<html><body>
EXPERT OBSERVER
Coronavirus continued to make headlines this week; but for the economy, sentiment was the focus.
While Australian consumer sentiment firmed in February according to our <a href="https://westpaciq.westpac.com.au/wibiqauthoring/_uploads/file/Australia/2020/February/er20200212BullConsumerSentiment.pdf" target="_blank">Westpac–MI survey</a>, at 95.5 the index remains well below its long-run average, suggesting consumers remain pessimistic. This downbeat mood has been in place since mid-2019 and has coincided with a pronounced deterioration in consumer spending momentum.
Economic conditions ‘next 12 months’ and ‘next 5 years’ both bounced back in February but remain below the level of November 2019 and are only in line with their respective long-run averages. This is despite continued strength in employment growth as well as the considerable policy easing undertaken by both the RBA and Federal Government in 2019.
Given this policy context, more concerning still is that ‘family finances versus a year ago’ fell again in February to be back near its recent low and well below average. ‘Finances, next 12 months’ is almost 11% below the average of first-half 2019, and also materially below its long-run average. Unsurprisingly, the ‘time to buy a major household item’ index is depressed, 8 percentage points below average.
Interestingly, ‘time to buy a dwelling’ reversed January’s gain to be back near its recent low in February. On a longer view, at its current level of 112, this index is well below 2019’s peak of 127 but still materially above 2017’s low of 90. At play here is arguably a reduced belief amongst households that further interest rate cuts will be seen in 2020 as well the impact of housing affordability.
House price growth expectations remain strong nonetheless, having surged 70% over the nine months to January 2020. The <a href="https://www.propertyobserver.com.au/https://westpaciq.westpac.com.au/Article/42085" target="_blank">December housing finance</a> data points to strengthening demand amongst owner occupiers, the value of loans up 23% since May and back near 2017–18’s peak. Investors are more circumspect. While 16% above the May low, the value of loans is still comparatively low – in line with the 2012 experience.
Turning to the business sector, <a href="https://westpaciq.westpac.com.au/wibiqauthoring/_uploads/file/Australia/2020/February/er20200211BullAustralianBusinessConditions2020Jan.pdf" target="_blank">the NAB business survey</a> indicates confidence remained absent and conditions weak in late January. There are clearly a number of global and domestic headwinds for confidence. However, the greater concern is conditions. Profitability is weak, while trading conditions and forward orders are poor. The employment index has also lost momentum to now point to job gains circa 16k per month compared to 25k in mid-2019. Assuming flat participation, this would see the unemployment rate grind higher in 2020 – the opposite of what the RBA needs to see to have confidence that wages, growth and consequently inflation will firm as set out in their February Statement on Monetary Policy and Governor Lowe’s appearances last week (summarised in our <a href="https://www.propertyobserver.com.au/https://westpaciq.westpac.com.au/Article/42109" target="_blank">February Market Outlook</a>).   
Following the RBA last week, the latest MPS from the RBNZ set out their view of the outlook. On the assumption of a very mild coronavirus impact, <a href="https://westpaciq.westpac.com.au/wibiqauthoring/_uploads/file/New_Zealand/2020/February_2020/MPS_Review_February_2020_-_Westpac_NZ.pdf" target="_blank">the RBNZ are sanguine on the outlook</a> and expect to keep the stance of policy unchanged hence. This is as our New Zealand economics team anticipated, but more optimistic than markets were positioned for. Both the labour market and inflation views support this adjustment, but the most prominent rationale for the change of stance is the Government’s plan to increase spending. A cash rate cut is still expected in August by Westpac New Zealand, but this will principally be as a result of a weaker global backdrop which will put sentiment and growth at risk. A stronger New Zealand dollar, which we expect, would also weigh on inflation.
Moving to the rest of the world, our latest Market Outlook expands on t<a href="https://www.propertyobserver.com.au/https://westpaciq.westpac.com.au/Article/42083" target="_blank">he key economic effects of coronavirus</a> and encapsulates all of the changes seen in the global and domestic economies since our last edition back in December. Succinctly for Australia: we anticipate our economy will be materially weaker in 2020 than the RBA currently anticipates; importantly, this is only partly attributable to summer’s bushfires and the coronavirus outbreak. Further, for the global economy, risks are clearly skewed to the downside.
Developments in <a href="https://www.propertyobserver.com.au/https://westpaciq.westpac.com.au/Article/42131" target="_blank">global commodity markets</a> highlight both the immediate loss from coronavirus as well as the risks to global production. <a href="https://www.propertyobserver.com.au/https://westpaciq.westpac.com.au/Article/42113" target="_blank">Global FX markets</a> however view this uncertainty as being contained in Asia, arguably because central banks elsewhere are seen as both willing and able to act. This is particularly the case for the US which has received a solid bid as a safe-haven. While <a href="https://www.propertyobserver.com.au/https://westpaciq.westpac.com.au/Article/42132" target="_blank">the Australian dollar</a> has taken a tumble in line with commodities, it will likely find a base and could strengthen in late-2020 if the RBA does not counteract the US rate cuts we forecast with concerted monetary easing here. Absent this step, Australia’s competitiveness and corporate profitability could become impaired, reducing the probability of the lift back to trend GDP growth we currently anticipate in 2021.
ELLIOT CLARKE is a senior economist at Westpac 
</body></html>

j.ballantyne1990-6AQqhLzZaK

Coronavirus is not the only risk Australia faces: Elliot Clarke

<html><body>
Australia’s largest bank, CBA, has today cut fixed rate home loans by up to 0.50 per cent.
Commonwealth Bank has slashed all its investment fixed rates, as well as its 1, 4 and 5 year fixed owner-occupier mortgage rates.
The biggest cuts are to the 4- and 5-year fixed investment interest-only loans, which have dropped by 0.50 per cent.
<img src="https://www.urban.com.au/images/2020/2/14/CBA%20new%20rates%201.JPG" alt="">
RateCity.com.au research shows 30 lenders have cut fixed rates this year, including Suncorp, Westpac and Bankwest.
As a result of today’s changes, CBA now has the lowest 1-year fixed rate out of the big four banks and equal lowest 4- and 5-year fixed rate for owner-occupiers.
<img src="https://www.urban.com.au/images/2020/2/14/CBA%20new%20rates%202.JPG" alt="">
RateCity.com.au research director Sally Tindall said the Commonwealth Bank was cutting fixed rates to stay competitive.
“With fixed rates now as low as 2.50 per cent, banks are being forced to take the knife to their home loan rates to attract new business,” she said.
“CBA’s decision to cut all investor fixed rates is a sign it wants them back on the books."
“Since the APRA caps on investors and interest-only lending have been scrapped, banks have been increasingly shaving investor rates."
“Although fixed rate cuts are often a sign of an imminent RBA cut, these latest changes could be more about CBA drumming up new business," she concluded.
</body></html>

CBA cuts fixed home loan rates by up to 0.5%

<html><body>
EXPERT OBSERVER
Houses in southeast Queensland are enjoying higher demand and improved capital growth as buyer confidence rises.
According to the latest RiskWise Property Research Risks &amp; Opportunities Report, housing finance in Queensland is showing signs of improvement with an increase of 16.9 per cent since February 2019 after a reduction of 7.7 per cent relative to August 2018.
At this stage only modest (i.e. 3-5%) price growth is expected with the likelihood for strong (i.e. double digits) price increase low.
While the Sydney and Melbourne markets were experiencing continued (while improving) issues in relation to housing unaffordability, southeast Queensland enjoyed a more stable market, good population growth and healthy rental returns, making it attractive to both home buyers and property investors.
However, he said while houses were enjoying a resurgence in demand, this was not the case for units.
Units in Queensland, particularly in high-supply areas and other places where the demand for units is consistently low (and houses enjoy strong popularity as a dwelling alternative), also carry a higher level of risk.
One of the reasons for this is because the demand for units among owner-occupiers is low.
Also, in addition to APRA’s lending restrictions, units in some suburbs are also subject to voluntary lending restrictions by major lenders, such as lower loan-to-value ratio due to oversupply.
Units in inner-city Brisbane have the highest level of risk with a very large number of properties in the pipeline and increased rates of defaults for those bought off-the-plan. In fact, many areas with oversupply have been labelled 'danger zones' by lenders and also have low sales volumes.
Mr Peleg said with many of these over-supply areas also presenting a major financing barrier due to requirements for large deposits, in particular off-the-plan units, there was a high level of risk that should be further assessed based on the absorption of the current supply into the market in the next two years and the reduction in commencements.
He said the impact in the short to medium term would be gradually mitigated by a reduction in these dwelling commencements alongside strong population growth.
Mr Peleg noted that the Queensland market greatly varied between high and low-performing areas and special attention should be given to the different job markets across the state, particularly since the unemployment rate had risen from 5.9 per cent in April to 6.5 per cent in October.
This is especially the case in the mining towns in Central and North Queensland, that generally experience low demand, versus houses in popular beachside suburbs on the Gold Coast and the Sunshine Coast that have delivered strong capital growth.
It is important to remember that a softer employment market is well connected with low population growth, lower demand for dwellings and price reductions.
The risk associated with the Queensland market should be monitored closely at the SA4 level, as deteriorating employment conditions are likely to have a significant negative impact on dwelling prices.
The mining towns still present a relatively higher investment risk due to a very large proportion of investors with negative equity and insufficient growth drivers since the end of the boom.
DORON PELEG is the CEO at RiskWise
</body></html>

Positive outlook for southeast Queensland's housing market in 2020: RiskWise's Doron Peleg

<html><body>
An oceanfront trophy home at Blairgowrie on the Mornington Peninsula is for sale.
The cul-de-sac home located at 16 Ritchie Avenue adjoins the Bridgewater Bay National Park. It is also just metres away from beaches.
The five bedroom smart home overlooks Bass Strait, Port Phillip Bay and the city skyline. Its fully landscaped native garden and natural stone infinity pool and spa commands a northern view across the bay to the city.
<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/2020/1/8/2_Blairgowrie_Pool.jpg" alt="">
The architectural six-star rated home features a cobblestone driveway, towering ceiling height entrance, feature staircase, triple Gaggenau wall ovens in the centralised gourmet kitchen, alfresco barbecue area with fully integrated refrigeration and poolside oasis. 
<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/2020/1/8/4_Blairgowrie_Dining.jpg" alt="">
The two-story house is serviced by a lift and separate dumbwaiter. It also has keyless access, three car lock up garages, solar and gas heated pool with in-floor cleaning, Control4house automation and AV, hydronic heating, irrigation, air conditioning and automated blinds throughout, and a 15 kilowatt solar system.
The home was approved for construction in mid-2017 with council records showing a $1.5 million estimated construction cost.
<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/2020/1/8/3_Blairgowrie_Bedroom.jpg" alt="">
The 1,116 sqm holding was previously sold for $980,000 in 2017 and $850,000 in 2015 when offered with approved $950,000 plans by Centrum of South Yarra.
Its price guidance has been advised as between $4.6 million and $4.9 million by Peninsular Sotheby's International Realty agents Rob Curtain and Danielle Vains.
There was a $2.45 million sale two doors away in late 2018.
</body></html>

Oceanfront Blairgowrie smart home for sale

<html><body>
A luxurious three bedroom house in Tweed Heads West went to auction on February 2. 
Situated at <a href="https://www.realestate.com.au/property-house-nsw-tweed+heads+west-132721130" target="_blank">28 Wyuna Road</a>, the home was unsuccessful at auction and is now listed for $3.2 million. 
This home's many features include a Bose sound system, boat shed, poolside deck, aquarium, outdoor shower, and its unobstructed view. 
<div id="attachment_551404" class="wp-caption alignnone">
<img class="size-full wp-image-551404" src="https://www.realestate.com.au/blog/images/1280x720-fit,progressive/2020/01/19040014/capi_8e91803d1b5552fef5a6a9104843b1f1_6f64a10b3f96dfee3a02b3453bc3b707.jpeg" alt="" width="623" height="350" data-capiid="6f64a10b3f96dfee3a02b3453bc3b707"> </div>
Vendor Jade Golar knocked down the original residence to make way for his dream house.
He said he had a clear vision from the start but conceded the house turned out better than expected.
“I wanted a cross between a beach home and a Hamptons home and wanted elements of those two styles tied together,” he said.
“The house is designed around entertaining, cooking, pool days, boating, wakeboarding and fishing. 
<div id="attachment_551407" class="wp-caption alignnone"><img class="size-full wp-image-551408" src="https://www.realestate.com.au/blog/images/1280x720-fit,progressive/2020/01/19040029/capi_8e91803d1b5552fef5a6a9104843b1f1_48e8263c9eb8db7466ad56e8a1dbe050.jpeg" alt="" width="628" height="353" data-capiid="48e8263c9eb8db7466ad56e8a1dbe050"></div>
The residence features traditional Hamptons styling including crisp white paint, weatherboard cladding, plantation shutters and natural light.
The two-level home offers plenty of different living areas – the ground floor, including a bar and wine cellar, opens via bi-fold doors to the sparkling pool and Terranora Creek while the second level, including a saltwater aquarium and open-plan kitchen, dining and living area, opens to a deck overlooking the pool. 
</body></html>

Hamptons style home in Tweed Heads West unsuccessful at auction

<html><body>
A Randwick double-fronted beach house has been sold for $3.2 million. 
The four bedroom, three bathroom family home is situated at <a href="https://www.realestate.com.au/sold/property-house-nsw-randwick-132830890" target="_blank">106 Fern Street</a>. 
Alexander Phillips and Vince Licata of Phillips Pantzer Donnelley Woollahra sold the 1920s house. 
<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/2020/2/5/randwick%202.jpg" alt="">
The fully renovated Californian Bungalow comprises four double bedrooms, Caesarstone kitchen, split level living and ding rooms, and pergola-covered dining terrace.
Other features include ornate ceilings, underfloor heating, secure cellar and auto lock-up garage. 
<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/2020/2/5/randwick%203.jpg" alt="">
The home is within close proximity to beach, cafes, parks and city transport. 
The home last sold for $1.82 million in 2008. 
</body></html>

Double-fronted 1920's era Randwick beach house sold

<html><body>
A Bicton trophy home carved into the cliffside has been listed for sale by expressions of interest.
The riverside house holds views from Fremantle to Claremont.
Extending over 7 split levels, the property features dual lift access and a plethora of features, extras and luxuries.
The four bedroom, four bathroom abode sits on the edge of the Swan River.
Mark Dimmock of Porteous holds the <a href="https://www.realestate.com.au/property-house-wa-bicton-132646682" target="_blank">listing</a>.
<img src="https://www.urban.com.au/images/2019/12/17/Beach%204%20-%202.JPG" alt="">
Constructed by Perth building company, Bacic group it is built entirely using insulated concrete form work. The 16m cantilevered, column less façade incorporates frame less glass walls across the main living area and upper master level.
The home is completely bespoke and customised to the owners exact specifications.
The address was not publicly disclosed.
</body></html>

Riverside trophy home carved into Bicton, WA cliffside listed

<html><body>
The sprawling Main Beach, Queensland mega apartment located in the Ocean Isles complex has been listed with a $4.95 million price guide.
It's down from its previous $5 million to $5.5 million guide.
Residence 3 is one just one of five in the 1,700 sqm beachfront complex.
The apartment at <a href="https://www.realestate.com.au/property-apartment-qld-main+beach-132615054" target="_blank">3/3511 Main Beach Parade</a> has been listed twice since 2018, initially seeking $6.25 million.
<img src="https://www.urban.com.au/images/2019/12/17/Beach%205%20-%202.JPG" alt="">
The four bedroom, three bathroom abode is spread across a single level.
The apartment features a 20 metre frontage, private pool, spa and BBQ space. It has direct beachfront access from the outdoor terrace.
Duncan Longmore and Michael Kollosche of Kollosche Prestige Agents are currently marketing the property.
 
</body></html>

Main Beach trophy apartment relisted

<html><body>
Melbourne City Mission (MCM) will redevelop and relocate one of its youth refuge services to Werribee to support young people experiencing homelessness in Melbourne’s inner west.
Together with the Property Industry Foundation, and a $3.5 million investment from the Victorian Government, MCM will open a high quality, purpose-built youth refuge to break the cycle of youth homelessness. 
With two family units to accommodate infants and families, the redevelopment of MCM’s youth refuge will give young people aged 15-25 a chance to grow into adult independence with a level of support they currently don’t have. 
MCM’s new youth refuge in Werribee comes as a concerning number of young people are experiencing homelessness in the City of Wyndham, which increased by 76 percent in the last five years. On Census night, 730 people identified as homeless. Of those, 384 - over half - were aged between 12-24 years old (ABS 2016). 
MCM Chief Executive Officer Vicki Sutton says the new youth refuge is well placed to respond to the needs of young people who are experiencing homelessness in Melbourne’s western suburbs. 
“Through no fault of their own young people often experience homelessness due to family breakdown, neglect and family violence. These experiences, and the experience of homelessness itself, can lead to significant trauma with long-lasting effects including on mental health.
“This refuge will give young people from the west the opportunity to remain connected with their community during this distressing time while being able to access MCM’s programs, including housing support and therapeutic and mental health programs,” Ms Sutton said.
Kate Mills, Chief Executive Officer of The Property Industry Foundation, said “We’re proud to see the property industry rallying around this crucial project, at a time when there is a lack of affordable housing placing more pressure on young people who do not have family support.” 
The redevelopment of MCM’s new youth refuge commenced with a sod-turning ceremony on the 7th of February, attended by the Treasurer and Member for Werribee, the Hon. Tim Pallas MP. 
“This is more than just bricks and mortar”, said the Member for Werribee. “It’s going to provide young people the second chance they need to get back on their feet and turn their lives around.”
“It’s pretty hard to get a job or an education when you don’t even have a roof over your head. That’s why we’re helping break the cycle of homelessness.”
MCM was one of eight community service organisations in 2017 across the state that received funding through the $27 million in funding through phase two of the State Government’s Accommodation for the Homeless program
The new youth refuge will link with MCM’s suite of programs for young people including its service hub in South Road Braybrook; and other youth supports across Melbourne’s west. 
Due for completion in 2020, MCM’s new youth refuge will deliver positive outcomes for young people by:
1. Providing emergency and crisis accommodation and 24-hour staffing and support for up to ten young people; 2. Providing two family units to assist young parents and their children;   3. A purpose-built children’s play area;  4. Capacity to provide young people with education and independent living skill programs on site. 
Some of the integrated programs and services young people will access at MCM’s new youth refuge include early intervention programs, parenting, education and living skills programs, therapy using art, music and animals, and housing support. 
Over $465,000 in services have been donated pro-bono to the redevelopment by a team of high-calibre consultants, including Turner &amp; Townsend Thinc, Group GSA, Tract Consultants, PLP Building Surveyors, Morris Goding Access Consulting, Rider Levett Bucknall, Nationwide, Irwin, WSP, Hacer and Maddocks.
</body></html>

Melbourne City Mission to open new Wyndham youth refuge

<html><body>
<div class="page" title="Page 1">
<div class="layoutArea">
<div class="column">
A place to call home – very much an attainable proposition according to young Australians 
Young Australians still dream of owning their own home and are actively taking steps towards achieving that goal in 2020, according to new consumer research commissioned by global developer, Lendlease. 
</div>
</div>
<div class="section">
<div class="section">
<div class="layoutArea">
<div class="column">
The national survey of 1,005 Australians aged 18-40 years revealed eight in ten dream of owning their own home, with almost half (47 per cent) believing they will be in their own home within the next five years. Overwhelmingly the Australian dream of home ownership is alive and well, with 79 percent optimistic they will own a home in the future. 
Conducted by McCrindle on behalf of Lendlease, the research also found one in six young Australians believe they will be able to buy a home before the end of 2021, and another third are confident they will buy before the end of 2025. 
There was a marked sense of optimism about the coming 12 months, with a quarter of young Australians (25%) believing 2020 is the right time to buy a home. Three in ten (30 per cent) are also more confident they will be able to buy a home in the next 12 months compared to the past 12 months. The survey also found a majority of young Australians (58 percent) would strongly steer towards buying and building a new home, over an existing home (42 percent). 
The motivations for home ownership, according to the survey participants, are having a place to call their own (69 percent), having their independence (52 per cent), a place to raise a family (50 per cent), and the security home ownership provides (49 per cent). 
Saving for a deposit was identified as one of the most challenging obstacles (55 percent) to overcome on the path to home ownership. More than half (54 per cent) surveyed who are yet to purchase their first home are currently saving for their deposit, with one in five “saving hard”. According to the research, the top five ways young Australians are saving for a home deposit are: 
</div>
</div>
</div>
<div class="section">
<div class="layoutArea">
<div class="column">
1. Cutting back on small expenses (e.g. cafes, eating out, etc.) (45 percent) 2. Saving money with their partner (41 per cent) 3. Opening a specific savings account (36 per cent) 4. Sacrificing a luxury expense (e.g. holiday, new car etc.) (35 per cent) 
5. Starting a side hustle (24 per cent) 
</div>
</div>
</div>
</div>
<div class="layoutArea">
<div class="column">
Interestingly, the media-popularised “OK Boomer” sentiment was strong among the survey participants, with 79 per cent believing the challenge of buying a home today is more difficult for their generation than it was for their parents. 
Many young Australians have seriously/somewhat considered purchasing on the fringes of a city (50 per cent), in a major non-capital city (48 per cent), or a regional area (46 per cent), and have brainstormed creative ways to make their home-ownership dream a reality. Gen Z appeared to be more sustainably minded, with 25 per cent more likely to choose their location allowing them to live more sustainably. 
Lendlease’s consumer research comes in response to the federal government’s First Home Loan Deposit Scheme, which was launched in partnership with the National Housing Finance and Investment Corporation on 1 January to support eligible first home buyers purchase a home sooner. Supporting up to 10,000 loans each financial year, the initiative will provide a guarantee that allows eligible first home buyers to purchase a home up to a value determined per state.
</div>
</div>
</div>
<div class="page" title="Page 2">
<div class="layoutArea">
<div class="column">
There are 10 Lendlease communities across New South Wales, Victoria, Queensland and Western Australia that are supporting burgeoning interest in the First Home Loan Deposit Scheme by offering additional incentives beyond the federal government’s 10,000-person cap. 
Lendlease’s bonuses range from stamp duty on land being covered at Calderwood Valley and Bingara Gorge; $10,000 off selected lots at Alkimos Beach, Alkimos Vista, Aurora, Atherstone, Elliott Springs and Harpley; to a $10,000 housewarming gift for properties purchased at Springfield. 
 Matt Wallace, managing director of communities says, “Our new consumer research reveals that 2020 is the year for first home buyers to get into the housing market. Not only are interest rates still near record lows, but first home buyers are able to take better control of their finances with a range of industry initiatives designed to help them out.
"We understand the many challenges facing first home buyers and are ready to help them get their foot on the property ladder. Through several of our communities across Australia we’re offering compelling incentives to fast-track the home-buying process.”
Claire Madden, social trends researcher, demographer &amp; generational expert notes, “Despite Gen Y and Z growing up with the rhetoric of rising housing and living costs, they are showing an optimism and resilience in holding onto the great Australian dream of home ownership.
"Over four in five in our younger generations have the desire to own a home, and almost two in five are extremely or very optimistic that it will become a reality.
"Whilst saving for the deposit is seen by many as the biggest obstacle, these tech-savvy, agile and entrepreneurial generations are switched on to new opportunities and are likely to embrace the home-ownership deposit schemes and find a way to see the dream realised." 
</div>
</div>
</div>
</body></html>

Home ownership dream still alive for young Australians: Lendlease

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>

Joel Robinson

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]

SIERA kicks off construction at Northcliffe tower Exhale

Local Little Bay residents, along with buyers from premium postcodes across Sydney’s affluent Eastern Suburbs, have dominated purchases in developer-builder Urban Property Group’s first Eastern Suburbs apartment development, <a href="https://www.apartments.com.au/new-apartments/este-little-bay-jennifer-street-little-bay-nsw-2036">ESTE Little Bay</a>.

The $250 million coastal project, one of the first new developments in the area in several years, has proven particularly popular with downsizers, especially those from Coogee and Bondi. One Double Bay downsizer paid $4.7 million for a four-bedroom penthouse, setting a new local apartment price record in the process.

Buyers have been attracted to the combination of coastal tranquillity, premium design and amenity-rich neighbourhood living. The walkable village setting, along with proximity to three of Sydney’s leading golf courses, New South Wales Golf Club, St Michael’s Golf Club and The Coast Golf Club, has also been a key drawcard.

[smartcode_project:default project_id=112343 project_image_fid=352689]

Built across two low-rise buildings designed by <a href="https://www.apartments.com.au/architects/hill-thalis-architecture-urban-projects-pty-ltd">Hill Thalis</a> and set along a lush, landscaped green spine, designed by leading landscape architect <a href="https://www.apartments.com.au/landscape-architect/arcadia-landscape-architecture">Arcadia</a>, ESTE Little Bay offers a collection of one, two, three and four-bedroom residences with interiors by Richards Stanisich.

<a href="https://www.apartments.com.au/developers/urban-property-group">Urban Property Group</a> Sales Director, Tom McIvor said the response to ESTE has been "nothing short of extraordinary."

“Buyers have been quick to recognise ESTE as a rare opportunity to invest in a coastal sanctuary that offers both seclusion and connectivity to the heart of Sydney,” McIvor said.

[smartcode_project:default project_id=112343 project_image_fid=352687]

<a href="https://www.apartments.com.au/project-marketer/srm-residential">SRM Residential</a> Senior Director, <a href="https://www.apartments.com.au/project-marketer/srm-residential">Clayton Ross</a> said the local market has responded incredibly well, driven by ESTE’s exceptional location and the rarity it offers.

“We’ve seen strong interest from a variety of buyer groups, all of whom are drawn to the exclusivity and quality of the build and construction by the 4.5-star iCIRT-rated builder / developer, Urban Property Group. There’s truly nothing else like it along Sydney’s coastline.”

[smartcode_project:default project_id=112343 project_image_fid=352690]

The project also includes robust buyer protections, including Resilience Insurance’s Latent Defects Insurance, providing 10 years of structural cover, and an independent iCIRT-rating of the developer.

“The iCIRT-rating adds another layer of confidence,” Ross added. “Buyers see it as a safeguard for their investment and their lifestyle.” A highlight of ESTE’s offering is its exclusive wellness amenities, including a heated rooftop infinity pool and outdoor heated spa, a state-of-the-art Technogym fitness centre, and a sauna.

<a href="https://www.apartments.com.au/new-apartments/este-little-bay-jennifer-street-little-bay-nsw-2036">ESTE Little Bay</a> is topped out and is on track to complete towards the end of 2026, with residents moving in before Christmas.

[smartcode_project_cta:default project_id=112343]

Staff reporter

Editor's Picks

Have something to contribute?

Developments

New apartments

New townhouses

News