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The Australian developer Crown Group has unveiled its vision to build a new luxury waterfront residential precinct on the Jakarta waterfront.
The project will be the first of its kind for Indonesia, with 2000 luxury homes and its own marina, beach club and dining precinct at Ancol. 
Crown Group, based in Sydney, signed an agreement with Indonesian government organisation PT Pembangunan Jaya Ancol in early 2019 to create the vertical city.
The plans will be presented to the Indonesian government for approval later this year, with it set to launch to market in 2020. 
Real estate and tourism developer PT Pembangunan Jaya Ancol Tbk is best known for developing Ancol Bay in the 1980s, the largest tourist park in South East Asia which attracts 300,000 visitors a year.
It boasts its own championship golf course, the 24-hour Ancol Dreamland amusement park, SeaWorld, various hotels, open-air markets and a marina. 
Chairman and Group CEO Iwan Sunito said the first Crown Group project in Indonesia would herald a new era for waterfront living in the island nation and set a new benchmark for residential property development in Indonesia.  
“The vision is to create a landmark that will be the jewel of Indonesia and a marina that the world hasn’t seen before,” he said.
“We will be the first to bring waterfront living to Jakarta, inspired by the world’s best – Sydney’s famous Darling Harbour and Circular Quay – through the development of vertical mixed-use residences.”  
The joint venture will see a series of towers created on a 4.7 hectare site, with a luxury waterfront living concept designed by Japanese-Australian architect Koichi Takada, based in Sydney. 
The project will bring a new level of luxury to the area, with spectacular shared facilities for residents and the public to enjoy, including a yacht club, waterfront promenade and beach club-style dining.  
The A$1 billion development will offer 9000 square metres of retail boutiques, restaurants and bars and a commercial precinct.
There will also be a network of outdoor terraces, boulevards and jogging tracks.  
The first stage is expected to be completed in 2024 with 800 apartments, a gym, spa and infinity swimming pool, and a further 1500 apartments in the second stage.  
Sunito said it will be a place where communities can come together.
"We want to create a space where people can walk through and experience the galleries, the boutiques, the restaurants and the waterfront.” 
Architect Koichi Takada said he had drawn on elements of Indonesia’s natural environment and cultural heritage to create a contemporary development with a connection back to Indonesian culture.
“The site is on the edge of the land, facing the Java Sea,” Takada said.
“As you land in Jakarta you see the Ancol development with its collection of eight high rises that almost appear like an Indonesian archipelago, rising out of the sea. So, we looked to Raja Ampat Papua, the Indonesian archipelago off the coast of West Papua also known as the Four Kings, for inspiration, and the Green Canyon in Pangandaran Beach of islands.  
“The rice terraces in Bali are culturally specific to the Indonesian landscape and we wanted to celebrate that. Jakarta is known for its heavy traffic and traffic jams, but the flow of traffic is organic, it moves like a school of fish in this energetic city.  
“Our design has parts that face the water, parts that face back to the city of Jakarta, then in between you have cascading terraced apartments and garden features, with public and residential amenities in between.
"This will give it a laneway feel, almost like going through a canyon, or the islands of the archipelago.
"It’s quite a dramatic and emotionally fluid experience to go through it.
"That to me is the character and experience of Jakarta – you go through all these traditional villages and houses in between the sky scrapers, and experience the city on a human scale, in all these in between spaces. We wanted to capture that experience.”  
President Director of PT. Pembangunan Jaya Ancol, C. Paul Tehusijarana said he was looking forward to bringing a new element of residential living to the Ancol waterfront.  
"Ancol has the advantage of being located next to the beach, plus we can collaborate with Crown Group who are experts in their field. We see the mixed-use concept combined with a world-class waterfront lifestyle can add a new sense of value to the Ancol area,” he said.
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j.ballantyne1990-6AQqhLzZaK

Crown Group plans $1 billion vertical waterfront city for Jakarta

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GUEST OBSERVATION
On housing, the contrast between the two major parties couldn’t be clearer.
The Coalition is still pretending that you can help first homebuyers without hurting anyone. Labor isn’t.
This matters, because Australian governments have been <a href="https://grattan.edu.au/wp-content/uploads/2018/03/901-Housing-affordability.pdf" target="_blank">pretending</a> for decades that there are easy and costless ways to make housing more affordable. And over that time the problems have become worse.
The Coalition’s First Home Loan Deposit Scheme is the <a href="https://www.liberal.org.au/latest-news/2019/05/12/helping-australians-buy-their-first-home" target="_blank">latest plan</a> that is supposed to arrest the decline in home ownership among younger Australians.
The Coalition’s First Home Deposit Scheme
Housing costs are a big problem for young people. Home ownership is <a href="https://theconversation.com/three-charts-on-poorer-australians-bearing-the-brunt-of-rising-housing-costs-87003" target="_blank">falling fast</a> in Australia, especially among the young and poor. Fewer than half of 25-34 year olds own their home today. Home ownership among the poorest 20% of that age group has fallen from 63% in 1981 to 23% today. At this rate <a href="https://theconversation.com/retiree-home-ownership-is-about-to-plummet-soon-little-more-than-half-will-own-where-they-live-115255" target="_blank">almost half of retirees</a> will be renters in 40 years time.
Saving a deposit is the <a href="https://insidestory.org.au/why-should-we-care-about-housing-affordability/" target="_blank">biggest hurdle</a>. In the early 1990s it took six years to save a 20% deposit on the average home. Today it takes 10 years. That’s bad news for younger Australians without access to the “<a href="https://www.smh.com.au/politics/federal/house-prices-even-the-head-of-the-treasury-is-becoming-a-mum-and-dad-bank-20161019-gs5ii5" target="_blank">Bank of Mum and Dad</a>”.
The Coalition’s new plan seeks to arrest the decline by lending would-be buyers up to 15% of the purchase price, provided they’ve saved at least 5% for themselves.
It would also mean that single first home buyers on less than $125,000 a year, or couples earning less than $200,000, could <a href="https://www.yourmortgage.com.au/calculators/mortgage_insurance/" target="_blank">save</a> $10,000 or more by not having to pay the <a href="https://www.anz.com.au/personal/home-loans/first-home-buyer/guide/key-things-you-need-to-know-about-lenders-mortgage-insurance/"></a><a href="https://www.moneysmart.gov.au/borrowing-and-credit/home-loans/fees" target="_blank">lenders mortgage insurance</a> that is normally required when a purchaser has a deposit of less than 20%. There would be a cap on the value of homes purchased through the scheme, still unannounced, which would vary by region.
The Coalition is budgeting just $500 million for the guarantees. Labor was quick to <a href="https://theconversation.com/view-from-the-hill-quick-on-the-draw-labor-matches-morrisons-first-home-owners-scheme-116969" target="_blank">match</a> the scheme, partly because it doesn’t cost very much (unless there are unexpected losses).
Most likely, the scheme won’t have much impact.
It would increase home ownership, but only a little. It might also push up prices – but by even less. Some people saving for their first home might buy earlier. Others just priced out of the market at the moment could afford to pay a little more for a house given that they would not have to pay lenders mortgage insurance.
Most of those taking up the scheme would probably have bought anyway. Those with access to the Bank of Mum and Dad already have already been able to use such a scheme. And the income thresholds are set too high, cutting off only the top 10-15% of income earners. The New Zealand <a href="https://www.govt.nz/browse/housing-and-property/buying-or-selling-a-home/buying-your-first-home/" target="_blank">scheme</a>, upon which the Coalition’s plan is based, cuts out at incomes of only $85,000 for singles or $130,000 for couples.
The biggest barrier for many first home owners isn’t the deposit. Their problem is <a href="https://www.afr.com/opinion/when-responsible-lending-becomes-a-credit-slowdown-20190130-h1ant1" target="_blank">qualifying</a> for a mortgage when banks assess their ability to repay the loan assuming an interest rate of 7%, much higher than the typical 4%.
The Coalition has capped uptake at 10,000 loans every year, or about one in every ten loans (based on loans last year to first homebuyers). Even if none of them would have bought a home without the scheme (most unlikely), home ownership would be only 1% higher in a decade’s time.
But a bigger scheme might well be worse. If it “succeeded” in rapidly expanding demand from first home buyers, it would push up prices for everyone, not least all the other first home buyers trying to get into the market. Instead of being ineffective, it’d become counterproductive.
And the bigger the scheme, the greater the risks of <a href="https://www.theage.com.au/business/banking-and-finance/home-loan-scheme-could-increase-negative-equity-risk-economists-say-20190512-p51mke" target="_blank">dodgy lending</a>, which could leave the government on the hook if buyers default.
The underlying problem with the Coalition’s latest plan – like the First Home Super Saver Scheme it introduced in 2017, or the Howard and Rudd Government’s first homeowners grants – is that it tries to fix the housing affordability problem by adding to demand for housing.
Because it costs the budget less, the new scheme is less bad than its predecessors. But it shares their critical flaw: it pretends we can make housing more affordable without hurting anyone.
Its political virtue might be that it sends a signal to first home buyers that government is on their side.
Yet the Coalition <a href="https://www.news.com.au/finance/economy/australian-economy/experts-warn-of-glaring-issues-with-new-first-home-buyers-scheme/news-story/79b2fb2992b074104a6defc43730659a" target="_blank">won’t pursue</a> the one thing happen that would actually help home buyers the most: letting housing prices fall.
Labor’s negative gearing plan
Labor’s plan to abolish negative gearing on existing homes and halve the capital gains tax discount creates losers.
Labor would prevent new investors in existing homes from writing off the losses from their property investments <a href="https://alp.org.au/policies/reforming-negative-gearing-and-capital-gains-tax-arrangements/" target="_blank">against the tax they pay on their wages</a>. And investors would pay tax on 75% of their gains, up from 50% now.
Its plan takes away tax breaks worth $1 billion to $2 billion a year in the short term, and <a href="https://www.alp.org.au/media/1878/2019_labor_fiscal_plan.pdf" target="_blank">more</a> in the long term.
Existing homeowners would lose a little: The Grattan Institute <a href="https://grattan.edu.au/wp-content/uploads/2018/03/901-Housing-affordability.pdf" target="_blank">estimates</a> that house prices would be 1% to 2% lower under the Labor plan. The <a href="https://www.propertyobserver.com.au/http://www.abc.net.au/news/2018-01-08/govt-negative-gearing-claims-contradicted-by-official-advice-foi/9309736" target="_blank">Commonwealth treasury</a> and <a href="https://theconversation.com/confirmation-from-nsw-treasury-labors-negative-gearing-policy-would-barely-move-house-prices-116736" target="_blank">NSW treasury</a> have reached similar conclusions.
Prospective investors who had planned to buy and negatively gear an existing house would miss out on a lot. Some might buy anyway, others wouldn’t. Despite the <a href="https://www.propertyobserver.com.au/https://www.abc.net.au/news/2018-11-16/fact-check-negative-gearing-under-80000/10387552" target="_blank">noise</a>, the bulk of these people would be among the <a href="https://www.smh.com.au/politics/federal/negative-gearing-changes-will-affect-us-all-mostly-for-the-better-20190208-p50wjn" target="_blank">top 10%</a> of income earners.
By reducing investor demand for existing houses, Labor’s policy could provide a genuine boost to “genuine” home ownership, by owner occupiers. Fewer investors would mean more first home buyers winning at auctions.
Recent <a href="https://insidestory.org.au/what-comes-after-the-housing-boom/">restrictions</a> on lending to investors imposed by the Australian Prudential Regulation Authority have already resulted in an <a href="https://www.abs.gov.au/AUSSTATS/abs@.nsf/DetailsPage/5601.0Feb%202019?OpenDocument" target="_blank">increase</a> in the share of lending to first homebuyers. Labor’s policies would accelerate it.
The bottom line on housing? Changing rules on negative gearing and capital gains tax is more likely to increase home ownership than guaranteeing part of the deposit.
But no policy proposed in this Commonwealth election affects the really big lever for home ownership: <a href="https://theconversation.com/to-make-housing-more-affordable-this-is-what-state-governments-need-to-do-105050" target="_blank">increasing housing supply</a>.
Brendan Coates, Fellow, Grattan Institute
John Daley, Chief Executive Officer, Grattan Institute
This article is republished from <a href="http://theconversation.com" target="_blank">The Conversation</a> under a Creative Commons license. Read the <a href="https://theconversation.com/the-brutal-truth-on-housing-someone-has-to-lose-in-order-for-first-homebuyers-to-win-117010" target="_blank">original article</a>.
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The brutal truth on housing: Someone has to lose in order for first home buyers to win

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GUEST OBSERVATION
The Coalition has put forward a scheme to help first home buyers get into homes, under which the government will <a href="https://www.liberal.org.au/our-plan-support-first-home-buyers" target="_blank">underwrite a loan of 15% of the value of the home</a>, to be treated as part of their deposit, taking a deposit of 5% up to 20%. Labor adopted it within hours of the announcement on Sunday, meaning that in one form or another it seems likely to become part of housing policy.
Home ownership benefits from significant tax advantages, which are at their strongest when owners have built up their equity. Partly for that reason, it has always been a major pillar of savings for Australians. But the benefits tend to be priced into the cost of housing, which helps explain why it is so expensive. Yes, it is not only those pesky investors.
Home prices are high because of tax breaks…
Blaming investors for this situation can be politically acceptable, but blaming homeowners more broadly or even hinting that tax advantages are to blame is political poison.
Blaming an insufficient supply of new houses is also unacceptable as it can be portrayed as a cop out, even though it is probably the biggest factor explaining the high cost of housing in Australian cities and cities in other countries and states such as Canada and California. In any event it is seen as a “states issue”.
This means the first point to make is that efforts to assist first home buyers are second-best options. Given that we are not tackling the problems we’ve got, whatever things we do do won’t be perfect.
…and an insufficient supply of homes
The latest proposal isn’t the first or only measure directed at first home buyers. The first home buyers grant introduced in 2000 as part of the goods and services tax package was similar but, at <a href="https://www.aph.gov.au/About_Parliament/Parliamentary_Departments/Parliamentary_Library/pubs/rp/BudgetReview200910/Housing" target="_blank">A$7,000</a>, on a smaller scale. State government concessions on conveyancing tax have also helped.
These measures have been criticised as simply putting upward pressure on prices, and as a result not benefitting first home buyers. This criticism is not correct. They benefit first home buyers by much more than they push up prices. They would only harm first home buyers if all buyers got the concession and it didn’t result in extra houses being built.
Neither is the case.
It is possible to help first home buyers…
In recent years we have seen a substantial supply response which should have put to rest notions that the market does not respond to shifts in demand. And first homes don’t make up that much of the market; <a href="https://to.ly/1yXXK" target="_blank">less than 20% of buyers overall</a>, although more in some sectors.
Measures to help first home buyers do have an upward impact on prices, but nothing like to the extent that they help first home buyers.
They hurt people swapping homes. They have to pay marginally more, as do investors, meaning renters have to pay more.
The major concern with the proposal is the risk that buyers might enter the market and then get into trouble.
…but they’ll need to be careful
One of the big problems in the US in the lead-up to the global financial crisis (GFC) were policies designed to get low-income households into the market.
When the GFC hit, they were the biggest losers. So policymakers will need to be very wary in designing the policy.
First home buyers will win, but they will need to be cautious.
Housing is not risk free. House prices can fall as well as rise, as recent history has confirmed only too well.
Nigel Stapledon, Research Fellow in Real Estate, Centre for Applied Economic Research, UNSW
This article is republished from <a href="http://theconversation.com" target="_blank">The Conversation</a> under a Creative Commons license. Read the <a href="https://theconversation.com/that-election-promise-it-will-help-first-home-buyers-but-they-better-be-cautious-116993" target="_blank">original article</a>.
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The Coalition's election promise will help first home buyers, but they better be cautious

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GUEST OBSERVATION
No matter who wins Saturday’s federal election, you can expect to see more cranes on the skyline and hi-viz vests on the roadside.
Both major parties are promising to spend big on transport infrastructure: A$42 billion for the Coalition and A$49 billion for Labor.
However, many of the favoured projects are unlikely to be completed for years or even decades to come.
What’s being promised, and where?
The types of project each party is promising reflect a now-familiar pattern seen in the recent <a href="https://theconversation.com/how-much-will-voters-pay-for-an-early-christmas-eight-charts-that-explain-victorias-transport-election-106782" target="_blank">Victorian</a> and <a href="https://theconversation.com/how-the-nsw-election-promises-on-transport-add-up-112531" target="_blank">New South Wales</a> elections.
The Coalition will outspend Labor on roads; Labor will outspend the Coalition on public transport.
<a href="https://images.theconversation.com/files/274293/original/file-20190514-60554-if4z2a.png?ixlib=rb-1.1.0&amp;q=45&amp;auto=format&amp;w=1000&amp;fit=clip"><img src="https://images.theconversation.com/files/274293/original/file-20190514-60554-if4z2a.png?ixlib=rb-1.1.0&amp;q=45&amp;auto=format&amp;w=754&amp;fit=clip" alt=""></a>
Author provided
There’s also a story in the details of where the parties are promising to spend. In Victoria, where the Coalition suffered heavy losses in last October’s state election, <a href="https://www.theage.com.au/federal-election-2019/some-seats-are-better-than-others-coalition-sandbagging-key-electorates-with-taxpayer-funds-20190501-p51j6b" target="_blank">the federal Coalition has been busy “sandbagging”</a> key seats. Until last weekend, the Coalition had been promising much more than Labor.
Announcements on Sunday changed all that. While the Coalition <a href="https://www.theaustralian.com.au/nation/4bn-bid-to-unlock-road-link-box/news-story/1c4254f3a80bc85dc11e068b9bff62a9" target="_blank">upped its commitment to the East West Link to A$4 billion</a>, this was dwarfed by Labor’s <a href="https://www.propertyobserver.com.au/https://www.abc.net.au/news/2019-05-12/shorten-morrison-pledge-cash-for-melbourne-infrastructure/11105094" target="_blank">A$10 billion pledge for the Suburban Rail Loop</a>. Victoria now stands as the key battleground for transport promises.
Labor is also writing bigger cheques than the Coalition in Queensland, where it <a href="https://www.propertyobserver.com.au/https://www.abc.net.au/news/2019-04-12/federal-election-queensland-battleground/10975570" target="_blank">hopes to make big gains</a>.
<a href="https://images.theconversation.com/files/274294/original/file-20190514-60549-1rw76kx.png?ixlib=rb-1.1.0&amp;q=45&amp;auto=format&amp;w=1000&amp;fit=clip"><img src="https://images.theconversation.com/files/274294/original/file-20190514-60549-1rw76kx.png?ixlib=rb-1.1.0&amp;q=45&amp;auto=format&amp;w=754&amp;fit=clip" alt=""></a>
Author provided
There’s some agreement on the big stuff
Despite their different ideologies and at-risk electorates, there is still much common ground between the parties. Almost one in three of the projects and funding packages that have attracted promises of at least A$50 million are backed by both the Coalition and Labor. Each party has promised almost A$24 billion for these “bilateral” projects – that’s more than half of the Coalition’s total promised transport infrastructure spending and almost half of Labor’s.
The parties are more likely to agree on big projects than small. Bilateral commitments make up almost half of all promises worth at least A$500 million, but less than a third of those below that threshold. For the very largest projects, the level of agreement is somewhere in between – the Coalition and Labor agree on four of the 11 projects attracting commitments of more than A$1 billion.
<a href="https://images.theconversation.com/files/274295/original/file-20190514-60560-esgadm.png?ixlib=rb-1.1.0&amp;q=45&amp;auto=format&amp;w=1000&amp;fit=clip"><img src="https://images.theconversation.com/files/274295/original/file-20190514-60560-esgadm.png?ixlib=rb-1.1.0&amp;q=45&amp;auto=format&amp;w=754&amp;fit=clip" alt=""></a>
Author provided
But voters are forced to make risky choices, again
With so much cash on the table, will these vast riches be spent on the right things?
More money for roads and public transport probably sounds fine to most Australians, whether they’re navigating potholed rural roads, stuck behind trucks on regional highways, drumming the steering wheel in clogged city streets, or calling in late on delayed suburban trains.
But are the projects of national significance and therefore worthy of Commonwealth attention? And can they be relied on to return a benefit larger than their cost?
For too many projects, the answers are no and no. Infrastructure Australia (IA) publishes a <a href="https://www.infrastructureaustralia.gov.au/projects/infrastructure-priority-list.aspx" target="_blank">list of national priorities</a> and evaluates business cases for projects that are “<a href="https://www.infrastructureaustralia.gov.au/about/files/IA-Statement-of-Intent-2017-19.pdf" target="_blank">nationally significant or where Commonwealth funding of A$100 million or more is sought</a>”. Most of the commitments above A$100 million in this campaign do not have IA-approved business cases.
Some projects are under evaluation, such as a new bridge in Nowra on the NSW south coast, but the two parties should have waited for IA’s assessment before committing.
Worse still, many promised projects are not even on the national priority list.
<a href="https://images.theconversation.com/files/274296/original/file-20190514-60541-bw6rss.png?ixlib=rb-1.1.0&amp;q=45&amp;auto=format&amp;w=1000&amp;fit=clip"><img src="https://images.theconversation.com/files/274296/original/file-20190514-60541-bw6rss.png?ixlib=rb-1.1.0&amp;q=45&amp;auto=format&amp;w=754&amp;fit=clip" alt=""></a>
Author provided
For projects attracting commitments of less than A$100 million, most are best left to state governments. The Commonwealth should stick to projects that are important to more than one state or are particularly important to the national economy.
Fixing <a href="https://www.barossaherald.com.au/story/5990686/budget-48-million-roundabout-at-kroemers-crossing/" target="_blank">regional</a> and <a href="https://anthonyalbanese.com.au/media-release-labor-will-fix-one-of-adelaides-worst-intersections-saturday-9-march-2019" target="_blank">suburban intersections</a> is important, but it’s hardly of national significance. When federal parties get involved, it starts to smell like pork-barrelling.
Some promises are inexcusable
Throwing taxpayer money at boondoggles is poor governance. Far worse is flagrantly ignoring independent advice and burning cash on projects that we know don’t stack up. Before the 2016 federal election, Grattan Institute reported on the <a href="https://theconversation.com/election-2016-will-the-infrastructure-promises-meet-australias-needs-61140" target="_blank">outrageous Princes Highway duplication between Winchelsea and Colac</a> in Victoria’s Western District. The Coalition promised this project even though IA determined that it would return only eight cents of value for every dollar spent.
Three years on, lessons still need to be learnt. Labor has committed A$50 million this election to the <a href="https://www.macarthuradvertiser.com.au/story/6092086/labor-pledges-50-million-to-finish-maldon-dombarton-rail-link-project/" target="_blank">Maldon-Dombarton rail link</a> in NSW’s Illawarra region. This <a href="https://www.infrastructureaustralia.gov.au/projects/files/Maldon-to-Dombarton-summary.pdf" target="_blank">A$806 million project got the thumbs-down</a> in 2017 from IA, which stated that “the project would not justify its costs and would impose a net cost on the Australian economy”.
In exceptional cases, governments may want to fund projects with costs outweighing benefits on equity grounds, <a href="https://grattan.edu.au/wp-content/uploads/2019/04/916-Commonwealth-Orange-Book-2019.pdf#page=63" target="_blank">such as to provide a minimum level of service for rural communities</a>. It is hard to make that case for a commercial freight rail link.
Every dud project built cannibalises a worthy one. Our politicians should stop donning hardhats and promising infrastructure before they’ve done their homework.<img src="https://counter.theconversation.com/content/115138/count.gif?distributor=republish-lightbox-basic" alt="The Conversation" width="1" height="1">
Greg Moran, Senior Associate, Grattan Institute
James Ha, Graduate Associate, Grattan Institute
This article is republished from <a href="http://theconversation.com" target="_blank">The Conversation</a> under a Creative Commons license. Read the <a href="https://theconversation.com/transport-promises-for-election-2019-the-good-the-bad-and-the-downright-ugly-115138" target="_blank">original article</a>.
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Transport promises for election 2019: the good, the bad and the downright ugly

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The weather has played an interesting part in the property matrix over the past 18 months, according to the latest Herron Todd White (HTW) rural report.
The valuation firm took a look at the property sales in drought-affected regions across the country. 
"Generally when we have seen depleted cash flows through lack of feed, eventually there has been a corresponding drop in market interest due to the inability to service any expansionary ideas," the valuation firm said.
"Up until recently, from our perspective, it has not had the greatest impact on the general property market however over the past eight weeks we have begun to see decisions made on farm that have been prompted by the lack of cash flow and debt servicing ability.
"While this has had some softening effect on the level of interest within the general market place there is still solid market participation at auctions and marketing campaigns, albeit at a lower level than previously experienced."
The report notes this drought impact is not as evident in the corporate sector as a majority of these purchases are undertaken with funds under management and not borrowings.
"In fact we are seeing an increase in activity of smaller corporate players at present, particularly in central New South Wales around the Forbes district where a number of the smaller entities have been active searching for properties in the $3 million to $7 million range," said the report. 
"We are aware of a transaction under contract at present in central New South Wales which does involve one of the smaller corporate entities mentioned which has been purchased on a sale and lease back agreement.
"The lease equates to a 4% return on initial investment. This would be reflective of the general market now in terms of yields with most tenanted properties in the 3.5-4% range.
"This is a reflection of the substantial increase in underlying land value which has resulted in compression of yields as tenants are unwilling and unable to afford the previously accepted yield range of 4.5-5%."
A recent sale in the Riverina which has just settled is the property called <a href="https://www.realestate.com.au/sold/property-cropping-nsw-barellan-700006818" target="_blank">The Peak</a>.
This property was put out for tender rather than auction and received significant interest from local landholders and nearby landholders looking to expand.
This is a 659 hectare property subdivided to five main paddocks and improved with a basic machinery shed and silo. Soils are good quality red loams typical of the area.
<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/2019/5/7/the%20peak.jpg" alt="">
The property is located 25 kilometres north- east of Barellan and 25 kilometres south-east of Weethalle.
It has now settled and indicates an overall improved value of $3,188 per hectare which equates to approximately $1,290 per acre.
This is a particularly strong sale and would be considered to be setting new benchmark levels for the area to the south of Weethalle, HTW said. 
"When we look at the property clock of an area, knowing when we have hit the top of the market is always a retrospective analysis," said the report.
"In other words, we will only know we have hit the top of the market after we have passed it. 
"We have previously reported the sale of Forest Vale (pictured below) in the southern Riverina area around Holbrook and Gundagai."
This is a 1,165 hectare open grazing property in a well-regarded location on the Hume Highway and the sale included substantial improvements including a fully renovated circa 1902 homestead.
The reported purchase price of the land was $13.25 million which equates to $11,373 per hectare overall.
<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/2019/5/7/forest%20vale%201.jpg" alt="">
"Whilst this appears only marginally in front of other smaller area sales in terms of achieved dollar per hectare rates, it is not until we know the details of the balance of the contract that we will be able to accurately assess the real price paid for the land itself.
"However after consideration of the reported price and the scale of the property involved, I believe we will look back at this sale and call it the peak of the market for this area.
"Mind you, only time will tell."
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Drought impact on Central and Southern NSW property market has been limited: HTW rural

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The Prime Minister’s plan to help first-home buyers purchase with only a 5% deposit could have a major impact on the broader economy, says one property group. 
The First Home Loan Deposit Scheme, adopted from New Zealand’s Welcome Home Loan program and announced by the Prime Minister Scott Morrison at the Liberals’ formal campaign launch in Melbourne last week, will mean first-home buyers, who have been able to save a deposit of at least 5%, will be able to access a government guarantee for the remainder of up to 20% of a property’s value.
It will also remove the costs of paying lenders’ mortgage insurance.
The scheme will offer up to $500 million in equity through the National Housing Finance and Investment Corporation, would start on January 1, 2020, and be capped for individuals earning $125,000 and couples earning $200,000.
Labor has said it will match the Coalition plan, stating it could afford to do so as it was “closing loopholes” for the wealthy.
RiskWise Property Research CEO Doron Peleg said the Coalition’s First Home Loan Deposit Scheme would support the market instead of further weakening it.
“Although the number of loans is expected to amount to around 10,000, when you take this amount and add in the saving of the LMI, potential interest rate cuts and the flow-on effect on upgraders, this could support particularly affordable markets that are more appealing to first home buyers,” he said.
“Also, the Prime Minister has said he would like to run the scheme through second tier lenders and this will further improve the position of non-bank lenders in the market.”
Peleg said Labor’s proposed taxation changes, to limit negative gearing to new homes only and cut capital gains tax from 50 to 25%, would have “unintended consequences” and further impact an already weak housing market.
“The property market has been experiencing ongoing weakness,” he said.
“Tighter lending standards, the findings of the Banking Royal Commission, political uncertainty, fears of the potential changes to negative gearing and capital gains tax, restrictions on foreign investors, unit oversupply and large falls in dwelling commencements have all had a material impact."
 
 
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Coalition’s First Home Loan Deposit Scheme would support the market: RiskWise

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A Surfers Paradise resident letting agent and his business have been fined $65,000 for failing their legal obligations following an Queensland Office of Fair Trading (OFT) investigation.
Gary Anthony Wyeth, licensed resident letting agent of Wyeth Management Services Pty Ltd, pleaded guilty to one count of providing falsified documents and one count of failing to pay trust money under the Property Occupants Act 2014 in the Southport Magistrates Court on 13 May 2019.
Mr Wyeth and Wyeth Management Services were conjointly charged and ordered to pay $65,000 in fines. Convictions were recorded.
In April 2018, the OFT appointed receivers over the trust property portfolio of Wyeth Management Services.
The court heard Mr Wyeth provided falsified statements to one of his unit owner clients in an attempt to cover up a misappropriation of funds, totalling $3,740.
In March 2018, the letting agent knowingly handed over documents that contained 33 months’ worth of misleading information to OFT inspectors in an effort to hide his dealings.
The court further heard that in September 2018, receivers provided the OFT with a summary of 18 unit owners who had incurred a combined rental shortfall of $81,501.09. In addition, the Wyeth Management Services trust account only held $9,760.80, a shortfall of $71,740.29 which was subsequently the subject of a number of OFT claim fund claims.
The claim fund was set up to assist people who are out of pocket because an agent has failed to properly account for money held in trust.
In sentencing Magistrate Sinclair noted that the agent had engaged in a protracted and deliberate course of dishonest conduct.
Fair Trading Acting Executive Director Craig Turner said Mr Wyeth showed a lack of respect to the industry by failing to uphold his position of trust as a property agent.
“Any misappropriation of trust money or the production of falsified accounts will not be tolerated and will result in strong enforcement action by the OFT,” Mr Turner said.
“Actions like these undermine the image of the majority of agents who work ethically within the industry.”
Anyone who believes a resident letting agent may have misappropriated trust money is encouraged to lodge a complaint to the OFT at <a href="http://www.qld.gov.au/fairtrading."></a><a href="http://www.qld.gov.au/fairtrading" target="_blank">www.qld.gov.au/fairtrading</a>.
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Surfers Paradise misappropriation of rental funds triggers $65,000 fine for Wyeth Management Services

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EXPERT OBSERVER
The property market will remain weak well into 2020 unless the RBA cuts interest rates and these are passed on by the banks.
However, it was the introduction of lending restrictions by APRA, followed by the greater scrutinisation of loan applications as a result of the Royal Commission, that was the catalyst for the downturn, has just released its latest Quarterly Risks &amp; Opportunities Report.
Tighter lending standards, the findings of the Banking Royal Commission, political uncertainty, fears of the potential changes to negative gearing and capital gains tax, restrictions on foreign investors, unit oversupply and large falls in dwelling commencements had all had a material impact on the property market.
The major risks associated with residential property have, and continue to be, significantly increased in comparison to the risk levels in the long term.
This is due to a combination of factors that are changing the face of the property landscape with no price increases and significant improvement expected until at least the end of 2020.
There’s an 80 per cent chance the ALP will come into power at the forthcoming Federal election and this win will see the implementation of their policy to limit negative gearing to new housing only and reduce the discount on capital gains tax from the current 50 per cent to 25 per cent to come into effect on January 1, 2020.
This will simply make property investment, in both existing and new dwellings, by far less attractive.
<a href="https://www.propertyobserver.com.au/Visit%20www.riskwiseproperty.com.au" target="_blank">RiskWise</a> demonstrated that fears of the proposed changes have already impacted the market with price reductions accelerating following the Liberal Party leadership spill in August last year. In addition, auction clearance rates dropped below 50 per cent towards the end of 2018 in both Sydney and Melbourne and are currently in the low to mid-50s.
Buyer sentiment had been greatly diminished with strong reductions in activity by investors who realised they had to wait for the election results, the implementation of the taxation policy, and a new low equilibrium point to be reached, before they could act.
Investors understand the potential increases to out-of-pocket expenses due to the taxation changes, which are equivalent to a significant and sudden interest rate increase of 1.15 per cent in the Sydney unit market.
RiskWise analysis shows there is an 80 per cent likelihood the RBA will cut interest rates during the second half of 2019 with a further cut before the end of the year or early 2020, with the banks ‘highly likely to pass them fully on to borrowers’. 
This will significantly reduce price reductions, particularly in the Sydney and Melbourne markets, and increase demand in the markets that have shown resilience and already enjoy good demand. Interest rate cuts have a direct impact on out-of-pocket expenses and also have an impact on buyer sentiment, particularly investors.
GDP growth is also below target, largely due to a reduction in dwelling commencements, and a drop in consumer sentiment has an impact on household spending.
In fact, according to ABS data, there has been a major reduction in household wealth, driven by a reduction of land and property values. While household wealth is falling, the household-debt-to-income ratio hit a new record just shy of 200 per cent.
While APRA has removed the 30 per cent interest-only lending cap, this is unlikely to have a material impact on the housing market. Banks will continue to mitigate the risks associated with interest-only loans in a market where the majority of the properties that are purchased or re-financed are depreciating assets.
In addition, there is a 7 per cent stress test (where many lenders set the stress test at 7.25 per cent) when it comes to the ability to service a loan making it extremely difficult to get approval from lenders.
Negative equity has also become a major risk, particularly for lenders who have concentration of loans in weak markets within Western Australia, Queensland and the Northern Territory.
Also, the majority of the properties that have been purchased in Sydney and Melbourne in the past couple of years have depreciated in value and properties that have loan-to-value ratio (LVR) of 90 per cent or more carry a high level of risk of negative equity.
The next quarter will be crucial for the housing market due to the election results and expected high level of certainty regarding RBA’s interest rate cuts, but expect the weak outlook to continue.
Macro-economic measures, particularly in relation to Consumer Price Index (CPI), employment and GDP growth will play central roles in whether there would be an interest rate reduction sooner rather than later.
Our analysis shows us however, that at least for the foreseeable future, and especially with the likely introduction of the taxation changes, that the weak housing market will continue with high levels of apartment supply, combined with low sales volumes, and a continuous reduction in dwelling commencements, that will help to absorb the high level of supply gradually over time.
State-by-State Overview:
In New South Wales, the combined effects of unaffordable housing, poor investment serviceability ratio and lending restrictions have led to a quick reduction in house and unit prices. In addition, there has been a significant reduction in investor activity. Without RBA interest rate cuts and / or a Labor loss in the federal election, Sydney is likely to experience continuous price reductions over the next couple of years, with an estimated annual reduction of 4-6 per cent for both this year and 2020. Some regional areas, however, are likely to hold well. An RBA interest rate cuts is likely to mitigate price reductions.
Victoria has the highest population growth in the country, enjoys a solid economy and a healthy job market. However, like NSW, dwelling prices have fallen, although to a lesser extent, as have auction clearance rates. Again, this fall can be attributed to the same factors as that of NSW – lending restrictions, significantly lower investor activity, fear of changes to the current taxation regime and expectations of price reductions. Therefore, without RBA interest rate cuts that are much needed to support this market and / or a Labor loss in the federal election, over the next couple of years, the prospect for the Melbourne housing market is negative with annual price reductions in the order of 4-7 per cent for both this year and 2020. However, a number of regional areas, in particular Geelong and Ballarat, which deliver solid capital growth, present only a low level of risk and are projected to continue delivering solid capital growth both in the short and long term.
The Australian Capital Territory delivered good economic growth and experienced the second largest population growth rate in the country, delivering capital growth and a relatively resilient property market. While growth rates have decelerated in recent months, dwellings in the ACT present a relatively low level of risk for major price reductions and are projected to deliver modest capital growth in the next couple of years. Houses are still enjoying, and likely to continue to do so, some capital growth while the unit market remains reasonable, although it does carry a higher degree of risk to deliver negative growth in the short term, particularly due to its reliance on investor activity.
The modest growth pace in the Queensland housing market continues although for units remains poor or negative. Some areas, particularly in South-East QLD including the Gold Coast and the Sunshine Coast, enjoy good population growth and healthy demand for houses. Other areas, such as Central QLD, are still experiencing poor demand for dwellings, very high vacancy rates and a very soft property market. An oversupply of units in inner Brisbane makes this market particularly susceptible to the impact of potential taxation changes. Other areas that have a high supply of new units also present high levels of risk, particularly where there are relatively affordable houses as, generally, houses are significantly preferred dwelling alternatives.
The South Australian economy has shown some improvement but still has a high effective unemployment rate which has led to very low population growth and soft housing demand meaning only modest capital growth is forecast for houses. However, houses in popular areas, such as Adelaide Central and Hills carry a low level of risk and are projected to deliver solid long-term returns. Some areas have unit oversupply and are experiencing weakness, particularly Adelaide CBD where poor growth is forecast.
In Western Australia, lending restrictions had the most impact thanks to its weaker economy. Perth prices, which had stabilised, began to fall once again. The impact is expected to increase if a blanket approach is also taken when implementing the proposed taxation changes. While the state’s economy has returned to positive growth, a combination of a very high effective unemployment rate, low population growth and a significantly below-average economic activity level has resulted in price reductions for both houses and units. Finally, units carry a very high risk due to the combination of oversupply, lending restrictions and low demand, particularly in central Perth.
Tasmania leads the country in investment serviceability with its high median rental returns and low average dwelling price. However, Hobart has gone off the boil, with CoreLogic figures showing a 0.9 per cent slide of dwelling prices last month. Houses fell 1.2%, while unit growth was only 0.3% in March. A significant increase in dwelling prices in recent years, less affordable housing, decelerated price growth, fewer people turning up to open home inspections and fewer inquiries on listings, indicate that housing affordability has made an impact and that the growth rate was unsustainable. It is projected to significantly decelerate in 2019 and further into 2020, with some areas likely to deliver very low or negative capital growth.
The Northern Territory experienced poor population growth resulting in negative dwelling growth and a very soft property market. Poor demand for dwellings and price reductions, combined with a relatively high median household income have resulted in the most affordable dwellings (i.e. the lowest price-to-income ratio) in the country. The property market is projected to remain soft, particularly for units. Furthermore, it is likely that the NT housing market will be a victim of unintended consequences from the blanket implementation of the potential taxation changes that will further reduce investor activity.
DORON PELEG is the CEO of <a href="https://www.propertyobserver.com.au/Visit%20www.riskwiseproperty.com.au" target="_blank">RiskWise Property Research</a>
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Interest rate cuts and election results keys to property market: Doron Peleg 

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The Melbourne suburb of Brighton is host to the highest volume of auctions this weekend, with eight homes set to go under the hammer, according to CoreLogic.
Tied with Brighton are Bentleigh East and Malvern East, also in Melbourne, with an equal number of auctions scheduled, 8 each.
Overall numbers are down given the clash with the Federal election.
This week, the number of auctions scheduled to take place across the combined capital cities is expected to fall, with 868 currently being tracked by CoreLogic, down from the 1,218 auctions held last week at final results.
Over the same week, last year a much higher 2,100 auctions took place across the capital cities.
Both Melbourne and Sydney are expected to see a decrease in activity this week, with 398 homes scheduled for auction across Melbourne, while Sydney is set to host 259 auctions, decreasing on the 546 and 445 auctions held last week respectively.
The smaller auction markets will also see a lower volume of homes auctioned week on week with the exception of Perth where more auctions are scheduled and Tasmania where there is no change.
<img src="https://www.urban.com.au/images/2019/5/16/Upcoming%20auctions%20May%2018.JPG" alt="">
The busy auction weekend in Brighton sees <a href="https://www.realestate.com.au/property-house-vic-brighton-131021202" target="_blank">34 Rusden Street</a> (pictured in title) offered.
The property going under the hammer is a three bedroom two bathroom house.
It comes with an indicative price guide of $1,650,000 - $1,750,000.
<img src="https://www.urban.com.au/images/2019/5/16/Brighton%20Upcoming%20Auction%202.JPG" alt="">
Another example of the breadth of auctions taking place in Brighton is <a href="https://www.realestate.com.au/property-townhouse-vic-brighton-131009934" target="_blank">1/31 New Street</a> (pictured above).
The property going under the hammer is a three bedroom one bathroom townhouse.
It comes with an indicative price guide of $900,000 - $990,000.
<img src="https://www.urban.com.au/images/2019/5/16/Brighton%20Upcoming%20Auction%203.JPG" alt="">
A third property going to auction in Brighton this week is <a href="https://www.realestate.com.au/property-house-vic-brighton-131041874" target="_blank">145 Male Street</a> (pictured above).
The property going under the hammer is a three bedroom two bathroom house. 
It comes with an indicative price guide of $2,475,000 - $2,700,000.
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Brighton tied as busiest election weekend auction hotspot

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EXPERT OBSERVER
Under the Coalition’s last desperate roll of the dice, first home buyers will only need a five per cent deposit for a mortgage, compared to the usual 20 per cent. However, this is a short-term gain, for long-term pain in my opinion.
Although it makes it easier to buy now, it also potentially burdens them with larger monthly repayments and the prospect of having to pay thousands more in interest to the bank over the lifecycle of a loan.
Ultimately, we want the younger generations to have a grasp on the property ladder – but we don’t want to see them drowning in debt.
With the most recent ABS data showing a decline in first home buyers entering the market – down 0.5 per cent in March and having fallen 10 per cent from March a year ago – I believe the Coalition’s scheme is dancing around the real issue: housing affordability.
In the final days that they have left to scramble for votes, both the Coalition government and Labor are focusing on the wrong elements to improve accessibility to home ownership, with both suggesting band aid solutions.
Modern politics has basically become a popularity contest – and, unfortunately, the Liberal party’s pitch to young voters is not about the long-term viability of the property market.
By cutting the time it takes to save for a deposit by at least half or more, as they said they would do, they’re attempting to appeal to a disengaged audience.
Labor’s negative gearing policy is divisive and does not hold the solution, either. The narrative that negative gearing concessions only benefit the wealthy is factually inaccurate, as two thirds of beneficiaries have a taxable income of under $80,000 per year.
It’s high time there are bilateral discussions between the main political parties – with a long-term view of how to solve the housing affordability crisis.
DOUGLAS DRISCOLL, is the CEO of <a id="LPlnk409164" href="https://www.starrpartners.com.au/" target="_blank" rel="noopener noreferrer" data-auth="NotApplicable">Starr Partners</a>
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Coalition's last ditch FHB scheme will hurt not help first home buyers: Douglas Driscoll

<a href="https://www.apartments.com.au/developers/consolidated-properties">Consolidated Properties Group</a> (CPG) is approaching the launch of its latest Brisbane riverfront development, Castile, on the dress circle Skyring Terrace in Newstead.

VIP buyers are now being engaged, with a full public sales launch coming later this year.

Positioned as the final opportunity to secure a new absolute riverfront residence on the East bank of Newstead, Teneriffe or New Farm, Castile at 47 Skyring Terrace has been designed by <a href="https://www.apartments.com.au/architects/woods-bagot">Woods Bagot</a> as a timeless addition to the Brisbane skyline.&nbsp;

[smartcode_project:default project_id=150489 project_image_fid=371113]

The name Castile draws on themes of permanence, sophistication and legacy, reflecting a broader vision centred on enduring architecture and timelessness in the rarest of riverfront positions.&nbsp;

CPG Chairman and CEO Don O’Rorke said the project had been envisioned as a future Brisbane icon.&nbsp;

“With 47 metres of direct river frontage and never to be built out views, 47 Skyring Terrace is the definitive address on the Brisbane River,” O’Rorke said.&nbsp;

[smartcode_project:default project_id=150489 project_image_fid=371114]

“Rather than following trend-based apartment design, Castile draws inspiration from Brisbane’s great heritage buildings, reinterpreting classical architecture into a contemporary riverfront landmark designed to stand proudly for the next 100 years,” he said.&nbsp;

The approved development will comprise 227 apartments across a 25-storey tower alongside a boutique six-storey riverfront building of just 12 residences.&nbsp;

Construction is scheduled to commence in September 2026.

[smartcode_project_cta:default project_id=150489]

Joel Robinson

CPG unveils Castile Newstead ahead of upcoming sales launch

Australia’s online shopping habits have shifted dramatically over the last decade. As eCommerce volumes surged, so too did the frustrations that came with traditional parcel delivery: missed deliveries, long Post Office queues, parcel theft and the challenge of being home during business hours.

Australia Post’s Parcel Lockers emerged as one of the more practical responses to that changing consumer behaviour.

What started as a relatively niche delivery option has evolved into a nationwide network of more than 1,400 self-service Parcel Lockers positioned at train stations, shopping centres, supermarkets and Post Offices across the country. The system allows Australians to send, collect and return parcels 24 hours a day, fundamentally changing how many people interact with deliveries.

The appeal is relatively straightforward: flexibility.

Instead of waiting at home for a delivery driver or rushing to a Post Office before closing time, users can direct eligible parcels to a Parcel Locker location of their choice. Once the parcel arrives, Australia Post sends a notification with a collection code or QR access through the AusPost app, allowing customers to retrieve their package at any time within the collection window.

For apartment residents in particular, the system has become increasingly valuable.

Higher-density living has created logistical challenges around deliveries, especially in buildings without concierge services or secure parcel rooms. Missed deliveries are common, while parcel theft has become an increasing concern as online shopping volumes continue to rise.

Australia Post itself has repeatedly highlighted the growing issue of “porch pirates” during peak shopping periods, encouraging customers to use Parcel Lockers as a safer alternative to unattended home deliveries.

That security aspect is one of the key reasons the Australia Post Parcel Locker network has grown so rapidly.

Parcel Lockers are positioned as secure, monitored collection points that reduce the risk of theft while also improving delivery efficiency for Australia Post. Instead of multiple redelivery attempts, parcels can be consolidated into a single secure destination.

The Parcel Lockers themselves are free to use through a MyPost account and support a range of parcel sizes up to 16 kilograms and dimensions of approximately 35 x 44 x 61 centimetres.

Beyond receiving parcels, the system has increasingly become integrated into the broader eCommerce ecosystem.

Customers can now use Parcel Lockers to return online purchases, while retailers have embraced the model as a way to improve delivery success rates and reduce friction in the shopping process. Australia Post has actively expanded partnerships with major retailers and promoted Parcel Lockers as part of a broader out-of-home strategy.

The timing of that expansion aligns with broader changes in Australian shopping behaviour.

The acceleration of online retail during and after the pandemic placed enormous pressure on delivery infrastructure. Parcel volumes reached record highs, particularly during Black Friday and Christmas periods, with Australia Post delivering more than 100 million parcels during peak festive seasons.

That growth forced logistics providers to rethink the “last mile” of delivery, widely regarded as the most expensive and operationally difficult stage of the process.

Parcel Locker systems have increasingly been viewed as part of the long-term solution.

The concept itself is not unique to Australia. Parcel Locker networks have become common globally, particularly across Europe and Asia, where dense urban environments and apartment living create similar logistical challenges. But Australia’s geography and suburban sprawl made adoption slower initially.

Now, however, the convenience factor is driving mainstream usage.

For commuters, Parcel Lockers near train stations allow parcels to be collected on the way home from work. For apartment dwellers, they remove the uncertainty around access and missed deliveries.

The rise of the AusPost app has also streamlined the experience, centralising notifications, tracking and Parcel Locker access into a single platform. Australia Post has increasingly pushed customers toward app-based delivery management, partly as a way to combat phishing scams and fake delivery notifications, which have become more sophisticated in recent years.

The Parcel Locker model is also beginning to influence property development itself.

Parcel management has become a growing consideration in apartment building design, particularly as online shopping becomes embedded in everyday life. Many new residential developments are now incorporating dedicated parcel rooms or Parcel Locker systems into foyers and communal spaces.

For developers, parcel management is increasingly viewed as part of the broader resident amenity offering, alongside gyms, wellness spaces and communal work areas.

That reflects a wider evolution in how residential buildings are designed.

Apartment buyers are placing greater emphasis on convenience, security and operational functionality, particularly in higher-density urban environments. Parcel delivery, once considered a minor operational detail, has become an increasingly important part of that equation.

Australia Post’s Parcel Locker network sits at the centre of that behavioural shift.

What began as a simple alternative delivery option has evolved into a key piece of infrastructure supporting Australia’s growing eCommerce economy and changing urban lifestyles.

And as online shopping continues to expand, the role of Parcel Lockers is likely to become even more embedded in how Australians live, shop and receive goods.

How Australia Post Parcel Lockers changed parcel delivery convenience in Australia

Perth’s new apartment market recorded its strongest quarter of sales since Q4 2021, with 412 apartments sold in Q1 2026 and a record quarterly sold value of $537 million, according to Urbis’ latest Apartment Essentials results.

Urbis said the March quarter result reflects strong, highly product‑specific demand across both ends of the market, from more attainable projects delivering at scale, through to premium stock being absorbed by equity‑rich downsizers.&nbsp;

David Cresp, Partner at Urbis, said the key story in Perth is not demand, it is the market’s ability to convert demand into delivered housing.&nbsp;

“This is the strongest sales quarter since Q4 2021, and it reinforces that demand in Perth is real and it’s local,” David Cresp said. “But the task now is delivery, turning that demand into projects that can actually be built and completed.”&nbsp;

[smartcode_project:default project_id=110291 project_image_fid=302785]

<h2>Affordable product leads, premium demand remains resilient</h2>

Sales in Q1 were led by more affordable projects, with The Boulevard (SKS Group) recording 115 sales in the quarter, the presentation noting this is only the second time a single project has surpassed 100 quarterly sales. The project was able to offer more affordable housing product right next to a train station.&nbsp;

Palmyra West (Finbar) also delivered strong results with 28 sales in Q1, following 84 sales in Q4, with an average price of under $800,000, underscoring depth of demand for well‑located, attainable new stock.&nbsp;

At the premium end, Urbis said downsizer demand is continuing, with the results highlighting Romeo (Applecross, Finbar) recording 75 sales and reaching almost 50% sold in one quarter.

Jual (Shenton Park, Celsius Property) also posted a strong quarter with 28 sales, reaching 39% sold in one quarter.

Urbis noted that Perth apartment demand is not speculative, not investor‑led, and not uniform, describing it as localised, often equity‑driven and highly product‑specific, a pattern reflected in the polarisation between strong “attainable” performers and premium downsizer product.&nbsp;

[smartcode_project:default project_id=148957 project_image_fid=364102]

<h2>Prices underpinned by costs, and the delivery risk is growing</h2>

Urbis said pricing pressure is cost not demand‑driven: construction costs and delivery risk are now a central constraint, with the results noting build costs remain elevated and volatile, and that energy, fuel and labour uncertainty weigh on feasibility.

David Cresp said a growing challenge for private Build‑to‑Sell developers is simply securing a builder in the current environment.

“Developers are really feeling the pressure from a building market that was operating at capacity and securing a builder is challenging,” David Cresp said, adding that even where a builder can be secured, “trying to get to the price that makes the development financially viable is incredibly challenging in the current market.”&nbsp;

Urbis’ broader WA commentary also notes that industry remains at or above capacity with lot and housing creation, and that many builders are limiting new sales to manage stretched workforces and fixed‑price contract pressures, conditions that flow directly into apartment feasibility and delivery timing.

[smartcode_project:default project_id=108869 project_image_fid=317905]

<h2>Supply: improving later, but still constrained, and Perth lags eastern benchmarks</h2>

While near‑term supply remains constrained, Urbis’ forecast shows completions lifting “Supply is forecast to be back above 1,500 apartments per annum for the first time since 2019”, with 1,775 completions forecast for 2026, and volumes remaining above that level over the following years.&nbsp;

Looking further ahead, completions are forecast to reach 2,500 in 2028, with the report noting 32% of that total is social/affordable, reflecting the role of government‑supported delivery in rebuilding the pipeline.&nbsp;

However, Urbis said Perth remains behind comparable markets on pipeline scale. In a national comparison of projects under construction, the report shows under construction Perth Build‑to‑Sell (BTS) at 3,446 apartments versus the Gold Coast at 7,922. Mr Cresp said “The challenge for Perth is how to we grow the delivery pipeline”.

Urbis’ conclusion is that Perth’s market is increasingly defined by product discipline and delivery certainty, with the research identifying “delivery certainty is key” and calling out builder risk and procurement models as core success factors, alongside “timing and staging”.&nbsp;

Perth apartment sales hit strongest pace since late 2021 as builder capacity tightens

<a href="https://www.apartments.com.au/developers/sammut-developments">Sammut Group</a> has secured development approval for its latest Brisbane apartment project, marking the Sydney developer’s next step in expanding its Queensland pipeline following the success of its debut Gold Coast development, Coast.

The approved project at <a href="https://www.apartments.com.au/new-apartments/44-glen-road-toowong-qld-4066">44 Glen Road, </a><a href="https://www.apartments.com.au/developments/toowong-qld-4066">Toowong</a> will deliver a 15-storey riverfront apartment building with 42 residences, significantly increasing the scale of the site’s previous approval for a smaller luxury scheme. Designed by Bureau^proberts, the development will comprise a mix of predominantly four-bedroom and two-bedroom apartments positioned to maximise Brisbane River and city views.

Sammut Director Julian Sammut said the group had been actively searching Brisbane for several years before identifying Toowong as the right fit.

“Brisbane was the right step for Sammut,” Sammut said.

“With the success of Coast we thought we should definitely look to do more in Queensland alone. We then pushed up to look at Brisbane. We've been looking for I'd say two to three years actually and it was hard to find the right location.”

<img alt="Sammut makes Brisbane apartment play" data-entity-type="" data-entity-uuid="" src="https://res.cloudinary.com/dz9xllyip/image/fetch/f_auto,c_limit,w_1440,q_75/https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/field/image/Screenshot%202025-12-23%20at%203.27.14%E2%80%AFPM.png?VersionId=dYAVIL7qdcGA8ojvkslSrLjczXFejSSx" />

Sammut said suburbs including New Farm and Teneriffe were considered before the group ultimately focused on Toowong due to its strong downsizer demographic and limited supply of developable riverfront land.

The site was acquired off-market after what Sammut described as a lengthy negotiation and planning process, with the developer pursuing an uplift to the original approval.

“We are DA approved now which is very exciting,” Sammut said.

“We've had our change approval come through and we've obviously doubled the height, 15 storeys plus rooftop. We've got 42 amazing apartments that are going to be coming to market soon.”

<img alt="Sammut makes Brisbane apartment play" data-entity-type="" data-entity-uuid="" src="https://res.cloudinary.com/dz9xllyip/image/fetch/c_scale,w_580,dpr_2.0,q_auto:good/https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202025-12-23%20at%203.27.26%E2%80%AFPM.png?VersionId=ohkRkY0dIZlqdfME2EZePsCQavRiBadE" />

Bureau^proberts said the design responds to Toowong’s evolving urban character, balancing contemporary apartment living with the area’s established residential identity.

“A place where traditional Queensland living has taken place for centuries; Toowong is seeing a shift of contemporary influence, commercial and retail hubs mixed with well-considered residential offerings – all the while maintaining its character and charm,” the architect noted in planning documents submitted to Brisbane City Council.

The architecture practice said the project’s form was shaped by its riverfront setting, flood considerations, neighbouring building scales, and view corridors.

“They said the mix of four and two-bedroom apartments capture the ‘fundamental qualities of Queenslander living,’ translated into the context of a contemporary subtropical building.”

The development sits just off Coronation Drive within walking distance of Toowong’s retail precinct and the upgraded Regatta ferry terminal, while also benefiting from proximity to the incoming green bridge connection to West End. Sammut said the accessibility and amenity offering were central to the site’s appeal.

The approval adds to growing residential activity along the Toowong riverfront, joining nearby projects including Consolidated Properties’ Monarch Residences and Spyre Group’s ARC Residences.

Sammut secures approval for debut Brisbane apartment development in Toowong

Developer Lanevick is heading back into Sydney’s apartment market after focusing more heavily on the luxury townhouse and terrace sector in recent years.

Lanevick, founded and directed by Steve Maroun, is expecting to receive approval in the coming months for a new apartment development in Gladesville, with the aim to launch it to the market later this year.

The 51-apartment project, designed by Studio Johnston, will comprise a mix of one-, two-, and three-bedroom apartments positioned toward the Hunters Hill downsizer market.

“Traditionally it’s been difficult for people in that market to downsize because there just hasn’t been the right product available,” Maroun said.

“We’re targeting buyers who might have 30 to 40 per cent of their house value sitting in the bank after downsizing.

“They still want good spacious entertaining areas, they still want quality design, but they also want flexibility and the ability to enjoy life a bit more after working hard for a long time.”

The project sits near Boronia Park and within close proximity to the Parramatta River foreshore, an area Maroun says offers more of a Hunters Hill lifestyle than a traditional apartment precinct.

“From a lifestyle perspective, it’s really more Hunters Hill than Gladesville,” Maroun said. “You’re close to the foreshore, close to parklands, and still connected back into the village precinct.”

From level four and above, apartments will capture water views&nbsp;toward Sydney Harbour. Communal amenity will include rooftop entertaining areas, wellness spaces, and a gym tailored toward owner-occupier buyers.

“We’ve really designed these apartments around that buyer coming from the Hunters Hill LGA and what they’re actually looking for in their next chapter.”

The proposed development has also been designed to respond to the changing character of the broader Gladesville town centre, where a growing number of mixed-use and residential proposals are expected to emerge over the coming years.

“Gladesville presented a rare opportunity to deliver a genuinely design-led residential project within an evolving lifestyle precinct, just moments from the growing Gladesville town centre, and we’ve approached the project with a strong focus on architecture, liveability and long-term community value,” Maroun said.

Maroun said Lanevick saw a first-mover advantage within the precinct as planning controls continue to evolve to accommodate greater housing density.

“We think there’s a real opportunity there that hasn’t really been serviced properly yet,” he said.

“There’s going to be a broader evolution of the whole Gladesville village precinct over time, particularly with more activation and mixed-use outcomes.”

The Venus Street proposal will include a commercial and retail component at ground level designed to contribute to that evolving streetscape activation.

“A big part of the thinking was how do you activate that area properly and create more vibrancy and amenity, which is what Hunters Hill has been looking for,” Maroun said.

Lanevick’s focus since 2020 has largely been on smaller-scale luxury townhouse and terrace developments. The developer recently completed Royale Randwick, also designed by Studio Johnston, where prices reached $3.65 million. The project was featured in the UDIA NSW 2026 Professional Development Prospectus and was also named a finalist for Development of the Year.

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Staff reporter

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