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New home sales increased by 1.6% in May, taking monthly sales back to their highest level in 18 months, according to the Housing Industry Association's (HIA) latest survey of Australia's largest volume builders.
The strong, but uneven improvement in May comes one day ahead of the <a href="https://www.propertyobserver.com.au/industry-news/hia-summit-to-address-australias-affordability-and-availability-housing-challenges-with-stellar-line-up-of-speakers/2013070262641" target="_blank">HIA's housing summit in Sydney</a>, addressing issues affecting the supply of new housing.
Detached house sales posted modest growth of 0.9% through gains occurring in three out of five mainland states – New South Wales, Victoria, and South Australia.
Multi-unit sales enjoyed a faster monthly growth pace of 5.7%
In the month of May 2013 detached house sales increased by 4.3% in New South Wales, 8.8% in Victoria, and 6.9% in South Australia.
Detached house sales fell by 2.2% in Queensland and by 10.3% in Western Australia.
"It is pleasing to observe upward momentum in new home sales continuing, especially given the low depths plumbed in 2012,” says HIA chief economist, Dr Harley Dale, a speaker at tomorrow's summit.
“A range of housing indicators, including new home sales, suggest Australia experienced modest growthin new residential construction in 2012/13, with some momentum in activity set to carry into the fresh financial year.
“That outcome was important, following as it did a sustained period ofweakness which saw activity in a majority of markets reach historically very low levels.
“The key is whether a new home building recovery can be sustained, and at a growth rate sufficient to meaningfully assist the Australian economy with its rebalancing acts,” says Dale.
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New home sales rise to highest level in 18 months: HIA

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May was a lacklustre month for the retail sector and retail property landlords with just a 0.1% rise in retail turnover recorded over the month, according to preliminary ABS figures.
This follows a downwardly revised 0.1% fall in April. ABS had previously estimated a 0.2% increase in April.
The median forecast among 28 economists surveyed by Bloomberg was for a 0.3% rise in retail sales in May.
Through the year, Australian retail turnover rose 2.3% in May 2013, seasonally adjusted, compared to May 2012.
<img alt="retail_trade" height="257" width="447" src="/images/stories/2013/larry_uploads/retail_trade.jpg">
The largest contributor to the rise in May 2013 was other retailing (0.8%) followed by food retailing (0.2%), department stores (0.8%) and clothing, footwear and personal accessory retailing (0.4%).
These rises were largely offset by falls in cafes, restaurants and takeaway food services (-0.6%) and household goods retailing (-0.3%).
Over the longer term, food retailing remains the largest contributor to growth (up 0.3% in trend terms). 
Commonwealth Bank economist Gareth Aird says the retail sector has had a mixed 2013, so far. 
"Spending was up solidly in the few two months of the year, but has since tapered off.
"In particular, sales over the last few months have been sedate. 
"Some of the recent retail trade outcomes are reflecting the divergence between the real and nominal economies. 
"Over the first quarter of 2013, real retail trade was growing at a faster rate than nominal sales, which is rare. 
"The divergence was reflecting discounting in some parts of the retail sector, particularly the household good retailing category which largely comprises imported goods.  These goods have been made cheaper by a strong Aussie dollar. 
"But the currency has depreciated by around 10% since its peak over the last two months, so we are unlikely to see the divergence between nominal and real outcomes continue. 
He says the 10% fall in the Australian dollar will benefit the sector by making overseas holidays less attractive. 
"And it also means purchasing online from international retailers is more expensive.  Both of these shifts in relative prices support domestic retail trade. 
"In addition, household disposable income has been boosted from interest rate cuts.  These take some time to work their way through the economy with some mileage still to come from the most recent rate cuts," he says.
The state which was the largest contributor to the rise in May was Western Australia (1.6%) followed by Queensland (0.5%), South Australia (0.6%), Tasmania (0.6%) and the Northern Territory (0.8%).
These rises were largely offset by falls in New South Wales (-0.4%), Victoria (-0.3%) and the Australian Capital Territory (-1.7%).
Over the longer term, New South Wales remains the strongest contributor to growth (up 0.4% in trend terms). 
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Retail sales up just 0.1% in May, well below expectations

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Property valuation and advisory firm Herron Todd White has launched a new brand identity, including a new logo, as it repositions itself within the industry. 
The new brand identity was designed by identity management and design group Cato Partners, led by recent Officer of the Order of Australia (AO) recipient Ken Cato. 
<img src="/images/stories/2013/larry_uploads/HTW_new_logo_250613.jpg" width="470" height="248" alt="HTW_new_logo_250613"> 
The new visual identity represents the company’s evolution and strategic direction, says Herron Todd White CEO, Brendon Hulcombe.
“Our updated brand better identifies the core of our business, it demonstrates the strength of the services we offer and our positioning within the property valuation industry,” he says. 
Hulcombe says the new visual identity is the positive outcome of the company’s broadening footprint in Australia, unprecedented growth, and increasing recognition. 
“This change is a logical step in our succession and gives us an umbrella under which we can continue to expand our services and locations during our next phase of growth and development.
“We see our new brand profile as an important contribution to attaining our long-term strategic goals,” he says. 
Herron Todd White bills itself as the largest independent property advisory group in Australia with annual turnover of around $100 million and more than 750 staff located in 65 offices across the country in every state and territory.
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Herron Todd White launches new brand identity and logo

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The proportion of distressed property listings fell to its lowest level in two years over the second quarter of 2013, but a fresh wave of receivership and mortgagee sales is building, warns Knight Frank in its latest update.
Less than one in five (18%) properties listed for sale over the June quarter were either mortgagee or receivership sales.
This compares with nearly 30% of properties being listed as distressed sales in the same quarter last year.
Quarterly distressed sales listings
<img alt="knight_frank_distressed_sales" height="350" width="470" src="/images/stories/2013/larry_uploads/knight_frank_distressed_sales.jpg">
The national profile of where distressed sales are most prevalent remains unchanged with Queensland continuing to represent over half (53%) of all distressed listings.
Knight Frank notes that Queensland receiver sales predominately included residential and industrial properties, most notably development sites which were in secondary locations and regional areas.
The collapse of debenture and mortgage funds such as Provident Capital and LM Investment Management has revealed exposures to struggling Queensland developments.
Knight Frank Queensland managing director Grant Whittaker warns that there appears to be another wave of distressed asset sales coming “with many receivers advising that the banks non-performing loans, or loans that are on 'watch', are not reducing”.
“It is expected that the market will start to see a flow through into a larger volume of receivership sales from the end of the third quarter.
“A lot of these assets will continue to be non-income producing, such as englobo residential sites (undeveloped lots or group of lots or vacant properties).
“There also seems to be some larger distressed assets coming through which the banks might have been trying to hold off on however no longer can afford to do so,” he says.
After Queensland, NSW has the second biggest exposure to distressed assets.
Knight Frank found that for the second quarter of 2013, almost one third (29%) of distressed listings were recorded in NSW.
Whilst this is the highest proportion recorded for NSW across the last year, in number value this is significantly down with only 35 distressed properties represented for sale.
However, in keeping with expectations of a fresh wave of distressed asset sales, the flow of distressed assets to the NSW market is expected to continue throughout the next financial year.
With only 11% of all listings noted as a mortgagee in possession, Victoria continues to be the best performing east coast state with industrial secondary assets or development sites making up almost half of these listings.
According to Knight Frank’s managing director of commercial sales, Paul Henley, more distressed assets are expected to come onto the market over the next six to 12 months due to tough leasing conditions and a general lack of business confidence.
“Due to the historically low cost of debt and investors chasing yield, it is expected the banks to become more willing to move on those ‘non performing’ loans and therefore take advantage of improved investor appetite.
“The major concern for banks with lending today is vacancy, hopefully we will see an improvement in leasing sentiment once we get past the election,” Henley says.
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Quarterly distressed property listings fall to lowest in two years but fresh wave building: Knight Frank

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It is still “likely” that the RBA will cut the cash rate in August to 2.5%, says the Westpac economics team led by chief economist Bill Evans.
However, the outcome will be heavily dependent on two bits of economic data to be released between now and the August 6 RBA meeting, as well as what happens to the Australian dollar.
The two pieces of data are the second quarter Chinese growth figures “tentatively” due out on July 15 and Australia’s second quarter CPI figures, due out on July 24.
In its analysis of yesterday’s very short (six paragraphs) monetary policy decision statement by governor Glenn Stevens, Westpac highlighted a repeat of the line that “the inflation outlook, as currently assessed, may provide some scope for further easing, should that be required to support demand".
<img src="/images/stories/2013/larry_uploads/underlying_inflation.jpg" width="470" height="450" alt="underlying_inflation"> Source: Commonwealth Bank
Westpac also places emphasis on the RBA's view on the Australian dollar.
In his statement yesterday, Glenn Stevens said the Australian dollar had depreciated “by around 10% since early April, although it remains at a high level”.
Westpac interprets this to mean that the currency is “at a less restrictive level but it is not actively stimulating growth or aiding the transition from mining to non-mining led growth”.
“A further decline in the currency – seen as a possibility – is viewed as required for this to occur.
“The currency move is also not seen as a threat to the inflation outlook which the Bank continues to see as remaining consistent with the medium term inflation target,” says Westpac.
Westpac does not provide any commentary on the importance of Chinese growth apart from mentioning the importance of the second quarter data figures.
In research published last week, Citi Research identified a strong link between <a href="https://www.propertyobserver.com.au/residential/citi-forecasts-of-3-rise-in-house-prices-and-then-slight-correction-from-march-2014-reasonable-rp-data-s-tim-lawless/2013062762752" target="_blank">Chinese economic growth and demand for housing.</a>
Ahead of yesterday’s decision, the ‘shadow’ RBA board strengthened its call for the cash rate to remain on hold until most needed highlighting that “uncertainty about the global economy is rising and bond, equity and currency markets are reacting violently”.
The shadow board, comprising noted economists, including former RBA board member Warwick McKibbin in a think tank hosted by the Australian National University, also mentions the importance of China commenting that “China's authorities are attempting to rebalance their economy by reining in credit and imposing tougher financial rules”.
“This has led to a temporary spike in the interbank rate as financial institutions are scrambling for liquidity.
“On Monday, 24 June 2013, the Shanghai stock index suffered its worst one-day loss in nearly four years. The big question is whether China's authorities will be able to engineer a soft landing or whether Chinese markets, and the economy, will experience further severe disruptions," says the shadow board.
Commonwealth Bank chief economist Michael Blythe notes the easing bias remains, but with “some subtle hints of a rethink on the inflation outlook” by the RBA as well as a “generally positive view on economic prospects”.
Blythe notes that the RBA’s description of the inflation outlook has “shifted since the May Board meeting from one that “would afford scope to ease further” to one that, in yesterday’s statement, “may provide some scope for further easing” (his emphasis).
He says there is a risk that the second quarter inflation of around 0.4% would leave underlying inflation undershooting the RBA’s target band of between 2% and 3%, “underwrites our call for an August rate cut and a terminal cash rate for this cycle of 2.5%
A cash rate of 2.5% would take the cash rate to a new record low, though still well above interest rate settings of other first-world economies.
<img src="/images/stories/2013/larry_uploads/interest_rates.jpg" width="470" height="452" alt="interest_rates">
Source: Commonwealth Bank
The previous lowest proxy measure of the cash rate (official cash rate settings date back to August 1990) was 2.89% in August in January 1960.
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Quarterly inflation data, the Australian dollar and Chinese data to guide RBA thinking on possible August rate cut

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ANZ chief economist Warren Hogan expects there may not be another RBA rate cut until after the election, which he suggests may be put back to October.
Yesterday, <a target="_blank" href="https://twitter.com/anz_warrenhogan">he tweeted</a>:
<img alt="warren_hogan_tweet_1" height="96" width="470" src="/images/stories/2013/larry_uploads/warren_hogan_tweet_1.jpg">
Hogan says there is still chance of an August rate cut with an easing bias remaining in place following yesterday's decision.
<img alt="warren_hogan_tweet_2" height="86" width="470" src="/images/stories/2013/larry_uploads/warren_hogan_tweet_2.jpg">
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ANZ chief economist Warren Hogan calls October election and no rate cut likely until November: Tweet of the day

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Australian and overseas economists, commentators and analysts will take part in the 2013 HIA Housing Summit in Sydney tomorrow examining issues of new housing availability and affordability.
The Building Better Cities summit takes place at the Sofitel Sydney on July 4 at a time when new home construction in Australia is experiencing its longest trend decline in post war history with the sector enduring three recessions in the last 12 years.
The Housing Industry Association (HIA) warns this situation has had "significant negative consequences not only for the sector itself, but for the wider domestic economy given the large flow-on impact that residential construction activity has through the wider economy".
The Summit agenda will investigate the causes behind and solutions to demand and supply side constraints in the context of the future levels of residential construction activity Australia requires.
 
<img height="300" width="470" src="/images/stories/2013/06/hiasummitjune25one.jpg" alt="hiasummitjune25one">
A mix of economists, commentators and overseas-based thinkers will address issues of affordability, preference for and availability of new housing.
<img height="219" width="470" src="/images/stories/2013/06/hiasummitjune25two.jpg" alt="hiasummitjune25two">
Speakers include Nine network finance editor Ross Greenwood, Rismark economist Christopher Joye, HIA chief economist Harley Dale, Paris-based OECD economist Christophe André and Mark Clapson from the University of Westminster in London.
Ross Greenwood will examine where Australia’s appetite for new housing, Christopher Joye will tackle government policy responses to housing and Christophe André will provide lessons learned from other OECD countries addressing housing supply challenges.
The event’s MC will be ABC television journalist Jim Middleton.
<img height="370" width="470" src="/images/stories/2013/06/hiasummitjune25three.jpg" alt="hiasummitjune25three" style="font-size: 0.8em;">
Ahead of the summit, the HIA revealed the results of a survey of community service providers, which found that housing availability and affordability as the biggest problem facing the sector and the greatest drain on resources.
The survey by the Australian Council of Social Service (ACOSS) of 500 service providers released today states that a lack of affordable housing is having a ‘devastating impact’ and that nearly 70% of housing and homeless service providers report that they struggle to meet demand.
“There has been a failure by successive governments at a state and federal level to address the fundamental constraints to housing delivery,” said HIA chief executive Graham Wolfe.
“Residential construction is currently experiencing its longest trend decline in post war history, which is being driven in part by the excessive and inefficient taxation on housing, a tight credit supply and state planning systems that constrain the timely and cost effective delivery of housing.”
“When there is shortage of homes being built, this impacts on the rental market at all levels.
“Families that would have otherwise been owner occupiers instead now compete for rental properties. This places cost pressures on those already in the rental market. Families that can now no longer afford the rental accommodation they need due to more competition, move to a lower price point and so on it goes.”
“At the end of this cascading effect is the people who are the most vulnerable, but they have nowhere else to go and this has a social and economic cost to the entire community,” he says.
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HIA summit to address Australia’s affordability and availability housing challenges with stellar line-up of speakers

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<img alt="macreemarch20one" height="94" width="470" src="/images/stories/2013/03/macreemarch20one.gif">
Michael Walsh is the managing director of Jones Lang LaSalle's Hospitality, Education &amp; Healthcare Service division in the Asia Pacific, an area where he sees strong growth opportunity over the next ten years and beyond.
<img src="/images/stories/2013/07/mikewalsh.png" width="200" height="200" alt="mikewalsh" style="margin: 5px; float: left;">Agent: Michael Walsh Position: Managing director, Hospitality, Education &amp; Healthcare Services, Asia Pacific Company: Jones Lang LaSalle Office location: Brisbane
How long have you been in the industry? 
I originally graduated as an architect in the UK in 1991 and since then, have gained 22 years professional experience in this industry, covering development, design and construction.
What’s happening in the area you specialise in?
We have the good fortune to be in the Asia Pacific region where so much is currently happening. 
I have personal experience across a range of real estate sectors, but my current focus is on Hospitality, Education and Healthcare and this is really where we see a strong growth opportunity over the next ten years and beyond. 
Global and regional trends have determined our strategy. These include factors such as an ageing population; the emerging affluence and aspirations of the new middle classes in Asia; the phenomenal rate of urbanisation and population growth in cities, and the significant attraction the region holds as a travel destination for the rest of the world. 
The real estate landscape in all three sectors has undergone significant transformation over the last ten years, and continues to evolve. New types of participants have emerged, particularly in education and healthcare where international brands are being drawn to the region so that the Asian domestic population can access them in their own environment rather than having to travel internationally. This, in turn, brings a new dynamic to the inter-regional travel and hospitality market and portfolio ownership. 
The growth of inter-Asian tourism, coupled with the increasing international popularity of the region’s cities and resorts, continues to drive the demand for hotels and hospitality facilities, including those sought for meetings, incentives, conferencing and exhibitions (MICE). 
Jones Lang LaSalle has the benefit of 40 years’ experience in Asia, and has developed a deep presence across the region which means that, as these sectors continue to evolve, our objective is to utilise the best of the firm’s full life cycle Real Estate Service platform - both for existing and new clients.
Describe the most interesting property you have sold/leased/developed
The project that stands out as the most interesting would be the first really large scale project I worked on as an architect in China from 1996-1999; a luxury residential development in the French quarter of Shanghai. I still pass it regularly on my business trips and recall the many marvellous experiences it afforded me over the 4 years of complete dedication I gave to it. This project was my first experience of doing business in China – something I have continued to be involved in ever since.
What are the ingredients to being successful in your job?
Collaboration, trust and respect are the core values that are needed by all people at a senior level in any business, and they are an essential part of my role at Jones Lang LaSalle as I work across many facets of the business platform.
Beyond that, for me it’s about behaviour which I hope reflects what I would like to see in other people, namely, clear and strong communication, and a committed support for my team.
What aspects of your role do you enjoy the most?
People are by far the best part of the job. It’s great to be in an industry, and an organisation with so much talent. Being able to build trust, and innovation, with both clients and colleagues as a collective group is invaluable.
The creative process is where I am most comfortable - sharing ideas while learning from other people. This works best within trusted relationships, but when a diversity of backgrounds and skills come together, the creative opportunities are boundless
Where would you invest a spare $750,000?
I have tried many forms of investment, but none have benefited me as much as property, so that’s where I would focus.
The London market presents some good opportunities if you can look beneath the mini bubble that has been created in parts of the City. In order to really understand the market, I personally feel that it is important to do as much research as possible before making the commitment to buy, whether at home or abroad.
Which football team do you support?
I am British so it’s ‘football’ for me (we don’t call it soccer!) I am a long suffering, but diehard, Leeds United fan - a relationship that started at the age of 5 and has provided more downs than ups in the last 40 years, but one I will never change.
What’s your favourite app or techno gadget?
I use many, but the one app that really engages me is TED Talks. It showcases people with such a huge diversity of thought with amazing experiences to share. I find the talks on innovation, technology, and architecture particularly engaging.
How do you use social media?
Like many others of my generation I have changed my attitude towards social media over the last few years. I am quite passive in terms of self-contribution, but I’m active as a watcher and listener, both professionally and personally. I have seen increasing business value in platforms such as LinkedIn where adoption has grown exponentially in the last year or so.
On the social side I tend to connect vicariously through my family’s various accounts and applications
Follow Mike:
 
Twitter: <a target="_blank" href="https://twitter.com/JLLAsiaPacific">@JLLAsiaPacific</a>
LinkedIn: <a target="_blank" href="https://www.linkedin.com/company/jones-lang-lasalle">https://www.linkedin.com/company/jones-lang-lasalle</a>
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In profile: Jones Lang LaSalle's Asia Pacific managing director Mike Walsh

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Centuria is preparing for a possible July float of its listed property trust after taking over as responsible entity of the North Sydney Property Trust, which comprises the Northpoint Tower office and retail complex in North Sydney.
Northpoint stands at 100 Miller Street at the corner of the Pacific Highway and Miller Street, comprising two retail levels, 32 office floors and a 432 space car park over six basement levels.
It last sold for $114 million in 1987.
The trusteeship was acquired by Centuria's property funds management entity Centuria Property Funds Limited, which controls property assets totalling some $1.1 billion and is led by chief executive Jason Huljich.
It replaced the North Sydney Property Trust (NSPT Pty Ltd), a now de-registered managed investment scheme which has been trustee since developer Terry Agnew took control of the tower in 2008, reported the Australian Financial Review.
Centuria says it is anticipated that the $300 million trust will be the entity which will comprise Centuria’s first listed real estate investment trust to be run by former Mirvac chief executive Nick Collishaw.
"Centuria will now seek to register the trust as a managed investment scheme in preparation for a public listing at some point in the future," Collishaw tells Property Observer.
It is expected that Centuria will seek grow the proposed A-REIT with other acquisitions once it floats.
Centuria chief executive John McBain said that it is pleasing to see solid progress towards our three level property funds management strategy, being direct, listed and wholesale offerings.
McBain told Property Observer in April that Centuria was <a target="_blank" href="/news">working very hard sounding out institutional investors</a> and has offers out in the market for a “few hundred million dollars of real estate” which will form the core of the new listed trust.
Centuria also announced this week a “reasonable expectation” that the group profit for the year to June 30 will “exceed the group profit for the previous financial year by a material amount”.
A minimum statutory net profit after tax of $6.9 million is forecast for 2013 compared with $1.97 million in the 2012 financial year.
Centuria also revealed that Centuria Property Funds Limited has successfully closed the capital raising for the Centuria 10 Spring Street Fund and settled the $91.6 million acquisition prior to June 30.
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Centuria prepares for A-REIT float with trusteeship of North Sydney trophy asset amid expectations of strong 2013 results

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The Gold Coast East mortgage delinquency rate improved slightly over the last six months to the end of March, but it still trails the Sunshine Coast by a significant margin, according to Fitch Ratings.
The two Queensland coastal markets have been among the most troubled housing regions in Australia since the GFC.
Fitch Ratings record that delinquency rate on the Gold Coast improved by 15 basis points as borrowers noting that borrowers in this region are less sensitive to interest-rate movements.
It records a delinquency rate of 2.29% (borrowers more than a month behind on mortgage repayments) for the Gold Coast East market, which comprises those suburbs along the coast including Surfers Paradise, Broadbeach and Mermaid Beach, making it the third most delinquent region in Australia after <a href="https://www.propertyobserver.com.au/residential/greater-western-sydney-replaces-gold-coast-as-most-delinquent-region-fitch/2013070262884" target="_blank">Liverpool-Fairfield in greater western Sydney</a> and the NSW Central Coast.
The Sunshine Coast’s delinquency rate remained unchanged at 1.9% over the six months to the end of March with Fitch noting that the Sunshine Coast shared the same trend in delinquency rates as Gold Coast East over the 18 months to end-March 2013.
“However, as of this date, the Sunshine Coast was no longer among the 10 worst-performing regions in Australia,” says Fitch.
<img alt="queensland_delinquencies" src="/images/stories/2013/larry_uploads/queensland_delinquencies.jpg" width="470" height="338">
In comparison Gold Coast East has been the worst-performing region in Queensland since 2008 with “declining house prices have had an impact on the credit profile of leveraged buyers, attracted to the region by expectations of short-term property gains and high rental yields”.
“Declining house prices also increased the time required to sell foreclosed properties, leading to an accumulation of delinquent loans in the 90+ day bucket. Almost half (1.22%) of all delinquent loans (2.29%) were delinquent for more than 90 days as of end-March 2013.
“Of more concern is that the number of delinquent obligors has remained high since end-March 2011 in contrast to the rest of Australia.
“A total of 16 loans out of 1,000 were non-performing in these two regions at end- March 2013, the same level since end-March 2011,” says Fitch.
In terms of postcodes, Surfers Paradise ranks as the 10th most delinquent postcode in Australia with an arrears rate of 3.4%, an improvement from 4% six months ago.
Recent mortgagee sales on Surfers Paradise include <a href="https://www.realestate.com.au/property-unit-qld-surfers+paradise-110148185" target="_blank">a one bedroom unit on Monte Carlo Avenue</a>, which sold for $168,000 in April last year through Ross Kachel of Harcourts – Runaway Bay. It previously sold for $195,000 in March 2010 according to RP Data.
However, there are no Sunshine Coast locations among the 20 worst performing postcodes.
The closest is Caboolture Shire – in between Brisbane and the Sunshine Coast - which recorded the highest increase in 30 plus days delinquency rates across all regions of Australia in the six months to March, with its delinquency rate increased by 71 basis points to 2.28%.
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Gold Coast trumps Sunshine Coast as most delinquent Queensland coastal market

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;

Joel Robinson

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.

Sammut secures approval for debut Brisbane apartment development in Toowong

Developer Lanevick is heading back into Sydney’s apartment market after focusing more heavily on the luxury townhouse and terrace sector in recent years.

Lanevick, founded and directed by Steve Maroun, is expecting to receive approval in the coming months for a new apartment development in Gladesville, with the aim to launch it to the market later this year.

The 51-apartment project, designed by Studio Johnston, will comprise a mix of one-, two-, and three-bedroom apartments positioned toward the Hunters Hill downsizer market.

“Traditionally it’s been difficult for people in that market to downsize because there just hasn’t been the right product available,” Maroun said.

“We’re targeting buyers who might have 30 to 40 per cent of their house value sitting in the bank after downsizing.

“They still want good spacious entertaining areas, they still want quality design, but they also want flexibility and the ability to enjoy life a bit more after working hard for a long time.”

The project sits near Boronia Park and within close proximity to the Parramatta River foreshore, an area Maroun says offers more of a Hunters Hill lifestyle than a traditional apartment precinct.

“From a lifestyle perspective, it’s really more Hunters Hill than Gladesville,” Maroun said. “You’re close to the foreshore, close to parklands, and still connected back into the village precinct.”

From level four and above, apartments will capture water views&nbsp;toward Sydney Harbour. Communal amenity will include rooftop entertaining areas, wellness spaces, and a gym tailored toward owner-occupier buyers.

“We’ve really designed these apartments around that buyer coming from the Hunters Hill LGA and what they’re actually looking for in their next chapter.”

The proposed development has also been designed to respond to the changing character of the broader Gladesville town centre, where a growing number of mixed-use and residential proposals are expected to emerge over the coming years.

“Gladesville presented a rare opportunity to deliver a genuinely design-led residential project within an evolving lifestyle precinct, just moments from the growing Gladesville town centre, and we’ve approached the project with a strong focus on architecture, liveability and long-term community value,” Maroun said.

Maroun said Lanevick saw a first-mover advantage within the precinct as planning controls continue to evolve to accommodate greater housing density.

“We think there’s a real opportunity there that hasn’t really been serviced properly yet,” he said.

“There’s going to be a broader evolution of the whole Gladesville village precinct over time, particularly with more activation and mixed-use outcomes.”

The Venus Street proposal will include a commercial and retail component at ground level designed to contribute to that evolving streetscape activation.

“A big part of the thinking was how do you activate that area properly and create more vibrancy and amenity, which is what Hunters Hill has been looking for,” Maroun said.

Lanevick’s focus since 2020 has largely been on smaller-scale luxury townhouse and terrace developments. The developer recently completed Royale Randwick, also designed by Studio Johnston, where prices reached $3.65 million. The project was featured in the UDIA NSW 2026 Professional Development Prospectus and was also named a finalist for Development of the Year.

&nbsp;

Lanevick to cater for Hunters Hill downsizers with new Gladesville apartment development

Property developer One Living, backed by former Macquarie banker turned investment manager Chris Green’s investment firm, has unveiled plans to bring more institutional capital into housing to help address the national supply crisis.

The New York-based investor has focused his firm, GreenPoint Partners, on addressing the supply shortage hitting middle market housing in Australia.

It is backing the new One Living business to develop more than 1000 units along the eastern seaboard. The new firm is starting with a development on Mona Vale Road, on the border of Mona Vale and Pymble, in Sydney’s Northern Beaches, with around 140 apartments planned. They are eyeing off more sites across the city.

With cost pressures rising in the industry, One Living’s model is to be a vertically integrated developer-builder, so it can respond directly to the housing gap by removing the cost inefficiencies embedded in traditional residential delivery.

“We are building a platform designed to operate at scale and starting in a market where there’s a clear need for quality, attainable housing,” One Living joint managing director Joseph Scuderi said.

“It’s that missing middle – it’s that attainable end of housing… that’s what most Australians invest into and what Australians can actually afford.”

<img alt="Mona Vale" data-entity-type="file" data-entity-uuid="798dfa93-4941-4db6-a696-31e9dc18e81c" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-05-28%20at%202.31.50%E2%80%AFPM.png?VersionId=mKBqi5C_DmeiXS.AtJkcR8LQIxqCqmFi" />

GreenPoint Partners brings years of experience assembling and scaling real estate operating businesses across major markets. And Green sees a big opportunity in Australia.

“For its size, sophistication and importance to the community, Australia’s living sector has remained largely under-institutionalised, which represents significant opportunity,” Green said. “GreenPoint identified that gap, assembled the right team, and is backing One Living to build a platform that is aligned to market needs.”

Green said being a builder-developer would give the company the capacity and flexibility it required to deliver reasonably-priced homes.

“We want it to be at that attainable level; not super high end luxury but at that attainable level,” he said.

<img alt="Mona Vale" data-entity-type="file" data-entity-uuid="74a5344a-4b26-4d4a-ada3-056b1220be77" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-05-28%20at%202.32.15%E2%80%AFPM.png?VersionId=vY8hXHO4reBMdO8ZXMWCNtGZJofUPQ3j" />

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One Living will undertake a component of affordable housing in its schemes, which it will own and operate, and it could also run build-to-rent on some sites.

Green praised local policy settings.

“The NSW government is being very supportive, strategic and pragmatic in terms of how do we generate more supply of housing,” he said. “We think it’s actually positive for development and the bit that’s been lacking at that attainable level is that it’s lots of relatively small private developers, whereas we want to create an institutional platform.”

One Living is also&nbsp;looking at high-density projects and could take on more institutional funding in the future.

“The way we will be able to achieve economies of scale is through size,” Green added.

One Living enters Sydney's new apartment market with Northern Beaches site acquisition

It's been several years since there's been an opportunity to buy a brand new townhome in Melbourne's coastal suburb of Mordialloc. Even apartment developments in recent times have been few and far between in the area.

Local developer LDS Property identified the gap in new housing, securing a site on White Street, directly opposite&nbsp;Woodlands Golf Club Mordialloc. They've recently launched&nbsp;<a href="https://www.apartments.com.au/new-townhouses/wm-residences-mordialloc-102-white-street-mordialloc-vic-3195">WM Residences</a>, just 13 townhouses which they have already started building.

Projects by Buxton Director Heath Thompson, who is selling WM Residences, says the townhouses x that perfect middle ground be

"Mordialloc residents have had limited options to downsize within the suburb, often forcing them to look elsewhere despite long-standing ties to the area," Thompson says.

"With very little comparable new supply coming to market, projects like WM Residences are well placed, particularly as buyers look to capitalise on current conditions amid constrained supply."

[smartcode_project:default project_id=134646 project_image_fid=6109]

The development, designed by regarded architecture firm&nbsp;<a href="https://www.apartments.com.au/architects/ewert-leaf">Ewert Leaf</a>,&nbsp;adopts a deliberately restrained architectural approach, focusing on simplicity, durability and liveability rather than overt design gestures.

The boutique scale is central to the offering. With only 13 three-bedroom residences, each home is configured to prioritise functional layouts and everyday use, supported by private terraces and secure two-car garages.

Ewert Leaf’s design response leans into a calm, neutral material palette. Interiors are defined by oak flooring, white walls and soft finishes, creating a consistent and understated backdrop. The approach avoids trend-driven detailing in favour of longevity, with an emphasis on natural light and spatial clarity.

[smartcode_project:default project_id=134646 project_image_fid=6110]

Beyond aesthetics, the homes are designed to meet contemporary performance expectations. Each residence targets a minimum 6-star energy rating, incorporating double glazing, comprehensive insulation and all-electric Bosch appliances.

The project’s location supports a walkable coastal lifestyle, sitting within close proximity to Mordialloc’s foreshore, Main Street retail strip and the train station. Local cafés and dining venues, including Suburbia Deli and Hendriks Café, are within a short walk, reinforcing the area’s established neighbourhood character.

[smartcode_project:default project_id=134646 project_image_fid=6116]

While <a href="https://www.apartments.com.au/developments/mordialloc-vic-3195">Mordialloc</a> is often defined by its beach and pier, the project taps into other areas of day to day living, offering easy access to local food, casual dining and transport, rather than positioning itself purely as a lifestyle retreat.

WM Residences reflects a continued trend across Melbourne’s coastal suburbs towards smaller-scale, design-led townhouse developments, particularly on infill sites where proximity to amenity is already established.

With construction commenced prior to its market entry, the project aligns with a growing preference among buyers for developments with visible progress and defined delivery timeframes.

[smartcode_project_cta:default project_id=134646]

Larry Schlesinger

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