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The Mildura region has yet to see a reduction in local buyer demand, but sales volumes are expected to stay low for the next few months, according to the latest rural report from valuation firm Herron Todd White.
Rural industries will most likely wait to see what the medium-term outlook will be on the operation of domestic and export markets, say HTW’s Shane Noonan and Graeme Whyte.
“While Australian agriculture appears to be weathering the COVID-19 period, the main concern is how quickly the global and national economies will recover from the pandemic.”
The long-term continuation of border closures or travel restrictions may have some detrimental impact on sale activity and value levels.
A farming family of Victoria’s Wimmera region recently purchased a grazing holding just over the border in South Australia but are now unable to enter the state and access their property.
According to the report, positive seasonal conditions and forecasts in the Murray Darling Basin are likely to see the temporary water market remain around current levels in the short term.
Recent sales in the region include an 82 ha table grape property in the Euston area and a large dryland cropping holding northeast of Mildura.
Each of these sales show rates per hectare above pre-COVID-19 levels.
The full Herron Todd White 'Month-in-Review' for September can be read <a href="https://static.htw.com.au/HTW-month-in-review-September-2020-Rural.pdf">here</a>.
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j.ballantyne1990-6AQqhLzZaK

Mildura rural property weathers the storm of COVID-19: HTW Rural

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Sydney saw a preliminary clearance rate at 72.2 per cent after 435 reported results were received.
Of these, 67 properties withdrawn from auction and there are further results yet to be be advised from the 610 scheduled auctions on Saturday in Sydney.
One of the big sales saw a non-harbourfront Vaucluse semi (above and below) sell for $5.5 million.
Domain reported the two-bedroom home at 10 Coolong Road, on the market for the first time in 45 years, was knocked down to near neighbour, estate agent Alexander Phillips.
There were nine registered parties who took the bidding at the Sotheby's auction to $2 million over reserve.
<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/2020/9/21/Coolong%202.jpg" alt="">
CoreLogic figures had a 72.4 per cent clearance from the 562 reported results of its 679 scheduled auction tally.
It was up on the previous week's preliminary 70.4 per cent rate which was revised down to 65.9 per cent after late results.
Canberra saw a preliminary clearance rate of 89 per cent after 65 reported results of its 74 scheduled sales.
It was 64 per cent in Adelaide and 61.9 per cent in Brisbane.
There were only 13 auctions scheduled across Victoria on Saturday, with in-person auctions resuming in regional Victoria.
An older-style home in Edithvale sold under the virtual hammer with 84 Rae Avenue fetching $963,500.
It sold to a developer, Domain reported.
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Sydney auction success rates sits in the 70s

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The Melbourne-based Deague family is suing over its recent $3 million investment in a $150 million Brisbane apartment project.
Deague Capital has sued the Australian arm of Alvarium and its local managing director Bernard Treacy.
The Brisbane Times reported a Supreme Court of Victoria writ was filed last month.
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The Deague's investment arm alleges Alvarium informed it of a development opportunity in the Ambrose apartment complex in Milton (above and below) shortly before the envisaged $48 million to $50 construction contract was set to be signed in February this year.
<img src="https://www.urban.com.au/images/2020/9/21/Ambrose%202.png" alt="">
Designed by architects, Cottee Parker, and Glam Studios, the 19-storey development will have 181 apartments.
The Deague investment was $3 million via a cash loan and the purchase of shares.
The Deagues allege they were misled into investing in the project which had a much larger signed $62 million construction cost signed off in July.
Tracey and Alvarium are yet to file their defences in the proceedings, The Brisbane Times advised.
The Brisbane Courier Mail reported in April it was a $150 million project.
It was in July last year when the 19 McDougall Street development got its current approvals.
The pricing was advised as from $400,000 for one-bedders and up to $2.4 million for three-bedroom apartments,
The developer purchased the 2000 square metre site for $12.75 million in 2017.
There has been an initial proposal by Kokoda Property, when it was known as the Obsidian site, in early 2017 with an $87 million estimated value.
Construction had been scheduled on the initial proposal to start in mid-2018 and completed in 2020.
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Deague family sues over Ambrose, Milton apartment investment 

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Victorian land buyers continue to lock in purchases despite the State’s strict lockdowns, with developer and government incentives encouraging many to push ahead despite being unable to visit most estate.
The State’s leading project marketing group Oliver Hume has achieved an average of 70 reservations per week over the last six weeks as a result of new innovative processes for selling land as well as a sales and marketing team that have lead the way in educating buyers virtually.
Oliver Hume has also launched a new $25,000 initiative which matches the Federal Government’s $25,000 Home Builder grant. The $25,000 Perfect Match campaign is available at selected projects marketed by Oliver Hume. Buyers can also utilise Oliver Hume’s new online deposit system which has experienced strong demand during lockdowns.
Oliver Hume Chief Executive Officer Julian Coppini said the new bonus had been in high demand since it was launched in late August.
“While buyer demand has been impacted by the lockdown we are still seeing strong levels of enquiry and sustained sales which has our current sales rate still higher than March, April and May before the HomeBuilder grant was announced,” he said.
“Many buyers have understood the new processes due to being in a lockdown and are happy to rely much more on digital presentations, inspections and communication as part of their purchase decision.”
“Buyers understand the extraordinary nature of the current market and appreciate the opportunity to utilise the support measures and grants from the state and federal governments in conjunction to developers providing attractive offers in market”
“The incentives and grants combined with low interest rates have generated some of the best buying conditions in a generation.”
Mr Coppini said the industry was quickly adapting to managing sales through the lockdowns with buyers becoming more confident navigating the purchase decision in a fully digital environment.
“Oliver Hume is thankful for the ongoing digital transformation it started on years ago as it has been a major benefit to our vendors and purchasers over the last six months. Many of the systems and processes we have put in place will become permanent features in the land buying process,” he said.
Earlier this year, Oliver Hume launched a new digital deposit platform that allows buyers to secure and pay a deposit on their new block of land, without ever visiting a sales office or meeting in-person with a developer representative.
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Victorian land sales are holding up as grants kick in: Oliver Hume

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There are 968 capital city auctions being tracked by CoreLogic this week, increasing on the previous week when 816 auctions were held.
Over the same week last year, 1,983 homes were taken to auction across the combined capitals.
There are 726 Sydney homes scheduled for auction this week, increasing on both last week when 600 Sydney homes were taken to auction, and one year ago, when 646 auctions were held across the city. 
Melbourne auction volumes remain at levels usually only seen over the seasonally quiet early January period with just 14 auctions on the radar this week, compared to 13 last week. Over the same week last year 1,020 auctions were held across the city.
The REIV is expecting about 20 auctions this week, only slightly more than CoreLogic's figures.
Across the smaller auction markets, Canberra is set to hold the most auctions this week (74), followed closely by Adelaide (73). Brisbane is expecting to host 66 auctions, while Perth has 13 auctions on the radar. Once again, Tasmania is set to see just 2 properties up for auction.
<img src="https://www.urban.com.au/images/2020/9/18/CL%20SEPT%2018.JPG" alt="">
Australia’s largest property market is shaking off the cold weather as spring selling season continues to bring in premium stock for the leading agency.
In Sydney’s inner city suburbs, Ray White Surry Hills | Alexandria | Glebe | Erskineville Associate Director Matthew Carvalho said first home buyers have been lining up to inspect 5/191-195 Bridge Rd, Glebe (pictured in title).
The auction will be called by Ray White NSW CEO Jason Andrew. Mr Carvahlo noted that feedback has been at the $1 million to $1.1 million mark.
<img src="https://f.datasrvr.com/f1/220/74656/Petersham.JPG" width="640" data-imagetype="External">
The successful buyers may need to cool off at Bondi Beach after what is expected to be a hot auction 5/312 Bondi Rd.
The two bedroom apartment is being sold through Ray White Woollahra | Paddington Director of Sales Clay Brodie who said he has overseen roughly 100 inspections on the home.
“Buyers are interested in the beachside location but have also been really impressed by the scale and quality of the renovations the owners have done,” Mr Brodie said.
The Bondi Road apartment has a price guide of $1,100,000 and the auction will also be conducted by NSW CEO Jason Andrew.
Ray White Petersham Director Nicholas Arena has also had a huge amount of interest on 38a Constitution Rd, Dulwich Hill (pictured above) after more than 120 groups inspected the four bedroom home. Mr Arena said he is confident of a great result this weekend.
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Spring selling season is starting to show results in Sydney

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The entire ground floor retail component of the new Silk development in Ascot has been sold to one of the Coffee Club founders, Emmanual Drivas for $6 million.
Silk at <a href="https://ecomms.raywhite.com/collect/click.aspx?u=OWFpWUxRYW1kY2dqaUE0aEpRNVRVTjRCS2drZkZzdHEvVUg2UmFFUGNOeWdTazRUYUlkckhaT3dYWTRReFltc1B0WE00TDd5Zk9kd2k0bVJqUERIWnRYN3Z6QmxqVTY4TnlNcVhhcjN5a3I2YXZvWmhFYUluZUNLbjJibGNUUDJDaUYvaDlSdlZBRWgvNG1OYU9TRjlLaEJwajN3RkNxdw==&amp;rh=ff0068e2421fea6fb8e87e3a7e4681e1bc9132ca" target="_blank">118 Racecourse Road</a> is the latest prestige creation of Brisbane’s Geocal Group and Loucas Zahos Architects.
Silk comprises 11 large residential apartments over the two top levels, two levels of car parking, almost 700sq m of first level commercial space and 600sq m of prime ground floor retail space.
The ground floor retail component was sold by Ray White Commercial QLD father and son duo Stephen and Elliot Kidd.
The duo have now completed the sales of the entire commercial floor with all seven assets now under contract or settled.
Mr Stephen Kidd said the Silk development was breathing life back into one of Brisbane’s most prestigious addresses.
“The building is certainly a stand-out landmark for the street, with the sophisticated architecture by local award-winning firm, Loucas Zahos,” Mr Stephen Kidd said.
“One of the real attractions to the building was the opportunity for local businesses to own their own tenancy vs rent, which has led to strong demand for the commercial space. Of the seven tenancies under contract or settled, all of them have been purchased by owner operators.
“The ground floor retail space will comprise a well-known and enhanced local café/restaurant, skin clinic (already trading), and a mix of food and services.”
“The project was officially completed in July and represents a vote of confidence in one of Brisbane’s wealthiest postcodes,” Mr Elliot Kidd said.
Mr Kidd said it showed that developers were still finding ways to create special projects that left a lasting impression and he was looking forward to seeing people at Silk soon.
 
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Coffee Club founder pays $6m for ground floor of Ascot's ‘Silk'

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A growing number of land developers are conspiring to advertise high-risk house and unregistered land packages that hasn’t been titled by local councils.
Inexperienced first-time buyers need to beware before purchasing these properties.
Buyer’s agency DPP Property founder Zaki Ameer warns that when developers promote unregistered land, there’s usually a hidden risk attached.
First-time buyers may be conned into paying deposits for the packages with the aim of utilising the $25,000 HomeBuilder grant, which will finish at the end of this year.
However, in most cases, councils delay title processing on unregistered land, often up to 12 to 18 months.
“So, immediately, [first-time homebuyers] are giving back $25,000 on any savings they might have made on the package”, Ameer said.
Buyers are also locked into the contract until the full payment due date, which could be up to 48 months away, leaving them at risk of being sued by developers and builders if they have to forfeit the land purchase.
Ameer is calling for state governments to tighten land sale regulations, especially to first time home buyers who can easily fall prey to colourful marketing tactics.
The DPP Property founder also hopes governments put an end to delayed settlements.
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First home buyers urged to avoid buying unregistered land

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Sales results from 195 projects representing a sample of 23% of active apartments surveyed across Perth, Brisbane, The Gold Coast, Sydney and Melbourne study areas. 
2,300 projects monitored across all stages of potential new supply.
Data in the second quarter of 2020 (April to June) represents the first full quarter of COVID-19 trading in Australia following measures introduced in March to contain the virus.
Impact on off the plan sales can be seen with the clearance of available stock dropping to 10% as a national average. Whilst this represents a 5 percentage point drop on the previous quarter (which registered 15%), the speed of sale for the quarter remains comparable to the average over the last 18 months (10%).
Prior to COVID19 the apartment market was showing signs of momentum on the back of wider housing market growth. The first signs of impact from COVID-19 are visible in the second quarter, although demand levels have remained at similar levels seen this time last year in Q2 2019 data. 
New Apartment Rents
Data from the Urbis Rental Tracker shows well located new apartments continue to attract a premium over the wider market rent but have also been impacted in the short term by restricted people movement and economic challenges.
New product rents peaked in February in most markets nationally.  Rapid drops in rent were seen in March (6%) and April (3%) as inner-city markets were hit by a halt to in-migration and a spike in listings (average listing volume is 14% up on this time last year).  However, this quickly stabilised in June and July indicating the rental market has been able to adjust to supply and demand conditions rapidly. 
New Apartment Supply
New Project Launches have continued to decline, enabling existing stock to be absorbed. Only 23 new projects launched nationally in Quarter 2 2020 – compared to 60 projects a year ago in Quarter 2 2019.
Data for the first half of 2020 follows a continued downward trend. If the current rate of launches were to continue for the remainder of 2020 this would bring the annual total to around half the volume of projects launched in 2019, which was already half the average of the previous four years.
With the volume launching, in marketing and under construction all diminishing, market attention switches to absorbing newly completed stock. This offers buyers the advantage of viewing the finished product and suits those residents seeking a move in the short term. Owner occupiers were the most active purchaser group in each state surveyed in the quarter.
Across all projects there is an overall reduction in volume selling of 8% compared to this time last year with further reductions in volume to come given the declining launch rate.
Change in volume of apartments selling nationally by project status
While the apartment market adjusts to changing conditions, any associated reduction in housing delivery impacts upon economic activity in the short term and housing supply and affordability in the longer term.  Therefore, we expect stimulus and innovation to be in focus in the year ahead as industry and government seek to sustain housing production throughout the cycle.
This presents opportunities to stimulate build to rent housing supply and more diverse tenure options that help meet the absorption of current stock and affordability needs of customers.
The Melbourne market
Like the national results, speed of sale dropped in Melbourne from 11% of available stock clearing in Q1 2020 to 9% in Q2 2020 as prices held firm.
The apparent resilience of the market, much like the people of Melbourne will continue to be tested throughout the lockdown periods of 2020.
The supply story in Melbourne was mixed for the quarter. The volume of new project sales launches continued to trend down, with only 6 new projects launched in the quarter, compared to a quarterly average of 19 throughout 2019. However, approvals increased in the quarter to levels last seen in Q4 2018.
This bucking of the trend on approvals reflects the proactive response from government in fast-tracking shovel ready projects and the confidence of the development industry in Melbourne’s future.  This is encouraging for supporting future supply as the market recovers ground from the pause on demand placed by border and movement restrictions.
We expect further engagement will benefit housing delivery in this part of the cycle to drive economic activity in the short-term and speed up Melbourne’s response to future changes in demand.
National Build to Rent Insights
There has been an inverse between the build to sell apartment pipeline and that for Build to Rent, with build to sell supply declining and build to rent gaining momentum. 
We have seen decreasing rates of sale of available stock (exacerbated by COVID 19), leading to the increasing supply in apartments. 
Developers are shifting to Build to Rent, as an option to diversify their portfolio and reduce financial risk, while also moving sights quicker while there is minimal traction in the build to sell market.
APARTMENT SALES DOWN IN Q2 BUT SHOWING SIGNS OF RECOVERY New Apartment SalesSales results from 195 projects representing a sample of 23% of active apartments surveyed across Perth, Brisbane, The Gold Coast, Sydney and Melbourne study areas. 2,300 projects monitored across all stages of potential new supply.Data in the second quarter of 2020 (April to June) represents the first full quarter of COVID-19 trading in Australia following measures introduced in March to contain the virus.Impact on off the plan sales can be seen with the clearance of available stock dropping to 10% as a national average. Whilst this represents a 5 percentage point drop on the previous quarter (which registered 15%), the speed of sale for the quarter remains comparable to the average over the last 18 months (10%).Prior to COVID19 the apartment market was showing signs of momentum on the back of wider housing market growth. The first signs of impact from COVID-19 are visible in the second quarter, although demand levels have remained at similar levels seen this time last year in Q2 2019 data. New Apartment RentsData from the Urbis Rental Tracker shows well located new apartments continue to attract a premium over the wider market rent but have also been impacted in the short term by restricted people movement and economic challenges.New product rents peaked in February in most markets nationally.  Rapid drops in rent were seen in March (6%) and April (3%) as inner-city markets were hit by a halt to in-migration and a spike in listings (average listing volume is 14% up on this time last year).  However, this quickly stabilised in June and July indicating the rental market has been able to adjust to supply and demand conditions rapidly. New Apartment SupplyNew Project Launches have continued to decline, enabling existing stock to be absorbed. Only 23 new projects launched nationally in Quarter 2 2020 – compared to 60 projects a year ago in Quarter 2 2019.Data for the first half of 2020 follows a continued downward trend. If the current rate of launches were to continue for the remainder of 2020 this would bring the annual total to around half the volume of projects launched in 2019, which was already half the average of the previous four years.With the volume launching, in marketing and under construction all diminishing, market attention switches to absorbing newly completed stock. This offers buyers the advantage of viewing the finished product and suits those residents seeking a move in the short term. Owner occupiers were the most active purchaser group in each state surveyed in the quarter.Across all projects there is an overall reduction in volume selling of 8% compared to this time last year with further reductions in volume to come given the declining launch rate.Change in volume of apartments selling nationally by project statusWhile the apartment market adjusts to changing conditions, any associated reduction in housing delivery impacts upon economic activity in the short term and housing supply and affordability in the longer term.  Therefore, we expect stimulus and innovation to be in focus in the year ahead as industry and government seek to sustain housing production throughout the cycle.This presents opportunities to stimulate build to rent housing supply and more diverse tenure options that help meet the absorption of current stock and affordability needs of customers.The Melbourne marketLike the national results, speed of sale dropped in Melbourne from 11% of available stock clearing in Q1 2020 to 9% in Q2 2020 as prices held firm.The apparent resilience of the market, much like the people of Melbourne will continue to be tested throughout the lockdown periods of 2020.The supply story in Melbourne was mixed for the quarter. The volume of new project sales launches continued to trend down, with only 6 new projects launched in the quarter, compared to a quarterly average of 19 throughout 2019. However, approvals increased in the quarter to levels last seen in Q4 2018.This bucking of the trend on approvals reflects the proactive response from government in fast-tracking shovel ready projects and the confidence of the development industry in Melbourne’s future.  This is encouraging for supporting future supply as the market recovers ground from the pause on demand placed by border and movement restrictions.We expect further engagement will benefit housing delivery in this part of the cycle to drive economic activity in the short-term and speed up Melbourne’s response to future changes in demand. National Build to Rent Insights There has been an inverse between the build to sell apartment pipeline and that for Build to Rent, with build to sell supply declining and build to rent gaining momentum. We have seen decreasing rates of sale of available stock (exacerbated by COVID 19), leading to the increasing supply in apartments. Developers are shifting to Build to Rent, as an option to diversify their portfolio and reduce financial risk, while also moving sights quicker while there is minimal traction in the build to sell market. 
 
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Apartment sales showing signs of recovery: URBIS

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After four years of record low transactions, culminating in the lows of 2019 where there was a 55 per cent decrease in the number of sales compared to 2005, it’s clear that the property industry needs stimulus to attract buyers and investors back into the market.
REIWA President Damian Collins said the Western Australian property market is an integral part of the state’s economy which provides housing and a regular source of income for the State Government of WA.
“REIWA’s plan for prosperity post COVID-19 outlines recommendations that we believe will help boost the economy and enable more people to enter the property market,” Mr Collins said.
Reform stamp duty to boost WA’s economic recovery
REIWA is calling on the WA Government to commit to a full state tax review and feasibility study of a two-stream revenue collection approach to stamp duty.
“A two-stream approach would allow buyers to decide whether to pay the stamp duty upfront, or whether to opt in for an annual fee for the duration of ownership, with the reduction in upfront costs encouraging more transactions with a significant flow on effect to economic activity,” Mr Collins said.
Introduce a $10,000 stamp duty concession for seniors over the age of 65 to encourage appropriate ‘right sizing’
Not only is stamp duty a hindrance to affordability, it limits household’s ability to make appropriate housing decisions in accordance with their lifestyle choices, changing needs or economic reasons.
“In order to ensure WA has the right mix of housing options and diversity to meet the changing needs of the community, REIWA recommends that seniors’ households should be given the opportunity to right size and free up their existing housing by obtaining a concession on stamp duty costs for their next home,” Mr Collins said.
Formalise the stamp duty rebates for off-the-plan-purchases
“The current 75 per cent stamp duty rebate for buyers of off-the-plan and under construction apartments has been vital in ensuring an ongoing pipeline of projects, which in turn ensures a steady supply of diverse housing and jobs for West Australians.
“If a person bought an off-the-plan apartment prior to the rebate they paid stamp duty on the combined value of the land and the build, compared to a house-and-land package that is taxed solely on the value of the land.”
To keep off-the-plan apartments in line with house-and-land packages, REIWA recommends making the 75 per cent rebate permanent.
Remove stamp duty on the purchase of small businesses
WA is one of three states or territories that continues to collect stamp duty on a business purchase. A buyer who purchases a business to a value of $5 million will be liable for $251,415 in stamp duty.
“If stamp duty was abolished for the purchase of a small business, the potential saving could go towards employing five staff members on a full-time basis or 10 apprentices.
“With businesses facing even bigger challenges due to the impacts of COVID-19, we need to be encouraging people to buy small businesses which will create much-needed jobs, generate additional spending, as well as giving a helping hand to those who need to sell.”
Reintroduce the $7,000 first home owner grant for the purchase of existing dwellings
In 2019, the number of first home buyers reached its lowest levels since 2011 at just 13,653 and of those, 8.285 were for established properties and 5,368 were new homes.
“Allowing first home owners access to the $7,000 grant for established homes could increase their purchasing power and encourage more buyers, resulting in more stamp duty from the trade-up market.” Mr Collins said.
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REIWA's plan for post-covid property prosperity

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EXPERT OBSERVER
The inner-city Brisbane unit market, already hit hard by unit oversupply, continues to remain a huge danger zone for investors since the advent of COVID-19.
Not only is equity risk the major issue for investors, increased vacancy rates and risk to cash flow are also heavily impacting the market.
According to RiskWise Property Research CEO Doron Peleg, things have not improved in the market since the pandemic hit and, if anything, have become worse.
“RiskWise reported in July 2018 that there were 14,813 units in the pipeline in inner-city Brisbane for the next 24 months, being an addition of 20.1 per cent of the current stock,” Mr Peleg said.
“Two years later and there is still a very high level of supply with 5,431 units in the pipeline, making up an addition of 5.9 per cent of the current stock.”
Pete Wargent, co-founder of Buyers Buyers, a national marketplace now offering affordable buyer’s agent services to all Australians, said that rental demand had been weak for CBD apartments for some time.
“The trend has been exacerbated by the pandemic, and CBD rents have been very soft” Mr Wargent added.
Analysis by RiskWise in 2018 showed unit over-supply in inner-city Brisbane had created weakness in the market leading to an elevated level of risk for investors and, therefore, lower valuations and rising defaults on settlements.
“The issue of oversupply is not a new problem and has been there for a few years and the continuous weakness of the unit market in inner-city Brisbane should raise red flags for developers and lenders,” Mr Peleg said.
“Defaults have been rising and will continue to do so.
“One of the key factors has been developers’ lack of foresight regarding unit oversupply as well as the impact of lending restrictions introduced from 2014. It seems there has been no methodological and structured risk-management approach including identification, assessment, and mitigating action plans to address those risks.
“This takes us back to the feasibility stage which includes the assessment of the projected fair market value and the likelihood of defaults and their potential consequences. Developers and lenders must find the right balance between taking risk and making profit.
“COVID-19 has only served to increase the risk. Currently, there are many high-rise properties being offered to a smaller number of investors. This is because there are less investors in the market due to the pandemic.
“The point is that if developers and lenders had put more proper risk-management practices in place, this could all have been avoided.”
Mr Peleg said it must also be remembered the value of off-the-plan property could decrease between the original contract date and settlement resulting in capital loss, as the equity in the home could be reduced, and this was well known in inner-city Brisbane.
He also stressed that investors buying rental apartments unsuitable for families were taking an enormous gamble, with both equity and cash flow risk expected to materially increase. Serviceability is also a major factor for investors who rely on a stable rental income to cover the costs associated with property and particularly the mortgage.
Mr Wargent of Buyers Buyers said houses for investors often carried significantly lower risk for those with the right budget because renters, especially in the more established suburbs, included families and, in many cases, those with permanent full-time jobs. They were also more likely to deliver good medium and long-term capital growth.
Additionally, as rental properties are not fully substitute products with owner-occupied dwellings, there is inherent risk associated with them as they do not appeal to families looking for three bedrooms, with outdoor space, close to schools, transport, and employment hubs.
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Unit oversupply remains an issue in Brisbane CBD: RiskWise's Doron Peleg

Luxury apartment developer Abadeen has recorded $19.25 million in apartment sales across two of its Lower North Shore developments in the lead-up to the end of the financial year, headlined by the sale of a $6.75 million penthouse at <a href="https://www.apartments.com.au/buildings/koyo-crows-nest-5-rodborough-avenue-crows-nest-nsw-2065">KOYO in Crows Nest.</a>

The transactions also included the sale of a newly completed three-bedroom apartment at <a href="https://www.apartments.com.au/buildings/park-residences-cremorne-2-sutherland-street-cremorne-nsw-2090">Park Residences in Cremorne</a> for $6.35 million, with the residence selling shortly after the project's first public inspections following completion.

The sales come as completed, owner-occupier-focused apartments continue to attract strong demand across Sydney's Lower North Shore, particularly from buyers looking for certainty and immediate occupancy.

The penthouse at KOYO spans 491 sqm across a single level and was designed by architect Koichi Takada. The development is one of Abadeen's flagship boutique projects in Crows Nest.

[smartcode_project:default project_id=108800 project_image_fid=370093]

Abadeen Executive Chairman and Founder Justin Brown said buyer activity lifted noticeably in the lead-up to the end of the financial year.

"We saw a clear increase in enquiry levels, inspection numbers and buyer engagement across our completed projects leading into the end of the financial year," Brown said.

"Buyers have become far more decisive over the past six months. The combination of improving confidence, limited supply and the ability to physically inspect completed residences is creating strong competition for premium apartments in the best locations."

Brown says the&nbsp;response to Park Residences following completion has been particularly strong.

"Buyers want certainty and are responding positively to the opportunity to walk through a finished product, inspect the quality firsthand and move in immediately," Brown suggested.

"Projects such as Park Residences and KOYO demonstrate that when the product is exceptional and the location is irreplaceable, buyers are prepared to act quickly."

[smartcode_project:default project_id=114246 project_image_fid=370116]

Abadeen CEO Joe Tack said quality continued to differentiate projects in the current market.

"Today's buyers are incredibly discerning," Tack said.

"They are seeking larger floorplans, premium finishes, walkability, lifestyle amenity and confidence in the developer delivering the project. Well-designed boutique developments continue to outperform because they offer something genuinely difficult to replace.

"The enquiry we are seeing across our completed and recently completed Lower North Shore portfolio is very encouraging, and we expect this momentum to continue into spring."

The sales follow increased enquiry across Abadeen's Lower North Shore portfolio which also includes <a href="https://www.apartments.com.au/buildings/northcote-collective-naremburn-2-northcote-street-naremburn-nsw-2065">Northcote Collective in Naremburn</a> which also completed recently.

Joel Robinson

KOYO penthouse headlines Abadeen's $19.25 million EOFY sales flurry

The City of Sydney has approved plans for <a href="https://www.apartments.com.au/developers/billbergia">Billbergia Group</a> and Metrics Credit Partners’ $3.5 billion Castlereagh Place project in the heart of the Sydney CBD

The towers will be among the tallest in <a href="https://www.apartments.com.au/developments/sydney-nsw-2000">Sydney</a>'s CBD, with more floors than any other residential tower in the city.&nbsp;

The 6,000 sqm site was acquired by the joint venture partners in 2024. It is the largest amalgamated land parcel in the Sydney CBD and comprises eight individual sites fronting Castlereagh, Pitt and Liverpool Streets.&nbsp;

<a href="https://www.apartments.com.au/new-apartments/castlereagh-place-sydney-324-348-pitt-street-sydney-nsw-2000">Castlereagh Place</a> will transform an underutilised city block into a landmark mixed-use destination, anchored by two 82-storey towers comprising 607 luxury residences above an 8-level podium housing a 209-room luxury hotel. A 1,000 square metre civic park on ground level features a curated mix of food, beverage and retail.

The plans have been refined over the past year to rebalance the residential and hotel offering, and reconfigure the retail footprint to create a stronger, more dynamic dining experience.

A three-level flagship building on the prominent corner of Pitt and Liverpool Streets will be the gateway to the Castlereagh Place lifestyle precinct. Set to become a Sydney icon, the building is capable of housing multiple hospitality venues.

“Castlereagh Place is designed to be the City's next great urban oasis - an energetic mixed-use precinct that pulses with life, day and night,"&nbsp;said Joseph Kinsella, Group Director of Billbergia.

"It will bring the vibrancy of places like Barangaroo and Darling Quarter into a more accessible, central destination at the very heart of Sydney."

Kinsella said the project will build on&nbsp;Sydney’s growing laneway culture with the City’s largest network of new activated lanes - an expanded, next-generation take on precincts like Angel Place, Palings Lane and Ash Street in Wynyard.

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Castlereagh Place has been designed by architects <a href="https://www.apartments.com.au/architects/fjc-studio">fjcstudio</a> in collaboration with Trias Studio, Aileen Sage and Polly Harbison Design, joint winners of an international design competition in 2018.&nbsp;

Signature design elements from the original scheme remain unchanged, while the public domain has been significantly enhanced, delivering 60 per cent more open-to-sky space.

Pedestrian access will also be enhanced through new laneways linking Pitt, Liverpool and Castlereagh Streets, drawing people into a new civic park with outdoor seating, landscaping and integrated public art.

With activated laneways supported by strong hospitality offerings, Castlereagh Place is tipped to become a vibrant new dining destination in the heart of Sydney’s CBD.

It marks the largest undertaking to date for the Billbergia and Metrics Credit Partners partnership. Together they are developing other underutilised Sydney sites into mixed-use precincts, including the $2.2 billion Concord Central and the $1.3 billion Chatswood Grand Residences.

Metrics Managing Partner and Group CEO Andrew Lockhart said Castlereagh Place is a landmark project that will redefine Sydney’s skyline.

"As the tallest residential high-rise development, the revitalised site will offer panoramic views across the CBD and surrounds. We are excited to partner with Billbergia to reinvigorate an underutilised site and create a sophisticated and contemporary mixed-use offering situated in the heart of Sydney.”

Total apartments within the towers have increased to 607 dwellings, with a focus on larger floorplans. Aligned to growing market demand, Castlereagh Place now comprises 299 three-plus-bedroom apartments, 198 two-bedroom units and 110 one-bedroom configurations.

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Resident amenities will include an exclusive residents club containing a gym, rooftop pool, dining rooms, co-working spaces, library, golf simulator, games room, cinema room, and access to an exclusive concierge service. There will be around 500 basement car spaces below the towers.

The development will also include a state-of-the-art wellness centre, set to feature a bathhouse with magnesium pools, hot/cold plunge pools and premium amenities.

&nbsp;

According to fjcstudio, the towers will feature distinctive yet elegant architectural design reflecting Sydney’s geometry and urban character, with a network of through-site links and intimate public spaces activating the streetscape.

"Castlereagh Place is a city-making project of significant scale and ambition," said Richard Francis-Jones, Design Director at fjcstudio.

"It will create a rich urban complex of public open spaces, landscaped gardens, and vibrant laneways. Defining these new public spaces and the important streetscape of Castlereagh Street is a sequence of fine-grained, diverse retail and hotel architecture designed in collaboration with Aileen Sage, Polly Harbison Design and Trias.

“Rising above the tree-lined, human-scale streetscape are two slender residential towers that will transform the city skyline and look towards the Harbour, Hyde Park, and the Royal Botanic Garden.”

Demolition and early construction works have commenced onsite at Castlereagh Place.

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Billbergia, Metrics, approved for $3.5 billion Sydney skyscrapers

International developer&nbsp;<a href="https://www.apartments.com.au/developers/spg-land">SPG Land</a> is preparing to re-launch its long-awaited $1.5 billion <a href="https://www.apartments.com.au/new-apartments/paradiso-place-surfers-paradise-103-ferny-avenue-surfers-paradise-qld-4217">Paradiso Place</a> development at Budds Beach, bringing a new price point to the Surfers Paradise apartment market.

The developer will release one-bedroom apartments from $825,000 and two-bedroom apartments from $1.24 million in the three-tower development.

According to Urbis, the starting price for the two-bedroom apartments is more than $400,000 below the weighted average sale price for comparable two-bedroom apartments in Surfers Paradise during 2025, which was pinned at $1.7 million.

&nbsp;

Urbis reported quarterly average sale prices for new two-bedroom, two-bathroom apartments ranged from around $1.2 million to $1.7 million throughout 2025, peaking in the December quarter.

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Paradiso Place is now moving into its formal sales campaign, with a limited early-release opportunity available ahead of the public launch.

The development will comprise 845 apartments across three towers rising 40, 41 and 44 storeys from a 1.15-hectare site spanning an entire city block. The towers will sit above a new retail precinct.

"Paradiso Place represents a rare opportunity in today's market, offering premium apartments at a price point that is significantly more competitive than anything else currently available," SPG Land Sales Director Brad McMahon said.

"When you look at comparable new developments across Surfers Paradise, Main Beach and the Southern Beaches precinct, buyers are typically paying hundreds of thousands more for a similar product.

"The scale of this project and the developer-builder construction model allows us to unlock efficiencies that smaller developments simply cannot achieve. We are passing those benefits directly to buyers, while still delivering a five-star residential experience with an unmatched lifestyle."

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Each of the three towers designed by Rothelowman will have its own podium, connected by an elevated skybridge network to create a beachside village for residents. The resident amenity has been designed to rival a five-star hotel, with private dining rooms, resident lounges and entertainment spaces.

McMahon said the pricing strategy was a deliberate response to the current market.

"What Paradiso Place offers is a unique balance, genuine value within a premium market. Buyers are not compromising on quality, design or amenity, they are gaining access to it at a more competitive price point at a time when prices across the Gold Coast continue to reach new highs."

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Located around 100 metres from the beach and within walking distance of the Surfers Paradise North light rail station, Paradiso Place occupies one of the Gold Coast's most tightly held beachfront precincts.

Construction is continuing to progress, with eight of the project's 112 foundation piles now complete. Excavation has also commenced on the first diaphragm wall panel, with the first concrete poured on 15 June, marking a key milestone in the project's early works program.

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SPG Land launches $1.5 billion Paradiso Place at attractive price point

Luxury developer-builder <a href="https://www.apartments.com.au/developers/lowe-living">Lowe Living</a> has achieved a new Victorian benchmark for an off-the-plan apartment, with the sale of two penthouses at its ultra-exclusive Maison Savoy development in Brighton.

The two penthouses achieved a combined sale rate of $49,926 per sqm. Both transactions eclipsed the previous identified Victorian off-the-plan price-per-square-metre benchmark, set by the 449 sqm apartment at Como Toorak, which sold at $46,659 per sqm.

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<a href="https://www.apartments.com.au/new-apartments/maison-savoy-brighton-150-esplanade-brighton-vic-3186">Maison Savoy</a>, Lowe Living's redevelopment of the former Brighton Savoy Hotel on absolute beachfront land at 150 The Esplanade, Brighton, has gained significant momentum since launching just eight weeks ago. Around 30 per cent of the project's 19 residences have already been secured, generating approximately $45 million in sales.

"Securing two of the three penthouse sales at this stage, within eight weeks of launching to market speaks to the confidence our clients place in Lowe Living," Lowe Living co-founder Emma Lowe said.

"They know we'll be with them through every stage of the journey, and that assurance is something we've worked hard to earn and never take for granted."

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Lowe said Maison Savoy was conceived as a genuine alternative to a prestige Brighton home, combining house-scale proportions with the convenience, security and lock-up-and-leave appeal of apartment living.

Lowe Living co-founder Tim Lowe said the early sales success demonstrated the resilience of Melbourne's prestige market and highlighted the growing demand for house-sized apartments among ultra-high-net-worth buyers.

"The Melbourne market has definitely been tested in recent years, with interest rates and global economic factors all creating a period of uncertainty across the real estate sector. The sales success at Maison Savoy however demonstrates that confidence remains exceptionally strong at the top end of the market.

"The prestige market is being driven by long-term lifestyle decisions rather than short-term market sentiment, which continues to create a level of certainty that befits an absolute beachfront property in a blue-chip location like Brighton.

"Brighton's fundamentals remain among the strongest in Melbourne, with limited new supply, enduring demand from an overwhelmingly local owner-occupier market, and a rare combination of beachfront amenity and proximity to the CBD."

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According to Cotality, Brighton remains one of Melbourne's most tightly held prestige suburbs, with an average ownership tenure of 15.3 years for houses and 12.3 years for units, while more than 73 per cent of homes are owner-occupied.

Tim Lowe said selling two of the project's three penthouses so early in the campaign was an uncommon result.

"This sales result is a reflection of quality and understanding the local market. It's incredibly rare to transact the penthouses so early in a sales campaign in any project so to have sold two of the three penthouses at Maison Savoy so soon after launch, all in-house without any external sales agency appointed, is reflective of our careful consideration of our buyers' needs and lifestyle.

"This is knowledge that is accumulated not just from data and demographic analysis, but via a deeply embedded understanding of how this type of buyer wants to live and feel in their home. We pride ourselves on getting to know our clients personally, and over the last 10 years we have been able to refine our product offering by talking one-on-one with our clients about their design and floorplan preferences.

"Being a fully integrated developer-builder with an in-house design and sales team allows us to lead every part of the process and ensure the highest quality of product and service at every touchpoint. It's a really important part of our DNA and the recent sales success at Maison Savoy indicates that our clients and purchasers are resonating with this point of difference.

"It reinforces that demand remains strong for thoughtfully designed residences that offer rarity, lifestyle and long-term value in tightly held locations, which ultimately validates Maison Savoy's positioning as creating a new benchmark for house-scale, wellness-led apartment living on Brighton's beachfront."

&nbsp;

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The residences at Maison Savoy start from 295 sqm, with most enjoying uninterrupted views across Port Phillip Bay. The project sits moments from the Brighton Bathing Boxes, Royal Brighton Yacht Club, Middle Brighton Baths and Church Street's retail and dining precinct.

A key feature of the development is its private residents-only bathhouse, curated by the founder of Aurora Spa &amp; Bathhouse and modelled on traditional European bathing rituals and the award-winning Sorrento bathhouse.

The wellness offering includes a hydrotherapy pool, salt room, sauna, steam room, cold plunge pool, foot activation zone and a Vichy rainfall bed, one of only a handful in Australia. Residents will also have access to a Technogym studio, lounge spaces and a dedicated concierge service offering everything from morning coffee delivery and restaurant bookings to dry cleaning and home coordination.

"Wellness-led design has become a defining factor for luxury buyers," Emma Lowe said.

"Purchasers increasingly value homes that enhance wellbeing through thoughtful design, private amenity, privacy and liveability."

The penthouse purchasers are now undertaking a bespoke customisation process curated personally by architect Pete Kennon and the Lowe Living team, one of the developer's signature service offerings.

Construction on the $160 million transformation of the former Brighton Savoy Hotel site commenced last month, with completion expected in early 2028. The project has secured funding from NAB alongside development partner Monark.

Just one penthouse remains available, along with a limited number of two and three-bedroom residences starting from $3.75 million.

Lowe Living currently has eight projects on the market across Melbourne and recently celebrated its 10th anniversary, having grown a $1 billion development pipeline alongside a $350 million construction pipeline.

&nbsp;

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Lowe Living set new Melbourne off the plan apartment record

For more than three decades, Hyecorp has been delivering residential projects across Sydney's Lower North Shore, building a portfolio centred on design-led apartment living in some of the city's most established neighbourhoods.

Hyecorp recently launched the latest in its long line of apartment developments, Celine, a 29-storey tower on Archer Street in Chatswood. Like the majority of the developer's projects, Celine caters to a broad buyer demographic, offering a mix of one, two, three and four-bedroom apartments, all designed with owner-occupiers in mind.

Functionality and flexibility are often buzzwords in the new apartment market, but they sit at the core of Hyecorp's design philosophy.

Hyecorp Joint Managing Director Stephen Abolakian says the developer understands it isn't designing apartments for today's needs alone, but for how buyers will live several years into the future.

"When we launch our projects we need to be aware that these developments aren't finished for several years," Abolakian says.

"That home office in the here and now might be a nursery by the time the project completes for a prospective buyer, so we need to think about how the apartment spaces function for future uses so there's longevity in the ownership."

Celine's architects, Fuse, followed the same philosophy, saying the design extends well beyond aesthetics.

"Celine focuses on timeless architectural form and functionality, with a strong emphasis on light, proportion and materiality. The design responds to the urban context of Chatswood while delivering calm, highly liveable interiors that feel both contemporary and enduring. The floorplans have been carefully resolved to maximise usability and outperform typical market offerings in terms of efficiency and liveability."

Most apartments incorporate multipurpose rooms designed for flexibility. Each includes an integrated desk and a standard Murphy pull-down single bed, allowing the space to transition from a home office or study to guest accommodation as needs change. The layouts have also been designed to maximise natural light, storage and overall functionality.

One and two-bedroom apartments feature Miele appliances, while three and four-bedroom residences are appointed with integrated Gaggenau appliances and Taj Mahal stone benchtops.

Buyers who purchase early in the construction process can also take advantage of Hyecorp's "Live Your Way" interior design service, allowing them to personalise finishes and tailor elements of their home to suit their own lifestyle. It's a feature designed to appeal to owner-occupiers who want their apartment to feel uniquely theirs from the day they move in.

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While flexible floorplans have become a hallmark of Hyecorp's apartment design, the developer has also continued to place significant emphasis on resident amenity.

As buyers increasingly expect more from apartment living, shared spaces have evolved beyond a gym and barbecue area. They are now an extension of the home, providing spaces to relax, exercise, entertain and connect with neighbours.

At Celine, the resident amenity has been designed with a focus on wellness, centred on the level six podium. An infinity-edge swimming pool, spa, sauna and fully equipped gym are complemented by barbecue facilities and a residents' lounge, creating a range of spaces for relaxation, recreation and social connection above the streets of Chatswood.

Practical conveniences have also been integrated throughout the building, including EV charging provisions, smart parcel lockers, bicycle storage, a pet wash station and dedicated car wash bays, reflecting the project's focus on making everyday living as seamless as possible.

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"Celine has been designed to deliver a refined residential experience that reflects the evolution of Chatswood into a premium urban centre,"&nbsp;Abolakian says.

"With over 30 years of experience delivering projects across Sydney's Lower North Shore, Hyecorp brings a deep understanding of what local buyers value. Every detail has been considered to balance luxury, functionality and long-term liveability. This is not just about apartments, but about creating a lasting residential address for discerning buyers."

Hyecorp, vertically-integrated builder-developer, is anticipating construction commencement later this year.

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