three of Centro Retail Australia’s flagship regional shopping centres, with the transaction negotiated by JLL’s Simon Rooney.
 
“In terms of the outlook, the reduction in the cost of debt for well rated groups is an interesting dynamic.  It is now accretive for listed vehicles to buy office assets in Australia,” says Talbot. 
“For wholesale funds, the reduction in the cost of debt has lowered the weighted average cost of capital and makes property investment attractive. 
“One of the hurdles in the market is the lack of prime-grade stock. A development cycle would create a supply of product, however there is limited development activity. 
“The space market conditions point towards development activity in Brisbane and Perth over the next six to 12 months. We expect that this will create fund-through opportunities,” he says.
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Perth and Brisbane to be next hubs of commercial development after national sales investment decline: Jones Lang LaSalle

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Westpac is sticking with its forecast of three more rate cuts before the end of the year, taking the cash rate to 2.75% but says the RBA will need a low quarterly inflation update – due on July 27 - to move back onto its easing path.
The bank expects a 25-basis-point rate cut in August, another one in September and one more in December.
“With borrowing rates still only described as  ‘a little below their medium-term averages’, and given the range of economic threats associated with the global economy, a high Australian dollar, and cautious business and households, our view is that rates need to go down further,” says Westpac senior economist Huw McKay.
“However, our reading of today’s statement indicates that on the basis of information currently to hand, the RBA would prefer to stay on hold and assess the impact of the ‘material easing’ it has already delivered.
“For the bank to move back onto an easing path in the short term, it will need more than an accommodative (low) inflation update later this month.
“It will need further evidence of weak global growth and a rise in financial tensions; and further proof that there has been an intensification of precautionary behaviour by firms and households at home. That is a high threshold to reach within four weeks, but recent history has shown that confidence can unravel extremely quickly.”
McKay says the latest statement reveals the bank to be “far more relaxed on the domestic economy” and has a more positive outlook on international markets.
“On the international front, whereas in June the governor assessed that ‘financial market sentiment has deteriorated’; that ‘spreads have increased’ and ‘long term interest rates faced by highly rated sovereigns have fallen to exceptionally low levels’ he now notes that ‘Financial markets have initially responded positively to signs of further progress towards longer-term sustainability in European financial affairs ...’ while ‘Capital markets remain open to corporations and well-rated banks’,” says McKay.
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Westpac still expects three more RBA cash rate cuts by end of the year

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Remarks made by RBA governor Glenn Stevens in his monetary policy decision statement today after the central bank kept the cash rate on hold suggest the central bank is not predisposed to cutting the cash rate again soon, says Brian Redican, senior economist at Macquarie Bank.
“As a result of the sequence of earlier decisions, there has been a material easing in monetary policy over the past six months. At today's meeting, the board judged that, with inflation expected to be consistent with the target and growth close to trend, but with a more subdued international outlook than was the case a few months ago, the stance of monetary policy remained appropriate,” Stevens said in his statement.
Redican says there is “certainly no hint that the RBA was eagerly awaiting the upcoming CPI data (out on July 25) to confirm that inflation was low or that it would be closely monitoring international developments to ensure that the stance of policy remained appropriate”.
Ahead of the rate decision, 18 out of 28 economists polled by Bloomberg had forecast a rate cut at the next RBA meeting on August 7.
But Redican says it is Macquarie’s view that “the popularity of an August rate cut with economists could just be an artefact of recent history”.
“The market has had very aggressive rate cuts priced in over 2012 and the RBA's decision to cut rates by 50bps in May was perceived as confirming that trajectory.
“Suddenly, the debate was not whether the RBA would cut again in June, but whether they would cut by 25bps or 50bps (and possibly even more). And it was during this period that most people pencilled in an August rate cut.
“Since then, the RBA governor has delivered markets a reality check. The minutes of the June board meeting revealed that it was a toss of the coin whether the RBA would cut at all in June. And the justification for cutting in June – taking out some insurance against the risk of a European implosion – turned out to be a policy loosening for something that failed to materialise,” Redican says.
“That doesn't mean that such a move was a mistake. But presumably it does raise the bar for further rate cuts,” says Redican.
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No sign RBA is predisposed to cut rates soon: Macquarie’s Brian Redican

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The decision by the RBA to leave the cash rate on hold today at 3.5% reflects the need for the central bank to wait and measure the impact of the rate cuts in May and June, according to mortgage comparison website Ratecity.com.au.
“We’re not surprised that the Reserve Bank has left the cash rate on hold today at 3.5%,” says Michelle Hutchison, spokesperson for Ratecity.com.au 
“After two consecutive cash rate drops totalling 75 basis points in the past two months, we haven’t seen the RBA move so dramatically for almost three years. 
“The RBA needs time to allow the previous rate cuts to flow through to the economy and measure their impact. The Reserve Bank still has plenty of room to drop the cash rate if economic conditions deteriorate locally or overseas,” says Hutchison. 
She says most borrowers should be aiming for a home loan interest rate of below 6%, especially they have a 20% deposit or 20% plus equity. 
“Lending in Australia is still relatively slow and many lenders are keen to negotiate with borrowers to secure customers,” she says. 
RP Data’s Tim Lawless says it is difficult to gauge how much of the <a target="_blank" href="https://www.propertyobserver.com.au/residential/rate-cuts-help-housing-market-recover-in-june-with-1-rise-in-capital-city-dwelling-prices-rp-data%E2%80%90rismark/2012070255375">1% rise in  capital city dwelling recorded by the RP Data-Rismark Home Value Indices</a> can be attributed to lower interest rates. 
“However it is reasonable to assume that improved housing affordability on the back of lower mortgage rates and lower housing values has been a factor in the positive month on month result. 
"The Reserve Bank is likely to be watching conditions across the housing market quite closely as they walk a fine line of monetary policy settings trying to balance an improvement in consumer sentiment and willingness to spend while also wanting to avoid stimulating house prices. Despite the June rise, capital city home values remain 6.5% lower than their October 2010 peak,” Lawless says. 
Mortgage Choice spokesperson Belinda Williamson says while many borrowers were hoping for a third consecutive monthly rate cut, the data coming out of Australia is strong compared with most world economies. 
“We are approaching near full employment, our banking system is robust, inflation is controlled, interest rates are at historically low levels and borrowers are paying down debts. The contrast with many European nations could not be starker. 
“Borrowers should see the steady cash rate as a vote of confidence in favour of our economy and see this as a prime time to take control of their mortgage to help lessen any hip pocket pain,” she says.
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RBA cash rate holds signals it is still gauging impact of previous rate cuts: RateCity

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ING Direct is offering a rate cut to new borrowers who can provide a hefty 20% deposit with their mortgage applications.

The country’s fifth biggest mortgage lender will offer reduced variable mortgage rates on its Orange Advantage and Smartpack Mortgage Simplifier products from July 9.

The biggest rate cut will be on offer for borrowers who borrow more than $500,000 on a loan-to-value ratio (LVR) of less than 80%, with ING Direct reducing interest rates by 28 basis points from 6.16% to 5.88%.

ING Direct will reduce interest rates by 18 basis points on loans between $250,000 and $500,000 provided the LVR is above 80%.

<img src="/images/stories/2012/07/ingjuly3.gif">
To get the maximum reduced rate of 5.88% borrowers would need to have a deposit in excess of $125,000 to get a $500,000 loan on a property valued at $625,000 – a loan to value ratio of 80%.

“We’re looking to attract additional sub 80% LVR business and this pricing structure will make us more attractive to upgraders and investors, says Mark Woolnough, head of broker distribution at ING Direct.

Woolnough says the bank has also reduced the minimum lending threshold under Orange Advantage and SmartPack from $300,000 down to $250,000, which he says will appeal to a wider market.

“Whilst we’ve made various improvements to our service proposition this year, we certainly haven’t overlooked the importance of sharply priced, competitive products, and these changes highlight this,” he adds.

Woolnough says the changes have been made following consultation with its mortgage broker partners.

ING Direct uses brokers and the internet to distribute its mortgages.

In June, Lisa Claes, executive director of direct business at ING Direct, told Property Observer the bank was not driven by market share targets, “but by a sustainable growth proposition”.

“We want to grow our mortgage book responsibly – we are happy with where we are, but we are not complacent,” she said.
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ING Direct to offer cheaper rates to new borrowers who can provide 20% deposit

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The Reserve Bank has, as expected, left the official cash rate unchanged today at 3.5% following its monthly monetary policy meeting. 
The decision to hold follows 75 basis points being shaved off the cash rate in May and June. 
RBA board members will have noted the <a href="https://www.propertyobserver.com.au/residential/rate-cuts-help-housing-market-recover-in-june-with-1-rise-in-capital-city-dwelling-prices-rp-data%E2%80%90rismark/2012070255375">1</a><a href="https://www.propertyobserver.com.au/residential/rate-cuts-help-housing-market-recover-in-june-with-1-rise-in-capital-city-dwelling-prices-rp-data%E2%80%90rismark/2012070255375" target="_blank">% rise in capital city house and unit prices in June</a> as recorded by RP Data-Rismark, and partly attributed to the previous rate cuts. 
In its previous monetary policy statement the RBA remarked on the softening in the housing market. 
Retail sales figures for May will be released tomorrow, with economists expecting 0.2% month-on-month growth. 
A poll of 28 economists by Bloomberg ahead of the decision all expected the RBA to hold today. 
Westpac is still forecasting the cash rate to reach 2.75% by year-end. 
HSBC Australia economist Paul Bloxham expects one more 25 basis point rate cut in the second half of the year.
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RBA leaves cash rate on hold at 3.5%, noting housing market remains subdued

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

Joel Robinson

The Eveleigh brings house-like apartments to Broadbeach

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

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

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

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

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

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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.

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[smartcode_project_cta:default project_id=152737]

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Larry Schlesinger

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