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Residential property was a solid investment play in the 2013 financial share as shares soared but gold took a plunge.
Depending on where you invested, the property market provided investors with total returns – rent plus capital gain - ranging from 3.5% in Hobart to 12.7% in Darwin, according to RP Data-Rismark.
Total property return of 8.5%
The aggregate total return across the eight capital cities was a solid 8.5% with Perth and Sydney both returning in excess of 10% with Melbourne managing just 7.3%.
RP Data-Rismark recorded capital city dwelling prices up 3.8% for the financial year, substantially better than the 3.6% reduction recorded over the 2012 financial year.
A-REIT total return of 24.2%
Arguably the best place to put your money in the listed property trust sector. 
According to Goldman Sachs A-REITS analyst, the S&amp;P ASX200 XPJ index (A-REIT sector) was up 17.4% over 2013 on a share price basis.
If you include dividends, the sector generated a total return of 24.2%.
Shares up 14%
Outside of the listed property space, putting your money in shares was a good option with the ASX rising 14% over the course of the year from 4,133 points to 4,802.
ASX 200 up 17%
Gains were even stronger across the ASX 200, with share prices up 17% across the benchmark index, the highest total returns since the global financial crisis.
Super returns likely around 15.5%
In line with the stronger share market, super funds also thrived. 
Forecasts are for growth super funds to generate a median return 15.5% for the year to June 30, according to super research firm Chant West. This would be highest single financial year return in the past 16 years. Balanced funds are forecast to return 12%.
Cash deposits returning 3.24%
For investors with no risk appetite, putting you money in the bank generated a return of just 3.24% according to the UBS Bank Bill, which is a proxy measure for returns from cash.
Gold values down 25%
Gold was not a good investment option in the past 12 months with values falling 25%.
The precious metal started the year at $US1600, rose to US$1,800 in October, but then started falling in April and is currently trading at around US$1,200 per ounce.
Aussie dollar down 8%
And holding Australian dollars was also not a good bet with the currency falling 8% from parity at the start of the financial year to just under 92 cents currently.
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lschlesinger-FZcF9M3vE6

Residential property’s steady rise as gold sinks: Daily Property Observer list

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Trust account breaches by real estate agents are rife across Australia.
Visits to 12 real estate agents in Parramatta the first week of June identified nine breaches of the Property, Stock and Business Agents Act 2002 at four businesses.
Two of the breaches at one business were serious enough to warrant Fair Trading fines totalling $2,200.
“Most of these breaches involved trust account anomalies,” said Fair Trading commissioner Rod Stowe.
“As custodians of their clients’ funds which can run into millions of dollars, real estate agents have a huge responsibility. Careless bookkeeping is not acceptable,” he added.
In comparison (and highly embarrassing for the industry). the eight motor vehicle dealers and repairers inspected were found to be 100% compliant.
The visits were carried out as part of Fair Trading’s ‘My Place’ educational initiative.
Stowe said in the coming weeks Fair Trading officers would re-inspect the businesses where breaches were found to ensure compliance with relevant fair trading laws.
Monies are lodged in trust accounts in order to be protected. Agents are not allowed to use money in trust accounts for their own purposes.
Recent breaches were identified among <a target="_blank" href="https://www.propertyobserver.com.au/industry-news/perth-settlements-agent-fined-%248000-for-misuse-of-trust-account-funds/2013062562661">Perth</a>, <a target="_blank" href="https://www.propertyobserver.com.au/industry-news/melbourne-estate-agent-suspended-following-trust-account-act-breaches/2013040260130">Melbourne</a> estate agents, a $412,000 misappropriation of funds resulting in a five year jail term <a target="_blank" href="https://www.propertyobserver.com.au/industry-news/former-raine-horne-brisbane-real-estate-agent-jailed-for-%24412000-trust-account-fraud/2013063062803?utm_source=po&amp;utm_medium=aida&amp;utm_campaign=newsplus">for a Brisbane agent</a> and a <a target="_blank" href="https://www.propertyobserver.com.au/queensland/gold-coast-estate-agency-fined-%2450000-over-231-cases-of-trust-account-misuses/2013062862802?utm_source=po&amp;utm_medium=aida&amp;utm_campaign=newsplus">Gold Coast agent</a> fined $50,000 for over 200 breaches.
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Trust account “anomalies” identified among Parramatta estate agents following Fair Trading visits

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AMP Capital’s unlisted Wholesale Office Fund (AWOF) has entered into an agreement with Mirvac to acquire a 50% interest in the land and development of its 200 George Street office project for $317 million. 
The site, currently occupied by a 5,500 square metre C grade building, is being redeveloped into a 37 storey, 38,000 square metre office tower, substantially pre-let to Ernst &amp; Young (28,000 square metres of office space) for 10 years from completion. 
Major site establishment works commenced in January, with completion scheduled for early 2016. 
Mirvac will provide AMP Capital a rent guarantee over any remaining un-leased space at completion for a term of four years.
AMP Capital head of property funds management Chris Judd said as the original owner of the site, AMP Capital had previously negotiated rights to acquire a 50% interest in any future development on the site. 
“This transaction presents a rare development opportunity and an excellent investment outcome for our clients. 
“The acquisition is consistent with our strategy to remain focused on core, well located office towers and bringing some newer assets into the Fund to increase the quality of the portfolio and deliver our investors strong risk adjusted returns over the long term. 
“We are pleased to further build upon our relationship with Mirvac Group where we benefit from partnering with a well-regarded residential and commercial developer,” says Judd. 
“We are delighted to have AMP Capital as an aligned partner in 200 George Street for what will be a landmark premium grade asset, located in the financial and legal core of the Sydney CBD,” says Mirvac chief executive Susan Lloyd-Hurwitz. 
“This agreement further strengthens our relationship with AMP Capital and we will continue to look to work with them in future residential and commercial opportunities.” 
The AMP Capital Wholesale Office Fund is an open-ended unlisted trust investing in office buildings in Australia and New Zealand. 
The fund has assets of $2.8 billion as at 30 December 2012.
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AMP Capital fund buys 50% of Mirvac’s 200 George Street office tower project for $317 million

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The median value of a Sydney apartment reached $500,000 for the first time in June.
RP Data-Rismark records a 2.7% rise in the median Sydney unit value to exactly $500,000.
Sydney units provide investors with a gross return of 7.6% and a yield of 4.9%.
This equates to weekly rent of around $470 per week.
Despite this new milestone being reached, Sydney unit growth was outpaced by Sydney houses, which rose 6.3% year-on-year. 
The gap is narrower over the past six months with Sydney house values are up 4.8% while unit values have risen by a smaller 4.0% notes RP Data research director Tim Lawless.
"The results come as a bit of a surprise considering investors are one of the most active segments across the Sydney market and rental yields tend to be higher for units compared with houses. 
"Potentially one of the drivers of the detached housing market performance is the fact that this segment of the market saw a larger correction in values between late 2010 and mid 2012; house values were down 6.4% compared with a 3.6% fall across the unit market," Lawless says.
Weekly rents across five capital city markets for June
<table border="1" cellspacing="0" cellpadding="0"><tbody>
<tr>
<td valign="top" width="154">
 
</td>
<td valign="top" width="154">
Houses
</td>
<td valign="top" width="154">
Units
</td>
</tr>
<tr>
<td valign="top" width="154">
Sydney
</td>
<td valign="top" width="154">
$535
</td>
<td valign="top" width="154">
$470
</td>
</tr>
<tr>
<td valign="top" width="154">
Melbourne
</td>
<td valign="top" width="154">
$400
</td>
<td valign="top" width="154">
$377
</td>
</tr>
<tr>
<td valign="top" width="154">
Brisbane-Gold Coast
</td>
<td valign="top" width="154">
$420
</td>
<td valign="top" width="154">
$374
</td>
</tr>
<tr>
<td valign="top" width="154">
Adelaide
</td>
<td valign="top" width="154">
$339
</td>
<td valign="top" width="154">
$284
</td>
</tr>
<tr>
<td valign="top" width="154">
Perth
</td>
<td valign="top" width="154">
$438
</td>
<td valign="top" width="154">
$412
</td>
</tr>
</tbody></table>
Source: Extrapolated from RP Data-Rismark yields and median values for June 2013
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Sydney unit value hits $500,000 for first time with 4.9% yield

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Capital city property values rose 1.9% in June led by gains in Sydney and Melbourne, according to the RP Data-Rismark Home Value Index.
Sydney dwelling values rose 2.7% over June to a median of $580,000 with Melbourne values up 2.3% to $512,000.
The June result means property values ended the financial year up 3.8% regaining all the ground lost over the 2012 financial year, when values fell 3.6%.
Property values have now recovered 4.9% of the 7.4% correction in dwelling values since the market bottomed out in May last year.
Over the course of the financial year, the strongest performing capital city property markets are Darwin (+6.1%), Perth (+6%), Sydney (+5.6%) and Melbourne (+3.4%).
The weakest markets are Hobart (-1.8%), Adelaide (+0.2%) and Brisbane (+0.6%).
Looking across detached housing, Sydney and Perth house values are up 6.3% over the 2013 financial year with Darwin house prices up 6.1%.
In the unit market, the strongest gains are for Darwin units (+6.4%) and Melbourne (+4.1%). 
<img height="403" width="470" src="/images/stories/2013/larry_uploads/rp_date_june.jpg" alt="rp_date_june">
The June pick-up wiped out the 1.7% cumulative fall over April and May, with values up 0.2% for the quarter.
“The capital gains recorded over the financial year highlight that lower mortgage rates are starting to have a positive impact on the housing market,” says RP Data research director Tim Lawless.
However, he adds that current conditions are “far removed from the buoyant conditions experienced in 2009”.
The quarter-on-quarter results for June were largely driven by a strong result in the largest capital city, Sydney.
Melbourne and Brisbane recorded a slight fall in dwelling values over the quarter while the decline in Hobart, Darwin and Canberra was more significant.
<img height="219" width="470" src="/images/stories/2013/larry_uploads/RP_Data_june_figures.jpg" alt="RP_Data_june_figures">
Each capital city housing market excluding Hobart, where values have fallen by -1.8%, has recorded an increase in values over the past year.
Annual capital gains have ranged from as little as 0.2% in Adelaide to as much as 6.1% in Darwin and 6% in Perth.
For investors, the highest rental yields are for Darwin houses and units with gross rental yield of 6.2%.
The lowest rental yields are Melbourne houses with gross rental yield of 3.7% and Melbourne units at 4.4%.
Lawless says that while there has been some natural volatility in the month-to-month readings of the RP Data-Rismark Index, the trend is much more indicative of an ongoing recovery in dwelling values.
Rismark International CEO Ben Skilbeck says the index highlights that housing markets do show intra-month and intra-quarter volatility (though very low when compared to the share market).
However, when the index is examined over a longer period, such as the last 3 months, “recent index results highlight that capital gains remain relatively sluggish despite the presence of low interest rates and high auction clearance rates”.
Lawless points out that consumer confidence dipped over April and May before recording a rise in June.
“[However], data on labour markets is jumpy and housing finance data shows hardly any improvement in the average loan size.
“If confidence levels remain high and labour markets continue to show a low rate of unemployment then we would expect that home values will continue to trend higher, albeit at a relatively measured pace,” he says.
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Property market rebounds in June with values up 3.8% for the 2013 financial year

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One of the poorest performing major listed property trust over the 2013 financial year was the CFS Retail Property Trust, joint developer of Emporium Melbourne, which last week announced a $60 million write-down of this project.
It's share price is up just 4.1% over the course of the 2013 financial year.
The S&amp;P ASX200 XPJ index (A-REIT sector) was up 17.4% for the 2013 financial year on a share price basis, says Goldman Sachs A-REIT analyst Andrew MacFarlane. 
"If you include dividends (total return) then the accumulation index was up 24.2%," he says.
For the financial year, the share market ended the year up 17.2%
<table border="1" cellspacing="0" cellpadding="0"><tbody>
<tr>
<td valign="top" width="123">
Company
</td>
<td valign="top" width="92">
ASX Code
</td>
<td valign="top" width="132">
June 30/2012 share price
</td>
<td valign="top" width="145">
June 30/2013 share price
</td>
<td valign="top" width="72">
% change
</td>
</tr>
<tr>
<td valign="top" width="123">
CFS Retail Property Trust
</td>
<td valign="top" width="92">
CFX
</td>
<td valign="top" width="132">
$1.92
</td>
<td valign="top" width="145">
$2.00
</td>
<td valign="top" width="72">
4.1%
</td>
</tr>
<tr>
<td valign="top" width="123">
Investa Office Fund
</td>
<td valign="top" width="92">
IOF
</td>
<td valign="top" width="132">
$2.71
</td>
<td valign="top" width="145">
$2.91
</td>
<td valign="top" width="72">
7.3%
</td>
</tr>
<tr>
<td valign="top" width="123">
Westfield Retail Trust
</td>
<td valign="top" width="92">
WRT
</td>
<td valign="top" width="132">
$2.85
</td>
<td valign="top" width="145">
$3.10
</td>
<td valign="top" width="72">
8.7%
</td>
</tr>
<tr>
<td valign="top" width="123">
Commonwealth Property Office Fund
</td>
<td valign="top" width="92">
CPA
</td>
<td valign="top" width="132">
$1.01
</td>
<td valign="top" width="145">
$1.10
</td>
<td valign="top" width="72">
8.9%
</td>
</tr>
</tbody></table>
Correction: In an earlier version of this story, Property Observer reported that Leighton Holdings was the worst-performing A-REIT with 5% decline in its share price over the 2013 financial year. Leighton Holdings is not an A-REIT. It is a construction and engineering business.
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CFS Retail Property among poorest performing A-REIT share prices for 2013 financial year

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Charter Hall’s share price rose 70.4% over the course of the 2013 financial year making it the top performing major listed property trust.
The group has around $10 billion of funds under management across the office, retail, industrial and residential sectors.
It’s most recent significant transaction was to form a partnership with a local super fund and a Canadian pension fund to acquire <a href="https://www.propertyobserver.com.au/commercial/charter-hall-buys-bankwest-place-and-raine-square-in-perth-for-%24458-million/2013061962415">Bankwest Place and the associated Raine Square shopping centre</a> in the Perth CBD for $458 million, seeing off competition from both local and offshore investors.
Charter Hall has also been named as a bidder for a collection of assets worth around $250 million that make up the Australand Wholesale Property Fund No.6 (AWPF6).
Charter Hall’s share price closed at $3.87 last Friday having started the financial year at $2.27.
The S&amp;P ASX200 XPJ index (A-REIT sector) was up 17.4% for the 2013 financial year on a share price basis, says Goldman Sachs A-REIT analyst Andrew MacFarlane.
"If you include dividends (total return) then the accumulation index was up 24.2%," he says.
Top five performing A-REITS over 2013 financial year.
<table border="1" cellspacing="0" cellpadding="0"><tbody>
<tr>
<td valign="top" width="123">
Company
</td>
<td valign="top" width="92">
ASX Code
</td>
<td valign="top" width="132">
June 30/2012 share price
</td>
<td valign="top" width="145">
June 30/2013 share price
</td>
<td valign="top" width="72">
%change
</td>
</tr>
<tr>
<td valign="top" width="123">
Charter Hall
</td>
<td valign="top" width="92">
CHC
</td>
<td valign="top" width="132">
$2.27
</td>
<td valign="top" width="145">
$3.87
</td>
<td valign="top" width="72">
70.4%
</td>
</tr>
<tr>
<td valign="top" width="123">
Cromwell Property Group
</td>
<td valign="top" width="92">
CMS
</td>
<td valign="top" width="132">
$0.69
</td>
<td valign="top" width="145">
$0.975
</td>
<td valign="top" width="72">
41%
</td>
</tr>
<tr>
<td valign="top" width="123">
Australand
</td>
<td valign="top" width="92">
ALZ
</td>
<td valign="top" width="132">
$2.47
</td>
<td valign="top" width="145">
$3.48
</td>
<td valign="top" width="72">
40.8%
</td>
</tr>
<tr>
<td valign="top" width="123">
Goodman Group
</td>
<td valign="top" width="92">
GMG
</td>
<td valign="top" width="132">
$3.67
</td>
<td valign="top" width="145">
$4.88
</td>
<td valign="top" width="72">
32.9%
</td>
</tr>
<tr>
<td valign="top" width="123">
Mirvac
</td>
<td valign="top" width="92">
MGR
</td>
<td valign="top" width="132">
$1.27
</td>
<td valign="top" width="145">
$1.61
</td>
<td valign="top" width="72">
26.7%
</td>
</tr>
</tbody></table>
Other strongly performing property stocks were the Cromwell Property Group (share price up 41%) despite its chief executive Paul Weightman warning in March of a commercial property bubble building in Australia, take-over target Australand (up 40.8%), industrial A-REIT Goodman Group (32.9%) and diversified group Mirvac (26.7%).
Australia’s biggest A-REIT Westfield Group and its shopping centre spin-off Westfield Retail Trust ended the financial year up 20.4% and 8.7% respectively.
For the financial year, the share market ended the year up 17.2%
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Charter Hall ends financial year as top performing property group

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Melbourne’s premier retail development, Emporium Melbourne has suffered a $59.4 million write-down following an independent revaluation by joint owner, CFS Retail Property Trust.
The project is now only scheduled to be completed by the first quarter of 2014 instead of an earlier December opening meaning retailers will miss out on the key Christmas trading period and New Year's sales.
<img alt="emporiumapril24two" height="277" width="470" src="/images/stories/2013/04/emporiumapril24two.jpg">
The write-down applies to the 50% of the project owned by CFS Retail.
The other half of the project is owned by the Government of Singapore Investment Corporation (GIC).
The 15.5% revaluation means CFS Retail’s share of Emporium Melbourne is now worth $325 million with costs increasing from $575 million to $590 million for the A-REIT's share of the project.
The write-downs were the result of downward revisions to income assumptions and increased costs over the project, currently being built by Grocon on the corner of Little Lonsdale Street and Bourke Street.
Emporium Melbourne (pictured above and below) will replace the former Myer Lonsdale Street store and will offer over 225 stores of premium retail space over eight levels.
<img src="/images/stories/2013/04/emporiumapril24one.jpg" width="470" height="402" alt="emporiumapril24one">
Confirmed tenants include <a href="https://www.propertyobserver.com.au/retail/names-names-namesuniqlo-marcs-saba-and-mj-bale-set-for-emporium-melbourne/2013042360694" target="_blank">Japanese retailer Uniqlo and UK retailer Topshop</a>.
The gross leasable area of the complex is 48,000 square metres with Myer accounting for 7,000 square metres of retail space.
Goldman Sachs analyst Andrew MacFarlane repeated remarks made in April highlighting that “the vertical nature of the retailing offer inherent in the project risked suffering from a lack of tenant demand, and that timing over the development completion would be challenged given union and weather related issues that have faced the project”. 
Emporium Melbourne was the centre of a bitter dispute between Grocon and building union the Construction Forestry Mining and Energy Union (CFMEU), which blockaded the site between the 28 and 31 August.
In May, the Supreme Court of Victoria found the blockade was in contempt of restraining orders issued by the court.
“We have now seen these two risks transpire, with CFS Retail citing that while 75% occupancy (by income) has been secured, the subdued retail leasing market has impacted its income forecasts,” says MacFarlane.
“Similarly, development completion is now expected to occur in the first quarter of 2014, rather than by December 2013, with tenants set to miss the key Christmas trading period.”
CFS notes in its update that good progress is being made at Emporium Melbourne with the final concrete slabs that will form the floors being poured.
“Despite this progress, we have not been able to recover all the previously-advised lost time, and consequently we are now aiming to complete the redevelopment around the end of the first quarter of calendar year 2014," fund manager Michael Gorman.
“The delay has resulted in a $15 million (CFS Retail share) increase in forecast project costs, largely reflecting the additional interest costs to be incurred, bringing the revised total forecast project cost to $590 million (CFS Retail share).
“Leasing has progressed significantly in recent months, with approximately 75% of income now secured. However, in light of the subdued retail leasing market, we have revised down our income forecasts. The combination of lower income and increased costs has resulted in a revised target year-one yield on costs of approximately 5%.
The decline in Emporium’s valuation was offset by an upward revision of $32.2 million to its Chatswood Chase shopping centre on Sydney’s North shore based on improved income growth and discount rate tightening, which is now worth $845 million.
In total there were 19 assets re-valued for the six months to June 30, with he net result was a portfolio write-down of $20.7 million, or 0.4%.
The 30 assets comprising the fund are valued at $4.8 billion as of June 30.
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Emporium Melbourne's opening delayed until 2014

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Estate agent Michael Wilkes has been sentenced to five years jail for misappropriating $412,796.40 from trust accounts while operating inner-city Brisbane real estate agencies.
The sentence was handed down on May 22 by the Brisbane District Court.
Wilkes was director of Excalibur Property Services Pty Ltd, trading as Raine &amp; Horne Ascot and Ivan Lazarou Real Estate, and The Art of Property Pty Ltd, trading as Elders Real Estate in New Farm.
A joint investigation by the Office of Fair Trading (OFT) and Queensland Police Service found Wilkes had illegally removed the funds from two agency trust accounts over the course of a year (1 November 2008 to 11 November 2009) for his own personal use.
The Office of Fair Trading commenced an investigation into the agent in 2009, including a forensic examination of the trust accounts, following complaints from landlord clients.
The matter was referred to the Queensland Police Service which continued the extensive investigation and charged Mr Wilkes with two counts of fraud.
Wilkes pleaded guilty to both counts and was sentenced to five years imprisonment, to be suspended after 18 months.
The Queensland Government’s Claim Fund had paid out over $412,000 to 70 affected clients, which Wilkes and Excalibur Property Services Pty Ltd was liable to repay.
“To date we have recovered more than $70,000 of the misappropriated funds and returned it to the Claim Fund,” said OFT executive director Brian Bauer.
“Action to recover further funds is ongoing.”
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Former Raine & Horne Brisbane real estate agent jailed for $412,000 trust account fraud

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Michael O’Sullivan ran a separate financing operation while managing director of collapsed debenture issuer and mortgage lender Provident Capital, to provide “financial accommodation” to clients who had defaulted on their high-interest loans, a court has heard.
The company O'Sullivan ran as sole director was called PCL Holdings.
In 2008, PCL Holdings had a loan on its books of $4 million to Marcia Raheb - O’Sullivan’s wife, which he told the court was for “tax purposes”.
PCL Holdings allegedly used Provident company information to offer Provident clients first and second mortgage loan accommodation, receivers PPB Advisor claimed as part of its examination of O’Sullivan and othe company directors last week in a public hearing at the federal court, reported on by financialobserver.com.au.
O’Sullivan told the court that PCL Holdings improved Provident’s liquidity by provided financial accommodation to a borrower in arrears with Provident Capital receive that money “dollar-for-dollar”.
He claimed the directors of Provident were fully aware of the activities of PCL Holdings, which he said was well documented in the company’s conflict register. O’Sullivan was also grilled over recycled loans funded by wholesale provider Bendigo &amp; Adelaide Bank .
Provident Capital acted as a lender of last resort on risky development, charging very high interest rates and fees.
It collapsed in July last year following an application by Australian Executor Trustees Limited (AET), a trustee for Provident Capital debenture holders. It then emerged that 85% of loans were six months or more in arrears.
Around 3,500 debenture holders had invested around $96 million in Provident Capital when it collapsed.
A second interim distribution to debenture holders was paid on June 21 representing 2 cents in the dollar.
This takes total distributions to debenture holders over the course of receivership to date in excess of $7 million.
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Provident Capital managing director Michael O’Sullivan ran separate financing company for defaulters: hearing

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" />

&nbsp;

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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