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The property market has suffered a difficult year, but recent auction and price results indicate the market is on its way up.
And with economists and analysts alike expecting a rate cut before the end of the year, things are looking good for budding property investors.
Melbourne and Sydney recorded higher than usual auction clearance rates this weekend – both were higher than the corresponding weekends in 2011.
And the most recent daily figures from RP Data, taken yesterday, show prices in the five capital cities have increased 1.99% over the last quarter. In Melbourne specifically, prices have increased by 3.1% and in Sydney by 2.4%.
The only market to record a drop in the last quarter was Brisbane, down by only 0.13%.
The property market in Melbourne never fully takes off until after the AFL grand final, which is being played this coming Saturday. Many auctions have been brought forward, with the city recording 624 auctions on the weekend.
The city reached a clearance rate of 64%, compared to 52% for the same weekend last year.
"In light of the increase in stock, this is quite a healthy result. It continues the trend this spring with the clearance rate being consistently a few points higher than last year," chief executive Enzo Raimondo said in a statement.
"Due to the AFL Grand Final there will only be about 20 auctions held next Saturday, all of which are scheduled for noon or earlier. Due to this very low number a clearance rate will not be published."
The results were similar in Sydney. The city recorded 504 auctions with a clearance rate of 67.3%, compared to 56% both last week and in 2011.
SQM Research managing director Louis Christopher says even when the unreported auctions are taken into account, the clearance rates still improve on last year.
"Definitely the performance on the weekend was reflecting the fact we had a significantly higher number of auctions."
"Even if you take into account the worst case scenario with these unreported auctions, it still means the clearance rates are higher. So it's a fairly strong result, and even when you're taking everything into account."
Economists also expect a rate cut – or two – before Christmas. Christopher says even one would give the early positive signs a much-needed boost.
"We can't read too much into one weekend. But, that said, this is now the fourth or fifth week now where we've had clearance rates higher than this time last year. That's a signal there's a trend there."
"If we see another rate cut before Christmas time that would add more fuel there. But it's looking pretty positive."
This article originally appeared on <a target="_blank" href="https://www.smartcompany.com.au/index.php">SmartCompany</a>.
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pmcstafford-pr9eMARWoN

Property auction clearance rates bettering September 2011

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If you’ve ever wondered which Australians spend the most amount of money online, now’s your chance to find out.
New data provided by analytics firm Quantium reveals the suburbs in Sydney and Melbourne that spend the most on online retail sales – and which suburbs are experiencing the most growth.
The figures come as part of the research poured into NAB’s online retail sales index, which is one of several projects Quantium prepares for a range of clients.
The data is based on the account information and the address of each account holder, not where products are purchased or where they are delivered.
The transaction data reveals some interesting trends. While most of the activity occurs in the central business districts of both Melbourne and Sydney, there are several suburbs where activity is greater than others.
Several businesses use these types of analytics to inform their marketing campaigns – specifically SEO and AdWords. While this data alone shouldn’t be used by businesses as marketing tools, it represents how important location-based marketing can be when it comes to selling online.
<h1>Melbourne</h1>
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<h1>Sydney</h1>
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This article originally appeared on <a target="_blank" href="https://www.smartcompany.com.au/index.php">SmartCompany.</a>
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The Melbourne and Sydney suburbs that spend the most on online retail

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Usain Bolt has defended his title as the world's fastest man, winning gold in the 100-metre sprint at the London Olympics.
But while Bolt has successfully defended his title on the track – and set an Olympic record at the same time – in the business world, his record shows a different story.
The star's Caribbean sports bar, Tracks &amp; Records, opened in 2011 in Bolt's home town of Kingston. On its website, the company says it has "already started to break the barriers of a casual eatery and sports bar &amp; lounge".
As it turns out, the <a target="_blank" href="https://www.smartcompany.com.au/wealth/051046-the-richest-people-in-sports">track superstar's</a> aggressive schedule for opening more bars overseas has proven elusive.
The<a target="_blank" href="https://www.tracksandrecords.com/nmcms.php?content=About%20Us&amp;show=1" rel="nofollow"> site </a>says the bar is built with an "almost stadium-like presence" occupying 6,000 square feet (557 square metres).
"The brand's unique décor reflects the offering's dual sports and music concept – playing on the 'tracks' run on and the 'records' broken by Usain Bolt, as well as on the 'tracks and records' which are key elements of music."
"The overall décor features are the fundamentals of brand Jamaica, with a contemporary sophistication, which takes patrons on a journey from old school Jamaican culture to the most modern audio-visual experience."
Bolt wanted to open a branch in London before the Olympics, but that plan was shut down as early as 2011. According to his London agent, Ricky Simms, the <a target="_blank" href="https://blogs.telegraph.co.uk/sport/shart/100016414/usain-bolt-loses-race-to-open-sports-bar-in-london-in-time-for-the-2012-olympics/" rel="nofollow">plan was in doubt</a> about 18 months ago.
"Things have taken a bit longer than expected so I don't think there is going to be time for that before the Olympics," said Simms.
"But it could well happen after 2012. I know Usain is looking at opening bars in London and New York."
As Bolt has risen in popularity since Beijing, his fortune has also grown to more than $US20 million a year, coming from various events, sponsorship deals and prize money. <a target="_blank" href="https://blogs.telegraph.co.uk/sport/shart/100016414/usain-bolt-loses-race-to-open-sports-bar-in-london-in-time-for-the-2012-olympics/" rel="nofollow">Forbes places him at 63rd</a> on its list of the world's highest paid athletes.
Some of his sponsorship deals include Gatorade, Virgin Media, Visa and Puma. Back in 2010, Bolt signed another deal netting him $US9 million a year – an unusual amount for a track and field star.
This article originally appeared on <a target="_blank" href="https://www.smartcompany.com.au/index.php">SmartCompany</a>.
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Usain Bolt's international restaurant chain expansion stumbles at the starting block

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It's official – Costco has confirmed it will open a second Melbourne store in the eastern suburb of Ringwood.
Nearly three years after the company opened its first location in Melbourne, the retail giant has expanded into both Sydney and Canberra. As part of a nation-wide plan, Costco has now started doubling up, with Melbourne the first city to get its second location.
The Ringwood move has been rumoured since as early as last year.
This opening will have a lot in common with the Sydney store, located in Auburn. The first Melbourne store is in Docklands, away from other retailers. This time it will be in the middle of suburbia, where plenty of SMEs will feel the effects.
Retail Doctor Group managing director Brian Walker says businesses need to be prepared.
"They really need to focus on their differentiated offer," he says. "Focus on service levels, loyalty programs, and so on. They should work their database, and figure out the value they add to the surrounding area."
"And what they really need to do is study Costco and then figure out what they need to do. Look at what it's designed to do and then think about the response."
For instance, Walker says, Costco isn't designed to be a company focused on customer service. Businesses in the surrounding area should focus more on investing in staff, so they can offer a complementary offering to Costco.
"They need to look at the way customers move through the stores, look at the staffing levels, and then try and identify those points of difference they can cover."
"Costco is not designed to be a very customer service-oriented business."
Last year, the Sydney opening brought a huge amount of foot traffic to the surrounding area. While businesses may complain about the extra traffic, there are plenty of other things they'll have to get used to as well.
Here are the four things you'll have to get used to when Costco comes to your neighbourhood.
Increased foot traffic
There are going to be a lot of people in your area – a lot of people. Not only will people from the surrounding suburbs be flooding into Ringwood every day, but you'll also see more people from further away. After all, Ringwood sits right on a stretch of freeway where southern commuters have access to the city. They'll just choose to stop at Ringwood instead of going into the city.
Of course, this is an opportunity in itself – more marketing opportunities!
Buying
Costco brings some great benefits, and not just for consumers, but businesses as well. If you need supplies or any other sort of product, then a Costco membership is probably a good investment and could save you on some costs.
Traffic
It's going to happen, and you're just going to have to deal with it. The traffic is going to be excessive, especially on weekends, and there isn't much of a solution. The other consequence of this is parking – people will try to avoid the crowded Costco car park if they can.
While this can be a nuisance, it's also another opportunity – having further to walk means more opportunities for advertising.
Price erosion
One of the main reasons Costco customers are so tied up in their memberships is the huge savings they can make. As a result, if you're selling groceries or any other type of food product in the Ringwood area, then you'll need to prepare for some price erosion. Customers are just going to expect lower prices.
This isn't necessarily a bad thing. You just need to adjust your expectations – as Walker says, focus on your customer service offering. If you're being threatened by Costco, then identify its disadvantages and strike back.
This article originally appeared on <a target="_blank" href="https://www.smartcompany.com.au/index.php">SmartCompany</a>.
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Costco to open second Melbourne store in Ringwood

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The mining boom is making many of us rich – especially those of us living out west. Five of the country's top 10 richest towns are located in Western Australia, according to the latest census data, with Dampier taking the top spot, with 22% of its residents earning more than $4,000 per week.
But we're not just becoming richer, we're living large, too. Between 2006 and 2011, the size of the average household has increased from 2.61 to 2.63 – the first increase in 100 years of census data.
As CommSec economist Craig James says, prior to the mining boom wealth was concentrated mostly in northern Sydney, along with the inner suburbs of Melbourne. But now, Western Australia has taken over.
"The mining boom has significantly influenced the latest census results. Not only do mining and energy regions dominate the lists of highest personal income and highest household income, but they are also regions of significant gender imbalance with males dominating industry employment," James says.
"Overall, the top 13 regions for highest median personal income are in Western Australia," he says.
The data shows the towns with the highest median income are covered by the postcode 6710, with median incomes higher than $2,000 a week. Other mining-rich areas, including Newman, Bullfinch, Tom Price and Hamersley, all followed, with median incomes ranging from $1,915 to $1,824.
Other regions with the highest median personal income rates include Alyangula in Northern Territory at $1,552, May Downs in Queensland at $1,512, and Roxby Downs in South Australia, at $1,466.
In New South Wales, the postcode with the highest median weekly income was 2061, encompassing Kirribilli and Milsons Point, with earnings of $1,311. In Victoria, East Melbourne with its 3002 postcode recorded $1,164.
When incomes are ranked by calculating the percentage of households whose incomes are greater than $4,000 per week, Western Australia still comes out on top, with Dampier, 6713, at the top of the list with 22.3%.
Karratha, 6714, follows with 18.9%, while Port Hedland, 6721, rounded out the top three with 17.6%. Perth suburb City Beach, 6015, came in 7th with 16.1%.
The Ponds in New South Wales (2769) topped the list of areas with the highest percentage of mortgages at 81.6%, followed by Lyndhurst, Victoria (3975), at 75.1%, along with Doreen, 3754, at 71.3%.
Angle Vale, South Australia, (5117), ranked with 69.3%, followed by Banksia Grove, Western Australia, (6031), at 58.9%.
"There are 184 towns in Australia where more than 50 % of properties are rented and actually 33 towns having a rental rate of more than 90%," James pointed out.
"By contrast there are 84 towns where the rental rate is less than 10 %. Park Orchards (3114, Victoria) with 1,075 residents in eastern Melbourne has a rental rate of just 3.5%."
Another hint of Australia's wealth can be found in the statistics for unoccupied private dwellings – of which there are 934,000.
"While the definitive break-down is not yet available on the reasons why so many homes are vacant, the primary reason is more than likely that they are used for holiday homes or holiday rentals or are properties available for rent," James said.
These homes are also growing much larger. For the first time in 100 years, the average household size has increased from 2.61 to 2.63 people per household.
"As has traditionally been the case, remote towns with large indigenous populations in Western Australia, Northern Territory and Queensland dominate the rankings of household size. Burketown, Bathurst Island, Telfer, Binjari, Forrest (WA), Alice Springs and King Ash Bay are towns possessing highest household size."
"In capital cities, interestingly, suburbs in western Sydney such as Cecil Hills, Bonnyrigg, Bossley Park and Hoxton Park have the highest household size with around 3.4-3.6 persons per household compared with the national average of 2.63 persons."
The stats also show a significant gender gap, with the highest concentration of males in military sites, prisons and male-dominated industries such as mining, while the highest concentrations of women are near universities.
Kalgoorlie mining image by Graeme Churchard courtesy of <a target="_blank" href="https://www.flickr.com/">Flickr</a>.
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Resources boom making mining towns richest in Australia

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More than 650 retail store closures have been announced since the beginning of the year, and more than 1,600 workers left without jobs – the latest as part of Myer's announcement last week that it would shed 100 staff in order to stay competitive.
The figures represent what is becoming one of the worst years for retail in recent history, as businesses struggle against higher costs and competitive pressures, including the growing presence of online companies.
Since the beginning of the year, businesses including Fletcher Jones, GAME, WOW Sight and Sound, Dick Smith, Speciality Fashion Group have all announced plans to scale back their retail footprints dramatically.
And hundreds more employees are set to lose their jobs over the next few years as expansion plans are left unfulfilled.
But that isn't all. Russell Zimmerman, executive director of the Australian Retailers Association, says he's hearing from smaller retailers that stores are closing all the time.
"We talk to our members, and what we're finding is that many businesses may say they had 15 stores last year, but they've shed that to just 12 or 13."
"It's definitely a worrying time, and I think there are plenty of reasons for it occurring."
<a href="https://www.smartcompany.com.au/retail/20111215-fletcher-jones-shuts-15-stores-but-administrator-says-10-buyers-are-interested">Fletcher Jones</a> first announced 15 store closures and 61 job losses, and was quickly followed by many others.<a href="https://www.smartcompany.com.au/retail/048289-can-billabong-pull-off-a-turnaround-five-key-challenges-smes-can-learn-from"> Billabong</a> announced plans to shut 150 stores worldwide in the next two years, with 80 jobs to be lost in Australia, while Woolworths also announced 100 Dick Smith stores will close in the next two years.
Speciality Fashion Group also said it will gradually <a href="https://www.smartcompany.com.au/economy/048332-going-going-gone-store-closure-count-nears-500-as-speciality-fashion-group-confirms-120-stores-to-go">reduce its footprint</a> by 120 stores over two years, while bedding retailer <a href="https://www.smartcompany.com.au/advertising-and-marketing/048426-administrator-shut-all-64-stores-in-sleep-city-everyday-living-chains-with-450-jobs-to-go">Sleep City</a> confirmed 64 stores and 450 jobs would go after it collapsed.
Eyewear retailer <a href="https://www.smartcompany.com.au/sales/048248-eyewear-giant-luxottica-to-shut-over-100-local-stores">Luxottica announced 100 store closures</a> to come in the next two years.
Two major retailers have accounted for more than 1,000 staff losing their jobs. <a href="https://www.smartcompany.com.au/retail/048453-how-queensland-retailer-wow-was-brought-down-by-a-20-million-property-debt">WOW Sight and Sound</a> announced 15 stores to close earlier this year, while videogame retailer GAME confirmed the last of its <a href="https://www.smartcompany.com.au/finance/049900-game-retail-chain-to-shut-60-stores-281-jobs-lost">92 stores would close</a> early this month.
Myer just announced last week 100 jobs would go as it attempts to cut down on costs.
Together, this represents more than 650 store closures and at least 1,600 staff. That figure does not include the number of store closures that have been announced in advance. Dick Smith, Speciality Fashion and Luxottica have announced more than 300 stores will close over the next two years, which will cause hundreds of staff to be left without jobs.
None of this includes Darrell Lea, which was placed in voluntary administration last week with 700 jobs on the line in 69 company-owned and franchised stores.
Zimmerman says the trend is worrying – especially after it comes during 2011 when two major chains, Angus and Robertson and Borders, collapsed leaving hundreds out of work.
"For many, it's the costs involved in their tenancy agreements, and they've got deals they want to get out of. Others have pressures from online. The new awards are increasing costs. It's an entire host of issues."
Unfortunately, however, he says there isn't much the group can do apart from speak with governments on behalf of the industry. Economic uncertainty from overseas adds to the confusion felt by small retailers and, ultimately, they'll just have to find ways to tough it out.
"There's not much we can do about confidence levels. We're working with a number of state governments on tenancy legislation, trying to get a better deal – but it's hard."
"We're just trying to put a positive spin on things as much as we can."
This article originally appeared on SmartCompany.
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More than 650 Australian stores closed in first six months of 2012

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Tax experts have welcomed a decision by the federal government to delay changes to the Living Away From Home allowance for a further three months, although a survey of clients made by accounting firm PwC shows businesses are already changing their plans.
The changes, which restrict who can claim the allowance, were expected to <a href="https://www.smartcompany.com.au/tax/048546-smes-employing-overseas-workers-to-be-hit-by-changes-to-living-away-from-home-allowance">come into effect</a> from this Sunday, July 1. But federal Assistant Treasurer David Bradbury announced yesterday the changes will start from October instead.
"These reforms will better target the tax concession for LAFH allowances and benefits to people who are legitimately maintaining a home away from their actual home in Australia for an initial period," Bradbury said.
The introduction of the laws will now be shifted to October 1.
"This deferral will give employers and employees more time to prepare for the new arrangements," Bradbury said.
The changes mean temporary residents will need to maintain a home for their own use in Australia to get the concession, and all individuals will need to substantiate their expenditure on accommodation and food.
In the budget, the government also announced changes requiring permanent residents to maintain a home for their own use in Australia if they are to claim the concession, and a 12-month limit on how long individuals can use the concession.
Senior tax counsel at the Tax Institute Robert Jeremenko says the delay is a welcome change.
"The government really did listen to the concerns of the Tax Institute and the fact you need an appropriate amount of time in this case to help employers adjust."
"Of course, it doesn't change the overall policy, but they do deserve plaudits for delaying this for three months, particularly as they introduced the bill yesterday."
But according to a new survey from PwC, businesses are already getting their affairs in order. Out of a survey of 121 clients, 14% said at least one employee has left or changed plans because of the new laws.
Also, 99% had considered the impact the changes will have, and 55% said attracting new employees as a result of the changes was a concern.
One participant pointed out they have had two employees give notice to return home before June 30 as a "direct result" of the changes.
PwC director Jennifer Miller said in the report the reality of the reforms "is now being felt by a number of organisations".
"Employees are returning home, both voluntarily and at the direction of employers. Recruitment strategies, remuneration strategies and assignment policies are being changed."
"A broad range of support measures are being implemented to help impacted employees adjust to the change in their financial position."
Jeremenko says while there are still details to be worked out, an initial reading of the draft bill suggests the government has listened to the industry's concerns with regard to transitional arrangements.
"The changes are coming, but the government does deserve some recognition for the delay."
This article originally appeared on <a href="https://www.smartcompany.com.au/" target="_blank">SmartCompany</a>.
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Tax experts welcome federal government delay for living away from home changes

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The Tax Office has issued a warning about the growing number of scams being reported, attempting to trick businesses into paying more for dodgy tax services, which scammers say will provide an even bigger return.
This comes just days after the Fair Work Ombudsman <a href="https://www.smartcompany.com.au/industrial-relations/050333-fair-work-ombudsman-imposters-on-the-loose-four-ways-to-spot-them" target="_blank">warned businesses</a> of similar types of workplace authority scammers.
Commissioner Michael D’Ascenzo said the office so far has received over 5,000 reports of phishing emails using the ATO name, and over 3,000 reports of attempting phone scams.
These fake emails use the ATO graphic, and the message identifies the sender as being part of the ATO.
D’Ascenzo says businesses need to remain vigilant.
"The ATO tends to report higher incidences of scams at this time of the year," D'Ascenzo said.
"With the end of financial year approaching and many people expecting refunds, scammers are using this opportunity to pretend to be from the ATO. It is important that the community stays vigilant as scammers are increasing their efforts to make scams appear more genuine and legitimate."
The ATO says victims have reported calls at any time of the day, and on any day of the week. The problem is that when these scammers get any piece of information – including just your name or bank details – they can commit identify fraud to lodge returns in your name.
“Anyone can be a victim of a scam,” D’Ascenzo said. “If correspondence seems suspicious, too good to be true, asks you for personal details or cannot be verified through an official source, it is likely to be a scam and should be reported.”
But there’s some good news too. Phishing emails can be easy to spot – the formatting won’t be quite right, or the email it’s sent from has spelling errors.
“Be cautious of phone calls or emails suggesting you are due a refund or asking you to transfer money overseas,” the ATO says.
“The ATO will never ask you to provide credit card details or copies of personal identification such as driver’s license or passport in an email.”
Here are a few examples of phishing emails from the ATO website, so grab an official email from the tax office you have on hand and compare it with these:
<img src="/images/stories/2012/06/taxemail1.jpg" width="470">
<img src="/images/stories/2012/06/taxemail2.jpg" width="470">
<img src="/images/stories/2012/06/taxemail3.jpg" width="470">
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ATO warns of tax time scammers – here’s how to spot them

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Dean Crowe is the managing director of retail coffee shop chain Coffee Guru. It’s been a hard year for retail, but Crowe has managed to turn his chain into a strong group of franchises, turning over $2.8 million a year.
Part of the reason Crowe has been so successful is his ability to negotiate good rent deals with landlords, even when they’re being picky. He says it’s all about his approach, which relies on setting deals in small groups of locations, which he claims can reap a better result.
<h3>So how’s business been?</h3>
It’s good. We’re not breaking any records, but it’s still good.
<h3>You’ve done a bit of rebranding lately. What was the motivation for that?</h3>
Well, we wanted to get into franchised coffee stores and we felt they were all starting to look the same. We wanted a point of difference in our product, and not only in the way we appear but also in the way customers can perceive who we are.
With us being new in the market, many of the larger chains are trying to formulate a growth strategy based on what other people have done. We’re trying to stay away from that.
<h3>Last year you did $2.8 million. Are you looking at improving on that?</h3>
I’d have to confirm and check, but I know it’s going to be at least that for this year, I’m just not sure of the growth rate. It will be at least that figure.
<h3>Has the rental market tightened on you in the past year or so?</h3>
It has been [tighter]. There’s a perception that things are tightening up a little bit, and that’s true, they are, but we still haven’t seen the same reductions in rent. We feel like landlords are recognising the situation is hard right now, but publicly listed landlords are just doing business as per usual and expecting there will be a high amount of churn with their tenancies.
<h3>So landlords are negotiating?</h3>
They’re negotiating, yes. They’re talking.
<h3>What are these types of discussions like now?</h3>
In a negotiation like this, the bottom line comes in fairly quickly. And if you’re not willing to go to that bottom line, then that changes the nature of the discussion.
You’ve got your publicly listed companies like Westfield, and not so much Centro, but other ones, and they’re really looking at their per square metre rate. If you can’t reach that, then they’re just as happy to leave the site vacant for another few months.
Whereas in smaller properties, and with private landlords, they can’t really afford to leave their sites vacant.
<h3>Is there a shift in mentality you’ve seen on the part of landlords, compared to the past few years?</h3>
There definitely isn’t an arrogance there, or at least there’s not anymore, in terms of how the leases are approached. Because you don’t have retailers climbing over each other with franchisees in tow, we’re finding that landlords are actually approaching us first.
<h3>So what happens in a normal lease negotiation, and how is it different to what you’re doing?</h3>
What may happen with a normal leasing agent is that they’ll have 20 or 30 sites on the radar, and then negotiate with landlords on conditions. But if they don’t find a franchisee for those sites, there’s no legal obligation to move forward.
What we do instead is just focus on five to 10 sites, agree on general terms for those. However, we’ll have actively sought out franchisees and then we’ll come back and negotiate on that point. So we actually have a person involved in the business.
There has been a tightening of credit, too. We’re finding we’re able to tailor deals for the circumstances of our individual franchisees.
<h3>So can you give an example?</h3>
There was one particular site we were able to get a $50,000 contribution amortised into the lease, and we’re only paying back $28,000 over seven years. By focusing on a small amount of deals, we’re able to get well-tailored deals.
<h3>Why is it exactly you’re able to get these types of deals?</h3>
Because we’re able to go to the landlord and say we have a particular person, we have a particular site, and given them the person’s business experience, we can show that they are qualified to go forward. So we can say we’re not willing to give a certain amount of money for some things.
<h3>So you’re finding the franchisee, then the site.</h3>
We are. But it is because we are only focusing on a handful of sites, we won’t have 20 sites on our radar in the hope we’ll get a franchisee loaded in. We’ll aim for five. We’ll put some advertising out there but we won’t fully commit until we have someone.
<h3>Talk about your approach in these types of meetings. Are you forceful, polite or aggressive?</h3>
I think you have to be relatively transparent, because a good lease is a good lease, and any lease has value. We’ve just made it personal by showing that we have a person ready to go into these locations, and that will make the landlord more motivated to put us in there.
At the end of the day, they have just as much invested in the place as we do.
<h3>It’s obviously getting you results.</h3>
We’ve been getting at or below-market rent, but reasonable contributions, and we’re relaying that back to the franchisee; that’s allowing us to get these types of deals.
<h3>So for other retailers worrying about rents, what advice would you give them?</h3>
In this current environment, you need to be patient: Wait your time for the right deal.
This article originally appeared on <a href="https://www.smartcompany.com.au/index.php" target="_blank">SmartCompany</a>.
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How Coffee Guru boss Dean Crowe negotiates better rents with retail landlords

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Business owners and entrepreneurs rocked by last night's earthquake in Melbourne could be forgiven if they started panicking about potential damages – but as it turns out they have no reason to fear.
Insurance experts say earthquake coverage is a standard clause in business insurance contracts. Unlike the Brisbane floods, which exposed all sorts of technicalities and left businesses in the dark, APEX Insurance Brokers chief executive Daniel Johnson says earthquake coverage is standard.
"It just tends to cover a higher excess," he says. "But, yes, it's a standard cover for all insurance."
"People tend to think of earthquake damage in terms of a building falling over. But coverage also extends to what we call "prevention of access". Your business may not be affected, but there are lots of effects like business interruption."
Eastern Victoria was rocked with a 5.2-magnitude earthquake last night at around 9pm, with the tremors felt as far as the western suburbs of Melbourne. Some businesses in the Moe area were hit, with pictures on the internet of a supermarket which sustained a fair amount of stock damage.
Apart from that, however, there were no serious incidents or injuries. But after a few years of major natural disasters, businesses could be forgiven for feeling a little edgy.
Insurance cover technicalities exposed during the Brisbane floods meant many businesses missed out on coverage. Some SMEs suffered major losses, including one member of the Smart50 which lost an entire warehouse worth of agricultural product.
But Johnson says earthquakes are a different proposition. If you've taken out some sort of business insurance policy, then you're covered.
"Unlike floods, which are something you have to specifically request cover for, the insurers have done the right thing here and have insurance for everyone. It just carries higher excesses because there's an accumulation risk.
"So businesses are covered... but you should always look at your policy and talk to your advisor if you have any questions."
This article originally appeared on <a target="_blank" href="https://www.smartcompany.com.au/index.php">SmartCompany</a>. 
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Melbourne earthquake triggers business insurance questions

An entity directed by HSN's Rafi Assouline and Rebel Property's Allen Linz has filed plans for an impressive new precinct in Woolloomooloo.

The major mixed-use development would transform a prominent William Street site into a new residential village anchored by affordable housing and a large public park.

The proposal, submitted as a State Significant Development Application, covers 164-172 and 174-194 William Street, a 6,398 sqm site between Forbes Street and Dowling Street on the southern edge of Woolloomooloo.

Designed by fjcstudio in collaboration with Bangawarra, Studio Bright and Tribe Studio Architects, the scheme would deliver 227 apartments across four residential buildings ranging in height up to 18 storeys, alongside retail space, public domain improvements and a new publicly accessible park.

<img alt="Rebel" data-entity-type="file" data-entity-uuid="0eb59b7c-914a-4a5c-b849-3a56749f5e93" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-06-12%20at%2011.18.51%E2%80%AFAM.png?VersionId=mxM6EEqeoLjrCiTlCzTKTvzpKuh6kSkH" />

It's another design scheme for Rebel, who took <a href="https://www.apartments.com.au/news/nsw/first-look-rebel-property-group-takes-woolloomooloo-precinct-to-nsw-government">concept plans to the NSW Gov late last year</a>.

The latest plans will be a mix of 167 build-to-sell apartments and 60 affordable apartments, with the affordable housing component representing 15 per cent of the project's gross floor area. The apartment mix includes 12 one-bedroom, 53 two-bedroom, 89 three-bedroom apartments and 13 penthouses, while the affordable housing component would comprise 42 one-bedroom and 18 two-bedroom apartments.

<img alt="Rebel" data-entity-type="file" data-entity-uuid="3b3d4553-8a8c-4af5-aa8c-519ffb1e28c6" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-06-12%20at%2011.20.12%E2%80%AFAM.png?VersionId=_Yb6ibN7eDnOtQjCNDK2eviORa4qzgv." />

Rebel Property is seeking to take advantage of the NSW Government's infill affordable housing bonus provisions under the Housing SEPP, which provide additional floor space and height in exchange for the delivery of affordable housing for a minimum of 15 years. The planning pathway allows a 30 per cent increase in floor space ratio and building height where 15 per cent of the development is dedicated to affordable housing.

&nbsp;

At the centre of the development is a 1,356 sqm sunlit public park designed to become a new community gathering space at the gateway to Woolloomooloo. The park would be complemented by a network of pedestrian laneways connecting William Street with the surrounding streets, improving permeability through what is currently a largely impermeable block.

<img alt="Rebel" data-entity-type="file" data-entity-uuid="257af931-a393-4007-8c6d-7219796df58d" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-06-12%20at%2011.20.51%E2%80%AFAM.png?VersionId=KAHy94GrhaReFsWTGDKfy39EDJ8gEEv4" />

The design team says the public domain has been heavily influenced by the site's topography and Aboriginal cultural heritage, drawing on the escarpments, gullies and landscape characteristics that historically defined the area before urbanisation. The landscape design has been developed in partnership with First Nations consultancy Bangawarra.

The project would be delivered across four separate buildings. The William Street East and William Street West buildings, designed by fjcstudio, would contain the majority of the apartments. Melbourne-based Studio Bright has designed the Forbes Street building, while Tribe Studio Architects is responsible for the Dowling Street building.

Rebel had secured approval for the concept plans late last year.

Joel Robinson

First look: HSN, Rebel, advances Woolloomooloo precinct plans

A locally heritage-listed furniture showroom on Water Street is set to become the centrepiece of a new mixed-use residential development as local developer&nbsp;<a href="https://www.apartments.com.au/developers/keylin-group">Keylin</a> seeks approval for <a href="https://www.apartments.com.au/new-apartments/lotus-on-water-street-290-water-street-fortitude-valley-qld-4006">Lotus on Water Street</a>, a 15-storey project on the Fortitude Valley side of Spring Hill.

The proposal spans 290 Water Street and 137-141 Warry Street, combining several properties into a 2,869 sqm site that sits between Fortitude Valley, Spring Hill and the rapidly evolving Victoria Park precinct. Keylin's plans would deliver 132 apartments alongside new retail, hospitality and commercial space, while retaining and repurposing the historic Brunswick Home Furnishers Showroom that fronts Water Street.

Designed by <a href="https://www.apartments.com.au/architects/jackson-teece">Jackson Teece</a>, Lotus on Water Street comprises a 12-storey residential tower rising above a three-storey podium and communal rooftop terrace. The development includes 76 apartments classified as multiple dwellings and a further 56 units proposed as short-term accommodation, designed to be flexibly used as either accommodation or permanent residences. The apartment mix comprises six one-bedroom, 54 two-bedroom and 16 three-bedroom homes.

<img alt="First look: Keylin unveils heritage-led Lotus on Water Street tower in Fortitude Valley" data-entity-type="file" data-entity-uuid="9822bb79-6c49-49c9-95ba-319e8c8d81c3" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/fortitude%20valley%20front.png?VersionId=ioW8zbN4UVebbLetTFuv92t.HkdgfR5e" />

Residents would have access to an extensive rooftop recreation level spanning more than 1,200 sqm of communal open space. Plans include a pool, gym, sauna, infrared sauna, yoga area, library, private dining room, barbecue facilities and landscaped entertainment spaces, making the rooftop the project's largest shared amenity offering.

At street level, the proposal focuses on the adaptive reuse of the heritage buildings along Water Street, where 518 sqm of retail and commercial space is planned across shop, office and food and drink outlet uses. A permeable residential lobby would be positioned between the retained heritage buildings, creating a pedestrian connection between the historic streetscape and the new tower behind.

<img alt="First look: Keylin unveils heritage-led Lotus on Water Street tower in Fortitude Valley" data-entity-type="file" data-entity-uuid="269cf3e0-7d13-48bf-a318-05a00deb5c10" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/fortitude%20valley%20podium.png?VersionId=DLXmTCLsp6GOcLpQ0h.0z7wKCw59EhN_" />

The heritage retention strategy is central to the scheme. The development application notes that the Brunswick Home Furnishers Showroom and adjoining heritage buildings will remain, with only non-significant structures on the site earmarked for removal under a previously issued Heritage Exemption Certificate. Levels one and two of the new podium are recessed behind the heritage façades to maintain their prominence within the streetscape.

Jackson Teece has drawn inspiration from the site's manufacturing history when designing the podium. The planning documents state that the façade incorporates perforated metal screening that references the woven and rattan furniture historically produced on the site. Cascading and climbing plants are integrated throughout the podium to soften the building's presentation and screen parking levels behind. The landscape strategy also informs the project's name, Lotus on Water Street, drawing on the historic Spring Hollow waterholes that once ran through Spring Hill and the blue water lilies associated with Meeanjin, Brisbane's traditional name.

The proposal also incorporates the neighbouring property at 141 Warry Street, currently occupied by a healthcare service. The existing building would remain, with nine dedicated parking spaces allocated within the new development to support its ongoing operation. In total, Lotus on Water Street proposes 117 car spaces, including 110 resident spaces and seven visitor bays, alongside 100 bicycle spaces.

<img alt="First look: Keylin unveils heritage-led Lotus on Water Street tower in Fortitude Valley" data-entity-type="file" data-entity-uuid="70cf07bc-4fd8-4e70-92dd-be8b21c4e4f0" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/fortitude%20valley%20site.png?VersionId=txlxrJImM0Sm_vTzHVKh5DDUkyL_CiiA" />

The site sits within the Spring Hill East Precinct of the Spring Hill Neighbourhood Plan and is positioned around 650 metres from both Fortitude Valley Station and Exhibition Station. It is also within walking distance of the King Street precinct, Royal Brisbane and Women's Hospital, Herston Quarter and Victoria Park, which is earmarked to become a major venue precinct ahead of the Brisbane 2032 Olympic and Paralympic Games.

Planning documents describe the location as a key gateway between Spring Hill and Fortitude Valley and highlight the area's increasing importance as new transport infrastructure and Olympic-related investment reshape Brisbane's inner north. The development team argues the project will contribute additional housing supply while activating a section of Water Street that has historically received less investment than other parts of the Valley.

Keylin has become increasingly active across Brisbane and southeast Queensland, assembling sites in strategic inner-city locations. They are currently selling and delivering <a href="https://www.apartments.com.au/new-apartments/oria-spring-hill-447-gregory-terrace-spring-hill-qld-4000">Oria Spring Hill</a>, just over 140 apartments due for completion in 2027.

Keylin plans heritage-led Lotus on Water Street apartment development in Fortitude Valley

Roseville is poised for a wave of new apartment development following the NSW Government's rezoning of land around Roseville Station under its Transport Oriented Development program.

The new planning controls have unlocked significant development potential within walking distance of the station, with a number of sites expected to be amalgamated and redeveloped in the coming years as developers seek to take advantage of the increased density allowances.

One of the more restrained developments in the precinct, and set among the first to be delivered having commenced well before the recent changes, is Hyecorp's Juliet. The boutique apartment project is already well under construction and remains on track to welcome residents by the end of the year, offering a markedly different proposition to many of the larger-scale developments now likely to emerge across the suburb.

[smartcode_project:default project_id=7395 project_image_fid=278194]

<a href="https://www.apartments.com.au/new-apartments/juliet-roseville-64-pacific-highway-roseville-nsw-2069">Juliet</a> will comprise just&nbsp;34 one-, two-, and three-bedroom apartments opposite Roseville Station. For Hyecorp, which has delivered projects across Sydney's Lower North Shore for more than three decades, Roseville presented a rare opportunity to address a growing gap in the market.

"<a href="https://www.apartments.com.au/developments/roseville-nsw-2069">Roseville</a> has long been one of the North Shore's most tightly held and desirable suburbs, offering a unique combination of village charm, established greenery, excellent transport connections, and proximity to some of Sydney's best schools and lifestyle amenities," Hyecorp said.

"We recognised a growing demand from local homeowners seeking to downsize without leaving the community they have built their lives around. The location presented a rare opportunity to create homes that cater specifically to that buyer profile."

[smartcode_project:default project_id=7395 project_image_fid=278196]

The six-level development has been designed by <a href="https://www.apartments.com.au/architects/pbd-architects">PBD Architects</a> as a collection of residences that feel more like homes than apartments. The brief centred generous floorplans, abundant natural light, quality finishes, and strong connections to outdoor space.

PBD Architects drew inspiration from Roseville's established garden suburb character, creating a building that sits comfortably within its surroundings rather than dominating them. The architecture incorporates natural materials, soft forms, layered landscaping, expansive balconies, and generous setbacks to strengthen the connection between residents and the suburb's leafy environment.

"The focus was on designing spacious, house-like residences for discerning owner-occupiers and downsizers who wanted to remain on the North Shore without compromising on comfort, privacy, or design," PBD said.&nbsp;

"Every apartment was to feel considered, timeless, and highly functional."

[smartcode_project:default project_id=7395 project_image_fid=278195]

Inside, residences feature engineered timber flooring, stone kitchen benchtops and splashbacks, integrated Fisher &amp; Paykel appliances, ducted air conditioning, and large outdoor entertaining areas designed to take advantage of district and treetop views.

Residents will also have access to a rooftop barbecue and lounge area, alongside practical amenities including parcel lockers, EV charging capability, bicycle storage, a dog wash bay, and a basement car wash facility.

The majority of purchasers so far have been local owner-occupiers from Roseville, Lindfield, Chatswood, Killara, and the broader Upper North Shore, many of whom are transitioning from larger family homes.

"Buyers are looking for spacious, house-like apartments that allow them to downsize without feeling like they are sacrificing comfort or functionality," Hyecorp noted.

"They value large kitchens, generous living areas, ample storage, quality finishes, secure parking, lift access, and low-maintenance living."

[smartcode_project:default project_id=7395 project_image_fid=278204]

Juliet sits directly opposite Roseville Train Station and within walking distance of Roseville Village, while Chatswood's retail and dining precinct is only minutes away. The development is also surrounded by some of Sydney's most established schools, including Roseville College, Ravenswood, Pymble Ladies' College, and Knox Grammar, as well as nearby parklands and golf courses.

Juliet is currently more than 75 per cent sold ahead of its anticipated completion in late 2026.

[smartcode_project_cta:default project_id=7395]

Juliet to sit quietly amid Roseville apartment boom

Sherpa Property Group has unveiled the third instalment of its Flourish series, securing full approval for the two-tower, $500 million Flourish Soleira development in Palm Beach.

<a href="https://www.apartments.com.au/new-apartments/flourish-soleira-1150-1154-gold-coast-highway-palm-beach-qld-4221">Flourish Soleira</a> will rise from a prominent site in the commercial heart of Palm Beach, the long-time home of Cash Converters and a range of local retailers.

The project will introduce a new retail and dining precinct at ground level, beneath 286 apartments.

[smartcode_project:default project_id=150017 project_image_fid=370959]

“We’re very committed to not only providing affordable residential offerings that are much needed in Palm Beach, but also delivering a vibrant new commercial heart that complements the extraordinary growth of the southern Gold Coast,” Sherpa Property Group founder Christie Leet said.

The development will sit under Sherpa's Flourish brand, which is aimed at providing a pathway into the beachside suburb for locals, first-home buyers and downsizers. In a move designed to assist first-home buyers entering the market, Sherpa has reserved all one and two-bedroom, one-bathroom apartments exclusively for eligible first-home buyers.

[smartcode_project:default project_id=150017 project_image_fid=370964]

“Our vision through Flourish is to create a vibrant retail and lifestyle focal point within the Palm Beach centre zone, delivering thriving communities underpinned by lifestyle-rich locations,” Leet said.

“So far, Flourish has been an incredible success, and we hope to carry this momentum as we progress the next two Flourish projects in Palm Beach.”

[smartcode_project:default project_id=150017 project_image_fid=371430]

Located across 1150-1164 Gold Coast Highway and 3 Sixth Avenue, the development will comprise two towers. The northern tower will deliver 154 apartments, while the southern tower will add a further 132 residences, helping address ongoing demand for new apartments in the tightly held coastal suburb.

Flourish Soleira will also feature the most extensive rooftop amenity offering ever delivered in Palm Beach.

The two towers will be connected by a skybridge, with residents gaining access to a rooftop recreation deck featuring a full-width swimming pool, hot and cold plunge pools, wellness spaces, a gymnasium, private dining facilities, massage treatment rooms, barbecue areas, a basketball court, golf simulator, indoor and outdoor dining spaces, sun lounges and extensive landscaping.

LPS Group is expected to start construction later this year.

Sherpa is already well advanced on construction of its debut Flourish project, Flourish Amargo, located just around the corner from Soleira. Meanwhile, Flourish Oasis, positioned opposite Amargo, recently commenced construction and has nearly sold out its collection of 47 apartments.

[smartcode_project_cta:default project_id=150017]

Sherpa unveils $500m mixed-use Palm Beach precinct, Flourish Soleira

Are mortgage holders set to get a reprieve from the RBA in 2026?

Big Four bank NAB believes so. They are now expecting the next move from the RBA to be a cut, rather than a hike, which they had pencilled in for August. They are unsure of the timing of the cut however, they note in their latest&nbsp;NAB Economics RBA Watch.

NAB Chief Economist, Dr Sally Auld, said recent data suggests the economy has lost momentum and the outlook for rates has shifted, noting that the broader economic backdrop has changed since earlier in the year.

“The next move in the cash rate is likely to be down, but the timing is uncertain," Dr Auld said.

"In February, growth was above trend, the economy was operating above capacity and there was uncertainty over the restrictiveness of rates. None of these conditions exist today,” she outlined.

Dr Auld said recent data pointed to softer momentum across the economy while acknowledging that at the same time, uncertainty remains a key feature of the outlook.

“Both Q1 GDP data and the NAB business survey suggest momentum in the economy has slowed, meaning that growth has likely peaked for the cycle. That said, we are cognisant there is still considerable uncertainty around the outlook, both with respect to activity and inflation.”

Dr Auld said inflation risks and labour market outcomes would be important to watch.

“On the prices side, we are still forecasting above target core inflation through to mid-2027. Margins will compress and weaker labour market outcomes are a risk.”

She said tighter financial conditions are expected to weigh on housing and activity.

“Tighter financial conditions will be reflected in a slowing in house price growth and housing credit growth. In summary, we have greater conviction that the next move in rates is down, but less conviction on the timing.”

Patrick Stafford

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