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GUEST OBSERVATION
A petition calling for tighter rules on foreign ownership of Australian property has over 26,000 signatures, highlighting public disquiet over foreign buyers, as reported by Sydney Morning Herald.
Chinese buyers are often the target of this, as they are visible at home auctions particularly in Sydney. Yet the Canadians are only just behind them.
So how big an influence are foreign buyers on the residential market? Available figures tend to be confusing and contradictory.
On 27 November the House of Representatives issued a report into the FIRB which was critical of the current compliance procedures, and highlighted how easy it currently is for overseas buyers to avoid the rules. 
It is recommending an overhaul of compliance procedures, in particular that the land titles systems in each state be amended to record the citizenship and residency of buyers so that we have accurate information on buyers and can monitor their compliance. 
Also, it recommends that substantial fines be introduced for non-compliance, and that any capital gains on a non-complying property be taken by the government. While it seems clear that the rules should be properly enforced, it will have no impact on the level of overseas demand.
According to the FIRB, foreign investors doubled their presence in the market in the last year, when they purchased 5,755 homes worth $5.5 billion at an average of $955,000 per property. There are two key points to make about this:
<ol>
<li>Last year, in our capital cities, there were a total of 309,124 residential sales. Foreign investors accounted for only 1.86% of all sales, hardly a dominant figure. </li>
<li>At an average of $955,000 per property, foreign buyers were generally in a price bracket above that of most domestic buyers, where the overall median price was $468,500. Put another way, foreign buyers purchase property that is twice the price of the typical domestic buyer.</li>
</ol>
Of course, foreign buyers tend to focus on certain markets, so their influence is disproportionately higher in Sydney inner suburbs, and Melbourne, though they are making inroads into the Brisbane market. They are broadly grouped into two types:
<ol>
<li>Foreign students can buy property while they are studying at university. Probably funded by parents, this market targets units in university catchment areas, and they can buy existing homes. Overseas families are also accused of using lawyers or other service providers as proxies to buy property, though data is not available. </li>
<li>Other foreign buyers are restricted to purchasing new property off the plan.</li>
</ol>
The new unit market appears to be oversupplied in major markets, and not surprisingly developers are supporters of the right of foreign buyers to purchase off the plan, without which a serious oversupply might be emerging.
Not all developers though. Those looking for sites to develop are finding themselves competing with Chinese property developers. Julian Heatherich of Savills’ Melbourne says that activity in development sites has become “a lot more aggressive” in the last year, while Lang Walker expressed concerns that Asian groups are paying inflated prices for residential development sites.
According to a NAB survey, investment in Sydney by foreign buyers is falling, but increasing in Melbourne and Brisbane. Other cities don’t get a look-in.
According to Simon Henry, co-CEO of Juwai, stripping out student units, the median purchase price by Chinese investors is A$1.5 million, way above most of the market, suggesting that Chinese buyers cannot be accused of pushing up prices for domestic buyers.
Preferences are for property close to the beach, in well-off suburbs, or apartments close to the centre of major cities, according to the New Daily .
According to property investor Andrew Crossley: “in Brisbane they are looking at Hamilton, Kangaroo Point and Bridgeman Downs; in Sydney they are focusing on Mosman, Bondi and Cremorne; while in Melbourne they are interested in Burwood, Doncaster and Ivanhoe.” He goes on to say that “local investors — those who are buying at the cheaper end of the market — have got more to do with pushing prices up than any foreign interests”.
Clearly, the influence of Chinese buyers is being felt, but in very specific markets; it is not across the board. According to the NAB residential property survey, overseas buyers accounted for 17% of total demand for new properties in Sydney in the September quarter, and almost 25% in Melbourne. Managing director of Momentum Wealth Damian Collins says: “They are buying into new apartments, not existing dwellings, so are not really affecting the residential market.”
The recent free trade deal with China will make it easier for Chinese investors to buy commercial real estate but it doesn’t change the rules for residential real estate. However the federal government is canvassing raising fees from overseas buyers and is considering a $1,500 application fee for every property they buy, from July 2015, said to raise $50 million a year. That implies 33,000 transactions a year, versus the FIRB figure of 5,755 transactions. The announcement seems more to do with being seen to do something about foreign buyers, for political purposes, than a serious revenue raiser.
The other recent political announcement has been the creation of a new visa category , to fast track permanent residency for wealthy foreigners who “invest $15 million in certain assets after 12 months”. Concerns have been expressed that this will drive up property prices, but the actual number of foreigners eligible is not likely to be significant.
The recent release of pre-sales for a new apartment tower in Melbourne, Aurora Melbourne , with 941 apartments, is a development by Malaysian developer UEM Sunrise. After two weeks, 895 units have been sold, 75% to overseas buyers, showing strong demand for new high quality apartment developments in Melbourne. It is the pricing relative to other cities in Asia that is cited as the prime attraction.
“As a benchmark in Australasia, Melbourne core CBD prices are on par with KL, 50 per cent cheaper than Sydney, 200 per cent cheaper than Singapore, 350 per cent cheaper than Hong Kong, and a staggering 550 per cent cheaper than London,” said Raymond Cheah, director of UEM Sunrise in Australia.
While the newspapers carry plenty of headlines about “foreigners driving up property prices”, the reaction tends to be xenophobic rather than factual. Certainly they are having an impact in certain inner city, prime and unit markets but the impact is minimal in most Australian markets.
Linda Phillips is head of research at <a href="https://www.propell.com.au/" target="_blank">Propell National Valuers</a>.
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LindaPhillips-Aic2YD9SM3

How much influence do overseas buyers really have?

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GUEST OBSERVATION
Federal Treasurer Joe Hockey has dismissed the idea that a property bubble is forming in Australia, citing the lack of supply as a primary reason for our high domestic prices.
This is an analysis that we, Propell National Valuers, agree with, <a href="/expert-insights/does-australia-really-have-the-most-overvalued-property-in-the-world">as set out in an article we published last month</a>.
The statement follows statistics published by the Bank of International Settlements (BIS) and The Economist showing that, as measured against income and rents, Australia had one of the highest relative price levels in the world (Only Belgium had higher prices.)
Joe Hockey called their surveys “lazy analysis”. We would agree that the reports are based on “rules of thumb” that are interesting but only have limited application. The same surveys showed Chinese prices as some of the cheapest in the world, but no-one is expecting Chinese prices to increase.
Anyone who wants to argue that Australia is in a housing bubble should also argue that Chinese real estate is at bargain prices, and no-one believes the latter to be the case.
BIS quoted Australia as having the largest price increase in the past year:
“Year-on-year residential property prices, deflated by CPI, rose by 9.5% in the United States and 6% in the United Kingdom. Real house prices also grew, by 7% in Canada, 7.7% in Australia and 2.2% in Switzerland, three countries that were less affected by the crisis, as well as in some countries that were severely affected by the crisis, such as Ireland (+7.2%) and Iceland (+6.4%).”
The BIS statement matches a recent article in The Economist (30 August 2014 edition):
“Australia has one of the most over priced housing markets in the world.”
However, this is based on a couple of simplistic measures, being price versus rents, and price versus income.
Measured against rents, they assert that Australia as a whole is 55% over valued, the only markets exceeding this being New Zealand, Canada, Belgium and Hong Kong.
Measured against income, they assert that Australia is 33% over valued, the highest figure in the world.
Given the disparity of price growth in our cities, this implies that Sydney and Melbourne are way overvalued, while the other capital cities are a little above fair value.
But is this an accurate way to measure under/over valuation?
Against income, The Economist says that Australia is 33% overvalued. But at the other end of the scale, they also say that China is 38% undervalued.
If we accept the logic that Australian prices are too high, then we would also accept that Chinese prices are too low. Yet the consensus opinion is that the Chinese market is oversupplied and that prices could fall.
Even Chinese buyers are conspicuous in buying Sydney real estate, indicating that they see better value in Australia than in China.
In a blog article last month we highlighted the major driver of prices: supply v demand. Joe Hockey is right to draw attention to the supply/demand equation in justifying the present level of house prices.
China may well be undervalued by comparison with incomes, but another factor is at work. The market is considerably oversupplied, with plenty of reports highlighting the amount of constructed yet empty apartment space in and around the major cities. So the excess of supply over demand has kept prices lower by comparison with incomes.
In Australia, we have the opposite equation: supply has not kept up with demand, and excess demand is driving prices up. To the extent that demand is supporting prices, there is a good argument to say that our prices are not too high.
Rising prices should be a signal to increase supply. Indeed, levels of new home construction are improving, but not at the pace that would reduce prices. Supply is relatively inelastic, with impediments to new supply including lack of available land (where it is wanted) and planning limitations.
This can easily explain why Sydney prices have been increasing at the fastest pace. Simplistically, the demand is for inner city housing, while supply is most elastic on the metro fringes. The lack of sufficient supply in Australia is a result of inelastic availability of land, plus, what land there is, tends to be at the fringe of cities, whereas demand is for residences closer to the CBD. Inner city suburbs are encouraged to increase residential densities but this often comes up against the NIMBY factor, existing owners oppose higher density developments in their neighbourhood.
On the demand side, our high level of immigration has the effect of increasing demand which cannot easily be satisfied. Immigration policy appears to be set without reference to the domestic ability to cater for their housing needs, but policies are unlikely to change in the short term.
So Australia remains in a position of having insufficient supply of residences. Prices may be high relative to rents, but at present interest rate levels the market continues to be supported by buyers and there is no suggestion of it being overpriced. If interest rates rise, then that would change the equation, but we are not there yet.
Linda Phillips is national research manager with <a href="https://www.propell.com.au/" target="_blank">Propell National Valuers</a>.
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Joe Hockey says bubble talk is "lazy", but is he right?

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GUEST OBSERVATION
Home median prices rose 4.2% over the quarter to 31 August according to RP Data and this is reigniting the debate over whether prices are now too high.
Price movements over the quarter were +5.0% for Sydney, +6.4% for Melbourne, but around +1% for the rest. It was a surprise to see Melbourne outperforming Sydney during the quarter.
More capitals now have a median price within a stones’ throw of $500,000 including Melbourne, Perth, Darwin and Canberra. Brisbane still looks relatively cheap at $445,000, with Adelaide and Hobart lower. Sydney is the most expensive at $650,000.
This was the strongest winter performance since 2007 says RP Data, though it followed a negative result in May so there is an element of bounce back in the numbers.
Over the year to 31 August, Sydney is up 20.9%, Melbourne is up 15.6%, Brisbane 10.4%, Adelaide 10.6%, Darwin 12.0%, Perth 8.0%, Hobart 8.4%, Canberra 6.0%. In the case of Canberra much of that happened in the last quarter.
Melbourne growth has been surprisingly strong, considering the plentiful supply and the level of new unit construction. It also has the lowest rental yield, being 3.2% on houses, 4.2% on units, which the Economist has used to suggest the market is overpriced (see below).
Over five years, Sydney and Melbourne prices have risen by around half.
According to RP Data research director Tim Lawless, Sydney and Melbourne housing markets are driving these two tier conditions. “Over the latest growth cycle we have seen Sydney dwelling values increase by 27.2% and Melbourne values up by 19.5%. Sydney and Melbourne were also the strongest performing cities during the 2009/10 growth cycle. Since the beginning of 2009, we have seen values rise by a cumulative 50.1 per cent and 46.1% respectively in Sydney and Melbourne. Looking at the remaining state capitals over the same time frame, the next best performer was Perth where values are now 15% higher, followed by Adelaide at 9.9%, Brisbane with 5.3%.”
The inevitable question is what prices will do in the next year?
It seems that the pace of growth must slow down. If it doesn’t then the RBA will be considering raising interest rates, assuming that macro prudential tools to curtail lending are not introduced. And this at a time when the RBA would like to reduce rates in order to lower the exchange rate and stimulate the economy. It is between a rock and a hard place.
According to an article in The Economist (30 August, 2014 edition):
<ul>
<li>Australia has one of the most over priced housing markets in the world. However, this is based on a couple of simplistic measures, being price versus rents, and price versus income.</li>
<li>Measured against rents, they assert that Australia as a whole is 55% overvalued, the only markets exceeding this being New Zealand, Canada, Belgium and Hong Kong.</li>
<li>Measured against income, they assert that Australia is 33% overvalued, the highest figure in the world.</li>
</ul>
Given the disparity of price growth in our cities, this implies that Sydney and Melbourne are way overvalued, while the other capital cities are a little above fair value.
But is this an accurate way to measure under/overvaluation?
Against income, The Economist says that Australia is 33% overvalued. But at the other end of the scale, they also say that China is 38% undervalued.
So should we be selling our Australian houses and rushing to buy in China instead? Few would agree with that, indeed, Chinese buyers are conspicuous in buying Sydney real estate, but the question gets us to focus on the major driver of prices: supply versus demand.
China may well be undervalued by comparison with incomes, but another factor is at work. The market is considerably oversupplied, with plenty of reports highlighting the amount of constructed yet empty apartment space in and around the major cities. So the excess of supply over demand has kept prices lower by comparison with incomes.
In Australia, we have the opposite equation: supply has not kept up with demand, and excess demand is driving prices up. To the extent that demand is supporting prices, there is a good argument to say that our prices are not too high.
Rising prices should be a signal to increase supply. Indeed, levels of new home construction are improving, but not at the pace that would reduce prices. Supply is relatively inelastic, with impediments to new supply including lack of available land (where it is wanted) and planning limitations.
This can easily explain why Sydney prices have been increasing at the fastest pace. Simplistically, the demand is for inner city housing, while supply is most elastic on the metro fringes.
Melbourne is something of an enigma. It has plentiful supply of new land and home packages, especially in the west, and the level of new apartment construction for inner city locations is high enough to cause a lively debate about whether too many are being constructed. If supply is greater than demand, then Melbourne price growth should be subdued. The fact that it continues at a strong pace suggests that demand is growing faster than supply.
Figures of population growth are always a year out of date, but it suggests that inbound population growth is continuing in Melbourne, despite the risks to employment levels in coming years.
Buyers seem to be assuming, reasonably enough, that interest rates are not going to change in the next year. Everyone likes buying into a trend, so growth tends to become self-fulfilling in the short term. While we expect growth levels to moderate in the coming year, we consider the measures used by The Economist to be rather simplistic and that prices are not as overvalued as they report.
Linda Phillips is national research manager with <a href="https://www.propell.com.au/" target="_blank">Propell National Valuers</a>.
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Does Australia really have the most overvalued property in the world?

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

Joel Robinson

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

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Castle Hill, the longtime hub of the Hills District, has been one of the major beneficiaries of Sydney's Metro expansion, with improved connectivity helping drive continued population growth, development and buyer demand across the Hills District.

But despite that growth, the suburb has seen relatively few major new apartment projects brought to market over the past 18 months.

Hills District developer Reve Group is looking to fill that gap with <a href="https://www.apartments.com.au/new-apartments/nova-r-ve-castle-hill-2-garthowen-crescent-castle-hill-nsw-2154">Nova Rêve</a>, a major new mixed-use precinct on the corner of Garthowen Crescent and Old Castle Hill Road, a short walk from Castle Hill Metro Station and Castle Towers.

[smartcode_project:default project_id=152737 project_image_fid=377679]

The project will comprise three residential towers alongside a hotel, restaurants, cafes and a skybar, more than 1,600 sqm of ground-floor retail and almost an acre of landscaped gardens.

It represents the largest project undertaken by Reve Group, the development arm of the Kassis family, which has been building across the Hills District for more than 30 years through Kassis Homes.

[smartcode_project:default project_id=152737 project_image_fid=377675]

Nova Rêve also represents a significant step up from the family's first apartment development, Grand Rêve, which was delivered nearby on Garthowen Crescent.

Grand Rêve introduced larger, house-like apartment layouts and premium inclusions including Wolf and Sub-Zero appliances to the Castle Hill market.

Nova Rêve takes that approach to a precinct scale, combining the residential component with hospitality, retail and substantial public and resident landscaping.

[smartcode_project:default project_id=152737 project_image_fid=377685]

Reve Group Managing Director Sam Kassis said the project reflected the family's three decades of building in the Hills, which has evolved from trophy homes on quarter-acre blocks to larger-scale apartment development.

"Grand Rêve was our first apartment project here and it showed us what this pocket of Castle Hill could be. Nova Rêve is the refinement of that idea: not just apartments, but a place the whole suburb can use," Kassis said.

A key part of that approach is the hotel, which has been designed to operate as an amenity for the wider Castle Hill community rather than solely hotel guests.

It will include restaurants, cafes, skybars and all-day dining, alongside conference and event facilities catering to business functions, community groups and private events.

At ground level, more than 1,600 sqm of shops and cafes will open onto the surrounding streets and landscaped areas.

Almost an acre of gardens designed by Land and Form Studios will run through the precinct, incorporating pathways, seating, barbecue areas and children's play spaces.

[smartcode_project:default project_id=152737 project_image_fid=377680]

Reve Group's Romio Georges said creating an active ground plane had been central to the planning of Nova Rêve.

"There are gardens with pathways, barbecues, seating and play areas, shops and cafes opening onto the street, and a hotel with restaurants and a skybar that anyone in Castle Hill can walk into," Georges said.

The project's elevated position on one of Sydney's highest ridgelines will also provide apartments with outlooks toward the Sydney skyline, surrounding parkland and the Blue Mountains.

More than 80 per cent of the apartments will occupy corner positions, with Turner responsible for both the architecture and interiors.

&nbsp;

[smartcode_project_cta:default project_id=152737]

<h3 data-end="3697" data-section-id="q3n5ak" data-start="3672">&nbsp;</h3>
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Nova Rêve arrives as Reve Group bets on Castle Hill's next growth phase

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

Maréa Residences brings parkside apartments to Coolangatta

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

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

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

Linda Phillips

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