<html><body>
Buoyant property market conditions do not always mean that all sectors of the property market are performing well according to quarterly rental data released by CoreLogic RP Data research analyst and report author Cameron Kusher.   Kusher said: “With new housing supply increasing and investor purchasing at record highs we have seen a significant slowdown in the rate of rental growth over the past couple of years and we expect this trend to continue over the coming year."   CoreLogic RP Data's Quarterly Rental Review results are showing that over the first quarter of 2015, national house and unit rental rates increased by just 1.3% while advertised weekly house and unit rents have risen 1.2% at a combined capital city level over the three months to the end of March 2015.
Click to open in new window: 
<a href="/images/2015/04/10/hobart-april-13-one.jpg" target="_blank"><img src="/images/2015/04/10/hobart-april-13-one.jpg" alt=""></a>
<a href="/images/2015/04/10/hobart-april-13-two.jpg" target="_blank"><img src="/images/2015/04/10/hobart-april-13-two.jpg" alt=""></a>
Source: CoreLogic RP Data
</body></html>

po-LsXgBTHBmX

Launceston house and units rents going backwards: Corelogic RP Data

<html><body>
Eastern suburb house rentals are Sydney's strongest rental market, in the most recent March quarter and historically, according to CoreLogic RP Data.
And they'd have to be to keep up for the land tax bills.
Sydney's northern beaches has the next strongest quarterly rental growth with its summer surge.
Click to open in new window:
<a href="/images/2015/04/10/sydney-april-13-one.jpg" target="_blank"><img src="/images/2015/04/10/sydney-april-13-one.jpg" alt=""></a>
<a href="/images/2015/04/10/sydney-april-13-two.jpg" target="_blank"><img src="/images/2015/04/10/sydney-april-13-two.jpg" alt=""></a>
Source: CoreLogic RP Data.
</body></html>

Eastern suburb house Sydney's strongest rental market: CoreLogic RP Data

<html><body>
GUEST OBSERVATION
Housing affordability is at crisis levels in many Australian cities, fuelled by an <a href="https://www.aph.gov.au/Parliamentary_Business/Committees/Senate/Former_Committees/hsaf/report/c05" target="_blank">inadequate supply</a> of housing in areas close to jobs and a <a href="https://www.acoss.org.au/images/uploads/Fuel_on_the_fire.pdf" target="_blank">taxation system</a> that favours investors over first home buyers.
The <a href="https://www.smh.com.au/business/rba-waves-red-flag-over-very-concerning-sydney-property-market-20150213-13eakh" target="_blank">Reserve Bank</a> has suggested that “the answer… lies in more innovative and flexible use of the land that we have so that the marginal cost of adding more stock of dwellings is lower.”
Co-housing – where a group of friends, extended family members or downsizers band together to buy into small blocks with some common space – may well be one of those innovations.
What is co-housing?
Forget your preconceived ideas about communes and share houses.
This version of co-housing is a mainstream concept wherein suitable single-dwelling suburban blocks are adapted to accommodate two or three smaller dwellings with some shared spaces, reducing the overall physical and environmental footprint per household.
Co-housers could be friends struggling to afford a first home, intergenerational families or downsizers wanting to unlock equity for their retirement and live close to friends or family.
Co-housers typically enjoy more privacy and independence than flatmates and each household in the group owns or rents a defined space. Co-housing differs from duplex or multi-unit housing in that more of the space is shared, enabling more efficient use of land. It is similar in principle to <a href="https://www.planning.nsw.gov.au/Portals/0/StrategicPlanning/AffordableHousing/AHSEPP_Fact_Sheet_Granny_Flats_Dec2011.pdf" target="_blank">granny flat development</a> but less restrictive, allowing for more varied and flexible household groupings.
<a href="https://62e528761d0685343e1c-f3d1b99a743ffa4142d9d7f1978d9686.ssl.cf2.rackcdn.com/files/78308/area14mp/image-20150417-13398-1byhbxa.jpg"><img src="https://62e528761d0685343e1c-f3d1b99a743ffa4142d9d7f1978d9686.ssl.cf2.rackcdn.com/files/78308/width668/image-20150417-13398-1byhbxa.jpg" alt=""></a>
A suburban block is adapted to accommodate a family, their elderly mother and a single friend. Each home has its own entry and the design allows occupants to control the levels of interaction. Trina Day
Consider, for example, <a href="https://www.propertyobserver.com.au/https://www.abc.net.au/radionational/programs/bydesign/moving-back-in-with-mum/5639108" target="_blank">two single story workers cottages in Balmain</a> adapted for sharing between one of the authors of this article (Suzanne Benn) and her adult son, architect Andrew Benn, along with his young family.
Winner of a NSW Architecture Award in 2014, the cottages (depicted in the lead image for this article) have been renovated as a flexible family complex, designed to enable interaction in some shared areas while maintaining the houses as individual units. Incorporated into the design is a self-contained unit that can be used by other members of the family or perhaps by a “carer” in years to come.
The cottages illustrate how co-housing can reduce costs and create an improved sense of community. At the macro scale, such arrangements could improve economic resilience and contribute to more compact, sustainable cities.
Trends
The composition of Australian households is changing: our population is ageing and just over 30% of households will be <a href="https://www.abs.gov.au/AUSSTATS/abs@.nsf/Lookup/916F96F929978825CA25773700169C65" target="_blank">single person households</a> by 2026. <a href="https://www.theguardian.com/commentisfree/2014/oct/14/age-of-loneliness-killing-us" target="_blank">Social isolation</a> is a serious emerging issue. Lifestyles are changing and there are signs, such as the <a href="https://www.economist.com/news/leaders/21573104-internet-everything-hire-rise-sharing-economy" target="_blank">sharing economy</a>, of new, more collaborative paradigms for urban living.
Co-housing has potential to make buying or renting a home cheaper but also enables sharing of bills, cars and household goods, as well as trading of services like babysitting and care for the elderly. This is significant: as households collaborate to share resources (including skills and capabilities) an <a href="https://www.theinformaleconomy.com">informal sharing economy</a> grows, leaving many <a href="https://theconversation.com/informal-economies-offer-new-insight-into-prosperity-18217" target="_blank">financially better off</a>.
There’s a <a href="https://griffithreview.com/articles/waking-from-the-dream/" target="_blank">city planning benefit</a> too. To remain liveable, resilient and economically competitive, growing Australian cities must <a href="https://www.propertyobserver.com.au/https://www.thefifthestate.com.au/politics/government/south-australia-to-limit-sprawl-and-renew-social-housing/72140" target="_blank">limit urban sprawl</a>. Yet increasing densities is a fraught issue that often sees planners, developers and local communities in conflict. Whilst multi-unit housing remains a significant part of the solution, co-housing adds another option to the mix - one that increases suburban densities in a way that is modest, incremental and distributed.
Problems
So if co-housing is such a good idea, why isn’t it widespread already?
Firstly, there’s the perception that it’s for alternative types only, and there are not many urban precedents. But co-housing principles are starting to be applied in more mainstream ways and at different scales – from <a href="https://www.archdaily.com/593154/r50-nil-cohousing-ifau-und-jesko-fezer-heide-and-von-beckerath/" target="_blank">large urban co-housing projects</a> overseas to plans for a <a href="https://www.propertyobserver.com.au/https://www.thefifthestate.com.au/property/residential-2/ivan-rijavec-in-bespoke-resi-offer-to-urban-greys-gay-greys-and-more/45106" target="_blank">crowd-sourced apartment community</a> in Melbourne to an innovative <a href="https://www.landcorp.com.au/Residential/Gen-Y-Demonstration-House-Competition1/" target="_blank">Gen Y house </a>in Perth. Renovation costs may also be a factor.
Secondly, and more significantly, there are complexities and uncertainties. It’s not clear to the average person how to navigate planning approvals and understand the financial and legal implications.
Though many <a href="https://www.strategy.planning.nsw.gov.au/sydney/the-plan/" target="_blank">metropolitan strategies</a> recognise the importance of a compact city, small-scale co-housing is not specifically enabled via the planning system (though the “granny flat” <a href="https://www.planning.nsw.gov.au/Portals/0/StrategicPlanning/AffordableHousing/AHSEPP_Fact_Sheet_Granny_Flats_Dec2011.pdf">legislation</a> that exists in some States is a start).
The very creativity and flexibility that gives co-housing appeal makes it challenging to regulate. Regulators would need to manage perverse outcomes such as the impact on investment value and choosy households making some housing spaces difficult to fill down the track.
One possible route is via subdivision and strata titling. The downside is that subdivision can inflate property prices, potentially cancelling out the desired affordability gains, and would require an overhaul of planning legislation.
Company title, considered outdated since the introduction of strata title in the 1960’s, is an interesting alternative. One of its perceived flaws – that it can be geared so approval from all owners is required to sell or lease an apartment – could actually be appropriate in this context. It is generally much simpler from a planning approvals perspective and in some cases may be doable within existing development controls.
Fixes
So what would it take to enable co-housing as an option for Australians? A good start would be a conversation between influential stakeholders – such as planning authorities, banks, planners, architects and property experts – to explore pros and cons and the best way forward.
Questions include what makes a location suitable for co-housing, and how to fine-tune planning controls to avoid unwanted outcomes (such as development that’s out of character with the neighbourhood or doesn’t result in affordability gains or more efficient use of land). Implications for buying, lending and selling (including taxation) also need to be further explored.
With more <a href="https://www.propertyobserver.com.au/https://www.abc.net.au/radionational/programs/bydesign/building-a-shared-community/5606748" target="_blank">precedents</a> – good <a href="https://www.theguardian.com/money/2013/feb/24/co-housing-lifestyle-community" target="_blank">examples</a> of urban co-housing - and better information and resources for the public about how to make it work, we could see a significant improvement in the diversity and affordability of housing options in Australian cities.
Co-housing won’t be for everybody, but even if it has traction with 10% of the urban population, that represents a significant force for change in our cities. It could offer a way to live more affordably, leverage the benefits of the informal sharing economy and reinvigorate a sense of community. Plus it could help to keep cities compact, liveable and resilient into the future. There are a number of issues to be teased out, but surely it is worth the conversation.
Caitlin McGee is research director, Institute for Sustainable Futures at University of Technology, Sydney.
 Suzanne Benn is chair in sustainable enterprise, UTS Business School at University of Technology, Sydney.
This article was originally published on <a href="https://theconversation.com" target="_blank">The Conversation</a>.
</body></html>

How co-housing could make homes cheaper and greener: Suzanne Benn & Caitlin McGee

<html><body>
GUEST OBSERVATION
A quarantining approach was adopted by the Hawke government in 1985 when it effectively abolished negative gearing for rental property investments.
For two years after the announcement of the policy, expenses related to rental property investments could not be claimed against income from other sources such as wages. In return for this restriction on deductions, a depreciation allowance was introduced to encourage investment in new rental housing. Existing investments were not affected.
A mythology has grown around the impact of this policy on rental property investment in the late 1980s. It is claimed that the ‘abolition’ of negative gearing directly led to a rental housing investment ‘strike’ and that this was the reason the policy was reversed. In fact, a major reason for the policy reversal was political: property lobbyists threatened to campaign against the then New South Wales state government in a forthcoming election.
It is possible that this campaign convinced some property investors in Sydney that it was no longer worthwhile investing in housing – a self-fulfilling prophecy.
In reality, the housing investment ‘slump’ was restricted to Sydney and Perth, two property markets that were already ‘over-heated’ at the time that negative gearing was restricted. Nationally, investment in rental property continued to increase with the total value of lending to rental property investors rising by 42% over the period that negative arrangements stopped.
<img src="/images/2015/04/16/chart-april-17-bre.jpg" alt="">
Source: Eslake (2014), “Submission to Senate Economics Committee Affordable Housing inquiry Note: Annual increase in median rents. Shaded area was the period during which negative gearing was not available.
Apart from the effects of the ‘normal’ housing cycle in markets that were overheated, the main causes of the property investment slump in Sydney and Perth were higher interest rates (partly designed to prevent a housing investment ‘bubble’) and the share-market boom of the mid 2000s (which diverted investment from housing).35 After the share-market crash of 1987, and the easing of interest rates in its wake, housing investment boomed.
The ‘restoration’ of negative gearing is likely to have added froth to this speculative boom which inflated house prices and triggered a steep rise in interest rates, which led in turn to the worst recession since the 1930s.
Improving on past policies In retrospect, the main weaknesses of the 1986 ‘quarantining’ policy were that it was introduced at a time when the housing market was about to deflate of its own accord, and that only rental property investment was targeted (when ‘negative gearing’ strategies also apply to investment in other assets yielding capital gains such as shares and agricultural investments).
Otherwise, it was a sensible policy response to a serious flaw in the tax system that distorts the operation of housing and other investment markets. Restricting deductions for negatively geared investments to income from the same asset or class of assets is a more comprehensive solution to the problem than other options considered in the past such as limiting ‘negative gearing’ to investment in the construction of new housing. While these proposals would redirect investment to new housing and ease inflation in home prices, they would not remove the structural flaw in the tax treatment of different investments: the bias in favour of borrowing to invest in assets yielding capital gains, including rental property, shares and agricultural schemes.
There is also a strong case for tackling this problem directly by reducing the inequitable and investment-distorting 50% discount for capital gains. This would best be done as part of a wider realignment of tax rates for different investments - including a reduction in tax rates on rental income as the ‘Henry Report proposes. This could be done in conjunction with ‘quarantining’ rules to remove the ‘timing advantage’ discussed above. These measures should be introduced in conjunction with more efficient tax incentives for investment in new housing, especially affordable housing.
The National Rental Affordability Scheme (NRAS), which provides tax credits for such investment, is being wound down before its impact on affordable housing investment can be properly assessed. This is a mistake. Special emphasis should be placed on incentives for long-term institutional investment in housing.
This policy package would be ‘pro’ not ‘anti’ housing investment. Investment would be redirected from where it is harming housing affordability towards where it is most needed: the construction of new affordable dwellings.
At the state level, the replacement of stamp duties on housing purchases with a broadly based Land Tax (as advocated by the Henry Report) and reforms to Land Tax on rental properties to encourage investment in multiple properties, should be considered. Policies that strengthen housing supply, including direct public investment in social and community housing and reform of planning laws should also be pursued.
These tax and housing reforms would improve housing affordability for tenants on low incomes, ease barriers to first home ownership, and improve the fairness of the tax system as well as the efficiency of investment. It would be good for people struggling to find decent and affordable housing and good for the economy as well.
This is an exerpt from the Australian Council of Social Service (ACOSS) report, ‘Fuel on the fire: Negative gearing, Capital Gains Tax and housing affordability. Read the full report <a href="https://www.acoss.org.au/media/release/new_report_calls_for_action_on_negative_gearing_and_capital_gains_tax" target="_blank">here</a>.
Peter Davidson is senior advisor with ACOSS.
Ro Evans is policy officer with ACOSS.
</body></html>

The negative gearing myth of 1985: ACOSS

<html><body>
It is the Darwin City landlords who are facing the most severe rental corrections, according to CoreLogic RP Data.
Darwin City units - many built in recent years - have recorded a bigger correction than houses.
Click to open in new window:
<a href="/images/2015/04/10/darwin-april-13-one.jpg" target="_blank"><img src="/images/2015/04/10/darwin-april-13-one.jpg" alt=""></a>
<a href="/images/2015/04/10/darwin-april-13-two.jpg" target="_blank"><img src="/images/2015/04/10/darwin-april-13-two.jpg" alt=""></a>
Source: CoreLogic RP Data
</body></html>

Darwin City landlords bearing the brunt of rental correction: CoreLogic RP Data

<html><body>
GUEST OBSERVATION
In the 1970s, the renowned University of California architectural professor and author of A Pattern Language, Christopher Alexander lamented that ‘normal’ urban behaviour at the time had become almost schizophrenic, characterised by extreme withdrawal from stress and an unrealistic belief in self-sufficiency.
Over 30 years on, we are surrounded by planning and processes that are often so over-engineered that as humans we are increasingly all but removed from the experience. So pervasive is the effect of this trend, TEDx Melbourne founder Jon Yeo, notes that the selfie is a response by individuals to try to find place and to create a sense of identity.
Yet the rise of Monocle magazine, recently valued at $137.5 million, and Brainpickings, a blog that provides in-depth analysis of seemingly unrelated books and has over 7 million unique readers a month, would suggest a backlash against the trend to dumb things down. Research is showing aspects of the evolution of our urban lives and the design of our work spaces present a significant challenge to our well-being and performance.
<a href="https://www.ted.com/talks/julian_treasure_why_architects_need_to_use_their_ears?language=en#t-392730" target="_blank">Julian Treasure</a> suggests that we are designing environments that are making us crazy. Higher levels of density in urban environments have been shown to result in decreased generosity, increased anxiety and incidences of mental illness (<a href="https://adamalterauthor.com/book/" target="_blank">Alter, 2013</a>). Working and living in noisy environments may in fact be significantly reducing life expectancy. A <a href="https://multi-science.metapress.com/content/y7u5264178784312/" target="_blank">study</a> in Germany found the average noise levels in schools was 65 decibels, not only interfering with learning but causing increases in teacher heart rates that reached the threshold level for a heart attack.
Lefebvre wrote that space is a clue to the lives we lead, who we want to be and what we might be. Some exciting new research by <a href="https://www.theatlantic.com/health/archive/2014/11/the-brain-on-architecture/382090/">Julio Bermudez</a> has uncovered neuroscience insights that city planners, architects and workspace designers can intentionally build into design. Bermudez’s research has identified a scientific link between aspects of architecture and design, the correlation between beauty and experience and outcomes such as well being, mindfulness and discovery.
The Henry Ford West Bloomfield Hospital in Detroit has recently undertaken a <a href="https://workplaceinsight.net/wp-content/uploads/2014/06/Work+Place3.pdf" target="_blank">project</a> to rethink the nature of both patient care, employee experience and it’s role in the community. During the research, the extent of childhood obesity in the community where the hospital was located became evident. Today the environment in the hospital is so inviting and the food so good and affordable, that it’s restaurant is a destination. The facility also has a greenhouse and test kitchens used by local children and schools to learn about growing vegetables and preparing different types of food. As a result of this, the hospital has shifted the paradigm from ‘place to go when you are sick’ to ‘hospital as a community resource for staying well’. In addition, they have innovated in a way that has meant they are not only surviving but thriving, as well as playing a much larger role in the community.
A <a href="https://www.ted.com/talks/alejandro_aravena_my_architectural_philosophy_bring_the_com">project</a> in Chile where the intended residents were brought into the design process, is an encouraging example of a great solution to a problem where limited funds for social housing projects had previously only resulted in undesirable long-term outcomes. Such projects demonstrate ways we might move forward to create work spaces and urban environments that reverse the figure-ground. Such changes will result in important shifts in the way we design places. As Ilse Crawford Head of the Man and Wellbeing Institute notes, design that starts with human experience, prioritise well being and enhance our humanity.
Libby Sander is a PhD Candidate at Griffith University.
This article was originally published on <a href="https://theconversation.com">The Conversation</a>.
</body></html>

Putting the humans back into workplace design: Libby Sander

<html><body>
Adelaide landlords secured no rental growth during the 2015 first quarter, and rents slipped in North Adelaide, according to the latest Corelogic RP Data analysis.
Buoyant property market conditions do not always mean that all sectors of the property market are performing well according to quarterly rental data released by CoreLogic RP Data research analyst and report author Cameron Kusher.
National house and unit rental rates increased by 1.3% while advertised weekly house and unit rents have risen 1.2% at a combined capital city level over the three months to the end of March 2015.
Click charts to open in new window: 
<a href="/images/2015/04/10/adelaide-april-13-one.jpg" target="_blank"><img src="/images/2015/04/10/adelaide-april-13-one.jpg" alt=""></a>
<a href="/images/2015/04/10/adelaide-april-13-two.jpg" target="_blank"><img src="/images/2015/04/10/adelaide-april-13-two.jpg" alt=""></a>
Source: CoreLogic RP Data
</body></html>

Adelaide landlords secure no rental growth and go backwards in North Adelaide: CoreLogic RP Data

<html><body>
Inner Melbourne apartment rents appear to be on the rise, according to the latest Corelogic RP Data analysis which showed a 2.4% quarterly increase.
There had been typically a 1.5% annual rise over the past five years in the inner Melbourne.
Click charts to open in a new window:
<a href="/images/2015/04/10/melbourne-april-13-one.jpg" target="_blank"><img src="/images/2015/04/10/melbourne-april-13-one.jpg" alt=""></a>
<a href="/images/2015/04/10/melbourne-april-13-two.jpg" target="_blank"><img src="/images/2015/04/10/melbourne-april-13-two.jpg" alt=""></a>
Source: CoreLogic RP Data
{mijopolls 105} 
</body></html>

Inner Melbourne apartment rents on the rise: Corelogic RP Data

<html><body>
GUEST OBSERVATION
With interest rates at or near-record lows and the recent release of the 2015 Australian government Intergenerational Report, people nearing retirement may well be evaluating their retirement investment decisions.
Retirees who invest in increasingly conservative assets, such as reallocating their capital from equities to bonds and/or cash, are under threat. If current low bond yields and cash rates persist, which looks likely, the lifecycle method of investing, with all its benefits, will fall short in meeting retirees’ income needs.
Lifecycle investing is the conventional idea of allocating capital into risky assets (equities) during your working life and then de-risking your super savings into more conservative assets (bonds and/or term deposits) as you approach retirement.
A glidepath is the relationship between a fund’s asset allocation and an individual’s age. While equity investment do not typically fall to zero at retirement for lifecycle strategies, many advisors justify the concept of a declining equity glidepath on the basis that retiree’s horizon decreases with increasing age.
Put simply, the young investor is assumed to be able to accept more risk than the older investor. Hence the young investor should invest a large proportion of their savings in equities at the onset and gradually reduce the allocation to equities over time.
Although recent studies suggest otherwise, financial planners are resolute in reducing their clients’ asset allocation in equities when their clients approach retirement. Why? Because it seems right! Conventional thinking suggests that retirees with a moderate nest egg will look to protect their savings in retirement and deploy their lifetime savings in low risk investments.
A big challenge to the lifecycle strategy in an era of low interest rates is accumulating enough lifetime savings to fund your longevity risk. This is the risk of individuals living for an unusually long time and thereby outliving their retirement incomes.
In Australia, many funds use the Strategic Asset Allocation (SAA) framework as a default investment strategy. This strategy is representative of the optimal combination of different asset classes. These assets are periodically rebalanced to the target allocations as investment returns skew the original asset allocation proportions.
With the masses of Australians paying their Superannuation Guarantee (SG) into their fund’s default strategies, the Australian government introduced a cost-effective product called <a href="https://www.apra.gov.au/Super/Publications/Documents/20141002_MySuper_selected_feature_overview.pdf">MySuper</a>.
There are currently 116 MySuper products, 88 of which have a single investment strategy with the remaining having a lifecycle investment strategy. The static strategy has up to 49% of assets invested in equities while the lifecycle strategy holds approximately 31% of wealth in growth assets (equities) at retirement age 65 and the remainder in conservative assets.
<a href="https://aatheory.blogspot.com.au/2007/12/dynamic-allocation-strategies-for">Research</a> has shown that the SAA outperforms portfolios with decreasing asset allocations in equities. More importantly, <a href="https://papers.ssrn.com/sol3/papers.cfm?abstract_id=2324930">recent studies</a> find evidence to support an increasing (that’s correct, increasing) asset allocation to equity investments in retirement which challenges the conventional thinking in the financial planning profession.
The increasing equity glidepath has the potential to reduce both the probability of failure and the magnitude of failure for investment portfolios. The idea of an increasing equity glidepath in retirement may present some concerns for retirees from a risk tolerance perspective, and therefore require a very meticulous approach.
<a href="https://www.mercer.com.au/content/mercer/asia-pacific/au/en/newsroom/white-collar-workers-killing-average-life-expectancies">Life expectancy</a> among Australians is among the highest in the world today. Retirees have elongated life expectancies of up to 86 and 90 for males and females, respectively. There is a 15% chance that one person of a retired couple will live past the age of 95.
Some 20% of white collar male and females are now expected to live to age 94 and 96, respectively. And 5% of the male white collar cohort will live to age 99, with the females living beyond 100. These statistics suggest that if you’re planning to retire at 65, you potentially face a very long retirement period which you will need to fund. The current world of low interest rates means retirees investing in safe assets risk facing financial ruin over long retirement horizons.
These low interest rates in today’s financial markets may be the “nudge” financial advisors need to address the issues of longevity risk. One proven method is to consider these new equity-focused investment strategies that exhibit a higher probability of investment success. Although the past is not necessarily indicative of the future, it is illustrative for risk purposes.
Strategies that follow the concept of de-risking with increasing age under-performs <a href="https://www.researchaffiliates.com/Our%20Ideas/Insights/Fundamentals/Pages/F_2012_Sep_The_Glidepath_Illusion.aspx">contrarian strategies given 141 years of historical data</a>. When we lower our expectations and live in the present, with low yields and market uncertainties, the outcomes do not change. Equity-centric strategies perceived to be riskier provides more certainty with retirement outcomes.
The eminent economist John Maynard Keynes famously said, “When the facts change, I change my mind. What do you do, sir?” From a retiree perspective, when bond/cash yields change, let our investment and retirement advice change along with it.
Osei K. Wiafe is research fellow, Griffith Centre for Personal Finance and Superannuation (GCPFS) at Griffith University.
This article was originally published on <a href="https://theconversation.com">The Conversation</a>.
</body></html>

Low interest rates set to stay, so what’s the best investment course for retirees? Osei K. Wiafe

<html><body>
The number of Cairns homes that sold in the year to November 2014, was 5% higher over the 12 month period, according to CoreLogic RP Data.
The majority of the rise was attributed to the increase in units that sold over the year.
House sales were 1% higher over the period, while unit sales were up 12% year on year.
Cairns home values have increased over the year, up 5.8% for houses and 3.0% for units, while since December 2009, house values are only 1.2% higher and unit values have fallen by 6.9%.
Rental yields have fallen slightly over the 12 months to December, however they still remain relatively strong at 5.5% for houses and 7.1% for units. 
Click to open in new window:
<a href="/images/2015/03/16/carins-mar-16-one.jpg" target="_blank"><img src="/images/2015/03/16/carins-mar-16-one.jpg" alt=""></a>
Source: CoreLogic RP Data
</body></html>

Cairns home sales rise, but yields fall: CoreLogic RP Data

The residential transformation of St Kilda Road is set to continue into with more new apartment plans for the sought-after boulevard.

Wing Tai Asia has lodged plans for a major residential tower at 464-466 St Kilda Road, replacing the former VACC House with an 18-storey mixed-use development designed around a retained heritage podium and a sculpted contemporary tower.

The proposal, prepared under Victoria’s Significant Residential Development with Affordable Housing pathway, would deliver 325 apartments and ground-floor retail across the prominent 4,653 sqm boulevard site in Melbourne’s St Kilda Road North Precinct.

The project centres on the adaptive reuse of the site’s heritage-listed VACC Building, an eight-storey office designed by Bernard Evans that has occupied the address for decades. Planning documents state the development would involve “carefully dismantling and conserving off-site the original metal fabric of the podium visible from St Kilda Road,” before reinstating it as the defining frontage of the new scheme.

Above the restored podium, Wing Tai is proposing a curvilinear residential tower. The scheme includes 172 one-bedroom apartments, 63 two-bedroom apartments, 66 three-bedroom apartments, and 24 four-bedroom apartments, alongside two ground-floor food and beverage tenancies fronting St Kilda Road.

The tower has been designed with substantial articulation and variable setbacks to minimise perceived bulk and maintain view corridors along the boulevard. Urbis, which prepared the planning report, said the design “has been significantly articulated through a curvilinear design” with “an interplay with materials, façade expression and depth” to create visual separation and visual interest.

The proposal also includes 254 basement car spaces, landscaped pedestrian links connecting St Kilda Road and Queens Lane, and a biophilic landscape strategy featuring canopy trees, raised planters, cascading greenery and a glass oculus pool overlooking the eastern frontage.

Planning documents confirm the $270.1 million development will contribute 3 per cent of project costs to the Social Housing Growth Fund as part of the application process.

Wing Tai acquired the St Kilda Road property in 2018 alongside Abacus Property Group for $95.38 million, before later consolidating ownership of the site. The property previously served as the Victorian Automobile Chamber of Commerce headquarters for around 60 years.

The transformation of the St Kilda Rd boulevard is already beginning to materialise, with a number of high-profile projects recently completed, launched, or approaching launch as developers continue to back the long-term appeal of the precinct.

Among the most notable recent completions is Louise by Samuel Property Group, just off the strip on Queens Lane, the same pocket Hirsch &amp; Faigen recently launched The Queensbury. Mirvac is too on the same street with The Albertine, which is approaching completion.

Dexus recently secured approval for its slice of St Kilda Road, while Gurner also has approved plans for the precinct.

Joel Robinson

Wing Tai unveils 325-apartment St Kilda Road tower on former VACC House site

Malaysian developer <a href="https://www.apartments.com.au/developers/s-p-setia">SP Setia</a> is the latest to jump into St Leonards booming Transport Oriented Development precinct.

The developer, which has previously delivered Sapphire by the Gardens apartment development in Melbourne, identified the Atchison Street site in 2023. It filed a Scoping Report around 12 months ago, and now has revealed the designs for the new&nbsp;40-storey mixed-use tower.

The State Significant Development Application covers <a href="https://next-portal.urban.com.au/projects/14650/summary">20-22 Atchison Street</a>, a 1,374 sqm site positioned between St Leonards Station and the new Crows Nest Metro station.

Designed by <a href="https://www.apartments.com.au/architects/cox-architecture">COX Architecture</a>, the project would deliver 181 apartments, above a four-storey commercial podium, five basement levels, and new public domain works along Mitchell Street. The apartment mix comprises 35 one-bedroom apartments, 39 one-bedroom-plus-study apartments, 85 two-bedroom apartments, and 22 three-bedroom residences.

The proposal has been lodged as a shop-top housing development under the NSW Government’s TOD planning pathway, which allows increased density around key transport infrastructure. The site sits within the recently rezoned Crows Nest Accelerated TOD Precinct.

<img alt="First look: SP Setia targets St Leonards skyline with 40-storey TOD tower" data-entity-type="file" data-entity-uuid="b799673d-48e2-46b0-801a-0e33a9330100" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/atchinson%20site.png?VersionId=dPh0UfwfaHpbFL1R7H1cbZNbIW0CHbCC" />

SP Setia acquired the Atchison Street site as part of its continued expansion into the Australian apartment market. In comments made to City &amp; Country (The Edge Malaysia) in 2023, SP Setia President and CEO Datuk Choong Kai Wai described the acquisition as “a strategic move” aligned with the group’s post-pandemic market recovery strategy.

“Our target for this exceptional development is local and overseas buyers, including first-home buyers, downsizers and investors,” Choong said.

The tower has been designed as a slender vertical form rising from a mixed-use podium, with COX Architecture positioning the development as a response to the evolving St Leonards and Crows Nest skyline.

“The purpose of the project is to facilitate the delivery of high-quality housing at a strategically located site and deliver a built tower outcome that is consistent with the desired future character of St Leonards and aligns with the TOD controls,” the design report stated.

<img alt="First look: SP Setia targets St Leonards skyline with 40-storey TOD tower" data-entity-type="file" data-entity-uuid="b1a85eee-76f7-436c-a6da-73ba827b9b13" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/atchinson%20entry.png?VersionId=dA9jHGPMcm.dDbwk4QfxqWiY5bfh3UVt" />

The podium would incorporate retail uses fronting Atchison Street, commercial tenancies, landscaped communal areas, and pedestrian improvements along Mitchell Street. Vehicle access and loading would be consolidated via Atchison Lane.

Residents would have access to more than 665 sqm of communal indoor and outdoor spaces, while the development proposes 96 parking spaces across five basement levels.

The proposal also includes a commitment for 10 per cent of residential floor space to be allocated toward affordable housing through a monetary contribution.

COX said the tower form responds directly to the emerging high-density character of the precinct while seeking to maximise solar access, cross ventilation, and outlook from apartments.

<img alt="First look: SP Setia targets St Leonards skyline with 40-storey TOD tower" data-entity-type="file" data-entity-uuid="2163f85c-f63b-4be3-aafa-f8763976cec5" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Article%20Feature%20Image%20%28Grid%29_5.png?VersionId=WiAmtIKJ6.ZQ41EtYEQ1fol7AeorKBlL" />

“The building is orientated towards north,” the Apartment Design Guide compliance report noted, adding that the tower’s slim form was driven by the constrained inner-urban site dimensions.

The design also incorporates landscaped setbacks and communal open space at podium level, intended to soften the interface with surrounding streets and improve pedestrian amenity.

The project adds to a growing wave of redevelopment proposals reshaping St Leonards and Crows Nest following the opening of the Sydney Metro City line and the NSW Government’s push for higher-density housing around major transport nodes.

Last week Stockland filed plans just down the road. They want to build a <a href="https://www.apartments.com.au/new-apartments/601-pacific-highway-st-leonards-nsw-2065">52-storey tower on Pacific Highway</a>.

Read more:&nbsp;<a href="https://www.apartments.com.au/news/nsw/first-look-stockland-plans-52-storey-538-apartment-st-leonards-tower">First look: Stockland plans 52-storey, 538-apartment St Leonards tower&nbsp;</a>

First look: SP Setia targets St Leonards skyline with 40-storey TOD tower

<a href="https://www.apartments.com.au/developers/urban-property-group">Urban Property Group</a> has revealed plans for a new mixed-use tower at 10 Dangar Street, Wickham, advancing a proposal that would reshape the southern gateway to Newcastle’s city centre with one of the city’s tallest residential buildings.

The State Significant Development proposal, now on exhibition, seeks approval for a <a href="https://www.apartments.com.au/new-apartments/bowline-10-dangar-street-wickham-nsw-2293">43-storey tower</a> immediately adjacent to the Newcastle Interchange. The project would deliver around 200 apartments, including 42 affordable housing dwellings, alongside 99 co-living units, a 171-room hotel, retail space, and new public domain integrated through the site.

The scheme marks a significant escalation of plans previously approved for the site. Urban Property Group took over the prominent 2,904 sqm parcel, where excavation and demolition had already commenced under an earlier consent for a 14-storey mixed-use development.

<img alt="First look: Urban Property Group unveils Newcastle’s next supertower at Wickham interchange" data-entity-type="file" data-entity-uuid="58a96dd9-407f-4d20-86b4-94e4bfeef74b" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/wickham%20podium.png?VersionId=LGlf08pdFGAZDzvx_CXC4XakHNZRuEE0" />

Designed by <a href="https://www.apartments.com.au/architects/sjb-architects">SJB</a>, the tower has been conceived as a landmark transit-oriented development anchored to the Newcastle Interchange precinct. The proposal includes 245 build-to-sell apartments across a mix of one, two, and three-bedroom residences, as well as two penthouses. Fifteen apartments and one operational unit are earmarked for NDIS housing. The co-living component would add a further 99 units, while the podium would accommodate retail uses and hotel facilities.

SJB said the site presents “a valuable opportunity to anchor the precinct by setting the standard for design, active ground planes and character at the key southern gateway.”

The architecture responds directly to the site’s position beside major transport infrastructure and within one of Newcastle’s fastest-evolving urban renewal precincts. The tower form sits above a sculpted podium designed to frame new public spaces, including a through-site pedestrian link connecting Station Street to Hannell Street, landscaped plazas, and activated retail edges.

<img alt="First look: Urban Property Group unveils Newcastle’s next supertower at Wickham interchange" data-entity-type="file" data-entity-uuid="a7bd6ff0-f7db-4ce8-a6dc-ea56e72c6149" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/wickham%20lanne.png?VersionId=xzf39VADyhj7zBQY2I9fx9vI62u2tuSb" />

The design report describes the project as part of the broader transition of Wickham into “a vibrant, high-quality mixed-use urban precinct” that leverages proximity to the station, open space, and regional connectivity.

A detailed public art strategy has also been prepared for the development. The strategy positions the project as “a transit-oriented development of state significance at the gateway to Newcastle’s city centre” and outlines a series of integrated artworks responding to Newcastle’s industrial and transport heritage.

Creative Road’s curatorial framework for the project, titled Unveil, draws on “stratified surfaces, carved volumes, and light-filled apertures” while referencing Newcastle’s transformation from an industrial city into a contemporary education and technology hub.

<img alt="First look: Urban Property Group unveils Newcastle’s next supertower at Wickham interchange" data-entity-type="file" data-entity-uuid="77a882bb-14b1-4d28-99ff-9438e39508c0" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/wickham%20site.png?VersionId=cevgo_vN0eKPK78P8YcEu3mKPLkpFqE7" />

The proposal is being advanced through the NSW Housing Delivery Authority pathway after being declared State Significant Development in June 2025. The accompanying scoping report states the development aims to “maximise the site’s proximity to the Newcastle Interchange by delivering transit-oriented development” while increasing housing supply and affordable housing provision within the Newcastle LGA.

Urban Property Group’s plans align with the long-term strategic vision established under the Wickham Master Plan, which identified the interchange precinct as suitable for substantial uplift in height and density. The current proposal would significantly intensify that vision, positioning the tower among the tallest developments proposed for Newcastle.

The site sits immediately north of the Newcastle Interchange, bounded by Dangar Street, Hannell Street, and Charles Street. It is surrounded by a rapidly growing cluster of residential towers and mixed-use projects that have emerged following the completion of the light rail and transport interchange.

First look: Urban Property Group unveils Newcastle’s latest tower at Wickham interchange

Bottega House has completed settlement of a landmark riverfront site in Macquarie Street, St Lucia, representing its first major Brisbane development.&nbsp;

Positioned on the banks of the Brisbane River, the <a href="https://www.apartments.com.au/new-apartments/180-macquarie-street-st-lucia-qld-4067">premium site at 180 Macquarie Street</a> features uninterrupted river frontage in one of Brisbane’s most tightly held residential precincts.&nbsp;

The proposed development, currently under assessment with Brisbane City Council, has been designed by <a href="https://www.apartments.com.au/architects/plus-studio">Plus Studio</a> with interiors by <a href="https://www.apartments.com.au/interior-designers/mim-design">Mim Design</a> and will deliver a boutique collection of premium residences positioned specifically for owner occupiers and downsizers.&nbsp;

The residences are set to redefine luxury apartment living in the area, with a focus on architectural quality, refined finishes, landscape integration and elevated amenities including curated wellness facilities, resort-style pools and recreation spaces rarely seen in the local market.&nbsp;

Exclusive sales for the project will be led by Keenan &amp; Byrne, ahead of an anticipated launch later this year.&nbsp;

Bottega House Managing Director Nick Malloch said the project reflects the group’s ambition to deliver a highly curated residential offering within one of Brisbane’s most tightly held precincts.&nbsp;

“This is an incredibly rare riverfront opportunity and one we have approached with a long-term perspective,” Malloch said.&nbsp;

“Our vision from the outset was to create a boutique collection of residences that feel more like private homes than traditional apartments, with generous proportions, refined finishes and exceptional amenity throughout."

Malloch says there is a&nbsp;lack of premium owner-occupier stock of this quality in the market, particularly for downsizers wanting space, privacy and a true lifestyle offering without compromise.&nbsp;

"Demand is expected to be strong given the scarcity of premium riverfront opportunities of this nature within Brisbane’s inner-west."&nbsp;

Bottega House secures landmark riverfront site in St Lucia 

<section data-scroll-anchor="false" data-testid="conversation-turn-6" data-turn="assistant" data-turn-id="request-WEB:84a2af5e-d7cf-4ddf-922a-f4d44d6c6caa-2" data-turn-id-container="request-WEB:84a2af5e-d7cf-4ddf-922a-f4d44d6c6caa-2" dir="auto">
<section data-scroll-anchor="false" data-testid="conversation-turn-2" data-turn="assistant" data-turn-id="request-WEB:5a5ab36c-8dd3-454c-b456-c501f22f0eb4-0" data-turn-id-container="request-WEB:5a5ab36c-8dd3-454c-b456-c501f22f0eb4-0" dir="auto">
The arrival of the first piling rig officially marks the commencement of construction at SIERA’s new beachside apartment development, Exhale, in Northcliffe.

<a href="https://www.apartments.com.au/new-apartments/exhale-surfers-paradise-8-enderley-avenue-surfers-paradise-qld-4217">Exhale</a>, a glass-encased tower featuring 54 large-scale apartments at 8 Enderley Avenue, is SIERA’s third Gold Coast development. It follows the recently completed PIPIS Bilinga beachfront project, which achieved suburb-record prices, and the soon-to-be-completed Chevron Island development, Tapestry.

[smartcode_project:default project_id=112661 project_image_fid=359603]

<a href="https://www.apartments.com.au/developers/siera">SIERA</a> Founder and Managing Director Brent Thompson said the arrival of the piling rig represented a significant milestone for the development, which is scheduled for completion in late 2028.

Over the next month, around 260 piles are expected to be installed as work progresses on the basement structure. The building is anticipated to rise above ground level early next year, before unveiling its sculptural glass curtain wall, developed in collaboration with specialist façade engineers.

“The façade was designed to maximise panoramic coastal views while creating a distinctive architectural identity,” Thompson said.

[smartcode_project:default project_id=112661 project_image_fid=355935]

Designed by BDA Architecture, Exhale will comprise just 54 two- and three-bedroom residences across 26 levels, a level of low-density living rarely delivered in this beachside pocket between Surfers Paradise and Broadbeach.

The project has been conceived as a resident-only building, with no short-stay accommodation permitted. SIERA says the model is intended to appeal to long-term owner-occupiers rather than transient holiday demand.

[smartcode_project:default project_id=112661 project_image_fid=361052]

Residences have been designed with large-format layouts and expansive glazing, with most apartments featuring more than 30 metres of glass frontage to maximise natural light and ocean views.

The amenity offering spans two levels and centres on wellness and lifestyle, including a heated magnesium pool, sauna, yoga and Pilates studio, gymnasium, private dining facilities, cinema lounge, and dedicated surfcraft storage.

[smartcode_project:default project_id=112661 project_image_fid=359607]

More than half of the apartments have already sold. SIERA has also opened a sales gallery for Exhale at its Chevron Island commercial premises, near its Tapestry tower and the site of its second Chevron Island apartment development, which is slated to launch in early 2027.
</section>
</section>

[smartcode_project_cta:default project_id=112661]

Property Observer

Editor's Picks

Have something to contribute?

Developments

New apartments

New townhouses

News