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The sales and marketing centre which is usually associated with any project is a key step in the buyer’s journey and while market conditions will always vary this is an exacting area and one that needs a major investment of time and money. To appreciate why, I want to outline what I see as the buyer’s perspective when they explore any sales centre.
A great opportunity and challenge
The importance of that ‘first impression’ a buyer experiences within a sales centre is great and there are, as might be expected things that need to be avoided.  A poor standard of presentation that is a misfit with the target, can and does lose potential sales and if unchecked will be a problem.
The buyer’s expectations today is that a visit to a display home, or apartment and sales centre will be as good as the best retail experience, or a gallery or even a good restaurant experience because they are all areas where emotions are at their highest.
It is difficult to over-stress how vital the on-site sales office and display centre is. A well-designed and importantly well-managed facility will always help to drive sales during the entire life of the project. And so in looking at the buyer’s experience we find that here is a real challenge and fantastic opportunity.
Planning is one of the most exciting and important tasks. At the start of a new apartment project or land estate we have a blank canvas and the eventual design and presentation of the sales centre will for the buyer represent the starting point for the branding of the project that is being thought-out.
For potential buyers any site is a complete mystery and almost no amount of imagination will easily bridge the gap between today’s reality and future plans, that’s the gap the sales centre must fill. For the buyer the experience has a touch of romance and a lot of emotion involved. There is an opportunity to help concentrate in the mind of the market, the thousands of hours of work that will be undertaken to deliver the project they are possibly buying into.
Reaching out to the buyer under these circumstances is the key role of the sales centre, and in many ways is the heart of the marketing effort. The centre sets the character of any project and given that the facility will be a major investment this is a big topic and an area which is always getting better.
It is important that the facility also reflects the local environment, and while a basic template can be a sensible starting point, it is essential to reflect location and to use the display to amplify the core offer of the project. By linking the display with the area’s resources the design will help build the projects brand values and awareness with potential buyers. The facility is a key three-dimensional and physical connection to the project, it is something that buyers experience, usually many times and hopefully remember. The core idea is create the experience so that it is a ‘hi-touch’ and ‘hi-tug’ environment. In very basic terms the centre needs to display as much about the project as possible that buyers can ‘touch’. The display apartment or home will always be the touch spot however, as we will explore this is simply not a matter of creating a replica, there are a number of subtle points that also need to be addressed.
The ‘hi-tug’ concentrates on the creation of an environment that will tug, as it were, at the heart of the buyers, making them want to connect with the project. Both areas are key tools to help sway a highly emotional connection to the project like a well-planned retail experience. By taking this combination approach it can be possible to trigger and leverage the key benefits and features of any project that will help make a sale.
Both elements are now well represented in design and layout options. The balance between the two will always be dictated by the location and under varied conditions the emphasis on each element may well vary. There are no rules as such, other than having constant reference to the location and the key elements of the project itself and how buyers will experience the centre, as a key point in their sales journey, be it a long or short journey.
As I have highlighted the sales and marketing centre is a big part of the buyer’s journey and possibly in today’s market where so much contact is via email, even more so.
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Be flexible
While there is a great deal of product knowledge in this area there are, to my way of thinking, no rules as such because it is important to always consider the individual market and value feedback from people who visit the facility.
And while I do accept that some aspects may be more important than others, planning should reflect individual circumstances and flexibility is always desirable. Display homes and apartments are a key touch point and we all need to consider that when planning interiors to always consider the aspirations of the target market. Do not base ideas only on your own personal considerations, and ensure that any consultants employed also work to the target, not to this or that particular trend. It is important to reflect how the display experience works to enhance the sales path, this is the core reason for the display.
The sales path interaction is important but should not be made overly complex, sometimes a bit of creative spark will make a big impression. The other big impression needs to be made by the sales team to fully engage each person, no matter how busy or how much demand there is for a project. Every buyer has taken an important step to visit and to learn more about the project.
No matter why consumers visit or what has promoted this first step it is the focus of the marketing and should not be wasted. After all they may never return, and I have seen this happen where hurried or a less than interest response can turn people away.
Key factors to engage buyers
Whenever possible the display facilities are best located at the entrance to an estate or in immediate proximity to an apartment project. While remote facilities are used they will always have some disadvantages, be somewhat of a letdown for buyers.
In some land estates, the facility can be placed in the centre of a project, so buyers get a more universal view of the estate and so making it easier to present the land options. However as the estate is developed access to the sales centre through the estate itself may not always be easy for someone who is not familiar with the location and visitors might encounter construction movement and could annoy residents.
There is also the reality that not all estates will give the most positive impression while development is taking place and homes are being built.  The place can appear a mess and so deflate expectations, there are several examples of this in Sydney where a bunch of smaller estates lack the impression that one large community will make.
It is difficult to over-state the major aim for any centre is to control in a positive way how buyers are exposed to a project. The sales centre is the key point of impact with buyers, the project’s shop front. The centre may not be the single reason for the success or otherwise of a project, but it is a big issue, a central factor and apart from the actual location and actual product itself is the most important element in project marketing.
Having talked about this topic in some detail, is it ever possible to spend too much money, is it possible to make the display too expensive and complex so that consumers do not engage the facility. In any market I think the answer is no, as long as the planning is detailed and when you consider how much good work has been done in this area and the quality involved, we should be able ‘to get it right’ every time.
The starting point will be a complete understanding of the target market and the brand values for the project that will best reach that market, if that’s on target the buyer will always react well.
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Content and delivery
Any experienced project marketing team will know what content is required to manage the sales path and to clearly and easily communicate the project to the consumer. The content like the built structure itself is now a highly developed area and in many ways it has been the buyers who have encouraged this.
However from experience to fully engage buyers the content must be easy to read, the content of the display will always need to include some key items, and this includes the use for example of hardworking pointers such as aerial photographs and easy to read plans.
Never forget the buyer
Generally the standard of display material presentation and content is very important, there is a need to present material, in a logical and easy to understand way, where the project remains the hero. Potential buyers can be taken along a logical sales path that gives them the best impression and understanding of the project. Remember this is not, even in Sydney’s hot market, something buyers do every day.
One easy way to test this would be to consider if a buyer visited the space alone, and then walked away, would they have both a good experience but would they also feel they have all of the details that they need?
The sales role (a logical sales path) must remain central, it must help the interaction with the consumer, and the potential buyer’s journey needs to be enhanced. A well planned and presented space will enhance the sales role; it will make it easier and quicker for the sales team to get sales. The sales team will use the space as a tool that they enjoy and so it needs to also add deep value to how sales are managed.
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How to use (and not use) the marketing suite
As possibly the single biggest item of investment and the one element that has the potential for the biggest impact on buyers, how the marketing suite is used is as important if not more so than how the actual space is designed and built.
The sales and marketing display can be the core item around which the sales path is built and managed. It can be the anchor and should be a fantastic tool for the sales team, appealing and exciting.
The display experience should be used to motivate buyers, ignite and then build upon their interest. In combination the sales path (well managed) and a good display centre are solid and well-regarded marketing essentials.
However even an award winning presentation can be undone if the space is badly managed or poorly operated. The possible leverage can be lost, (and this does happen) but with the right sales management this will not happen. Things that go wrong are usually simple, not structure problems, but areas that breakdown sometimes because of complacency. Because the sales and buyer ‘chemistry’ does not work.
The display suite is not a staff room or kitchen and the sight of a sales team member eating lunch in the middle of a display will always have a negative impact on buyers, or simply being unattended. They will either be embarrassed to have interrupted someone’s lunch or they will simply view the entire place a second rate. Either outcome is uncomfortable for all involved. If a sales person is on the telephone, when another person enters the display, deal with both the caller and visitor right away. Apologise to the caller and acknowledge the visitor quickly.
A skilled and professional sales person, even if alone in a sales environment will pick up on these events and prevent either party being relegated to second place. While this is a skill it also entails a degree of common sense and everyday manners, it’s part of the skill set associated with recruiting the right team.
When the display space is being planned it is also important that the project delivery team respects and understands the function, the entrepreneurial role and negotiating skills of the sales team.
This is their tool and the involvement of the sales team is of value. The display suite will never replace or diminish the role of the sales team, this is not as already stated a self-serve environment no matter how well designed. It is also important to be ready to make changes to a display if some area is not working or if materials supplied need to change or they become out of date.
Just like the sales person eating lunch in a display suite, make-shift changes to display material send the wrong message; they say this project is poorly managed. Out of date plans and images send the wrong message, as do scrappy signs or hand written notes. The shop-front for the development must always be 100%.
Every aspect of the display needs to be carefully maintained and presented and constructed so that it works in hand with the sales path and is for buyers a big positive experience that they enjoy and one that adds true value.

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Peter Chittenden is managing director for residential of <a target="_blank" rel="nofollow" href="https://www.colliers.com.au/Colliers%20Corporate/Residential.aspx">Colliers International.</a>
 
 
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The buyer's journey: The gap between today's reality and future plans is what the sales centre must fill

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While we may all currently have lots of buyers eager to enter the market, with many being repeat buyers and investors, I think it is important that we keep a firm eye on the buyer’s experience. Sales and marketing centres and public relations are just two key steps in the buyer’s journey and with both there is increasing complexity in how these assets are employed.
Public relations
Starting with PR is a somewhat brave step and the distinction between PR as a freestanding way to reach consumers, and the rise of digital and social media is forging some changes. However the value of PR is still a vital part of the network of information that informs our market – an indispensable ‘touch-point’.
In a time of media and content saturation, there is an important role that public relations can play, a role which now needs to be very agile and extending way beyond the press release because instant content may well overtake the best laid plans.
However despite this across all aspects of project marketing the use of public relations has always been an essential tool and can, and does, pay great dividends, partly because of the endless quest for content.
While advertising will always be central be it old or new media, the influence of public relations can drive exposure in a way that some, but not always all, buyers will see as more independent because editorial content is less sales driven.
Public relations can be used in many varied formats to give more details of what a particular project offers and also how various projects compare with each other and the general market. Now most buyers can go online and get what might appear to be endless commentary, and the reality of this very fact increases the need for content to be well constructed and expressing varied points of view. It can be a great tool to get detailed attention for a particular aspect of a project that would otherwise be harder to communicate.
Reaching a wider target
Public relations can also operate in a wider target market context, part of the collision factor I have talked about. Where people may well read an article about a project in an environment or media that interests them, rather than going to a specific media that only targets them. The importance of a wider reach of PR is important when so much activity is database managed.
What this means is that a potential buyer may not be looking at a real estate advertisement because ‘they are not in the market’ but they may come across some editorial content that still captures their interest and so they then seek more information – they are opportunity buyers.
Exposure however is not only product driven, the context of potential public relations is extensive and will include aspects such as the general state of the market and it is also worthwhile to be involved via this level of commentary, and blogs can be an ideal way to contribute, so too can email marketing. However the wider reach of general PR is again a point to keep in mind, because as we know markets never remain static.
I think that PR plans are good to have but I also feel that opportunity driven PR can be of even more value. It’s a good idea to structure PR so that the release of material becomes an ongoing part of the project marketing calendar but with flexibility so that buyers are exposed to varied ideas and offers.
How is the success of public relations measured? A higher project, brand or personal profile will do this and where possible we should be alert to a direct link to sales, good internal feedback is important here.
Public relations also covers such activities as events, and there are examples of events being a great social success that generates some high profile coverage, but does this work to influence sales? This is never a straightforward question or an easy one to answer, but in today’s market events can look excessive or overdone, it’s an area where it may be more productive to concentrate on your already committed customers.
The celebrity
It is also vital to look at the true cost of any PR undertaken. This would include for example the fees paid for the endorsements of a particular celebrity, this can run into large amounts of money, it can work or backfire. Celebrity based marketing has been popular at times and there have been examples of results and some failures. It is not the intention here to explore these in greater detail. It is however valid to suggest that in some circumstances the idea has merit and with other projects clearly not.
Again the impact of social media has somewhat diminished the role of endorsements. Which direction to take will be a function of budget and the target market involved as well as having clearly defined outcomes. Celebrity chefs have been the raisin-deter of late – but possibly overdone?
A well-know person, not necessarily a paid celebrity as such, might be involved with a project and attract a number of direct sales. This would clearly be a valued exercise.
The same mix of personality and associated PR could attract a great deal of attention, it might all be a lot of fun for everyone involved, but if no sales result then there is little to justify the time and money involved.
Fun alone is not a way to justify any PR activity, in the end the reality is that all activity must be sales focused. Different markets will always vary the PR focus but a feel good outcome alone is difficult to justify in some markets and impossible to justify in others.
Involve the team
The project team needs to be fully sold and involved with the PR process. PR should not be seen as a short-term process. The best impact will usually result from targeted and ongoing activity. This is a more productive approach than creating one-off and soon forgotten hot spots so that we are supporting a project in the long run.
More than ever in today’s media mix PR is also a very complex task and it is a specialist and professional skill that should not be underestimated. Property PR like many other areas is also now a very competitive market and relationships with the main media and editorial staff are key.
While we need to ask what do the journalists or bloggers we deal with expect from us we also need to ensure that all PR content adds value to the buyer’s experience, and we understand that there many ways to do that.
 
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 Peter Chittenden is managing director for residential of <a href="https://www.colliers.com.au/Colliers%20Corporate/Residential.aspx" rel="nofollow" target="_blank">Colliers International.</a>
 
 
 
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The fundamentals of creating a great buyer experience

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As I have <a href="https://www.propertyobserver.com.au/residential/are-you-being-served-looking-at-how-we-can-better-take-care-of-buyers-needs-peter-chittenden/2013101465686" target="_blank">already suggested</a> the buyer’s experience in the real estate market clearly involves a good measure of emotion and it is the main reason that developers, builders and marketing agents place so much emphasis on the value of their brand. In fact brand sensitivity really extends way beyond those directly marketing projects, it runs across a wider group that can also include architects, interior designers, landscape architects and major suppliers.
In an environment where real estate has to compete just like any other product or service, a great deal of time and money is spent to build brands, and of course we should not over look the role of individual project brands. We now see some major developers doing regular online surveys to measure how their customers view their buying experience and the feedback is being taken to heart. This highlights that it is the buyer’s experience where brands are tested and how the sales path is built around good communications that should all combine to support the buyer’s experience.
Against this high-stakes background I would now like to look at some of the assets available to us helping to create great buyer experiences.
However before doing that I would just like to reflect upon a recent comment reported in one of the main Sunday newspapers.
The report was headlining the somewhat understandable frustration of a young couple looking for a home in one of Sydney’s most competitive and popular suburbs. In the article was a quote that in part said that these buyers felt that some real estate transactions involved less information, less service and less attention than a consumer looking to buy a new car would receive.
And so reflecting these comments against how much we all value our individual and company brands the remarks were very disappointing. It has also been suggested that poor service given to home buyers has in part encouraged the rapid growth of buyer’s agents. I think these are comments we need to be sensitive to and not just brush aside as a reflection of the current market.
The tools we use
Moving on to look in more details at how we manage and enhance the buyer’s experience I think we need to consider how best to use the key parts of the sales journey that every buyer will normally be familiar with.
We are all conscious of the basic tools and systems we use including public relations, digital marketing, data mining, events, VIP and preferred client programs, moving in and residents guides, after sales support, loyalty programs, sales support, display and sales centres and a detailed understanding of buyer demographics. These are all key among the direct communications strategy we can employ and that developers fund.
However there are other essential factors that influence the buyer’s experience and here I feel that a high priority needs to be given to supporting and training the sales team. In this area I would include team sales training, sales manuals and importantly a diverse and structured role for sales mentoring and most importantly how best to recruit the sales team and of course its leaders. 

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Peter Chittenden is managing director for residential of <a href="https://www.colliers.com.au/Colliers%20Corporate/Residential.aspx" rel="nofollow" target="_blank">Colliers International.</a>
 
 
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Delivering a top buyers experience: Real estate has to compete like any other service

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Drive along almost any street in Sydney and you cannot help but notice the number of ‘sold’ stickers on real estate boards across the city. And we’re reading about great auction results and big numbers of buyers turning up for the release of new apartment projects. Right now the real estate market looks active and very healthy with vendors, agents and buyers all in what seems a very positive place.
In some areas marketing budgets are being cut and the time on market can be down to weeks if not days and so the market is clearly in an upward cycle. All of this activity has me thinking about the buyer experience and how well buyers are being serviced by the real estate services professionals. My timing might be a little odd, after all everything is going so well, but I can’t really see a better time to think about how we manage the buyer experience. Across any marketing plan it’s an area that usually comes in for a lot of attention and right now could possibly be a good time for some soul-searching.
Industry role call
It’s been a while since the ABS last looked at the industry in detail and there is both limited and some anecdotal evidence that the number of real estate agents and offices has until recently declined or at least numbers have seesawed.
Keeping in mind that employment in this sector usually lags activity a reasonable estimate is that the number of individual agents currently sits around 60-80,000 people, employed mainly by franchisee offices and independent operators in equal numbers with about 10% working outside an agency structure.
Most agencies are small businesses employing around nine people and together they manage some 1.2 million residential properties for investors and so we are clearly dealing with a large and I would assume very diverse group of professionals. I think that given this diversity it is easy to see why franchise operations are so popular because of the support they can offer, including the important marketing role.
Taking care of business
Right now in today’s market if you’re a buyer, potential vendor or tenant, what sort of experience do you think you might have in looking to buy, sell or rent a property? I think this is a reasonable question to ask before we invest time looking at some of the structural tools we constantly rely upon to improve and add value to the buyer experience in both the short and long term.
Let’s start with vendors. At any time this is a popular group in both the private treaty market and for a major project it is the vendor who after all provides the stock, the basic product we need to sell or lease. For the private treaty vendor, things look very competitive in today’s market with a number of major franchise groups currently running extensive ‘list with us campaigns’ and in one case, win a million frequent flyer points. So this might just indicate vendors are shopping around to find their preferred selling agent. But can the same be said for buyers or tenants?
In any market, good or bad, it is the buyers who must eventually come to the party with the money to complete a purchase. With major projects there is a great deal of planning, research and just plain old hard work that goes into keeping this group happy and informed.
One on one contact is still vital
Later in this topic I will devote some effort and detail looking at the tools committed to engaging the buyer experience for major projects, but first some further observations.
In the private treaty market the competition for a single property can be intense and even the basic groundwork and research can be an arduous task for the buyer. True the major real estate portals do today provide lots of online services to help potential buyers contact an agent, or schedule inspection times and view property details, but sooner or later contact needs to be made and most potential buyers still want to have the face to face conversation with the sales agent, which in a very active market is not always as easy as it sounds.
If you are a ready to buy prospect, waiting for a dozen or more telephone calls and possibly emails or text messages to be returned can be a demoralising experience and some recent feedback I hear tells me it’s a bit of an up-hill battle for marketing agents to manage. But that should not be the case and it does explain why many very successful agents in this area work closely with sales assistants.
Also where major projects are concerned there can be times when a ‘churn’ mentality emerges and some buyers can be left wondering about the level of services they might receive. Even if there is strong demand for a project with many eager buyers lined up, each person is still making a major commitment investing a large amount of money, which they may well have had to borrow. And so I do find myself having to question at times the ‘take-a-number’ approach that can be seen in marketing some projects.
How we manage the buyer experience
There are some well tested tools that we can and do all use to help manage and hopefully improve the buyer experience. These include varied aspects of how a sale is managed on behalf of our clients but this important area also extends to structural and long-term areas such as recruitment of sales staff and the value of internal mentoring.
However before we start to look at some of the individual resources and how we use them, I wanted to re-visit the following quote I came across some years ago:
“Listen to the market, listen to the voice of the market. That’s the fundamental essence of successful marketing” (Yoshio Ishizaka – EVP Toyota).
In our market, the property market, and even with increasingly sophisticated advertising, marketing and now social media tools and with today’s buoyant outlook we need to keep in mind that we are always engaged in real relationships with people. If the buyer experience helps to build quality relationships between people who then discover a common connection with us and the projects we market, then we will thrive in a healthy way.
The buyer’s experience will always involve a degree of emotion, sometimes a lot of emotion but that can lead to action, and while other aspects of the sales path will be built around reason and good communications, helping buyers make the right conclusion about this or that property is the core of what we do. 
 
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 Peter Chittenden is managing director for residential of <a target="_blank" rel="nofollow" href="https://www.colliers.com.au/Colliers%20Corporate/Residential.aspx">Colliers International.</a>
 
 
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Are you being served? Looking at how we can better take care of buyers needs: Peter Chittenden

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Over the last few months and in particular over the weeks since the federal election there has been a great deal of chatter about a so-called residential property bubble.
This has been fueled by a few factors that have, to my view, been overly magnified. Yes we have seen some good, even record auction results, strong demand for new mainly off-the-plan projects and land releases, and improving house prices led mainly by Sydney and Perth. But these do not alone create a ‘bubble’.
There are much deeper aspects of the market that go well beyond what has been suggested as a possibly reckless rush of buyers on the back of low interest rates and still in some areas a well acknowledged lack of immediate supply. Both of these are ongoing influences but I do not see evidence of recklessness.
What may at first appear surprising is how quickly the market has become so active. Currently, there is strong demand and buyers are very lively, and this has caught some sectors by surprise. I stress ‘surprise’ with no foundation for any sort of alarm, in fact the activity should be welcome.
Only six months ago there were alarm bells ringing about the continued flatness in the housing market and the lag in construction. Now with strong buyer interest there will be an incentive for more building and development at a time when the economy is adjusting from a slowdown of the mining boom.
Location remains key
As always demographics are playing a big part in the market and the appeal of inner city living is currently on an upward trend that has been evident now for at least a decade. The only difference is that it is no longer a trend but an everyday reality that we have yet to satisfy. You only have to look at the pressures on many of Sydney’s inner city schools as they try to accommodate an increase of 20-25% in class enrolments. Although we do need to ask: "didn’t anyone see this coming?"
There has also been a big increase in single person households and this is creating an additional layer of demand, as people are anxious to live near services and facilities. But it is not only the inner city where demand is strong, in Sydney’s south-west and north-west new housing stock is in demand and here the promise of improved infrastructure and a strong lifestyle offering are helping to drive demand.
Interest rates
The current low interest rates may well not last forever, but in the current market I believe that low rates are acting as a comfort factor, making loans more affordable. But I also suggest that as first time buyers remain conservative and investors are still looking for a solid return, again there is no run away mentality among borrowers, who remain cautious. Still the gap between today’s interest rates and what be seen as a high number between 7-8% can well be seen as an opportunity for many buyers, and if rates rise they are capable of managing that.
Along with interest rates, recent falls in the Aussie dollar have helped to fuel an already strong inflow of buyers from Asia and in particular China, and this is a reality of our market that is not going to change. Offshore buyers will always be attracted to Australian property; they are attracted by the lifestyle here that can be measured in simple terms of space, a good natural environment and freedom to move.
By 2014, Indonesia and China are expected to have more millionaires than the USA and even if only a small fraction of these wealthy buyers look to Australia to buy a home or investment then that demand will be long-term, and in many respects is nothing new.
A faster pace backed-up by the fundamentals
I think that we need to keep in mind that some markets have been tough over the past 12 months and the long lead up to the federal election may have depressed activity. Also some properties are being taken to market for a second go as confidence builds, however given the size of our market the sales inventory is still modest.
We still have a long-term shortage of housing, and as developers meet market expectations with quality, and as rents stay high and vacancy rates are low for investors the market is attractive, so they will act. Owner occupiers are attracted by lower rates, but weaker employment may well temper demand, but these same buyers realize that in five years’ time today’s values will not prevail and today’s prices will look attractive as major centres attract more residents.
Developers in particular need to concentrate on the fundamentals, and not take the market for granted, sticking to the best locations and delivering quality, and while this might now all be at a much faster pace, that does not create a bubble; it creates a strong market that will remain attractive for both local and offshore buyers not forgetting our continued population growth.
The improved market activity of the last few months needs to take all of these factors into consideration and not simply see stronger sales as somehow being over-inflated.

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Peter Chittenden is managing director for residential of <a href="https://www.colliers.com.au/Colliers%20Corporate/Residential.aspx" rel="nofollow" target="_blank">Colliers International.</a>
 
 
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No bubble, fundamentals mean that market remains attractive for buyers: Peter Chittenden

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Well it has only taken just under 14 days for GST to be back on the political and taxation agenda. As I noted in <a target="_blank" href="/news">my post election comments</a>, over the next few years the federal government’s review of the tax system is set to possibly be one of the biggest impacts on the housing industry and real estate market.
It’s an important issue because any variation to the structure of the GST could have a negative impact on affordability but any extra funds might also help state governments deliver better infrastructure.
When it comes to the woes and opportunities in the housing markets these two topics are frequently tied up in the same argument. Better infrastructure will assist the market and help create more supply but a high GST may well add to costs if we were to move from 10% to 12.5% or even to 15% as is the case in New Zealand.
Any reforms must finally address stamp duty. While I have already noted that the new government in Canberra has promised a big picture tax review, as far as the housing market is concerned this is an essential undertaking. Stamp duty cannot be quarantined or offset because of this or that occasional government grant or incentive scheme, what we need is real reform.
Given the need for more revenue the GST was always going to be back under the spotlight. But as I and others have noted time and time again, any review of the GST must include a review of property related taxes and in particular stamp duty. Our professional industry bodies need to ensure our case is understood and answered in Canberra.
Here again I have previously pointed out that local and state governments still gain 45% of their revenue from property related taxes. Transaction taxes alone account for 14% of that revenue, which are according to the OECD among the highest rates in the world. These taxes impact almost every part of the housing market, they can and do present a hurdle to some first time buyers, but they also hurt people looking to trade an established home.
In any GST review this is one of many essential factors to keep in mind because as Dr Tim Williams CEO of the Committee for Sydney noted in his report <a target="_blank" href="https://mckellinstitute.org.au/wp-content/uploads/2012/04/McKell_HomesForAll_A4.pdf">‘Homes for All’</a> that a fifth of the population owns 50% of all homes. Many of these established owners are reluctant to move because of the burden of stamp duty and its possible impact on retirement savings. And it is also claimed that in some areas the burden of stamp duty may, in spite of changes to some planning regulations, also unintentionally prevent re-development and so limit the supply of new homes.
Additional costs by way of a higher GST, while they may be at least three or four years away must also be introduced as a part of meaningful reforms of other taxes, and in respect of the housing market, high on that list is the removal of stamp duty. One very clear reason for this is the possibility that in three or four years time today’s historically low interest rates may well have disappeared.
The burden of higher interest rates and a higher GST, without a commensurate reduction in the rate of stamp duty, or even better its complete removal could have the potential of making home affordability even worse than it is today even with low interest rates. For the property development industry and state governments this is a long avoided debate that can no longer be put off!

<hr>
Peter Chittenden is managing director for residential of <a target="_blank" rel="nofollow" href="https://www.colliers.com.au/Colliers%20Corporate/Residential.aspx">Colliers International.</a>
 
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Reductions to stamp duty must be part of the GST agenda: Peter Chittenden

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Seven weeks ago as we all went into election mode I noted that housing policy appeared to be pretty much missing from the political debate. While an interest rate cut by the RBA was announced at the start of the election, last week another cut did not follow, and hardly anyone appeared to notice. While in Sydney this election weekend auction clearance rates remained at record levels and possibly heading for 90%.
Over the past six months the dynamics of the residential property market have shifted up a few gears. However, now as we enter a new three-year term of a Liberal lead federal parliament, housing policy will be near the top of the priority list for the new government.
Even at this very point I think housing policy should at least be on the to do list. Here are some reasons why and many of the points are old issues that simply refuse to go away.
Low interest rates will not last forever
So lets start with interest rates, because as a key plank of the economy interest rates rank alongside growth, inflation and unemployment as key indicators. Home loan rates are now well below 5%, they may not go much lower and they are not set to rise anytime soon.  It is clear that low rates are helping to keep demand high and sooner or later they will rise. Retirees on fixed incomes might be wishing for that increase to be sooner.
However even with very competitive interest rates for some time now home ownership has been falling since the 1970’s. This trend suggests that low rates do not bring about lasting improvements in affordability. So in two or three years time if rates head up from their current lows this will have a big impact on affordability.
The key aspect of interest rates will need to stay on the new governments agenda because an increase of 25 or 50 basis points will soon hurt buyers used to low rates.
Infrastructure now into emergency settings
Infrastructure policy is very closely aligned to housing and it was one of the topics to get headline attention, in New South Wales Sydney’s second airport got another airing. The new government has stated its intention to move some expenditure into more roads. But the real question that remains is will badly neglected urban infrastructure get the attention it desperately needs.
There are some big-ticket items like the airport, but across almost every major city there is a huge backlog of projects both big and small and now there is also the bogeyman of needs to maintain some of our major infrastructure, let alone get new projects underway.
So along with keeping an eye on interest rates the future infrastructure minister will be busy and we should not forget the fate of the NBN here, because as anyone marketing a new development knows, internet access is today a key point for any buyer.
We need more housing
There is a compelling case to encourage the construction of more new homes because even on the most basic count – according to most industry bodies – we are building around 150,000 new homes a year, but we need 200,000, and a short fall of 50,000 year on year is a time bomb.
The construction industry post-mining boom claims that it is being held back by a lack of skilled workers, never ending red-tape, compliance issues and banks still making finance hard to access – so yet again another big policy area for Canberra and the states.
Tax
The new government in Canberra has promised a big picture tax review and as far as the housing market goes that’s something that may well open a can of worms. But again that’s another key issue that got little attention over the last six weeks of campaigning. Local and state governments still gain 45% of their revenue from property related taxes. Transaction taxes alone account for 14% of that revenue among the highest rates in the world.
Housing Finance
Even before commenting on housing finance it’s hard to understand why housing should have been relegated down the list of policy priorities during the election campaign, given these key points.
Having touched upon the topic of interest rates and infrastructure housing finance, let’s bring these two topics together. There remains a suggestion that an easy financial model should be found to allow superannuation savings to be invested into housing finance and as a way to fund infrastructure. This sort of secure and attractive fixed rate alternative to the sharemarket would, I suggest, be very welcome by the very same retirees now facing low bank deposit rates along with fund starved infrastructure projects and homeowners.
So looking back over the election campaign could it be suggested that a very active market with strong demand, and some record prices simply have relegated housing policy off the agenda.
But now I think that view needs to shift and the new Abbott government in Canberra does need to soon acknowledge the key role of housing policy.

<hr>
Peter Chittenden is managing director for residential of <a target="_blank" rel="nofollow" href="https://www.colliers.com.au/Colliers%20Corporate/Residential.aspx">Colliers International.</a>
 
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The post election outlook for housing policy: Peter Chittenden

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In my last post I covered a few big-picture topics that are important to all buyers.
But we also need to always <a href="https://www.propertyobserver.com.au/demographics/look-beyond-the-demographics-to-find-what-buyers-really-want-peter-chittenden/2013082664535" target="_blank">look beyond current market demographics and consider new emerging trends</a>.
Across a wide variety of projects here are some of the style leaders that buyers are currently looking for in new developments.
Smaller and better
First up there has been a long-term trend towards small. Apartments have been getting smaller, driven by varied factors including cost, but also because the feedback is that buyers are in fact happy with smaller apartments.
But they expect them to be well designed, with the clever use of interior space and in a handy location that offers great local facilities. Small appears to be a good match with today’s busy and highly connected lifestyles.  Like cars, big no longer means better. But as we have seen with cars, design does need to be first rate.
And while we are thinking smaller in terms of space and cost I have previously talked about the <a target="_blank" href="https://www.google.com.au/url?sa=t&amp;rct=j&amp;q=&amp;esrc=s&amp;source=web&amp;cd=1&amp;cad=rja&amp;ved=0CC8QFjAA&amp;url=http%3A%2F%2Fwww.propertyobserver.com.au%2Fdevelopments%2Faustralian-apartments-won-t-be-getting-any-smaller-peter-chittenden%2F2013021159283&amp;ei=D2omUouyN-aXiQeb34CYBQ&amp;usg=AFQjCNG7u6YSD64hlzijcYk9XryB8aoEKg&amp;bvm=bv.51495398,d.aGc">emergence of micro apartments</a> that have recently been developed in New York and San Francisco.
While we are yet to see micro apartments here, the number of households with only one or two residents looking for the perfect place to live is on the increase and driving demand for smaller apartments.
These buyers are clearly seeking out apartments in key areas, often in or near CBD positions. For the ideal location this trend is already attracting prices beyond a million dollars and the spread of high-end, one-bedroom apartments with this price tag is set to be much more common.
I feel sure that we will soon be tracking $1 million plus one-bedroom apartments as we did with house prices some 20 years ago. It has already been suggested that Sydney’s median house price will likely reach above $1 million by 2020 and so is it reasonable to expect that apartments will not escape this trend.
Small appliances
Thinking small, we are also seeing the wider use of smaller appliances in apartments, but again matched by quality and convenience.
A great example is the draw dishwasher (first designed in NZ in 1987) and also induction cooktops, combination microwaves and flexible fridges where a freezer converts for wine storage. These are all good examples of popular ideas now turning up in new projects.
The two-bedroom suite
The two-bedroom suite layout is now a very popular design trend with apartment buyers. It’s a simple idea where there are two-master bedrooms, with full bathrooms and walk in robes, then there is a big central living area, this design is very popular with a whole range of buyers and investors.
They are great for shared renters or anyone wanting to have self-contained guest accommodation or for unattached joint buyers.
Social buildings
Buildings designed with a range of shared social spaces are also popular, be that space a well-equipped BBQ area, a library or cinema room.  These are fashionable and this trend neatly fits with the popularity of smaller apartments.
In a number of buildings I have seen recently, the idea is to have a mix of these facilities, with nothing too big so that residents have a variety of options. The shared facilities make it possible to entertain extended family or a small group of friends. Other options now include communal lounge areas, rooftop green spaces and outdoor dining pods.
Being connected
Another key trend is that buildings must have connectivity and that starts with mobile phone reception and wireless internet. Both are extremely important to apartment living and every room needs to be connected. The spread of more people working from home is a factor to keep in mind.
For many buyers, a sense of community is truly important with apartments being convenient for both work and leisure-time activities and the spread of mini-marts, 24-hour and micro fitness centres alongside local cafes and shops are all setting the pace.
Being Green
Energy-efficient living is a big plus, and many buyers are now concerned about a building’s green credentials and that extends well beyond garbage recycling.
Environmental friendliness is a key factor for many buyers when deciding where to live as they look for storm water feed gardens, easy access to bike paths, and evolving popularity of shared car facilities and soon the emergence of plug-in stations for electric cars.
Secure bike storage also gets a tick, but the storage needs to be close to individual apartments not a long walk to a dark corner of the main car park.
Pets
Pets are also important, and so this trend for pet friendly buildings are now almost the norm and not the exception.
Some other items on the short-list of design improvements include better lighting, more imagination in the use of colours including kitchen designs and the use of varied materials so that glossy or low-sheen are no longer the only options. Sound proofing feature walls are also an agenda item with big television screens very much a fixture.
It is exciting to think about these trends, because appreciating what buyers are looking for helps lead to better design and I know that developers are more than happy to deliver projects to match what buyers are craving.


<hr>
Peter Chittenden is managing director for residential of <a target="_blank" rel="nofollow" href="https://www.colliers.com.au/Colliers%20Corporate/Residential.aspx">Colliers International.</a>
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The six trends that buyers really want in a new development: Peter Chittenden

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It’s just over 12 months since the results of the 2011 census were released and at the time it was impossible to escape news about how old the population was becoming, what areas were popular, what incomes and education levels were making the grade, plus much more. We were all very excited to be reading so much information about, well how can I put this, about ourselves.
Thanks to the ABS, the industry has always had access to a large amount of demographics data, but I think it is great to always stop and ask what’s the consumer’s perspective?
What expectations do consumers have when they consider buying a home regardless of the prevailing economic or social environment? Are we delivering what they are looking for? Is the market excited about our products or is it simply being driven by a desire not to miss out on this or that new development?
There is one subject that I always find myself thinking about is and that point asks: is there enough attention paid to what consumers think, or are the raw numbers and hard facts just given too much importance?
While price, place and time are the three big factors that influence almost all consumers in the housing market, there are endless, more personal, more local and possibly less predictable options to ponder.
Price and value for money, while possibly the most obvious and easy to observe influences, are still open to varied interpretation. From a buyers view there may well be more flexibility than we give credit for, and if we look at many other consumer markets, then we do see that design trends are very fluid very responsive.
Emotion is also a key element and even at the high end of a market an emotional connection with a property can relegate price down the scale of importance. Or is the role of emotion simply over-stated and should the idea of a willing but not over anxious buyer, dealing with a willing but not anxious seller always be the rule?
In most circumstances price is frequently the central concern of most buyers. While we are now well beyond the GFC, I think that in some parts of the market the GFC acted to make buyers much more price focused, much more sensitive to debt and price is now related to being comfortable with how much buyers can afford to borrow. Not having to worry about finance is not common.
 
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Historical data is important and over time almost all real estate improves in price, but at any point in time it needs to be affordable in the context of the economic environment.
If the market is in pain, if prices are seen as falling then buyers will know that. But in either a tough or healthy market it appears that emotion is a factor and buyers will post GFC still be found paying unexpected prices to get a particular property or to be part of a popular new development.
Incomes, interest rates, employment and an entire range of settings all act to influences prices. This applies to any market and like the one we now see in mid-2013, a lack of supply and very low interest rates are a power influences.
Also currently improved incomes from the share market are important, while a general recovery in superannuation returns always makes us all feel a little better, more secure.
However it is true that after price there are many other influences. Today more then ever transport and access to essential facilities make buyers much more selective and as we have been discussing with pocket infill land estates.
Employment is clearly another a big issue, not only the potential access to employment, but the security of employment. Lenders and buyers are both job sensitive and this is fact that may well become more central over the next 12 months and is set to be a driving factor in the NSW market with jobs associated with construction expected to grow at a pace not seen for some years.
But it can also be a combination of issues that are much less complex, much more day-today issues, that influence buyer behaviors and how they experience the marketing benefits of particular developments. Some markets simply take off and others do well but sell at a much slower pace.
Research is always of value and an understanding of demographics a good starting point for a successful development and marketing campaign. But a first hand view of what buyers want and what they are currently looking for is essential; this is a fast paced environment so we need to be up-to-date.
What makes one area more appealing than another can sometime come down to some very simple factors. While some major issues like access to employment, transport, shopping and schools will always be important, at times other less complex factors can provide an incentive for particular buyers to consider one area or development over another.

<hr>
Peter Chittenden is managing director for residential of <a target="_blank" rel="nofollow" href="https://www.colliers.com.au/Colliers%20Corporate/Residential.aspx">Colliers International.</a>
 
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Look beyond the demographics to find what buyers really want: Peter Chittenden

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When earlier this month the interest rate cut by the RBA was announced, both major parties engaged in a rush to comment.
We are now being told on almost every front that rates are now at historically low levels. We then saw the majority of banks also moving fast to pass on the rate cut to their customers and as we know from past experience this is not always the case.
Clearly this indicates that over the past six months the dynamics of the residential property market have shifted.
However in spite of the rate cut induced publicity spree last week, have you noticed that unlike previous elections, at least to-date, there is an absence of any sort of clear-cut housing policy being debated or promoted by either of the big political parties?
Should this be a fact that we should be concerned about?
Back in January one of the points that I suggested would have a key impact on the market in 2013, was the emerging low interest rate environment.
As official interest rates might possibly head to 2% in 2014, the flow impact to the housing market is bound to have a material and possibly dramatic consequence.
For this reason alone there is I think a compelling case to look much more closely at housing policy as we approach election day. And for reasons I will return to, this includes the question of a possible adjustment to the rates and application of the GST.
In looking at the big picture I am not going to attempt in any way to suggest where policy could head, but I am keen to share some key facts as to why housing should not be relegated too far down the list of policy priorities.
The first point to consider is the fact that our population continues to grow while supply remains stubbornly low.
Australia’s annual growth rate currently sits around 1.8% while the world average is a much more modest 1.1%.
As already highlighted, supply is lagging and according to the Urban Taskforce the shortfall is as much as 50% of what is required.
According to the UTF just over 43 homes are being built for every 10,000 people and at 15,000 homes a year that’s half of what we need and looking at population growth they might just be on the numbers.
Faced with this reality at state government policy level we are seeing attempts to release more land, which is having some impact in Melbourne and Sydney and at the same time average lot sizes are being driven down.
But we are seeing strong demand, which in Sydney in particular is seeing new land release snapped up, and land prices continue to rise as estates sell-out.
The pressure on supply is even spilling over into the public housing sector where both NSW and Queensland are applying pressure to their tenants.  
NSW for example is talking about a sort of ‘bedroom tax’, or a surcharge on those with homes with un-used bedrooms. This must be a clear message that housing policy even at the most basic level is under extreme stress.
 
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So supply is under pressure, as it has been for years, but demand is on the increase.
Across many parts of Sydney for example auction clearance rates are above 70% and in some areas beyond 80%.
The trend is not universal but in the main where clearance rates are low this appears to be mainly in fringe areas and some holiday areas where spring and summer could see the rates go up.
Following upon very low interest rates there are some suggestions that a housing bubble might be building as low rates bring more buyers and investors into the market.
First time buyers are still a little reluctant, but as rents continue to rise, this might soon change if the gap between rents and mortgagee payments continues to grow.
Assuming an average mortgage of $308,000 current weekly repayments could be as low as $412 while renting a similar property would attract a rent of $500 per week.
It also appears that investors are, as you would expect, reacting to lower deposit rates, and soon even lower rates. Three years ago a fixed term deposit rate above 6% was common – not so today.
Investors are active and they have been driving much of the demand for new apartment product, they are also seeing house and apartment price growth. They are also getting good rental yields and good rental growth.
It remains to be seen if more renters become first-home buyers and as a result, potentially further house price rises as these groups compete for available stock as more interest rate cuts encourage both.
Leaving aside the possible hustle and bustle of the market, there is also the reality that population demographics are shifting and here again there is reason to suggest that a policy void is not a good thing.
We have a growing population and with a median age of 36 years, a young population with a mini baby boom and as such, a period of peak demand for housing.
From the last census we also see that median incomes are on the rise and now sit around $87,516 pa, between 2006 and 2011 that’s an increase of 20% but over the period rents have increased by 49%. House prices have gone up 49.2% and apartments 22.1%.
We are also seeing other demographic shifts with 15.9% of households now home to single parents and of those, females account for 82.4% and males 17.6%.
These figures serve to highlight that housing policy needs to keep pace with social change as well.
This highlights the need for better housing policy linked to infrastructure and suggests that the current election has not made a strong enough connection between the two apart from some road announcements.
Simply suggesting that 30-something buyers are simply too fussy is not in any way a real debate.
In Project Agenda there has been frequent comment on an urgent need to better fund infrastructure.  Many of the industry leaders have suggested that a move away from the burden of stamp duty could in part come from a higher rate of GST.
Now even if only on the margins and possibly not until 2016 the GST debate is part of a policy setting that will impact the housing market.
So as we look for housing policy to take its turn in the election spotlight, let’s just remind ourselves that there is now GST applied to existing homes.
But a GST of $45,000 is locked away inside the price for a new $500,000 home and that would increase to $56,250 if the rate went to 12.5% and this policy in fact makes new homes less affordable and possibly is a key factor helping to keep a lid on supply.
I think that for all of these reasons and many more, that the elephant in the room needs to be acknowledged as the election moves forward.

<hr>
Peter Chittenden is managing director for residential of <a target="_blank" rel="nofollow" href="https://www.colliers.com.au/Colliers%20Corporate/Residential.aspx">Colliers International.</a>
 
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Housing policy is the elephant in the room this election period: Peter Chittenden

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

Joel Robinson

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]

WM Residences fills gap in Mordialloc townhouse market

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Developer GURNER™ Group has revealed $1.65 billion in residential sales nationally across the 12 months to December 2025, driven largely by the continued momentum of its Docklands wellness-focused precinct, Elysium Fields.

The sales result was generated across seven projects in Victoria and New South Wales, headlined by Elysium Fields, GURNER™’s $2.75 billion mixed-use precinct planned for Harbour Esplanade in Docklands.

The project has recorded more than $500 million in sales across the first three towers, equating to around 580 apartments sold.

The first tower, Helios, has now sold out of its 240 private residences, with GURNER™ preparing to release a premium penthouse collection comprising 15 three-bedroom penthouses in coming weeks.

[smartcode_project:default project_id=144441 project_image_fid=370975]

Elysium Fields is being developed on the long-held 20,000 sqm Docklands site at 208-226 Harbour Esplanade, which had remained undeveloped for more than two decades prior to GURNER™ taking over the project around four years ago.

Construction has now commenced across four towers ranging between 18 and 30 storeys, with Hamilton Marino and Maxcon appointed as builders.

Once complete, the precinct is expected to comprise around 1,100 residences, alongside retail, hospitality and public realm uses integrated throughout the site.

[smartcode_project:default project_id=144441 project_image_fid=370981]

Designed by Fraser &amp; Partners in collaboration with GURNER™ Design House, the project has been positioned around the developer’s broader focus on wellness-led residential living.

“We don’t sell apartments. We create a true luxury lifestyle that simply doesn’t exist elsewhere in the market today,” Founder and Executive Chairman Tim Gurner said.

“To deliver that requires an extraordinary level of detail, coordination and discipline across multiple verticals, from design and hospitality through to wellness and service.”

“We’ve always believed that living extends far beyond the physical residence. It’s about how you feel the moment you arrive, how you live day-to-day, and the ecosystem that supports that.” 
[smartcode_project:default project_id=144441 project_image_fid=370977]

The project’s design places a heavy focus on landscaping, wellness amenities and biophilic design principles.

Plans include around 3,700 sqm of landscaped gardens and open space throughout the precinct, alongside a retail and dining offering spanning approximately 5,000 sqm.

The broader public realm strategy centres around what GURNER™ describes as the “Path of Life”, an urban forest and landscaped pedestrian environment intended to connect the various buildings and wellness spaces across the precinct.

The apartments themselves will incorporate a range of wellness-focused inclusions, including purified air and water systems, circadian lighting, antimicrobial surfaces, and optional in-home wellness upgrades.

[smartcode_project:default project_id=144441 project_image_fid=370980]

Gurner said the company’s experience through its Saint Haven wellness clubs had directly informed the residential offering now being incorporated into Elysium Fields.

“We’re seeing a clear global shift toward longevity, performance and proactive health,” Gurner said.

“Our role is to deliver that in a way that feels seamless, highly private and beautifully resolved within the environments we create.”

A large component of the wellness offering is planned through the resident amenity and health facilities proposed within the precinct.

That includes plans for bathing and recovery facilities spread throughout the towers, incorporating mineral pools, saunas, steam rooms, flotation therapy, red light therapy and wellness lounges.

The developer is also seeking approvals for what it describes as a “reverse ageing medical clinic” within the precinct.

[smartcode_project:default project_id=144441 project_image_fid=370978]

According to project information released by the group, the proposed facility would include cryotherapy, IV infusion therapy, infrared and dry saunas, PEMF beds, MRIs, DEXA scans, brain scans and blood analysis services.

Within the first tower, Helios, residents will also have access to a dedicated amenity offering known as the Sky Private Club.

The upper 15 levels of the building will include private lounges, dining spaces, rooftop amenities and optional private wellness studios integrated within residences.

The Helios tower itself comprises 260 apartments ranging between 60 sqm and 300 sqm, including a collection of penthouses.

That includes a planned two-storey penthouse spanning around 600 sqm with uninterrupted bay views.

The Elysium Fields precinct is being delivered in partnership with Digital Harbour Holdings, a consortium that includes the Liberman family, which controls the development rights across the Docklands site.

[smartcode_project:default project_id=144441 project_image_fid=370979]

The sales result comes as GURNER™ continues expanding its national development pipeline beyond Victoria.

“We have a strong pipeline across Australia and are now focused on scaling into key markets including New South Wales and Queensland, while continuing to build on our Melbourne base,” Gurner said.

“We currently have more than $3 billion in the market, growing to over $5 billion by October, and expect to materially outperform last year in the 2026 calendar year.”

The result also reflects the continued strength of the upper-end apartment market in Melbourne, particularly for owner-occupier-focused product with large-scale amenity and lifestyle offerings.

[smartcode_project_cta:default project_id=144441]

Record result anchored by the Group’s “utopian” Elysium Fields precinct – defying market headwinds in Docklands.

Elysium Fields drive Gurner to $1.65 billion in apartment sales over 2025

National Australia Bank (NAB) will fund <a href="https://www.apartments.com.au/new-apartments/palmera-residences-gold-coast-18-garfield-terrace-surfers-paradise-qld-4217">Palmera</a>, a $1 billion, 52-level luxury residential tower being developed by Central Equity in one of the Gold Coast’s most tightly held coastal locations at Northcliffe.

The project, launched recently by <a href="https://www.apartments.com.au/developers/central-equity">Central Equity</a>, one of Victoria’s largest private residential developers, comes at a time when construction funding for large residential developments has become increasingly competitive as lenders tighten exposure to the sector.

Multiplex has been appointed the builder, and construction is now underway.

[smartcode_project:default project_id=108274 project_image_fid=365784]

Since its first project, Central Equity has delivered more than 85 residential developments with a combined end value exceeding $8 billion.

Palmera reflects Central Equity’s growing focus on the Gold Coast luxury apartment market and continues a relationship between Central Equity and NAB that dates back to the late 1980s, when the bank funded one of Melbourne’s earliest inner-city residential towers at a time when high-rise apartment living in the CBD was largely unproven.

“NAB’s funding of Central Equity’s $36 million CBD development in the late 1980’s to the financing of the billion-dollar tower today highlights the long-term relationship between the two organisations in delivering major residential projects” said Central Equity Founder and Chairman Eddie Kutner.

He said NAB’s early support was instrumental in helping establish the company’s development model.

“When we commenced our first residential tower in the late 1980s the concept of funding off-the-plan apartments was still largely untested in Australia,” Kutner said.

“NAB recognised the opportunity early and supported the project when others were uncertain. That relationship has now continued for more than 37 years across many developments.”

[smartcode_project:default project_id=108274 project_image_fid=365771]

Central Equity was established in 1987 when Melbourne’s CBD and Southbank precinct were still dominated by warehouses and commercial buildings. Fewer than 100 residents lived in Southbank at the time, and large-scale residential development in the inner city was not widely considered.

Recognising changing demographics and lifestyle preferences, the company began developing high-rise residential projects designed to bring permanent residents into the city centre.

Central Equity has provided accommodation for approximately 40,000 residents across Melbourne’s CBD and Southbank, while also incorporating supporting infrastructure including essential lifestyle facilities like retail spaces, childcare facilities and neighbourhood activity centres.

Central Equity has spent many years assembling the Palmera development site on the corner of Garfield Terrace and Frederick Street in Northcliffe, creating a supersite of around 3,300 sqm.

The developer said the Palmera apartment tower reflects its long-term view of the Gold Coast as a growing and increasingly diversified economy.

[smartcode_project:default project_id=108274 project_image_fid=365768]

Supported by infrastructure including the light rail network, major road upgrades expanded education, hospital and medical facilities and continued expansion at the Gold Coast Airport with more international and domestic flights.

Positioned in the tightly held Northcliffe precinct, the 52-level tower will deliver 347 apartments, targeting buyers seeking a high-end coastal lifestyle, from downsizers to interstate investors.

Designed by Marchese Partners with interiors by DBI, Palmera has been conceived as a next-generation residential offering, featuring a collection of oversized apartments, with premium three-bedroom residences offering sweeping northern views stretching from Surfers Paradise through to Burleigh Heads.

[smartcode_project_cta:default project_id=108274]

NAB funds $1 billion Surfers Paradise apartment development, Palmera

Two years after completing one of the newest developments in North Sydney, developer <a href="https://www.apartments.com.au/developers/aqualand-australia">Aqualand</a> is turning its attention to the rapidly evolving St Leonards apartment market.

The developer, which completed AURA by Aqualand on North Sydney's Walker Street, has lodged plans for a 5,918 sqm site at <a href="https://www.apartments.com.au/new-apartments/33-37-herbert-street-st-leonards-nsw-2065">33-37 Herbert Street, St Leonards,</a> seeking approval for a pair of residential towers rising above a shared podium opposite Royal North Shore Hospital.

The proposal forms part of the broader transformation underway across the St Leonards-Crows Nest precinct, where former industrial and commercial sites are increasingly being redeveloped into high-density mixed-use projects tied to major transport infrastructure.

<img alt="Aqualand" data-entity-type="file" data-entity-uuid="2cc428cf-fe70-4cac-9cd5-264ad53af62c" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-05-28%20at%209.51.56%E2%80%AFAM.png?VersionId=otKSnHtbjAvAddOnovyXQMgcAwE6DMe1" />

According to the planning documents, the site sits “within the St Leonards–Crows Nest Strategic Centre, identified by the NSW Government as a key area for accommodating future jobs and housing across Sydney.”

The proposal has been designed by fjcstudio, formerly FJMT Studio, and is being progressed through the State Significant Development pathway due to its scale and affordable housing provision.

The scheme would comprise 413 apartments, including 46 affordable housing units, alongside retail and commercial uses fronting Herbert Street. The project would also include communal open space, landscaping, a swimming pool, gymnasium, children’s play areas and podium-level resident amenities.

Planning documents show the development would consist of a part-13, part-39 storey tower form positioned above a four-storey podium.

“The development comprises a unified podium that activates the street interface, and two setback towers to accommodate new housing supply while maintaining an appropriate human scale at ground level,” fjcstudio noted in its Design Report.

The northern and southern towers have been shaped to respond to the surrounding skyline while also limiting overshadowing impacts to nearby public open space, particularly Talus Reserve.

The design report said the differing tower heights were intended to “contribute to a varied skyline while responding to the surrounding built form context and solar access considerations.”

<img alt="Aqualand" data-entity-type="file" data-entity-uuid="36da62dc-ff9e-41f2-a7e3-7be38373751c" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-05-28%20at%209.51.45%E2%80%AFAM_0.png?VersionId=Mo6Rp2r.XRLTzIfg_PEEpw8NepDH8UBs" />

The site sits directly opposite Royal North Shore Hospital and within walking distance of both St Leonards Station and the new Crows Nest Metro station.

While the site itself sits just outside the formal Crows Nest Transport Oriented Development boundary, the planning documents repeatedly reference its alignment with the broader TOD objectives reshaping the Lower North Shore.

“The site is located adjacent to St Leonards Station and in close proximity to Crows Nest Metro which is within the Crows Nest Transit Orientated Development Accelerated Precinct which has been identified by the NSW Government to support housing delivery,” the Design Verification Statement noted.

According to fjcstudio, the project has been designed to respond to the broader transition occurring across St Leonards, where increasing residential density is being concentrated around transport infrastructure and employment hubs.

“The broader precinct is undergoing significant change, with a mix of existing mid-rise buildings and newer high-density developments,” the report stated.

“Recent and approved projects indicate a consistent shift toward taller built form, typically organised as tower-and-podium typologies with more active ground levels.”

The proposal includes close to 6,000 sqm of retail and commercial space across the ground floor and podium levels, designed to create a more activated street edge along Herbert Street.

Aqualand’s plans would also introduce a landscaped podium shared between the two towers, with communal open space in the form of a podium rooftop designed to support resident interaction and improve urban greening outcomes. The scheme would also introduce pocket parks at the northern and southern ends of the site, including a landscaped area at the corner of Herbert and Ella streets designed to improve pedestrian amenity and soften the streetscape.

&nbsp;

The proposal is being progressed through the NSW Government’s Housing Delivery Authority pathway, which was introduced to accelerate housing supply across the state. The application was declared State Significant Development in April 2025 following an expression of interest process.

<img alt="Aqualand" data-entity-type="file" data-entity-uuid="faf6d97d-2671-454f-b85a-fe1c6a7be608" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-05-28%20at%209.51.49%E2%80%AFAM.png?VersionId=diVd28OBVr5.YV.7prrOz.uAanwwwm7a" />

St Leonards has been particularly active with new developments in recent weeks. Developer SP Setia’s <a href="https://www.apartments.com.au/news/nsw/first-look-sp-setia-targets-st-leonards-skyline-with-40-storey-tod-tower">plans for a new 42-storey tower</a> recently went on exhibition through the same pathway, while <a href="https://www.apartments.com.au/news/nsw/first-look-stockland-plans-52-storey-538-apartment-st-leonards-tower">Stockland’s 52-storey tower proposal</a> was also recently unveiled.

Aside from the St Leonards project, which is expected to take around nine months to move through the approvals process ahead of a potential 2027 launch, Aqualand is also preparing to launch Boronia, a new apartment project in Roseville comprising around 111 apartments on Larkin Street.

The developer also has approvals in place for the next stage of the Barangaroo precinct, which will feature new residential, retail, hospitality and community uses, alongside a new metro entry across the five-hectare site.

More than 50 new retail destinations are planned for Central Barangaroo, alongside a 270-metre-long boulevard connecting Hickson Park to Nawi Cove. Together with Harbour Park, more than 50 per cent of the precinct will comprise public open space and parkland.

Peter Chittenden

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