<html><body>
Sydney home prices kept up their strong capital growth in February, as capital city home values rose a further 1.4 percent during the month, according to the monthly CoreLogic Hedonic Home Value Index.
The strong capital gain over February was led by Canberra (+3.2 percent) and Sydney (+2.6 percent), with Melbourne (+1.5 percent) and Hobart (+1.0 percent) also returning significant increases. 
In contrast, dwelling values were down over the month across Darwin (-4.3 percent), Perth (-2.4 percent) and Brisbane (-0.4 percent). Meanwhile, the rental market remains soft, pushing yields to a record low. The average dwelling yield across the combined capital cities fell to 3.2% over the month, a new low.
Summarising the capital gains in home values, CoreLogic head of research Tim Lawless said, “At a combined capital city level, growth conditions have been rebounding since the middle of last year when, on two separate occasions, interest rates were cut, and investor demand commenced trending higher.” 
“Prior to capital gains accelerating half way through last year, the growth trend had been moderating, reaching a cyclical low point over the twelve months ended July 2016 when the annual change in capital city dwelling values slowed to 6.1 percent.” 
<a href="https://www.propertyobserver.com.au/images/2017/03/1/CoreLogicIndex.png" target="_blank">Click to enlarge</a>
 <img src="https://www.urban.com.au/images/2017/03/1/CoreLogicIndex.png" alt="">
A new cyclical high for annual growth rates 
February’s results mark a new high point in the current growth cycle, with capital city home values increasing by 11.7 percent over the past twelve months, said Lawless.
“The annual growth rate across the combined capitals hasn’t been this strong since the twelve months ending June 2010,” he said.
“In Sydney, where the annual rate of growth is now 18.4%, this is the highest annual growth rate since the twelve months ending December 2002 when the housing boom of the early 2000’s started to slow.” 
The latest CoreLogic results take the current housing growth cycle into its 58th month. Since capital city dwelling values started to rise in June 2012, dwelling values have increased by a cumulative 47.3 percent, ranging from a 74.9 percent capital gain in Sydney, to a net rise of 6 percent in Perth. 
Sydney, and to a lesser extent, Melbourne, have remained at the top of the capital gain tables over the past two cycles. Since the beginning of 2009, Sydney dwelling values have more than doubled, rising by 104.5 percent while Melbourne values are 87.7 percent higher. The next best performing capital city over the same period was Canberra where dwelling values have risen by a comparatively modest 37.4 percent. 
<img src="https://www.urban.com.au/images/2017/03/1/CoreLogicHighs.png" alt="">
“The strong growth conditions across Sydney have provided a substantial wealth boost for home owners, however, the flipside is that housing costs are becoming increasingly out of reach. This is especially true for price-sensitive segments of the market such as first time buyers and low income families,” Lawless said. 
“Affordability challenges are most pronounced across the Sydney housing market where, based on September 2016 data, dwelling prices are almost 8.5 times higher than gross household incomes. The second most expensive capital city, Melbourne, has a dwelling price to income ratio of 7.1.” 
In contrast, the February results show that the cities with greater exposure to the mining downturn have continued to record weak housing market results. Dwelling values slipped lower in Perth and Darwin over the month, taking the cumulative decline in values since these markets peaked in 2014 to 10 percent and 11.5 percent respectively. Brisbane also recorded a fall in dwelling values over the month, however values have been slowly trending higher despite the negative monthly result. 
As a consequence, housing affordability has shown a marked improvement in these regions, with the dwelling price to income ratio tracking at 5.7 in Brisbane, 5.5 in Perth and 4.5 in Darwin based on September 2016 data. 
Rental yields slipping to record lows 
While dwelling values continued to rise, weekly rents remained comparatively soft. As a result, downward pressure has been placed on rental yields. The average dwelling yield across the combined capital cities fell to 3.2% over the month, which is a new record low. Five years ago, the average capital city yield was a full percentage point higher at 4.2 percent. 
Sydney has shown the most significant compression in rental yields over the past five years, with the average gross yield reducing by 150 basis points to reach 2.9 percent (2.7 percent for houses and 3.7 percent for units). 
Lawless said, “Despite the record low rental yields on offer, investor demand remains high, suggesting investors are likely to be relying on a negative gearing strategy to compensate for their cash flow losses. It also indicates that investors are speculating on future capital gains.” 
“The latest housing finance data from the Australian Bureau of Statistics indicates that investors comprise approximately 57% of new mortgage demand across New South Wales (excluding refinanced loans). This is substantially higher than the long run average, which is slightly above one third.” 
Commenting overall on the February results, Lawless said, “The renewed strength in the housing market is corroborated by a range of other data points such as auction results, low advertised stock levels and rapid selling times.” 
According to CoreLogic auction results, 2017 began on a very strong footing with capital city clearance rates generally tracking in the high 70 percent to mid-80 percent range from week to week. The results of ‘Super Saturday’ last week saw an unprecedented number of auctions for February; clearance rates reached a new high for 2017 despite the large number of auctions held. 
Advertised listing numbers remain low across the hottest housing markets, with total residential advertised listings in Sydney tracking 11.3 percent lower than the same period a year ago, Melbourne total listings are 5.1% lower than last year, Hobart listings are down by 35 percent and Canberra advertised stock levels are 6.2 percent lower than a year ago. 
Lawless said, “Low levels of advertised stock for sale at a time when buyer demand remains strong is creating a sense of urgency among buyers, which is adding to the upward pressure on prices. This helps to explain why clearance rates are so high, and private treaty sales are so rapid across the strongest markets.” 
Growth likely to moderate later this year 
“Overall, the latest results from the CoreLogic Hedonic Index highlights the performance diversity across Australia’s housing market. The continuation of the capital gains rebound is likely to create further discomfort among policy makers, particularly in light of the growing debate around affordability and the high level of demand from investors.” 
“I remain of the view that housing market conditions will moderate during 2017 due to affordability constraints impacting on housing demand, as well as higher supply levels and an eventual slowing of investment demand brought about either through changed policies from Australian lenders or via regulatory changes aimed at slowing credit growth across the investment sector.”
At around the median price of $635,000 a three bedroom house at<a href="https://www.realestate.com.au/sold/property-house-act-kambah-124457326" target="_blank"> 8 Sholl Place</a>, Kambah (above) was sold yesterday for $609,000. 
Similarly a four bedroom house at <a href="https://www.realestate.com.au/sold/property-house-act-amaroo-124657490" target="_blank">11 Cooloola Street</a>, Amaroo (below) was sold last week for $635,000, having last traded for $439,000 in 2004.
<img src="https://res.cloudinary.com/dz9xllyip/image/fetch/c_scale,w_580,q_auto:good/https://s3-ap-southeast-2.amazonaws.com/po.images/2017/03/1/11%20Cooloola%20Street.jpg" alt="">
At around the median price of $405,000 a two bedroom unit at <a href="https://www.realestate.com.au/sold/property-apartment-act-watson-124626206" target="_blank">49/23 Aspinall Street</a>, Watson (below) was sold last week for $401,500, having last traded for $165,000 in 2008.
<img src="https://res.cloudinary.com/dz9xllyip/image/fetch/c_scale,w_580,q_auto:good/https://s3-ap-southeast-2.amazonaws.com/po.images/2017/03/1/49_23%20Aspinall%20Street.jpg" alt="">
Similarly a two bedroom house at <a href="https://www.realestate.com.au/sold/property-apartment-act-belconnen-124227770" target="_blank">309/80 Chandler Street</a>, Belconnen (below) was sold two week ago for $402,000.
<img src="https://res.cloudinary.com/dz9xllyip/image/fetch/c_scale,w_580,q_auto:good/https://s3-ap-southeast-2.amazonaws.com/po.images/2017/03/1/309_80%20Chandler%20Street.jpg" alt="">
</body></html>

prateek24-ezbwHMbNAk

Capital city home values rise nearly 12 percent in a year, hitting new cyclical high: CoreLogic  

<html><body>
The industrial and logistics sector has emerged as the surprise performer of Australia’s commercial property market, with rental growth and projected growth in 2017 making investors confident about the sector, according to commercial real estate firm CBRE.
Strong levels of consumption and investment spending is supporting goods demand in major markets across the country, providing a strong basis for rental growth in 2017, says the firm's Industrial and Logistics, Q4 2016, MarketView report.
In the final three months of 2016, the industrial and logistics sector recorded positive quarterly rental growth of 0.5% nationally, underpinned by strong gains in Sydney, it said. 
The figures point to the beginning of a growth period for the sector, said CBRE’s senior managing director, industrial and logistics, Pacific, Matt Haddon.
“The tide has turned, with the latest quarterly rental growth and projected growth in 2017 injecting confidence into the sector, which, despite mixed economic conditions, has continued to succeed,” Haddon said. 
“It’s well documented that the manufacturing sector is declining – and has been for years. Gains in consumption and investment spending are where our focus needs to lie, with this sector of the market driving future occupier demand growth.” 
Reduced supply in 2016 is also expected to stimulate rental growth, with just 433,000 square metres released in the December quarter – 34% lower when compared to the same period in 2015, the report says.
In terms of deals, Victoria recorded its strongest year on record in 2016, with $1.92 billion in assets changing hands – representing a 15% increase from 2015. 
The report shows $394 million in property transactions during the last three months of 2016 helped propel the Victorian market to its strongest position on record. 
CBRE senior research manager Kate Bailey said a number of high quality assets and portfolio sales had underpinned strong transaction activity in Melbourne. 
“In 2016, there was an imbalance of available premium assets and large scale opportunities to meet demand in most locations across the country – with the possible exception of Melbourne,” Bailey said. 
“Similar drivers were responsible for a slowdown in offshore investment, with portfolio sales the key driver of foreign investment in 2016.” 
Nationally, $4.831 billion in industrial and logistics assets changed hands during 2016 – marginally down from a record $5.267 billion in 2015, due to the available stock shortfall.
New South Wales recorded $1.559 billion for the year, followed by Queensland with $537.67 million, $617.2 million in Perth, $146.05 million in South Australia and $31.25 million in the ACT. 
“Global capital remains highly focused on this strongly performing segment of the commercial market,” Haddon said. 
Haddon said further compression of yields in major markets during 2016 indicated that investors were anticipating both occupier demand and rental growth in the sector. 
In Q4, super prime average yields compressed a further 10 basis points to reach record lows of 6.9% nationally, driven by a low of 6.0% in Melbourne, 6.1% in Sydney and 6.5% in Brisbane.
Haddon said current market conditions pointed to a strong year for the market. 
“Current activity levels suggest that an increased number of opportunities will be available for investors in the first quarter of 2017, compared to the same period 12 months ago.” 
</body></html>

Industrial property set to soar in 2017: CBRE

<html><body>
Tasmanian tourist attraction Tahune Airwalk, located in the Southern Tasmanian forest, has changed hands for an undisclosed sum.
Established in 2001, <a href="https://www.realcommercial.com.au/property-hotel+leisure-tas-geeveston-502108050" target="_blank">Tahune Airwalk</a> has a 600 metre walkway and cantilever suspended above the forest canopy – additionally there are two swinging bridges, an Eagle Hang Glider Ride across the Huon River, a licensed cafe and visitor centre, eight accommodation rooms, function centre, walks, picnic and barbecue areas.
It is one of Australia’s leading tourist attractions with over 74,000 visitors per year.
The property earns more than $2.2 million pa. According to a report in The Mercury, tourism veteran Ken Stronach bought Tahune Airwalk from Forestry Tasmania in December for an undisclosed sum. 
Stronach has 35 years experience in the tourism industry and is on the board of Destination Southern Tasmania.
He has managed the Tahune AirWalk for three years and has a long history of developing and operating hotels in Tasmania and interstate, the report said. 
The selling agents were Ian Reed and Scott Newton of Knight Frank.
</body></html>

Tasmania tourist hotspot Tahune AirWalk changes hands

<html><body>
Victoria’s industrial &amp; logistics sector posted its strongest year of sales on record in 2016, with $1.92 billion in assets changing hands, an increase of 15% from 2015, according to leading commercial real estate firm CBRE.
The record numbers were helped by Melbourne, which was the strongest performer nationally, according to CBRE’s Industrial and Logistics, Q4 2016, MarketView report.
Both domestic and offshore investors sought out industrial assets in all of Melbourne’s core industrial precincts, with the focus on super core stock or assets that add value/repositioning angles, said CBRE director, Industrial &amp; Logistics – Capital Markets, Rory Hilton. 
“2016 was a strong year for offshore investment in Melbourne’s industrial &amp; logistics market – with global capital continuing to seek out opportunities that offer scale and quality in key markets,” Hilton said.  
<a href="https://www.propertyobserver.com.au/images/2017/02/23/MelbIndSales.png" target="_blank">Click to enlarge</a>
<img src="https://www.urban.com.au/images/2017/02/23/MelbIndSales.png" alt="">
The quarter ended December saw $394 million in property transactions, boosting Victoria’s numbers. New South Wales was second, recording $1.559 billion in transactions during 2016, followed by Queensland with $537.67 million, $617.2 million in Perth, $146.05 million in South Australia and $31.25 million in the ACT.
Nationally, however, total sales of industrial and logistics assets fell to $4.831 billion during 2016 from a record $5.267 billion in 2015, due to the available stock shortfall.
CBRE senior research manager Kate Bailey said Melbourne experienced further yield compression in Q4, moving 10 basis points to 6% – reflecting continued demand for high quality industrial assets. 
“This change was driven by yields in Melbourne’s south east region, which saw a 25 basis point compression to 5.8% - the lowest in Melbourne,” Bailey said. 
Secondary yields in inner locations are expected to continue compressing as investors look to capitalise on the increasing demand for last mile delivery facilities by refurbishing existing assets. 
<a href="https://www.propertyobserver.com.au/images/2017/02/23/MelbvsAust.png" target="_blank">Click to enlarge</a>
 <img src="https://www.urban.com.au/images/2017/02/23/MelbvsAust.png" alt="">
On the supply front, there was 128,000 sqm of new stock added in Melbourne during the December quarter – down 53% on the same period in 2015. 
Despite this, a number of notable developments are proposed, including the Target Distribution Centre in Trugganina and the Greens Road warehouse in Keysborough. 
<a href="https://www.propertyobserver.com.au/images/2017/02/23/MelbSupply.png" target="_blank">Click to enlarge</a>
 <img src="https://www.urban.com.au/images/2017/02/23/MelbSupply.png" alt="">
Hilton said Melbourne’s strong industrial leasing market would continue to support investment in the sector. 
“Strong levels of pre-leasing and leasing activity in the second half of 2016 are set to flow into the capital markets 2017, underpinning heightened investment in the sector,” Hilton said. 
“Top tier logistic, retail and industrial companies are attracted more than ever by Victoria's impeccable transport infrastructure, the efficiency of Melbourne Ports, high standard of blue and white collar work force – all of which continue to position Melbourne’s industrial and logistics sector as an attractive destination for capital.”   
</body></html>

Melbourne leads rest of Australia with record industrial & logistics sales turnover: CBRE

<html><body>
An entire mixed-use strata-titled block in Sydney’s eastern suburb of Bronte sold for $6.2 million during the weekend, the most expensive among auctions for the week ending February 25, according to auctions tracked by Domain.com.au.
The block at <a href="https://www.belleproperty.com/listings/475524/34-36-macpherson-street-bronte-nsw-2024/" target="_blank">34-36 MacPherson St, Bronte NSW 2024</a>, comprises four strata-titled apartments and two retail stores, and is ideally suited for a developer or investor.
Each of the apartments comes with two bedrooms plus a sunroom or study/third bed. They offer ocean views.
<img src="https://www.urban.com.au/images/2017/02/27/Feb27Bronte2.png" alt="">
On the market for the first time in 30 years, the properties could earn a potential estimated gross income of $210,000 per annum (on fully leased basis).
The site area is nearly 593 sqm. 
The selling agents were Edward Brown and William Hotson of Belle Property.
</body></html>

Mixed-use block of four units in beachside Bronte fetches $6.2 million at auction

<html><body>
 
Leaseback property deals, often targeted towards self-managed superannuation funds (SMSFs), are under the securities regulator’s review. 
 
The deals typically involve buying a residential investment property — house or apartment — with guaranteed tenancies that promise returns of around six percent, well above bank deposit rates or inflation numbers, according to a report in the Australian Financial Review.
 
The new owners lease back the properties to the developer who then acts as a landlord or engages a third party to rent and manage the property. Usually, these contracts are around three to five years and promise generous returns for the length of the contract.
 
Demand for the deals is growing among retirees looking for a regular, above-inflation income from the rent as well as the prospect of capital growth, the AFR reported.
 
The Australian Securities and Investments Commission stepped in to investigate because it wants property investors to fully understand their financial risks and responsibilities.
 
ASIC deputy chairman Peter Kell was cited in the report as saying that the watchdog is monitoring promoters of the schemes as part of a broader nationwide review of property spruiking and real estate deals on offer to SMSF investors.
 
"If these deals are done through self managed super, then it falls into the category of advice," Kell says.
 
Typically it involves the buyer of a property entering a leasing agreement with the seller. Yields are usually around three to four times the inflation rate of 2 per cent, or double returns on most fixed-rate deposit accounts.
 
The term is often three years but there is usually an option to extend the lease by six months for a maximum of two to three times.
 
But promises of such guaranteed rental returns are sometimes used by developers to lure investors to a weak market or masking an overpriced offer, warns a post on hotspotting.com.au.
 
“Developers offer them when they're struggling to sell apartments at the prices they want,” the post says. 
 
Recent prosecutions of spruikers are reassuring the regulator it has the legal power to close down unfair property-linked investment deals, despite it not being directly responsible for real estate.
 
"Get any deal reviewed by a lawyer and financial adviser before committing," said Anthea Digiaris, an associate with legal firm Slater and Gordon Lawyers, about the need for doing your own due diligence, the report said.
 
But Daren McDonald, a partner with management and property consultancy ShineWing, told the AFR that lease backs are common in commercial and retail sectors and can also work well for a short-term investor who enjoys the higher yield before moving into the property.
 
But Ben Kingsley, chair of industry lobby group Property Investment Professionals of Australia, echoes the advice from Hotspotting and warns investors to be careful.
 
"Times are tough for many developers because deals are not coming through. Rental deals are regularly offered by selling agents whose interest is to get a deal done for the developer, not look after the buyers' interests," says Kingsley.
 
The onus is on the developer to find the tenant.
 
"If they can't find a tenant, then the extra costs caused by no rental income will come from their margins. That means any rental guarantee will be included in the price the buyer pays."
 
Those considering a deal should answer these questions before completing a deal:
 
•Has the value of the property been inflated to cover the high yield?
 
•Do banks and other lenders impose tougher conditions around lease-back deals, such as stricter terms on interest rates, ability to repay, loan to value ratios?
 
•Who pays for property servicing contracts, body corporate fees, insurance, rates and maintenance during the lease?
 
•What happens at the end of the lease? Can the lease be extended? Who is responsible for restoring the property to its original condition?
 
•What happens if there is a contract breach by a tenant or the developer? Is there a structure to resolve disputes?
 
•Is there demand for this type of property?
 
•What rent can you achieve at the end of the developer's lease?
 
•Will the value of the property decline if the original lease no longer exists?
</body></html>

Property lease-back deals under ASIC scanner

<html><body>
Mortgage broker Australian Finance Group (ASX: AFG) reported a rise in half-yearly profit of 14% from the same period in the previous year, helped by the strong performance of its AFG Home Loans division.
AFG’s loan book now sits at $127 billion, with the overall residential loan book growing to $120.7 billion from $114.7 billion to in the six months to December 2016. 
It said although start to the year was slow, the lending market in Australia is now picking up and mortgage brokers are winning market share. 
The company expects the mortgage broker market penetration to grow as “an increasing number of consumers recognise that a mortgage broker is in the unique position of being able to provide a comprehensive view of the alternatives available across lenders and products”. 
AFG managing director Brett McKeon said the results reflect the broker’s focus on maintaining a strong core broking business. 
“Consistent growth in our distribution network has assisted in generating a strong result for our own branded AFG Home Loans business. Total AFGHL settlements were $1.24 billion, up 34% from the same period last year and represented 7.2% of AFG’s total residential settlements for the period,” he said.
“Importantly our AFGHL book now stands at $4.6 billion which together with strong settlements has helped deliver a profit before tax for the AFG Home Loans business of $4.8 million up 97% from HY16.”
The company said its net profit after tax was $13.4 million for the six months ending December 31, 2016.
It also announced an interim dividend of 4.2 cents per share, an increase of 40% on the prior period.
</body></html>

Mortgage broker AFG says profit up 14% as credit market picking up

<html><body>
A freestanding industrial facility in Sydney’s Seven Hills Industrial Estate has sold for $5,275,000 to an owner occupier. 
The 5,525 square metre site at 7 Tollis Place comprises an office and warehouse. The property offers two levels of accommodation and access via two large roller shutter doors.
CBRE’s John Micallef, Greg Pike and Matthew Alessi negotiated the sale of the property.
Micallef said although the buyer was prepared to pay a premium price for the building due to the lack of alternative properties available in the area.
“The sale is further evidence of the current heated demand for industrial opportunities in Sydney’s west,” he said.
Image taken from Google Street View.
</body></html>

Office/warehouse in Sydney's Seven Hills sells for $5.2 million

<html><body>
A well-known building in Melbourne’s Pascoe Vale South previously occupied by the Commonwealth Bank of Australia for many years has recently sold for $1.43 million to an owner occupier.
The corner property at 339 Bell Street, Pascoe Vale South is in a prime location and comprises a land allotment of 355 square metres and a two storey building of 330 square metres. 
At the sale price, it represents a building rate of $4,333.33 per square metre.
Other key attributes include open plan layout premises, laneway access and trams stop at the door step.
The property was on the market for more than 900 days, according to CoreLogic RP Data.
Anthony Carbone and Bradley Ellul of CVA were the selling agents.
</body></html>

Owner-occupier buys office building in Melbourne's north for $1.43 million

<html><body>
A restaurant investment opportunity has opened up in Sydney’s Woolloomooloo, with the premises of ‘Kingsley’s’ on the famous Cowper Wharf being listed for sale. 
The restaurant’s appeal lies in its waterfront location and being part of an established dining precinct.
The buyer of Lot 8 will be securing as tenants, Kingsley’s which has a new 10-year lease with an option for a further 10 years. It has annual CPI rent reviews and additional percentage rent potential.
The property generates a net operating income of $750,000 pa plus percentage rent forecast of $124,000 pa.
Kingsley’s is owned by leading F&amp;B company, the Melbourne-based Dixon Hospitality, which acquired it late last year.
The property is being <a href="https://www.realcommercial.com.au/property-retail-nsw-woolloomooloo-502269482" target="_blank">sold through expressions</a> of interest closing March 22. 
<a href="https://8cowperwharf.com.au/" target="_blank">Lot 8</a> comprises indoor seating for 120 patrons and covered outdoor seating for 100 patrons. The tenancy extends over two levels (including a mezzanine level). 
The listing agents are Carl Molony, Philip Garland and William Blanch of Stonebridge Property Group.  
Property Observer wrote of the 2012 sale to a global fund manager.
</body></html>

Woolloomooloo restaurant premises Kingsley's up for sale 

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

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

&nbsp;

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 internation 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.

Prateek Chatterjee

Editor's Picks

Have something to contribute?

Developments

New apartments

New townhouses

News