<html><body>
A South Australia shopping centre has sold for $10.5 million, representing a yield of 7.25% on a fully leased basis.
Adelaide real estate investor, PPI Funds Management, acquired the Greenacres Shopping Centre via an off-market campaign that saw Savills Australia approach a select number of investors.
Capital Transactions agents Peter Isaksson and Rino Carpinelli brokered the deal on behalf of Graham Investments, achieving a rate of about $3,500 per square metre.
“PPI Funds Management had been eyeing the asset for some time,” Isaksson said.
“They already own the adjacent Coles supermarket and bulky goods site so Greenacres Shopping Centre is a strategic acquisition, as it consolidates ownership of a major metropolitan-district complex to a total site area of about 43,226 square metres.”
Specialty retailers already operating in the centre include H&amp;R Block, Greenacres Surgery medical clinic and National Pharmacies, as well as a BankSA branch.
Carpinelli said the buyer recognised the future upside potential of the property, based on its busy suburban location just 12 kilometres north-east of the CBD. 
Carpinelli said South Australian shopping centres were becoming a popular market among investors, as record sale prices being achieved for shopping centre listings on the eastern seaboard were pricing out local buyers.
 
</body></html>

j.ballantyne1990-6AQqhLzZaK

Savills secures neighbour on shopping spree at SA's Greenacres

<html><body>
The majestic residence at 31 Buccaneer Court, Surfers Paradise has been sold by Sam Guo of Ray White Broadbeach.
It fetched a street record of just under $6 million when sold to a local Chinese buyer.
Pat Worboys, who owns an interior design styling business<a href="http://designready.com.au/" target="_blank" data-saferedirecturl="https://www.google.com/url?hl=en-GB&amp;q=http://designready.com.au/&amp;source=gmail&amp;ust=1524145503271000&amp;usg=AFQjCNFGoLGCbLlt26Dj_VXarq0erK0Igg"> designready.com.au</a>, transformed the home over 18 months.
It was marketed as a picture of functional opulence and timeless beauty, taking inspiration from a classic French chateau with contemporary upstate New York influences.
<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/2018/4/19/BUCC2.jpg" alt="">
The five bedroom home sold to a buyer who fell in love with its classy fittings, position and beautiful presentation.
The waterfront home boasts the finest fittings and fixtures throughout, including imported marble, polished Italian Shivakashi granite, pristine Baltic Oak parquetry floors, forged iron balconies and grand staircase, imported French shutters and Himalayan sandstone.
The latest sale comes on the back of Mr Guo selling <a href="https://maps.google.com/?q=31-33+The+Corso&amp;entry=gmail&amp;source=g">31-33 The Corso</a>, Isle of Capri for $8.8 million off-market to an undisclosed Asian buyer during the lucky Chinese lunar golden week. 
“The Gold Coast has well and truly come of age and it’s great to see such confidence in the luxury market.”
<div>
<div id=":ix" data-tooltip="Show trimmed content"><img src="https://ssl.gstatic.com/ui/v1/icons/mail/images/cleardot.gif"></div>
</div>
</body></html>

French chateau Buccaneer Court, Surfers Paradise trophy home sale

<html><body>
Data released by SQM Research this week has revealed the national residential vacancy rate slipped to 2.1% in March 2018.
The number of rental vacancies Australia-wide fell to 68,964, down from 2.2% in February when 69,727 properties were available.
Capital city asking rents have been pressured in Melbourne where the vacancy rate is just 1.4%.
Brisbane’s vacancy rate fell to 3.2%, down from 3.4% in February, while Canberra’s slipped to just 0.6%, down from 0.8%.
Commentator Peter Warrant noted the vacancy rate for Canberra has fallen from 2.5% in mid-2015 when it was announced in the Barr Budget that there would be significant rate rise and land taxes imposed in the Australian Capital Territory (ACT). While there are rentals on the market, the methodology picks up rental properties vacant between leases for a period of time and acts a viable leading indicator for markets that are tightening or easing.
With investors looking elsewhere, SQM reports that median asking rents for houses in the ACT have increased by +29% over the past three years to $617 per week.
That makes Canberra the second most expensive capital city after Sydney at a $738 per week median asking rent for houses.
<a href="https://4.bp.blogspot.com/-BGm3VeZZ7TA/WtUvDQ7EPOI/AAAAAAAApbk/ZQQmQb6NGrAHb2cNp2ojORGr-fJPI_-SQCLcBGAs/s640/SQM1.jpg" target="_blank">Click to open in new window</a>
<a href="https://4.bp.blogspot.com/-BGm3VeZZ7TA/WtUvDQ7EPOI/AAAAAAAApbk/ZQQmQb6NGrAHb2cNp2ojORGr-fJPI_-SQCLcBGAs/s640/SQM1.jpg" target="_blank"><img src="https://4.bp.blogspot.com/-BGm3VeZZ7TA/WtUvDQ7EPOI/AAAAAAAApbk/ZQQmQb6NGrAHb2cNp2ojORGr-fJPI_-SQCLcBGAs/s640/SQM1.jpg" width="640" height="386" data-original-height="836" data-original-width="1385"></a>
 
In Hobart the chronic shortage of rentals has eased a little over the past two months, if only a little. 
Melbourne has a relatively tight vacancy rate at 1.4%, while in Sydney the vacancy rate of 2.3% is being reflected in relatively flat rents overall, including a slight decline for median house asking rents.
The Perth market continues to pick up steadily from its nadir.
Melbourne’s vacancy rate of 1.4% was steady as was Sydney’s at 2.3%.
But Sydney’s vacancy rate is well up from 1.7% a year earlier, reflecting slightly easier rental conditions in the nation’s most populous capital.
Hobart's vacancy rate inched higher to 0.6% from 0.5%, but a shortage of rental properties still exits there. In Adelaide, the vacancy rate remained tight at just 1.4%.
<table>
<colgroup>
<col width="77">
<col width="87">
<col width="95">
<col width="100">
<col width="95">
<col width="96">
<col width="95">
</colgroup>
<tbody>
<tr>
<td>
City
</td>
<td>
March 2017 Vacancies
</td>
<td>
Vacancy Rate
</td>
<td>
February 2018 Vacancies
</td>
<td>
Vacancy Rate
</td>
<td>
March 2018 Vacancies
</td>
<td>
Vacancy Rate
</td>
</tr>
<tr>
<td>
Adelaide
</td>
<td>
3,108
</td>
<td>
1.7%
</td>
<td>
2,540
</td>
<td>
1.4%
</td>
<td>
2,519
</td>
<td>
1.4%
</td>
</tr>
<tr>
<td>
Perth
</td>
<td>
9,860
</td>
<td>
5.0%
</td>
<td>
8,319
</td>
<td>
4.1%
</td>
<td>
8,221
</td>
<td>
4.1%
</td>
</tr>
<tr>
<td>
Melbourne
</td>
<td>
7,397
</td>
<td>
1.4%
</td>
<td>
7,889
</td>
<td>
1.4%
</td>
<td>
7,479
</td>
<td>
1.4%
</td>
</tr>
<tr>
<td>
Brisbane
</td>
<td>
11,028
</td>
<td>
3.5%
</td>
<td>
10,925
</td>
<td>
3.4%
</td>
<td>
10,246
</td>
<td>
3.2%
</td>
</tr>
<tr>
<td>
Canberra
</td>
<td>
471
</td>
<td>
0.8%
</td>
<td>
495
</td>
<td>
0.8%
</td>
<td>
392
</td>
<td>
0.6%
</td>
</tr>
<tr>
<td>
Sydney
</td>
<td>
10,989
</td>
<td>
1.7%
</td>
<td>
15,581
</td>
<td>
2.3%
</td>
<td>
15,833
</td>
<td>
2.3%
</td>
</tr>
<tr>
<td>
Darwin
</td>
<td>
1,058
</td>
<td>
3.6%
</td>
<td>
989
</td>
<td>
3.3%
</td>
<td>
1,073
</td>
<td>
3.6%
</td>
</tr>
<tr>
<td>
Hobart
</td>
<td>
174
</td>
<td>
0.6%
</td>
<td>
145
</td>
<td>
0.5%
</td>
<td>
191
</td>
<td>
0.6%
</td>
</tr>
<tr>
<td>
National
</td>
<td>
73,554
</td>
<td>
2.3%
</td>
<td>
69,727
</td>
<td>
2.2%
</td>
<td>
68,964
</td>
<td>
2.1%
</td>
</tr>
</tbody>
</table>
SM noted in contrast to the national trend, Darwin’s vacancy rate rose to 3.6% from 3.3% in February.
The vacancy rate in Perth was steady at 4.1%.
Managing Director of SQM Research, Louis Christopher, said the vacancy numbers highlighted tight rental markets in some capital cities, particularly in Canberra and Hobart but also in Melbourne.
“Reflecting the tight rental conditions in Melbourne, asking rents for houses were up by 1.1% over the month to 12 April 2018, while asking rents rose 4.7% over the year.
"We can expect continued strong growth given the high population growth that Melbourne is currently experiencing, creating rental demand.
“In contrast, Sydney’s vacancy rate is above year-ago levels, and as rental vacancies rise, asking rents are falling. Asking rents for houses fell 1.3% over the year to 12 April while asking unit rents increased by just 0.8%.
"Sydney rents could continue to ease this year given its higher vacancy rate,” Christopher said.
Asking Rents
Capital city asking rents rose over the month to 12 April 2018 by 0.5% to $563 a week for houses. Unit asking rents rose 0.2% to $443 a week. Over the year, asking house rents rose by 1.3% while asking rents for units increased by 0.9%.
Asking rents for houses rose the most in Darwin over the month, up by 3.3% to $560 a week, though unit asking rents dropped 2.6%. In Melbourne, asking house rents gained 1.1% to $537 while unit asking rents rose 0.7% to $407 a week.
The asking rent for a three-bedroom house in Sydney remains the highest in the nation at $738 a week while for units it stands at $524. Canberra follows at $617 a week for houses and $439 for units.
<a href="https://www.propertyobserver.com.au/images/2018/4/18/Picture1.jpg" target="_blank">Click to open in new window</a>
<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/2018/4/18/Picture1.jpg" alt="">
 .
</body></html>

Sydney rents could continue to ease this year given its higher vacancy rate: SQM

<html><body>
With approximately 215,000 residents, Wollongong City is the third largest City in NSW.
The population of the entire Illawarra District tops 400,000.
"Although it has the population and local microeconomic factors of its own, the geographic proximity to Sydney is the key measure when determining the main influence on the residential property market," according to the valuation firm, Herron Todd White (HTW).
"When Sydney is hot, it flows on down the coast. When Sydney dries up, so do things down here," HTW's latest report advised.
As Sydney has become more and more unaffordable, Sydney residents are looking further afield - and Illawarra is a place to go to.
Buyers are faced with the decision of paying over $1,000,000 to live in a suburb close to the Sydney CBD or to consider outer suburbs.
With the commute from Campbelltown and surrounds into the CBD being over an hour, this compares favourably with catching the train from Thirroul (one hour 15 minutes) or Helensburgh (50 minutes).
"If proximity to family is not a relevant factor, the decision to pick the Illawarra is an easy one," HTW's April report noted.
CoreLogic reports the median sale price for December 2017 in Helensburgh as $911,000; in Woonona as $920,000; in Corrimal as $800,000.
A Woonona four bedroom house has been recently sold for $950,000 (pictured below).
<a href="https://www.realestate.com.au/sold/property-house-nsw-woonona-127898146" target="_blank">Located at 88 Rixons Pass Rd</a>, the newly renovated house features north facing balcony,  parents retreat with ensuite, second living zone and private courtyard.
It is only moments to Woonona Village, schooling and local beaches, and with easy access to Memorial Drive.
The home also features a coastal outlook from its elevated position.
<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/2018/4/11/woonona.jpg" alt="">
Another offering currently on the market is a Helensburgh three bedroom house which priced at $85,000 to $87,000.
<a href="https://www.realestate.com.au/property-house-nsw-helensburgh-127827242" target="_blank">Located at 24 Hay Street</a>, the cottage style home comes with three generous sized bedrooms, modern kitchen and open plan living and dining.
Extra features include polished floorboards throughout,  yard with covered entertaining area, and lock up garage.
Town centre, parklands, shops and cafes are within walking distance. 
<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/2018/4/11/helensburgh.jpg" alt="">
</body></html>

Sydney market strength remains key to Illawarra performance: HTW

<html><body>
A south-eastern Perth three bedroom house has been sold for $270,000 by mortgagees.
It was offered by Anna Downing from Ray White. 
It last sold at $125,000 in 2002.
It was up for sale in February last year at $380,000 after 260 days on market.
It was also for sale in 2015 for three months at $385,000.
 <a href="https://www.realestate.com.au/sold/property-house-wa-huntingdale-127296698" target="_blank">Located at 48 Alciston Way, Huntingdale</a>, the Western Australian home comes with three bedrooms, separate living area,  galley kitchen and landscape gardens.
It also features polished wooden floors, lined studio and carport.
It is positioned on an 852 square metre block.
According to CoreLogic, the suburb's median house price sits on $385,000.
</body></html>

Huntingdale, Perth three bedroom house sold by mortgagee

<html><body>
Rental rates in Brisbane increased by 1.1% over the first quarter of 2018 compared to a 1.2% increase in rents across regional Queensland.
Brisbane rents were just 0.6% higher over the past 12 months compared to a larger 2.8% increase across regional Queensland, CoreLogic noted.
Gross rental yields in Brisbane have moved marginally lower over the past year from 4.42% to 4.4%.
Outside of Brisbane, rental yields have increased from 5.24% a year ago to 5.27% currently.
Each SA4 region of Brisbane recorded a quarterly increase in rental rates, while over the past year, rents fell across two of the nine Brisbane SA4 regions.
Rental rates have increased at a similar pace to value which has resulted in seven of the nine Brisbane SA4 regions recording no change in rental yield over the past year while they reduced across the remaining two regions.
The housing market performance is much more mixed in regional Queensland however, values have only fallen over the quarter in two regions and in one region over the past year.
Of the 10 regional markets, six have higher yields than a year ago, two have unchanged yields and two have lower yields.
<a href="https://www.propertyobserver.com.au/images/2018/4/18/QLD%20.jpg" target="_blank">Click here to enlarge:</a>
<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/2018/4/18/QLD%20.jpg" alt="">
A Brisbane inner city riverfront apartment on the rental market is priced at $520 a week (pictured below).
<a href="https://www.realestate.com.au/property-apartment-qld-brisbane+city-418063250" target="_blank">The 1604/100 Quay St apartment</a> features two generous bedrooms, modern kitchen and inground pool.
Extra features include ceiling fans, air conditioning and terrace balcony.
Within the walking distance to city, it is only a few minutes to the Palace boutique shopping and restaurant hub.
<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/2018/4/18/quay%20st.jpg" alt="">
</body></html>

Inner city Brisbane rents in mild decline: CoreLogic 

<html><body>
GUEST OBSERVATION
Hosting the Commonwealth Games is about more than just the two weeks of sport for the Gold Coast. Andrew Smith, author of the book Events and Urban Regeneration, observes: “In recent years, major sporting and cultural events such as the Olympic [and Commonwealth] Games have emerged as significant elements of public policy … As well as opportunities arising from new venues, these events are viewed as a way of stimulating investment, gaining civic engagement and publicising progress to assist the urban regeneration process more generally.”
The Gold Coast recently hosted the Commonwealth Games, a record fifth time for Australia. It’s the first time an Australian non-capital city hosted the event.
Another great distinction from past hosts is that the Gold Coast mostly relyied on its existing assets, and the community aspect has generally prevailed: most of the refurbishments and extensions took place one to three years before the start of the Games, meaning the community has already been able to use these facilities.
Not building just for the Games
Only two of the 13 Gold Coast venues are bright new buildings, the Carrara Sports and Leisure Centre and the Coomera Indoor Sports Centre. All the others are either already built or are great natural assets such as the Coolangatta and Currumbin beachfronts.
Even the new venues were completed some time ago. At the Coomera Sports Centre, early site works began in February 2015. Construction was completed in early August 2016, 20 months ahead of the Games.
Similarly, the Carrara Sports Centre was completed in early 2017. The nearly 20,000 square metre venue was available to Gold Coast residents to enjoy more than a year before the Games.
Refurbishment is costly, but looking at the bigger picture it might still be less expensive. A new building usually involves other costs such as building new road access, water and electrical connections, and so on.
The same strategy was implemented for all the refurbishment projects without exception. For example, the aquatic centre is a recycling and expansion of the original 1960s Southport pool. Finished in 2014, it hosted the Pan Pacific Swimming Championships the same year. Although at that time debate about the lack of a roof was raging, being able to test the facility in advance is a luxury that few host cities have had.
<img src="https://images.theconversation.com/files/213313/original/file-20180404-189830-s5fkzu.jpg?ixlib=rb-1.1.0&amp;q=45&amp;auto=format&amp;w=754&amp;fit=clip" alt=""> 
Few Games hosts have had the luxury of trialling venues like the aquatic centre, where refurbishment was finished in 2014. Karine Dupre, Author provided
What about the architectural legacy?
In designing venues, architecture plays a a critical role in delivering a premium experience for athletes and spectators, and thus ensuring the success of the Games.
It’s doubtful any of these buildings will enter into the history of architecture as references or models for future Games. They are not comparable to what has been done, for example, in Beijing in terms of structural innovation (such as the swimming pool or the stadium) or iconic status.
I am convinced, however, that all these buildings display a very good critical approach by their architects.
For example, for the Coomera centre, the choices made by Gold Coast-based BDA architects were fundamental to achieve the flexibility to accommodate up to 7,500 spectators when starting from 350 permanent seats. The truss structure, in allowing a very long span (82 metres by 168 metres for the roof), frees the indoor space from columns and increases flexibility of uses. In the same way, the 23 metres roof clearance frees the volume.
In terms of aesthetic, the choice not to enclose fully the centre at the entrance gives both a lighter perception of the building – despite the use of 600 tonnes of structural steel and 6,000 cubic metres of concrete – and a different look from the traditional box often found for gymnasiums.
<img src="https://images.theconversation.com/files/213373/original/file-20180405-95689-qop95o.jpg?ixlib=rb-1.1.0&amp;q=45&amp;auto=format&amp;w=754&amp;fit=clip" alt="">
Commonwealth Games gymnastics competition is under way at the Coomera Indoor Sports Centre. Karine Dupre, Author provided
The key new facility at Carrara presents some similar characteristics. Because of its central location on the Gold Coast, the idea was that the new centre would contribute to the creation of a sport precinct and to economic development and sport advocacy programs. Knowing that Glasgow had a 17% increase in people doing sport after the Games, it was a reasonable vision to bet on long-term use by locals and not only on the visitors for the brief period of the Games.
Designed by BVN architects, the Carrara centre consists of a street space between two major halls. As the nominated venue for the badminton, wrestling and table tennis programs, it is quite an unexpected arrangement; it does not feel like the traditional sport hall, but more like a place to meet others. The colours and material palette have been used to symbolise the young and vibrant image of the Gold Coast. Again, all these architectural choices come together to provide a memorable experience for visitors and athletes alike.
Within the given budget, the balance between an appealing aesthetic and a long-term legacy has been achieved. Maybe none of these buildings will become international landmarks, but present uses have shown their functionality and benefits for the Gold Coast.
Even if we don’t all agree with the current politics, there is one thing we cannot deny about the Games: architecture has been a tool for enhancing public facilities thanks to a very long-term vision. The social, cultural and economic legacy is already there, since facilities are being used.
Finally, since the Games preparations began, major debates on the Gold Coast concerned new casinos, the Spit redevelopment and the light rail extension. None of these debates caused any real problems for the Games. It is quite an achievement, or the result of a very good communication strategy, but that might be another discussion…
Karine Dupré, Associate Professor in Architecture, Griffith University
This article was originally published on <a href="http://theconversation.com" target="_blank">The Conversation</a>. Read the <a href="https://theconversation.com/building-for-the-community-is-a-win-for-the-gold-coast-games-94413" target="_blank">original article</a>.
</body></html>

What kind of building legacy has the Commonwealth Games left the Gold Coast?

<html><body><div class="page" title="Page 1">
<div class="section">
<div class="layoutArea">
<div class="column">
Hub Australia has announced it has secured its first site in Brisbane.
It is a 3,900 square metre space at 200 Adelaide Street which is part of the Anzac Square heritage complex.
Entering the Brisbane market for the first time, Hub Australia will take three levels at Charter Hall’s AnzacSquare building.
It comes with direct access to Central Station and a rooftop café. 
The new coworking space, opening in late 2018, follows recent announcements regarding new locations at 162 Collins Street, Melbourne (3,500sqm), 1 Nicholson Street, Melbourne (2,700sqm), and the opening last week of Hub Australia’s new Sydney space, some 4,800sqm located at 223 Liverpool Street. 
This will take Hub Australia’s national footprint to over 20,000sqm, said Hub Australia CEO and Founder, Brad Krauskopf.
<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/2018/4/18/Hub%20Aus_Brad%20Krauskopf%20at%20200%20Adelaide%20St.jpg" alt="">
Brad Krauskopf at 200 Adelaide St (pictured above).
John Preece, Chief Property Officer at Hub Australia, commented that while Brisbane is home to 11% of Australia’s citybased population, and 13% of the national CBD office stock, from a coworking perspective only 4% of the national footprint is located here.
"That tells us the market is completely under serviced from a capacity perspective, and there is definitely demand for high quality coworking spaces.”
 
</div>
</div>
</div>
</div></body></html>

Hub Australia secures its first Brisbane co-working site

<html><body>
The Victorian home of Foxtel in Moonee Ponds has hit the market.
The campaign, being undertaken on behalf of owners Charter Hall, is the largest metropolitan office sales campaign so far in 2018.
Comprising 7,105 sqm of net lettable area across four levels, the commercial property at 1-21 Dean Street was purpose built for Foxtel in 2004. It has recently undergone a $1.5 million refurbishment.
It has basement car parking for 67 cars and a 176 bay, two level car park adjacent to the building.
Colliers International agents Peter Bremner, Trent Preece and John Marasco are handling the marketing in conjunction with CBRE’s Neva Courts, Luke Etherington and Josh Rutman,
“This is the largest metro office building to be offered to the market so far in 2018,” Peter Bremner said.
 “It comes on the back of a third consecutive year of $1billion-plus sales in Melbourne’s metro office market and is sure to attract huge levels of interest locally, nationally and offshore from private investors, syndicates and institutions alike.”
Bremner said Foxtel staff love the location and surrounding amenity.
The property is situated around 6km north-west of the Melbourne CBD, adjacent to the south-west corner of the Moonee Valley Racecourse and in close proximity to the Puckle Street retail strip.
Trent Preece said the large 6,641sqm site offered two street frontages and Activity Centre zoning that would allow for a building height of 26 metres.
“There is potential for future residential development, or to build above the current multi-deck car park,” Preece said. 
“The property, and any future development, will also benefit from its location just 100m from Moonee Valley Racecourse which is about to undergo a $2billion re-development over the next decade providing 2,000-plus apartments plus entertainment, mixed use and world famous racecourse hosting the Cox Plate.” 
Expressions of interest close May 16.
 
</body></html>

Victorian home of Foxtel in biggest 2018 metro sale campaign to date

<html><body><div class="page" title="Page 1">
<div class="layoutArea">
<div class="column">
The Melbourne office market upswing is continuing strongly, according to BIS Oxford Economics.
They said net absorption was solid again in 2017 having been backed by strong economic and employment growth in Victoria.
Minimal net additions to stock in the year helped vacancy rates to contract in both CBD and non-CBD markets.
The metropolitan vacancy rate of around 5% is the lowest in almost a decade. Leasing incentives are being scaled back and rents are growing strongly, a recent BIS report found.
BIS did caution however that once rental growth stops – and reverses – yields are likely to correct sharply.
<div class="page" title="Page 2">
<div class="layoutArea">
<div class="column">
“As always, circumstances can change and there's a risk that yields soften sooner than we expect. Investors need to go into the market with their eyes wide open," senior project manager and report author Maria Lee said.
</div>
</div>
</div>
In the investment market, robust demand has pushed yields down – and prices up – further.
Some are concerned that the upswing in prices has run its course, however BIS suggest they do not share this view.
In the company’s latest Melbourne office market reports, it assesses prime grade CBD offices as being fairly valued (in relation to prospective returns) over a five-year horizon, while non-CBD assets are considerably undervalued.
“We’re looking at a prospective five-year IRR of around 10% on average across Melbourne’s non-CBD office markets” says Lee.
Click here <a href="https://www.propertyobserver.com.au/images/2018/4/18/MCOPE.jpg" target="_blank">to enlarge.</a>
<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/2018/4/18/MCOPE.jpg" alt="">
This forecast is based on a continued favourable demand/supply balance that will push vacancy rates lower and rents markedly higher over the next five years –albeit BIS Oxford Economics expects a temporary hiccup in the leasing market around 2019 and 2020 as the wave of development currently under construction comes on stream.
The strong returns forecast comes despite the company’s expectation that rising bond rates will result in softening yields. The critical thing here is the timing.“Certainly, falling bond rates were a key factor in promoting investor interest in property and driving down investment yields” states Lee, acknowledging that “On the face of it, rising bond rates will put upwards pressure on yields.”
However, there are several factors that BIS Oxford Economics considers will offset this impact over the next few years; indeed, near term yields could firm further. Firstly, the extent and timing of rate rises is uncertain. Moreover, the company points to the healthy buffer between office yields and bond rates, and to the lag, historically, before changing bond rates affect yields.
“In addition, and importantly, bond rates aren’t everything," Lee says.
"Investors are not consistent in the importance they attach to bond rates. As we’ve seen in the past, strong rental growth can take over as the driver of firmer yields. That’s what we believe will happen in the early 2020s.”
<div class="page" title="Page 2">
<div class="layoutArea">
<div class="column">
BIS Oxford Economics cautioned that once rental growth stops – and reverses – yields are likely to correct sharply.
“As always, circumstances can change and there's a risk that yields soften sooner than we expect. Investors need to go into the market with their eyes wide open," Lee said.
</div>
</div>
</div>
 
</div>
</div>
</div></body></html>

Melbourne office market going from strength to strength: but BIS Oxford Economics issue warning

The Gold Coast economy has grown by 25 per cent since 2020/21 to surpass $55 billion, but perhaps the more significant story is what sits behind the headline number.

For decades, the Gold Coast has been viewed through the lens of tourism, lifestyle and population growth. The latest State of the City Report suggests that perception is increasingly out of step with reality.

Released by Invest Gold Coast, the report ranks the Gold Coast as Australia's largest non-capital city economy and, perhaps more notably, second nationally behind Sydney for Economic Complexity, a measure that assesses the diversity and sophistication of an economy.

It's a result that places the Gold Coast ahead of Melbourne, Brisbane, Perth and Adelaide, highlighting the extent to which the city's economic base has broadened beyond its traditional industries.

Today, the Gold Coast supports more than 350,000 jobs, is home to over 83,000 businesses and generates $19 billion in annual exports. Manufacturing now accounts for 62 per cent of international export growth, while sectors including health, education, advanced manufacturing, technology and professional services are becoming increasingly important contributors to the local economy.

[smartcode_project:default project_id=150017 project_image_fid=372547]

Gold Coast Mayor Tom Tate said the report confirmed the city's evolution into one of Australia's most significant economies.

"The Gold Coast economy continues to grow at an incredible pace. This is no surprise to those of us who have watched the evolution up close," Mayor Tate said.

"As one of the most entrepreneurial, investment driven and opportunity focused economies in the country our ambition has been realised and possibilities are endless.

"The Gold Coast has built a reputation as the city that says yes. We say yes to investment, yes to opportunity and yes to people who want to build something.

"It's this mindset helping us drive major growth across health, advanced manufacturing, screen production, marine, technology and the knowledge economy."

[smartcode_project:default project_id=149670 project_image_fid=360975]

While population growth has been one of the defining stories of the past decade, the report points to a broader economic transformation taking place.

The city's knowledge economy now contributes $7.9 billion annually and supports around 31,000 jobs, while the health and wellbeing sector contributes $5.2 billion and employs more than 42,000 people. Together, the six priority sectors identified in the report account for almost $24 billion in economic output and more than 145,000 jobs.

One of the strongest examples is the Gold Coast Health and Knowledge Precinct at Southport. The 200-hectare precinct now contains more than $5 billion worth of health, education, research and innovation infrastructure and supports over 16,000 jobs.

The report also highlights the growing role of advanced manufacturing, particularly in aerospace, defence and modular construction.

Gold Coast-based Gilmour Space Technologies recently became the first Australian commercial company to attempt an orbital launch, while companies including Modscape and ModnPods are helping establish the Yatala-Stapylton corridor as one of Australia's fastest-growing advanced manufacturing hubs.

The city's entrepreneurial culture is also translating into business growth.

Since 2019/20, the number of businesses operating on the Gold Coast has increased by 22 per cent, while firms employing more than 200 people have grown by 80 per cent. The report suggests the next challenge is converting more local start-ups and medium-sized businesses into nationally significant companies.

Development activity remains another key indicator of confidence.

There are currently more than $23 billion worth of major projects underway across the Gold Coast, supported by a record 75 active cranes, a figure that now exceeds Brisbane and represents a 150 per cent increase since 2016.

[smartcode_project:default project_id=112024 project_image_fid=343235]

Importantly, the report notes the next phase of investment will need to extend beyond residential development.

While 93 per cent of crane activity is currently tied to housing, Invest Gold Coast argues future investment will increasingly need to focus on cultural, civic, infrastructure and industry-enabling projects that strengthen the city's long-term economic resilience.

Invest Gold Coast Chair Will Hodgman said the city was now benefiting from years of economic diversification.

"What is happening on the Gold Coast is the result of the city's economic base broadening, fuelled by industries with long-term, high-growth potential," Mr Hodgman said.

"This is no longer a secondary Australian economy, the Gold Coast is becoming a globally connected city with deeper capability across health, knowledge and creative industries, advanced manufacturing, technology and exports."

[smartcode_project:default project_id=108274 project_image_fid=365786]

Looking ahead, the Gold Coast's population is projected to exceed one million residents by 2046.

For a city that was once largely defined by tourism and lifestyle, the latest figures suggest the Gold Coast is becoming something more significant, one of Australia's most diverse and economically sophisticated urban economies, and increasingly one that national and international investors can no longer afford to overlook.

Joel Robinson

75 cranes, $23 billion pipeline and a $55 billion economy: Inside the Gold Coast economic boom

Ron Bakir's Homecorp has sold more than 75 per cent of the apartments in its wellness-driven Florence Residences in Surfers Paradise following its first weekend release.

The <a href="https://www.apartments.com.au/new-apartments/florence-residences-24-monte-carlo-avenue-surfers-paradise-qld-4217">26-storey project on Monte Carlo Avenue</a>, which commenced construction earlier this year, has seen a flurry of buyers secure their slice of the Gold Coast's latest wellbeing-focused offering in one of the nation's most competitive property markets.

Since the pandemic, the Gold Coast's population has grown by more than 11 per cent, a rate approximately four times faster than Sydney's, driven largely by lifestyle changes and interstate migration. While buyer activity has moderated in some markets nationally, demand for newly built dwellings on the Gold Coast continues to gain momentum as purchasers increasingly prioritise lifestyle, amenity, wellbeing, liveability and long-term investment potential.

&nbsp;

[smartcode_project:default project_id=150414 project_image_fid=372743]

Homecorp CEO Ron Bakir says buyers today are looking for more than just a home.

"What we are seeing is a shift in how people define value in property," Bakir says.

"What attracts residents to new developments is a desire for more than just a residence. They are looking for a place that complements their lifestyle, supports their wellbeing and reflects the way they want to live into the future.

"Lifestyle, longevity, proactive health, wellbeing, connection and a sense of community are increasingly shaping purchasing decisions, particularly on the Gold Coast, where these factors continue to be a major drawcard."

[smartcode_project:default project_id=150414 project_image_fid=372744]

Bakir says Homecorp is responding to this shift through an approach that places greater emphasis on design, amenity and experience working together to create places that feel considered, connected and enduring in value.

Inspired by Eastern European design, Florence Residences will comprise 120 apartments alongside a private residents-only wellness club featuring a resort-style rooftop pool, hot and cold plunge pools, a spa retreat, contemporary gymnasium, and a spacious yoga and Pilates studio.

The development will also feature a residents-only lounge with private dining facilities and a rooftop bar, premium outdoor entertaining areas, a hotel-style lobby lounge, generous bike parking, and pet-friendly amenities including a heated dog wash.

[smartcode_project:default project_id=150414 project_image_fid=372742]

A limited number of apartments remain available, with an exclusive collection of four-bedroom sub-penthouses set to be released in the coming months.

Florence is one of the latest additions to Homecorp's expanding multi-billion-dollar property portfolio, which also includes plans for a <a href="https://www.apartments.com.au/news/qld/homecorp-lodges-plans-for-260-million-moroccan-bathhouse-inspired-tower-in-budds-beach">$260 million development in Budds Beach</a> tailored to the growing wellness market.

A development application has been lodged for a 27-storey, 156-residence tower at 8–10 Acacia Avenue and 25–27 Oak Avenue, featuring a residents-only Moroccan spa-inspired sanctuary.

Apartments at Florence Residences are priced from $1,249,000, with construction expected to be completed by late 2027.

[smartcode_project_cta:default project_id=150414]

Buyers rush to Homecorp's Florence Residences as Gold Coast wellness trend gains momentum

The NSW Government has expanded its $1 billion Pre-sale Finance Guarantee program, broadening access for affordable housing providers and smaller residential developments as it seeks to accelerate housing delivery across the state.

The Minns Government says the program has already helped bring forward more than 600 homes across Sydney and regional NSW since launching in September 2025, with similar models now adopted in South Australia and Western Australia.

The latest changes, announced by Treasurer Daniel Mookhey and Minister for Planning and Public Spaces Paul Scully, are designed to improve access to finance for projects that have planning approval but are struggling to secure funding.

Among the key changes is an expansion of support for community housing providers. The program will now support up to 100 per cent affordable housing projects valued at up to $30 million when delivered by not-for-profit providers, while support for larger affordable housing developments will increase for projects worth up to $80 million.

The government says the changes will help accelerate the delivery of housing for low-income workers, older people, people living with disability, and those at risk of homelessness, while reducing reliance on direct grants or subsidised loans to bridge funding gaps.

The eligibility criteria for smaller residential developments have also been broadened. The previous $5 million minimum project value threshold has been removed and replaced with a requirement that projects deliver at least four homes.

Support has also increased for projects delivering fewer than 20 homes, with the guarantee now able to cover up to 75 per cent of dwellings in a development, capped at $30 million per project.

The changes are expected to particularly benefit smaller-scale and regional developments, which often face greater challenges meeting pre-sale requirements imposed by lenders.

Treasurer Daniel Mookhey said the scheme demonstrates how government can use its balance sheet to stimulate housing supply without relying solely on taxpayer-funded grants.

"The Pre-sale Finance Guarantee shows how this Government is using its balance sheet to reduce risk and unlock private investment, enabling new homes to move from design to construction faster," Mookhey said.

"This landmark reform allows us to deliver homes for working families at a lower cost to taxpayers, while also maintaining strong financial discipline."

Planning Minister Paul Scully said the program had already proven effective in bringing stalled projects to market.

"The Pre-sale Finance Guarantee has already proven it can unlock stalled projects and accelerate housing delivery by giving lenders the confidence they need to back good developments," Scully said.

"These changes will allow more affordable housing and smaller developments to access support so more homes can be built faster where communities need them most."

Housing Minister Rose Jackson said the expansion would help community housing providers overcome financing barriers that often delay projects.

"We know community housing providers are ready to build more homes, too often they're held back by barriers to finance," Jackson said.

"Expanding the Pre-sale Finance Guarantee helps remove those barriers so more affordable homes can get off the ground sooner."

The announcement was welcomed by the Property Council of Australia, which has long advocated for measures aimed at improving project feasibility and access to finance.

Property Council NSW Executive Director Katie Stevenson described the expansion as a practical intervention that addresses one of the most immediate constraints on housing delivery.

"This is exactly the kind of practical intervention we need right now, focused on getting projects out of the ground, not just approved," Stevenson said.

"It builds on a model the Property Council has worked closely with government to develop following calls for such a scheme ahead of last year's NSW Budget, so it's great to see it being expanded."

Stevenson said the reforms would help unlock projects that are ready to proceed but have been delayed by financing challenges. However, she noted that broader feasibility issues remain a significant barrier to increasing housing supply.

"The biggest challenge in NSW housing today is delivery. Too many projects have planning approval but are simply not financially viable to proceed under current settings," she said.

Speaking at the Property Council's NSW Housing Summit, Housing Minister Rose Jackson acknowledged that feasibility and financing pressures continue to constrain housing delivery, while reaffirming the government's commitment to work with industry on solutions.

Stevenson said the government's recognition of those challenges was encouraging ahead of next week's state budget.

"It's positive to see the government clearly recognising that feasibility pressures are now a binding constraint on supply," she said.

"With the Budget just days away, the focus must be on backing delivery, making sure projects stack up, finance can flow, and more homes can move from approval to construction."

The expanded Pre-sale Finance Guarantee forms part of the NSW Government's broader housing agenda, which also includes planning reforms, the NSW Housing Pattern Book, and a series of rezonings intended to increase housing capacity across the state.

NSW expands Pre-sale Finance Guarantee to unlock more affordable and regional housing

Design-led developer-builder Lowe Living has unveiled its latest residential development, Jardin House, marking its first foray into Melbourne's blue-chip City of Boroondara.

Located a short walk from Camberwell Junction, <a href="https://www.apartments.com.au/new-apartments/jardin-house-by-lowe-living-camberwell-335-camberwell-road-camberwell-vic-3124">Jardin House</a> has been designed to appeal to affluent local downsizers and established families seeking a low-maintenance alternative to the large homes that have long defined Camberwell and surrounding suburbs.

The project will comprise a collection of two and three-bedroom apartments ranging from 92 sqm to 280 sqm, alongside a limited number of penthouse residences featuring rooftop terraces spanning more than 100 sqm, with optional private pools.

&nbsp;

[smartcode_project:default project_id=146717 project_image_fid=372212]

Lowe Living Co-Founder and Managing Director Tim Lowe said Camberwell represented a natural next step for the developer as it expands into some of Melbourne's most tightly held residential markets.

"Jardin House is an important project for our team as it marks the next evolution of our portfolio into different well-established blue-chip pockets of Melbourne," Lowe said.

"Camberwell, with its incredible walkability, family-led neighbourhood feel and superb access to education and transport, makes it a natural choice for us."

[smartcode_project:default project_id=146717 project_image_fid=372227]

Designed by Tristan Wong Architects, with interiors by Hecker Guthrie and landscaping by Acre, the development takes inspiration from the Art Deco architecture that remains a defining feature of many of Camberwell's established streets.

A curved facade, arched openings, textured brickwork and sculpted forms reference the suburb's architectural heritage, while extensive landscaping softens the building's presence and creates a strong connection to the surrounding tree-lined streetscape.

The project will be set behind a secure gated entrance, with residents arriving through landscaped gardens designed to create a transition between the public realm and private residences.

Inside, the residences feature natural stone and timber finishes, full-height glazing, Miele appliances and generous open-plan living areas designed for long-term owner occupation.

[smartcode_project:default project_id=146717 project_image_fid=372225]

While the apartments themselves have been designed to attract discerning owner-occupiers, it is the amenity offering that sets Jardin House apart from many other boutique projects currently launching across Melbourne.

The centrepiece is a 350 sqm private bathhouse curated in partnership with Aurora Spa &amp; Bathhouse founder Lyndall Mitchell.

The wellness precinct includes mineral pools, hydrotherapy experiences, a Himalayan salt room, sauna, steam room, cold plunge pools and dedicated relaxation spaces, creating what Lowe Living describes as a private wellness retreat exclusively for residents.

[smartcode_project:default project_id=146717 project_image_fid=372222]

The collaboration follows Lowe Living's recent partnership with Aurora at Maison Savoy in Brighton, although Jardin House is the first project to incorporate both indoor and outdoor wellness experiences.

Emma Lowe, Co-Founder and Managing Director of Lowe Living, said wellness was becoming an increasingly important consideration for apartment buyers.

"Collaborating with Lyndall Mitchell from Aurora Spa &amp; Bathhouse for a second time is an intentional nod to creating residences that are more than just homes, but a way to enrich the lives of our residents through wellness and longevity," Lowe said.

The amenity offering is complemented by a Technogym fitness studio, residents' lounge, private dining spaces and concierge services.

The launch comes as developers increasingly target Melbourne's established eastern suburbs, where rising land values, ageing housing stock and growing downsizer demand are creating opportunities for boutique apartment projects.

Lowe said the company expects significant generational wealth transfer across suburbs such as Camberwell in coming years, creating further demand for luxury apartment living.

"Camberwell is a blue-chip suburb where homes regularly transact for multiple millions of dollars," he said.

"The generational change of wealth in these locations expected in the coming years is significant, so we see an opportunity to create exclusive residences that appeal to older families and downsizers in order to meet this demand."

Apartments at Jardin house start from $1,195,000. The project forms part of Lowe Living's near-$1 billion portfolio of new developments across Melbourne.

[smartcode_project_cta:default project_id=146717]

Lowe Living launches Jardin House in Camberwell

As <a href="https://www.apartments.com.au/developments/north-sydney-nsw-2060">North Sydney</a> continues its transition from a commercial centre into a more layered residential and lifestyle precinct, a new generation of apartment developments is reshaping expectations around scale, amenity, and long-term liveability.

Improved transport connections through the Victoria Cross Metro, continued investment in dining and public spaces, and a constrained supply of new luxury apartments have sharpened demand for homes that combine proximity to the CBD with the privacy and outlook traditionally associated with harbourside houses.

At 177 Walker Street, <a href="https://www.apartments.com.au/developers/aland">ALAND</a>’s new apartment development <a href="https://www.apartments.com.au/new-apartments/the-walden-north-sydney-177-walker-street-north-sydney-nsw-2060">The Walden</a> enters the market with a distinctly residential approach to high-rise living. The 30-level tower will deliver 161 residences, ranging from one-bedroom apartments through to sub-penthouses and a full-floor penthouse, all oriented to capture uninterrupted views across Sydney Harbour, the Opera House, and out toward the Pacific Ocean.

[smartcode_project:default project_id=134323 project_image_fid=6395]

Designed by <a href="https://www.apartments.com.au/architects/rothelowman">Rothelowman</a>, the project takes advantage of the site’s natural topography and elevated position above the harbour. Rather than relying on density alone, the architecture focuses on outlook, orientation, and spatial flow, with every apartment occupying a corner position to maximise natural light and cross ventilation.

Rothelowman says the site itself shaped much of the architectural response.

“The site has a long history in terms of its inevitable transformation and when we came in, we took inspiration from the idea of reestablishing a sense of the site’s natural terrain and fall. Our scheme aims to integrate with the terrain and the landscape, using the undulating site to slowly reveal glimpses and views of the harbour. The rotation of the tower off grid means every apartment has a view and is naturally cross ventilated. The building's colour palette is quintessentially Sydney, with bronze and sandstone and a luminescent green colour in the glass, making it very earthy and grounded in its location.”

[smartcode_project:default project_id=134323 project_image_fid=6399]

Inside the residences, the emphasis moves toward larger-format living typically associated with standalone homes. Kitchens sit at the centre of the apartments, connecting directly to open-plan dining and living areas before extending outward into expansive winter gardens and balconies. Calacatta marble, bespoke joinery, integrated appliances, and custom metal detailing are used throughout, while three distinct interior palettes, Terrace, Opera, and Harbour, allow buyers to personalise the spaces without compromising the architectural consistency of the project.

The larger residences place particular attention on separation between entertaining and private zones. In many apartments, master suites occupy the outer corners of the floorplates, allowing bedrooms to benefit from floor-to-ceiling glazing and harbour outlooks independent of the living spaces. Dressing rooms and ensuites continue the material palette through fluted detailing, freestanding baths, and layered stone finishes.

Rothelowman says the design intent centred on creating homes that feel enduring rather than transient.

“Our philosophy is all about the way people live in these spaces, and we wanted to create homes that reflect the quality of life in this unique Sydney location. The apartments showcase expansive living spaces that are generous, sophisticated, and bold, with the ability to connect with views throughout each apartment.”

[smartcode_project:default project_id=134323 project_image_fid=353235]

A separate four-storey amenity building known as The Pavilion expands the residential offering beyond the apartments themselves. Positioned alongside the tower, the building consolidates wellness, recreation, and social spaces into a dedicated resident retreat. Facilities include a 20-metre rooftop pool and sundeck, sauna, spa, ice bath, wellness studio, gymnasium, concierge service, wine cellar, residents’ lounge, private dining spaces, and dedicated co-working areas with meeting rooms and boardroom facilities.

The amenity mix reflects the buyer profile emerging in North Sydney, where owner-occupiers and downsizers are increasingly prioritising convenience, apartment scale, and long-term usability over purely investment-driven decisions.

The Walden also represents a significant milestone for ALAND, marking the company’s first major move into Sydney’s inner-city luxury apartment market after more than two decades delivering large-scale residential communities across Greater Sydney. Founder Andrew Hrsto says the Walker Street site stood apart because of both its positioning and its rarity.

[smartcode_project:default project_id=134323 project_image_fid=6390]

“As a company, we had been searching for a site in one of Sydney’s blue-chip locations, spanning the Eastern Suburbs, the Sydney CBD and the North Shore, and when we had the opportunity to purchase this site, we immediately recognised that it could be something iconic.”

At launch, The Walden recorded more than $103 million in sales, with buyers drawn to the project’s harbour positioning, apartment scale, and proximity to the Metro, which now connects North Sydney to Barangaroo in three minutes and Martin Place in five.

ALAND has commenced construction, and is expecting a completion date in 2028.

[smartcode_project_cta:default project_id=134323]

Staff reporter

Editor's Picks

Have something to contribute?

Developments

New apartments

New townhouses

News