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First home buyers are struggling to buy property because of a lack of savings, not because of competition from property investors, according to a survey by mortgage broker Loan Market. 

 
In an online survey, its 450 brokers were asked: ‘What is the No.1 issue keeping first home buyers out of the market. 68% of brokers blamed low deposits and savings and 21% blamed a lack of government incentives. 

 
Loan Market director Mark De Martino said that with the property market running hot, first home buyers were competing with other buyers armed with equity and savings. However, with the right preparation and guidance, first home buyers could level the playing field, he said. 

 
“The biggest disadvantage most first home buyers have is they’re often younger and haven’t had the same amount of time to build up equity and savings as those purchasing their second or third homes,” De Martino said. 

 
“What first home buyers need to do early is save for a deposit. A larger deposit doesn't necessarily mean you can borrow more and buy a bigger property, it means you can have equity in your home from day one and also avoid loan costs like lenders mortgage insurance,” he said.  

 
De Martino said most first home buyers at Loan Market were meeting with a mortgage broker before they started inspecting properties. This means they can understand how certain loan products work and the savings they can make if they have a bigger deposit. 

 
“A variety of loan products benefit first home buyers, however, they aren’t all equal and depend on your savings level. The product you initially thought was for you, may not be as competitive if your deposit size changes,” De Martino said. 

 
De Martino stressed the importance of first home buyers getting pre-approval for a home loan before they start their property search. 

 
“Pre-approval gives a first home buyer the confidence to attend an auction and bid on it with the peace of mind that they can afford the property and the repayments,” he said. 

 
Only 6% of the brokers surveyed said property investors were the main reason first home buyers were being kept out of the market. 

 
“Property Investors certainly have the benefit of existing equity in their home and certain tax advantages. First home buyers can best compete with them by building up their savings and deposit sizes,” De Martino said.  
 
 
 
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staylor-63KgDrKwoY

Savings holding back first home buyers

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It’s a case of good news and bad news for eligible Victorian first time property buyers from today.
The first-home owner grant is increasing from $7000 to $10,000 for those buying new homes, but is cut completely for buyers of existing homes.
Along with the boost to new home grants the state government will fast-track stamp duty cuts, bringing them in six months ahead of schedule.
These will increase from 30 to 40% on homes valued up to $600,000. The combination of a $10,000 First Home Owner Grant and stamp-duty cut means buyers of new home for $400,000 or less will save more than $16,500.
Treasurer Michael O'Brien forecasts the move will help create more jobs in the housing-construction sector.
"Targeting the grant to newly constructed homes - whether in regional Victoria, Melbourne's growth corridors or new CBD apartments - will stimulate the economy and create jobs in the construction sector," Mr O'Brien says.
"These measures will promote more housing construction, leading to more employment, greater housing supply and reduced residential price pressure for Victorian families."
First-home buyers looking to buy established property for, say, $450,000 will benefit only from the stamp duty concession worth $7588, which the Government says offsets the $7000 grant previously available.
Last Nevember the Real Estate Institute of Victoria chief executive Enzo Raimondo says the majority of first-home buyers would not receive the grant.
"I think that first-home buyers should be treated equally," he said.
"I understand that the Government is trying to stimulate construction but most first-home buyers buy established homes and it is unfair that they will miss out on the full savings."
“Overall, the cut is good news for those buying their first home and it will be worth an additional $2377 on a home valued at $530,000.  
‘’This will bring the total stamp duty cut on the median priced home from $4754 to $7131,” Mr Raimondo said.
But Mr O'Brien said the changes will boost construction and ease housing pressures.
"We want to see more jobs and we also want to make sure we have more housing stock to meet the needs of a growing population," he says.
Mr Raimondo says first home buyers should realise that homes bought with 60 day settlements are eligible to benefit from the lower stamp duty because they pay stamp duty on settlement – not when they sign a contract.  
“Settlement occurs on the day the balance of the purchase price is paid and the property’s title document is handed over to the buyer.’’  
“This is unlike the First Home Buyer Grant, which applies from the date the contract is signed.’’
From September 1, 2014, all first-home buyers will benefit from a 50% stamp duty concession.
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New financial year brings mixed news for Victorian first-home buyers

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Buyers should be able to pinpoint reasons why a particular property will appreciate in value and, if they can’t, they should give it a miss.  
Perth property researcher Gavin Hegney, founding director of LMW Hegney, says this is particularly relevant now as many older buyers – often through their SMSFs - base their retirement incomes on, hopefully, rising property values.  
Presently, growth in the self-managed super funds and their frequent use as property-buying vehicles – perhaps in over 70% of transactions - has prompted some commentators to say they are helping create a property ‘bubble’.  
While property investing is an acknowledged ‘super’ strategy, it can only be judged on the income a property generates and its increase in value over time.  
Mr Hegney says that, to generate a decent income, a property has to have a good reason to grow in value. Investors should be able to identify that - or those - reasons before buying.  
‘’My thoughts are not so much the volume, but that often the SMSFs are buying the wrong types of properties,’’ he said.  
‘’Regardless of the ownership of the property, be it in a private name or a SMSF, its financial success relies on one thing: that the property goes up in value and that, when combined with the rental return, that it creates wealth for the owner or beneficiaries over time.  
‘’History has shown that, to create wealth during the early and mid section of the property cycle, there must be a realistic and identifiable reason why a property will increase in value, and the owner must have a best guesstimate as to what that value should be.  
Mr Hegney said experience and research can help identify these points.  
He said significant developments in most capital cities will have a knock-on effect on the values of property in surrounding areas. For instance, in Sydney it may be the effect of the Barangaroo development and its flow-on effect to specific pockets of Sydney, or, in Perth, it may be the City Link and waterfront developments and their knock-on effects.  
‘’There are numerous examples in most cities which simply require an identification of major changes and then an answer to the question: ‘What would this property be worth if this new development or infrastructure was in place?’  
‘’One concern I do have is where a SMSF simply buys a new apartment that has very little identifiable reason to increase in value, and then holds onto that property for 10-20 years .  
‘’Typically, that new apartment of, say, $600,000 becomes worth, say, only $450,000 as a 20-year-old apartment in today’s dollar terms.  
‘’That difference in value must be made up in value terms, plus a reasonable growth factor as well, before the owner of the new apartment creates real wealth.  
‘’If it has a real location reason to increase in value it may be worth buying, but, without it then the prospect of real growth may be very difficult.’’  
Mr Hegney said this situation ‘’becomes very interesting’’ considering that SMSFs today control about $200 billion in property investments with gearing of around $2.4 billion.  
‘’If they decided to gear up then this sector could increase over 100-fold in today's dollars. Let’s hope most of them get it right.’’    
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SMSF investors should be able to pinpoint reasons for property rises before they buy

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The Australian Security and Investments Commission’s goal to improve the standard of advice being given to prospective self-managed super fund trustees, has been welcomed by the SMSF Professionals’ Association of Australia (SPAA).
This includes ensuring SMSF advisers have competencies and skills to better inform potential trustees about the suitability of SMSFs to their circumstances, said CEO Andrea Slattery, while outlining her stance on advisor training and education in SPAA’s submission to ASIC.
The SPAA represents professionals providing a range of services in the SMSF field. It is an advocate for the highest professional standards and competence to ensure SMSF trustees receive the best possible advice.
“In line with this, SPAA has consistently argued that the proposed updated training of advisors should include a specialist SMSF topic if advisers wish to provide advice on SMSFs. This is the reason SPAA has built an SMSF profession,’’ Slattery said.
“We are surprised that ASIC had not suggested an additional, specific topic, in light of recent statements and research by them showing concern for advice practices.
“Similarly, it is surprising ASIC has not sought specific SMSF competencies in the updated RG 146 (regulations) when it has concerns regarding the quality of disclosures made to potential SMSF trustees about the risks of being a trustee.
“We believe that including an SMSF topic in RG 146, and recognising it as a specialist area of superannuation advice, will increase professionalism and understanding among financial advisers who advise on establishing and operating SMSFs leading to increased consumer protection.”
Slattery says that improving SMSF competencies towards potential SMSF trustees would be a significant factor in improving SMSF disclosures. “In particular, SPAA’s SMSF professional accreditation program allows consumers to seek specialist SMSF advice to meet their needs,” she said.
<a target="_parent" href="mailto:staylor@propertyobserver.com.au">staylor@propertyobserver.com.au</a>
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SPAA backs ASIC plan to strengthen advice standards

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Leading figures in the retirement property industry say there needs to be more transparency in the sector to attract institutional investment now and in the long term.
Tim Russell, managing director of Retire Australia, said the sector was a poor performer that was being held back by not having a large, publicly listed, sector-specific company in which to invest.
“Some of the institutional capital that has been attracted to the sector has been let down by poor performance,” Russell told UK Property Week in a recent issue.
“Capital is still attracted [to the sector] but there are issues around pricing and transparency.”
According to Russell, the biggest opportunities will come when one of the larger operators lists.
“I hope we will have a large, listed, sector-specific operator in the next few years, as that will increase transparency for investors,” he said.
Russell compares the Australian retirement landscape with that of New Zealand, where he says several large sector-specific operators are on the public market — and all of which, he says, trade at a premium to their asset values.
However, Russell is hopeful that a large retirement operator will list in the next few years, noting that FKP Property Group is considering spinning off and listing its retirement arm and that the interest shown in the small-cap Ingenia shows the appetite is there.
A big challenge for the operators in the sector is moving from providing accommodation and maintenance to also providing care packages.
Derek McMillan, chief executive officer of Australian Unity’s retirement living, said there was great opportunity economically for retirement villages to provide care packages because of the concentration of numbers at each village.
He added that this would give operators another source of income and smooth out bumpy cash flows as a result of having a model that only really made money when units were resold.
He hopes the new federal government will ‘’cut some of the red tape’’ that prevents retirement village operators from providing care.
“It was very frustrating with the last government,” McMillan said. “While they had a philosophical approach towards improving access to care … they made a lot of noise but there was no real movement.”
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Greater transparency in retirement property industry required to attract institutional investment: Retire Australia

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It’s a tale of two cities: Home loan approvals in September were the highest since October 2009 - yet the month had the lowest proportion of first home borrowers in two decades.
Figures from the Australian Bureau of Statistics show that the first quarter of the financial year had 12% national growth in loan approvals over the previous year and 13% year on year growth for September.
This comes on the back of record low interest rates, high clearance rates and a boost in the number of properties for sale.
However, increased investor activity – and a noticeable rise in cashed-up foreigners - has forced first home buyers out of the race, with their numbers falling from 13.7% of buyers in August to 12.5% in September.
The proportion of first home buyers in the number of owner-occupied housing finance commitments is now one in eight - the lowest since data was collected in July 1991, the Real Estate Institute of Australia says. It is far lower than the long-run average of 20.15%, despite eight interest rate cuts since November 2011.
In contrast, owner-occupied finance approvals rose 12.6% for the 12 months to September and investors took out 5.2% more loans in September than in August.  
"With the proportion of first home buyers at historic lows and figures indicating no bubble in lending, the Reserve Bank Board should be taking a ‘steady as she goes’ approach in December," said REIA president Peter Bushby.  
Changes to the first home buyers’ grants - which in Victoria is $10,000 for the purchase of new homes after July 1 this year but none for established homes – is being blamed for keeping first home buyers behind the eight ball. Pressure on them is further compounded by investors having greater equity in existing property and being able to borrow more at cheaper rates - without the need for mortgage insurance.  
But state treasurer Michael O’Brien said loan approvals for new dwellings in Victoria were the highest of any state. "Victoria contributed 29% of national loans for new dwellings in September which is above its population share of 24.8 %.
"The Coalition government is supporting first home buyers by increasing grants for new homes and bringing forward a major cut in stamp duty.
"Since July 1, more than 6,500 new home buyers have received the stamp duty concession, which amounts to almost $36 million in benefits to first home buyers.
"Targeting the first home owner grant to newly constructed homes – whether in regional Victoria, Melbourne’s growth corridors or new CBD apartments – will stimulate the economy and create jobs in the construction sector." He said the move "brings Victoria into line with New South Wales, Queensland and South Australia".
Loan Market director Mark De Martino said that the first quarter of the financial year was off to "a very hot start" with low interest rates and a recovering property market helping boost activity in the home finance space.  
"Nearly every state is showing double digit growth for the first quarter" De Martino said.  
The 51,938 home finance approvals in September were a rebound from the August figures which saw the first month-on-month drop in approvals in 45 months.  
High auction clearance rates this spring point to a continuing upward trend in market activity.  
De Martino said pre-approvals were helping buyers get a ‘leg up’ over the competition at auctions, although he agreed first home buyers were struggling to enter the market. "As the prospective pool of buyers grows, it’s only a matter of time before first home buyers return. 
"They are competing with cashed-up investors and upgraders who have significant equity in their properties. Building a sizable deposit and understanding their borrowing power with pre approval will give them the best chance to compete in this market."  
Number of Home Finance Commitments September 2013: ABS  
<table style="width: 470px;" border="1" cellspacing="0" cellpadding="0"><tbody>
<tr>
<td>
State
</td>
<td>
September 2013 v 2012
</td>
<td>
Quarter v Quarter
</td>
</tr>
<tr>
<td>
NSW
</td>
<td>
9%
</td>
<td>
11%
</td>
</tr>
<tr>
<td>
VIC
</td>
<td>
17%
</td>
<td>
15%
</td>
</tr>
<tr>
<td>
QLD
</td>
<td>
11%
</td>
<td>
12%
</td>
</tr>
<tr>
<td>
SA
</td>
<td>
19%
</td>
<td>
16%
</td>
</tr>
<tr>
<td>
WA
</td>
<td>
11%
</td>
<td>
8%
</td>
</tr>
<tr>
<td>
TAS
</td>
<td>
6%
</td>
<td>
8%
</td>
</tr>
<tr>
<td>
NT
</td>
<td>
-1%
</td>
<td>
-11%
</td>
</tr>
<tr>
<td>
ACT
</td>
<td>
24%
</td>
<td>
23%
</td>
</tr>
<tr>
<td>
Australia
</td>
<td>
13%
</td>
<td>
12%
</td>
</tr>
</tbody></table>
<hr>
<img src="/images/stories/2013/11/06/jc-insights.png" width="140" height="150" alt="jc-insights" style="float: left;">PROPERTY INSIGHTS
<a title="Falling first home buyers numbers the result of state government FHB grant meddling" href="https://www.propertyobserver.com.au/news/falling-first-home-buyers-numbers-the-result-of-state-government-fhb-grant-meddling/2013111166285?utm_source=po&amp;utm_medium=aida&amp;utm_campaign=jonathanchancellor'spropertyinsights">Falling first home buyers numbers the result of state government FHB grant meddling</a>
"The decline in FHB numbers follow the re-targeting of the originating FHB grants and/or stamp duty exemptions across the states to encourage FHBs to buy new homes not established homes."
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Home loan approvals soar while first home buyer proportion sinks

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Vacancy rates across Sydney’s popular inner and middle suburbs have tightened as first home buyers, struggling to afford properties, look to rental accommodation.
The October 2013 Real Estate Institute of New South Wales Vacancy Rate Survey shows availability across the Sydney metropolitan area is steady at 1.7%.
REINSW president Christian Payne said the rate was the lowest the middle suburbs had experienced in 18 months. "It is yet another indicator of how the abolition of incentives on existing properties for first home buyers is causing issues across the marketplace."
Other figures are:
• Inner suburbs (0-10 kilometres from the CBD) are down 0.1% to 1.7%
• Middle suburbs (10-25 kilometres from the CBD) fell 0.2% to 1.6%
• Outer suburbs (more than 25 kilometres from the CBD) are up 0.2% to 1.7%
"First home buyers who can’t afford to buy their dream homes are putting substantial pressure on the
rental market," Payne said.
"Middle suburbs, including Auburn, Burwood, Hunters Hill, Parramatta and Ryde are some of the hardest places to find accommodation in Sydney."
Outside Sydney, the Hunter fell 0.1% to 2.9% despite Newcastle’s increase of 0.7% to 2.4%. The Illawarra remained steady at 2.0% even though Wollongong’s vacancy rate rose 0.4% to 2.3%.
In regional areas, Albury is the hardest place to find rental accommodation after a decline 0.2% to 1.8%. Orana, which had previously held the title, jumped 0.6% to 1.9%.
Northern Rivers’ availability rose 0.2% to 3.1% and New England was up 0.5% to 2.9%.
Meanwhile, the easiest place to find rental accommodation in the state is the Central West after a rise of 0.3% to 4.1%. South Eastern NSW added 0.5% to 4.0%. Coffs Harbour’s availability leapt 0.8% to 3.8%.
<a target="_blank" href="mailto:staylor@propertyobserver.com.au">staylor@propertyobserver.com.au</a>
 
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Struggling first home buyers pushing down Sydney's inner and middle suburb vacancy rates

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Cedar and lush grazing land attracted the early settlers to Wollongong in the early 1800s, but coal mining and the establishment of heavy industry 100 years later laid the framework for the city’s future.
Now – post job shedding as steel industry tariff cuts bit hard - the city of 292,000 has established a niche for itself as a broad-based industry, university and tourism town ready for a new chapter.
And <a target="_blank" href="/news">Wollongong</a> is holding its own in the property market despite fears that prices would tumble in a high-unemployment period.
Dr Andrew Wilson, of Australian Property Monitors, said the city – NSW’s third largest – had shown resilience despite the job-shedding issues in the steel industry in the nineties which were supposed to be significant. "It seems to have picked up Sydney’s energy with solid prices that appear to be rising," he said.
"Regional areas often tend to follow price cycles, reflecting the economic draw-downs flowing from big cities, and this seems to be happening at Wollongong, whereas there were expected to be problems."
Wilson said government compensation to soothe the effects of job losses had helped moderate fallout. "Wollongong is an emerging lifestyle market, too," he said, pointing to the cliff-side weekenders north of the city. "That’s part of the real estate market driver."
Covering 714 square kilometres on a narrow coastal strip bordered by the Royal National Park to the north, Lake Illawarra to the south, the Tasman Sea to the east and the Illawarra escarpment to the west, the name Wollongong originated from the Aboriginal word woolyungah meaning five islands.
According to the city’s public records, Aboriginals lived there for at least 30,000 years, with Wodi Wodi their tribal name. In 1815 a doctor, Charles Throsby, drove cattle down from the Southern Highlands to a lagoon of fresh water near South Beach, beginning permanent European settlement.
The area's first school was established in 1833 (Wollongong City Library), and a year later the Surveyor-General arrived from Sydney to lay out the township of Wollongong on Dr Throsby’s property.
The steel industry began in 1927 when Charles Hoskins entered into an agreement with the state government to build a steelworks at nearby Port Kembla. Operations began in 1930 with a blast furnace of 800 tons capacity. In 1936, BHP acquired Australian Iron and Steel Limited and production at Port Kembla increased rapidly. The steel industry was a catalyst for growth for many decades, and laid the foundations for the city's economy, lifestyle and culture.
But changing economics meant diversification became the key to the city’s future, with construction of the Sea Cliff bridge to the north adding focus to the tourism industry, and information technology, hospitality, health services and telecommunications becoming key industries in the region. The university has 22,000 students.
These far-sighted measures have laid the foundations for a resilient property market. Paul Abrahams, of Century21 Wollongong, said the city was having "record sales across the board" – especially in the sub-$400,000 price bracket.
"We’ve had properties selling within two weeks of opening," he said. “I’ve even sold one at the first open house."
Properties selling for under $300,000 are "walking out the door; those around $400,000 are taking a bit longer to move and those $700,000-$1 million are taking their time". Abrahams said buyers of this latter range can afford to be choosy: they know the costs of buying and selling – up to $100,000 - and might choose to put in a new kitchen or install a pool.
The large number at open-for-inspections – 12 people here; 14 there – puts pressure on potential buyers and pushes up prices. People are scared of missing out.
A common denominator is the high number of investors - perhaps three quarters of the total – and they’re mostly from Sydney. "They point to the minimal time taken to get here – about an hour and 15 minutes for the 82 kilometre trip – as well as the beautiful scenery and the beaches. And Sydney is very expensive."
Abrahams said the government had "got it wrong" giving incentives to investors rather than making it easier for first home buyers to get into the market. "The first home buyers are almost gone now," he said. "They used to get a $7000 grant and were exempt from paying stamp duty, which meant they needed less to buy a home and were at least in the race with investors who already had equity and who could arrange cheaper interest rates and lock them in."
He said giving grants to first home buyers of new property was "doing it the wrong way around".
"New homes take too long to build: you’ve got to clear the land and seal roads and they’re always a long way from infrastructure such as schools, roads and transport.
"The government shouldn’t worry about the more established buyers because they doing ok already: assisting them is going the wrong way about it because they don’t need handouts, whereas young people are battling with lower wages and job insecurity," said Abrahams.
 
staylor@propertyobserver.com.au
 
 
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Suburb spotlight: Wollongong's resilience attracts interest

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Would you? Could you? Perhaps you have already ...
Falsify your address just to get your little ray of sunshine into the family’s school of choice, that is.
Some parents do it; others scheme about it and those secondary schools in their sights – such as McKinnon, Balwyn and Canterbury Girls' – put strategies in place to make sure it doesn’t happen (often).
The pressure on some high-achieving parents to get children into schools of choice leads them to drastic measures. Some are said to fudge their addresses by bribing relatives, others change their mobile phone billing data, some wealthy parents buy a second property – with no intention of living there – just so they can have a postal address for school documents. Others make false statutory declarations – or rent properties for six months and then leave them vacant.
It seems nothing is too much trouble when a place in a class in the best school is on the line.
Getting in on the front foot, McKinnon Secondary College says it "strongly advises prospective parents to contact the college before securing a leased property, or purchasing a property, to discuss enrolment options."
It’s a serious issue with strict criteria, such as the <a href="https://www.mckinnonsc.vic.edu.au/the-mckinnon-zone/" target="_blank">boundaries designated by McKinnon Secondary College</a> (pictured below).
<img src="/images/stories/2014/01/21/mckinnon-jan-21-one.jpg" alt="mckinnon-jan-21-one" height="458" width="470">
Source: McKinnon Secondary College
Only houses on the inside of boundary roads are deemed to be in-zone. If the zone is amended, the school says it will signal changes on its website and in the local press.
Enrolling students must live with their parents. Staying with a relative or friend does not qualify a student as a "resident". And guardianship is not a criterion for enrolment unless supported by relevant papers endorsed by the Family Court of Australia.
Balwyn High School says its expectation is that a family will remain permanent residents within the zone for the duration of their child’s education. It says it cannot guarantee a child’s continuing enrolment if their residential status changes during that time.
It has been a long-term requirement that new enrolments sign a residency declaration stating the family’s intention to remain permanent residents in the zone as long as their child is enrolled there.
The purchase of property in certain areas to guarantee entry is taking its toll on some schools who simply cannot find a place for them. Balwyn High School says it is "constantly liaising" with the Department of Education and Early Childhood Development regarding its "acute accommodation problem". It says it is investigating the possible placement of new students into other government schools as a means of alleviating its "accommodation crisis".
But Victorian Education Department spokesman Liam Carter said there was no review and no state government policy in place to prevent parents falsifying information for school enrolments. "It’s not much of an issue in Victoria as most schools take students from out of their zones anyway," he said. "Only a few schools have specific zones and they manage the issue themselves."
As an aside, he said he had heard of one principal who would go around to addresses he was sceptical of and check that a certain student did, in fact, live there. This is verified by an entry on the McKinnon Secondary College website stating: ‘’ Documentary proof of residence is required, and applicants may be personally visited without warning to verify habitation claims.’’
That’s one way to check. Other ways include providing evidence of the purchase of a property in the zone or a property lease from a licensed real estate agent for at least 12 months. The property and lease must be under the parent's name. Copies of a driver's license, utility bills – all in the parents’ names - are other items asked for as proof of address.
Article continues on next page. Please click below.
 
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School zoning is also a dividing feature in the UK where a Parent Power survey, commissioned by education charity Sutton Trust, found a third of professional parents deliberately moved to an area with good schools, while one in five moved to the catchment area of a specific school.
The claims were made in the Mail Online which found that one-in-20 parents could afford to buy a second home just to use the address when applying for enrolment. This was more than double the 2% among parents in general.
Around 6% – double the average – admitted using a relative’s address on application forms. And one in 10 said they had started going to church to get their child into a faith school compared with one in 16 among parents in general.
And one in 20 – 5% - said they bought a second home to use the address when applying for a place at a specific school. This is more than double the 2% among parents in general.
Hocking Stuart Bentleigh’s Fran Harkin said property was "definitely more expensive" in the McKinnon school zone which reflects the fact that parents will pay more for the privilege of sending their children there. Salesman Anton Zhouk said anecdotal evidence was that some parents bought second properties in the zone for a legitimate address to present to the school regarding their child’s enrolment.
"You hear of it going on but, of course, it’s never talked about," he said. "Some buy land - without a house on it - just to qualify."
"The zoning requirements have a marked effect on prices," Zhouk confirmed. "Centre Road divides the zone and properties on the ‘right’ side may cost $150,000 more. It’s certainly a good selling point."
Melissa Ryan, of Hodges Bentleigh, said "very specific buyers, such as the Chinese, come to Australia to give their offspring a quality education" and this has a big effect on school zone land prices.
"They want their children to stand out amongst the rest and an Australian education has cache. So, in order to get their children into a good school, they will pay extra for it."
Ryan said the value of the Aussie dollar played a part in their strategy. "When the dollar was high Chinese buyers left the market, so that houses in the school zone were selling for less than those outside. Now, with the dollar low, they are back in."
The return of the Chinese is certainly affecting prices, with Ryan saying they were "even outbidding developers" on property where the minimum to buy in is around $1 million. "Over the past two years – when the dollar was high - this has not been the case."
Agent sbelieve that buyers of Asian origin – who make up 80%-90% of buyers in the area – are especially keen to send their children to select schools. Many can afford to pay cash for their new homes.
Ryan said the McKinnon/Bentleigh market was strong. "This time of year people buy cars and houses. Anything that is still on the market is being snapped up quickly."
John Pollard, of Woodards Bentleigh, said school-catchment zones "had a huge pull" on buyers and put a 10% premium on sale prices. "And it is usually the starting point of the marketing campaign."
Pollard said planning ahead could pay dividends. He said a Chinese couple from Thomastown with a pre-school age daughter recently bought a rundown property in McKinnon – in the school zone, of course – planning to rent it out until their daughter is ready for year 7, when they will move in.
NSW schools are equally strict about their enrolment criteria. Popular Willoughby Girls’ High School in the inner north lists ‘residential proximity’ as the main criterion for entry, with proof of a student's address to include originals of different documents, such as a council rates notice or residential lease and electricity bills with their parents’ names.
The school lists nearby suburbs in priority order according to their distance from the school, which is defined as a straight line point to point from the school to the nearest point on the suburb boundary. Parents can access a <a href="https://www.wghs.nsw.edu.au/WGHS/assets/File/Residential%20Proximity%202%5b1%5d(1).pdf" target="_blank">residential proximity</a> map to see how far they are from the school.
Artarmon Public School – a few minutes away on Sydney's lower north shore – is reportedly the fifth-best primary school in the state. And that’s a sound reason for parents to buy in the suburb, says Jason Georges, of Ray White Willoughby. "There are only a limited number of streets in the catchment and property there is always in demand, with three bedroom houses usually going for around a million dollars."
Killara High School – like all NSW public schools – has enrolment criteria insisting that children are designated to a particular school based on the permanent residential address of their primary caregiver.
It has to - as one of the few non-selective public schools to rank in the top 100 high schools in the state it has massive enrolment pressures.
The president of the Parents and Citizens Association, David Jordan, told Fairfax newspapers that growing housing density was putting huge pressures on the school. "You're getting a massive increase in population in the area but there's no money going into infrastructure in the schools. Basically, the school was designed for about 900 students. It's over 1500 now. We just can't afford to have out-of-area kids."
In 2002, only about half the students at Killara came from the local area. Now it is nine out of 10, he said.
<a target="_blank" href="mailto:news@propertyobserver.com.au">news@propertyobserver.com.au</a>
 
 
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School zones: How far would you go to get into the best schools?

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Would you? Could you? Perhaps you have already ...
Falsify your address just to get your little ray of sunshine into the family’s school of choice, that is.
Some parents do it; others scheme about it and those secondary schools in their sights – such as McKinnon, Balwyn and Canterbury Girls’ – put strategies in place to make sure it doesn’t happen (often).
The pressure on some high-achieving parents to get children into schools of choice leads them to drastic measures. Some are said to fudge their addresses by bribing relatives, others change their mobile phone billing data, some wealthy parents buy a second property – with no intention of living there – just so they can have a postal address for school documents. Others make false statutory declarations – or rent properties for six months and then leave them vacant.
It seems nothing is too much trouble when a place in a class in the best school is on the line.
Getting in on the front foot, McKinnon Secondary College says it ‘’strongly advises prospective parents to contact the college before securing a leased property, or purchasing a property, to discuss enrolment options’’.
It’s a serious issue with strict criteria (take in map <a href="https://www.mckinnonsc.vic.edu.au/the-mckinnon-zone/">https://www.mckinnonsc.vic.edu.au/the-mckinnon-zone/</a>): Only houses on the inside of boundary roads are deemed to be in-zone. If the zone is amended, the school says it will signal changes on its website and in the local press.
Enrolling students must live with their parents. Staying with a relative or friend does not qualify a student as a ‘’resident". And guardianship is not a criterion for enrolment unless supported by relevant papers endorsed by the Family Court of Australia.
Balwyn High School says its expectation is that a family will remain permanent residents within the zone for the duration of their child’s education. It says it cannot guarantee a child’s continuing enrolment if their residential status changes during that time.
It has been a long-term requirement that new enrolments sign a residency declaration stating the family’s intention to remain permanent residents in the zone as long as their child is enrolled there.
The purchase of property in certain areas to guarantee entry is taking its toll on some schools who simply cannot find a place for them. Balwyn High School says it is ‘’constantly liaising’’ with the Department of Education and Early Childhood Development regarding its ‘’acute accommodation problem’’. It says it is investigating the possible placement of new students into other government schools as a means of alleviating its ‘’accommodation crisis’’.
But Victorian Education Department spokesman Liam Carter said there was no review and no state government policy in place to prevent parents falsifying information for school enrolments. ‘’It’s not much of an issue in Victoria as most schools take students from out of their zones anyway,’’ he said. ‘’Only a few schools have specific zones and they manage the issue themselves.’’
As an aside, he said he had heard of one principal who would go around to addresses he was sceptical of and check that a certain student did, in fact, live there. This is verified by an entry on the McKinnon Secondary College website stating: ‘’ Documentary proof of residence is required, and applicants may be personally visited without warning to verify habitation claims.’’
That’s one way to check. Other ways include providing evidence of the purchase of a property in the zone or a property lease from a licensed real estate agent for at least 12 months. The property and lease must be under the parent's name. Copies of a driver's license, utility bills – all in the parents’ names - are other items asked for as proof of address.
School zoning is also a dividing feature in the UK where a Parent Power survey, commissioned by education charity Sutton Trust, found a third of professional parents deliberately moved to an area with good schools, while one in five moved to the catchment area of a specific school.
The claims were made in the Mail Online which found that one-in-20 parents could afford to buy a second home just to use the address when applying for enrolment. This was more than double the 2% among parents in general.
Around 6% – double the average – admitted using a relative’s address on application forms. And one in 10 said they had started going to church to get their child into a faith school compared with one in 16 among parents in general.
And one in 20 – 5% - said they bought a second home to use the address when applying for a place at a specific school. This is more than double the 2% among parents in general.
Hocking Stuart Bentleigh’s Fran Harkin said property was ‘’definitely more expensive’’ in the McKinnon school zone which reflects the fact that parents will pay more for the privilege of sending their children there. Salesman Anton Zhouk said anecdotal evidence was that some parents bought second properties in the zone for a legitimate address to present to the school regarding their child’s enrolment.
‘’You hear of it going on but, of course, it’s never talked about,’’ he said. ‘’Some buy land - without a house on it - just to qualify.’’
Cashed-up Asians – who make up 80%-90% of buyers in the area – are especially keen to send their children to select schools. Many can afford to pay cash for their new homes.
‘’The zoning requirements have a marked effect on prices,’’ Zhouk confirmed. ‘’Centre Road divides the zone and properties on the ‘right’ side may cost $150,000 more. It’s certainly a good selling point.’’
Melissa Ryan, of Hodges Bentleigh, said ‘’very specific buyers, such as the Chinese, come to Australia to give their offspring a quality education’’ and this has a big effect on school zone land prices.
‘’They want their children to stand out amongst the rest and an Australian education has cache. So, in order to get their children into a good school, they will pay extra for it.’’
Ryan said the value of the Aussie dollar played a part in their strategy. ‘’When the dollar was high Chinese buyers left the market, so that houses in the school zone were selling for less than those outside. Now, with the dollar low, they are back in.’’
The return of the Chinese is certainly affecting prices, with Ryan saying they were ‘’even outbidding developers’’ on property where the minimum to buy in is around $1 million. ‘’Over the past two years – when the dollar was high - this has not been the case.’’
Ryan said the McKinnon/Bentleigh market was strong. ‘’This time of year people buy cars and houses. Anything that is still on the market is being snapped up quickly.’’
John Pollard, of Woodards Bentleigh, said school-catchment zones ‘’had a huge pull’’ on buyers and put a 10% premium on sale prices. ‘’And it is usually the starting point of the marketing campaign.’’
Pollard said planning ahead could pay dividends. He said a Chinese couple from Thomastown with a pre-school age daughter recently bought a rundown property in McKinnon – in the school zone, of course – planning to rent it out until their daughter is ready for year 7, when they will move in.
NSW schools are equally strict about their enrolment criteria. Popular Willoughby Girls’ High School in the inner north lists ‘residential proximity’ as the main criterion for entry, with proof of a student's address to include originals of different documents, such as a council rates notice or residential lease and electricity bills with their parents’ names.
The school lists nearby suburbs in priority order according to their distance from the school, which is defined as a straight line point to point from the school to the nearest point on the suburb boundary. Parents can access a <a href="https://www.wghs.nsw.edu.au/WGHS/assets/File/Residential%20Proximity%202%5b1%5d(1).pdf" target="_blank">Residential Proximity</a> map to see how far they are from the school.
Artarmon Public School – a few minutes away on Sydney's lower north shore – is reportedly the fifth-best primary school in the state. And that’s a sound reason for parents to buy in the suburb, says Jason Georges, of Ray White Willoughby. ‘’There are only a limited number of streets in the catchment and property there is always in demand, with three bedroom houses usually going for around a million dollars.’’
Killara High School – like all NSW public schools – has enrolment criteria insisting that children are designated to a particular school based on the permanent residential address of their primary caregiver.
It has to - as one of the few non-selective public schools to rank in the top 100 high schools in the state it has massive enrolment pressures.
The president of the Parents and Citizens Association, David Jordan, told Fairfax newspapers that growing housing density was putting huge pressures on the school. "You're getting a massive increase in population in the area but there's no money going into infrastructure in the schools. Basically, the school was designed for about 900 students. It's over 1500 now. We just can't afford to have out-of-area kids."
In 2002, only about half the students at Killara came from the local area. Now it is nine out of 10, he said.
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Hot topic: Buying property to secure children a school place

<a href="https://www.apartments.com.au/developments/collingwood-vic-3066">Collingwood</a>’s northern edge continues to sharpen its reputation as one of Melbourne’s most compelling cultural precincts, where established creative institutions, leading hospitality, and independent fashion converge within a tightly held inner-city neighbourhood.

Set within this evolving pocket, <a href="https://www.apartments.com.au/new-apartments/derby-street-by-milieu-collingwood-4-derby-street-collingwood-vic-3066">Derby Street by Milieu</a> draws on a location that balances proximity to some of the inner north’s most influential destinations with the quieter, tree-lined character that defines the streets edging East Melbourne. Positioned just moments from both Smith and Gertrude Streets, the address sits on the periphery of Collingwood’s cultural core, offering immediate access without the intensity of its busiest frontages.&nbsp;

[smartcode_project:default project_id=145576 project_image_fid=355945]

Gertrude Street, in particular, anchors the area’s identity as a destination for Melbourne’s leading food, art and fashion. Within a short walk, venues such as Marion, Cutler &amp; Co, IDES and the Builders Arms Hotel define a tightly curated dining scene with enduring citywide appeal, complemented by a strong fashion and retail presence including Havn, Le Labo and a selection of independent boutiques.

Nearby, institutions such as the Australian Print Workshop and Collingwood Yards sustain a constant rhythm of exhibitions, performances and creative output, embedding art and culture into the everyday fabric of the neighbourhood.

Smith Street, running parallel, extends this offering with a broader mix of hospitality and nightlife, maintaining its status as one of Melbourne’s most active inner-urban strips.

Beyond these high-energy streets, the immediate surrounds shift in tone. Derby Street and its neighbouring blocks are defined by low-rise heritage terraces, mature trees and a settled residential character. Fitzroy Gardens and Carlton Gardens are both within walking distance, alongside the Royal Exhibition Building and Melbourne Museum, bringing together green space and cultural landmarks within minutes of home.

[smartcode_project:default project_id=145576 project_image_fid=355985]

Connectivity remains a key advantage. The CBD sits within easy reach, accessible by tram along Smith Street in around 20 minutes, while also remaining close enough to walk or cycle, supported by the inner north’s established bike network.&nbsp;

<a href="https://www.apartments.com.au/developers/milieu-property">Milieu</a>’s long-standing connection to Collingwood underpins the project’s approach. With a portfolio that includes multiple nearby developments across Bedford, Peel and Napier Streets, the developer brings a sustained understanding of the area’s character and evolution. Derby Street continues this trajectory as a collaboration with award-winning Melbourne-based <a href="https://www.apartments.com.au/architects/studio-bright">Studio Bright</a>, marking the practice’s first multi-residential project in the inner north and reflecting a shared focus on design integrity and contextual response.&nbsp;

Balancing connection to the neighbourhood with a sense of seclusion and refuge, Derby Street by Milieu embodies a level of care and craft typically reserved for single residential projects. Comprising 22 residences across six storeys, with two to four-bedroom configurations priced from $1.15 million, the project is currently under construction with completion expected in late 2027.&nbsp;

[smartcode_project_cta:default project_id=145576]

Joel Robinson

Derby Street by Milieu, at the top end of Collingwood

A rare new apartment development in the Blue Mountains is the latest in a string of State Significant Development Applications submitted through the New South Wales Government's Housing Delivery Authority.

A total of 270 apartments are being proposed for the 1.16-hectare site at <a href="https://www.apartments.com.au/new-apartments/blue-mountains-alpine-retreat-142-150-narrow-neck-road-katoomba-nsw-2780">142–150 Narrow Neck Road in Katoomba</a>, a parcel of land adjoining the former Katoomba Golf Course. The site was acquired for $3.85 million in 2021 by private developer VDM Prime.

The apartments, comprising a mix of serviced apartments, affordable housing, and traditional build-to-sell product, will be spread across eight low-rise buildings, along with a separate building for a new restaurant, arranged around a green spine that leads to a central park.

<img alt="Katoomba" data-entity-type="file" data-entity-uuid="ee9a2072-f465-44f1-9076-80c9c8ecca02" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-04-22%20at%209.20.21%E2%80%AFAM.png?VersionId=4bT0vQ7j_syl65wcrJmHGm3m5pTvwrY_" />

The Urban Design Report by Atlas Urban says the vision is to create a "contemporary mountain precinct that is responsive to its escarpment landscape, heritage character, and community context."

"The development responds to the current housing supply and affordability challenges identified under the NSW Housing Delivery Authority (HDA), providing a balanced mix of standard, affordable, and short-stay accommodation," the report noted.

"By introducing a variety of dwelling types and tenures, the proposal supports intergenerational living, local workforce retention, and greater housing choice within an area constrained by topography, heritage, and environmental protections."

Of the 270 units proposed, 52 will be serviced apartments. The remainder will comprise 54 studios, 121 one-bedroom units, 39 two-bedroom apartments, and four three- to four-bedroom residences.

<img alt="Katoomba" data-entity-type="file" data-entity-uuid="f704508d-1bdf-4170-955d-0256652402a7" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-04-22%20at%209.56.49%E2%80%AFAM.png?VersionId=TzarHMO4gTOsblCqsbJQkvMqWj9nu2Au" />

The Design Report, by VDM Prime and appointed architect Antoniades Architects, noted that the design seeks to "provide a built form outcome that is highly considered, respectful and contextually fitting, whilst contributing positively to an evolving precinct."

"The site offers three frontages and the opportunity to provide a meaningful interface with the public domain environment. the design has a sympathetic response to streetscape and the green open space that surrounds the site."

The report states that the buildings are broken up to establish an appropriate bulk and scale, emphasised through height and setback strategies and defined through articulation that supports the transition of precinct granularity. It also notes that a central communal open space is established through the site to enhance the social dynamic and access to amenity, including natural ventilation and light to the apartments. The east and west frontages receive solar access during the morning and afternoon, whilst maximising views to the green open space.

The site adjoins the recently completed Yarrabee Katoomba development, comprising 24 duplexes that were completed last year and sold through McGrath Projects.

The relatively new Housing Delivery Authority pathway established by the NSW Government allows developers to submit State Significant Development Applications through a fast-tracked state process, effectively reducing reliance on local council approval pathways and aiming to accelerate housing delivery across New South Wales.

First look: Nearly 300 apartments pitched on former Katoomba golf course site

In Melbourne’s established inner east, the qualities that define a traditional house, width, height, and access to open ground, are increasingly difficult to replicate in new residential developments. Larger landholdings are scarce, and with them, the ability to create apartments that extend beyond compact, internalised layouts.&nbsp;

In <a href="https://www.apartments.com.au/developments/kew-vic-3101">Kew</a>, where the residential fabric is shaped by generous setbacks and mature tree canopies, that tension is especially visible.

<a href="https://www.apartments.com.au/developers/ricdanic-investments-pty-ltd">Ricdanic</a>&nbsp;is bringing forward a boutique collection of just 13 residences across two buildings at 9–11 Wimba Avenue, Kew. Comprising six homes at No.9 and seven at No.11, the project sits on a quiet, tree-lined street just off Cotham Road.&nbsp;

Each apartment has been planned with a level of independence more commonly associated with standalone dwellings, balancing privacy with the efficiencies of apartment living.

Architect Chris Idle, who has been practising for over two decades, says projects like this don’t come along often.

“There are very few opportunities to do these kinds of developments in leafy, established suburbs,” he explains. “To get this level of amenity, natural light, and architectural freedom in such a setting is extremely rare.”

[smartcode_project:default project_id=140755 project_image_fid=366267]

The internal planning begins with width. Living areas extend beyond five metres, allowing furniture, circulation, and glazing to sit comfortably within the same zone without compression. Ceiling heights shift from three metres through to five metres in select areas, changing the sense of scale as you move through the apartment. These proportions are paired with double-glazed windows and fully electric systems, balancing volume with performance, supported by a 7.2 NatHERS energy rating.&nbsp;

From the main living space, the apartments open directly outward. Large sliding doors connect to private gardens averaging 125 square metres, with some residences also incorporating balconies of around 60 square metres. Rather than acting as secondary outdoor zones, these areas sit flush with the internal floor level, extending the usable footprint of the home and allowing for multiple modes of use, whether for quiet daily routines or larger gatherings.&nbsp;

The landscape, led by <a href="https://www.apartments.com.au/landscape-architect/john-patrick-landscape-architects">John Patrick</a>, reinforces this relationship. Across the site, 23 different plant species have been introduced, including a mix of native and established varieties, arranged to maintain privacy while preserving sightlines and light access. Gardens are not treated as decorative buffers but as functional extensions of the apartments, shaped to accommodate movement, seating, and informal use over time.&nbsp;

[smartcode_project:default project_id=140755 project_image_fid=366265]

Architecturally, the project draws from Kew’s historic residential language. Handmade bricks by Krause define the exterior, grounding the buildings within the material palette of the suburb, while interior finishes, stone, timber flooring, and restrained detailing, continue this approach internally. Architect Chris Idle describes the intent as long-term rather than stylistic: “We wanted it to feel timeless.”&nbsp;

This emphasis on durability extends to how the buildings are accessed and secured. Entry is managed through keyless systems, with a double-gated basement incorporating number plate recognition for vehicle access. Each residence is paired with a private lock-up garage accommodating two to three cars, alongside storage, while all entry points are monitored continuously. These measures sit alongside EV readiness and fully electric infrastructure, aligning the project’s operational systems with its long-term design outlook.&nbsp;

The setting remains central to how the development is experienced. Located within walking distance of Kew Junction and close to established schools including Carey Grammar and Xavier College, the address benefits from existing infrastructure while maintaining a residential quietness that is increasingly difficult to find at this scale.&nbsp;

Construction is being delivered by <a href="https://www.apartments.com.au/builders/sinjen">Sinjen</a>, with a 10-year structural guarantee, with completion targeted for mid-2027.

[smartcode_project_cta:default project_id=140755]

Inside Wimba Ave, Kew’s garden-scale residences designed for space and permanence

High-end Sydney developer&nbsp;<a href="https://www.apartments.com.au/developers/abadeen-group">Abadeen</a> has secured approval for one of its latest Mosman projects, one of the first developments approved by Mosman Council under the NSW Government’s Low and Mid-Rise Housing Policy.

The approval represents an important step in delivering well-considered housing next to established village locations on Sydney’s Lower North Shore, in line with the intent of the Low and Mid-Rise zoning framework. 
&nbsp; 
There are currently 13 other sites lodged within Mosman Council under the policy, with <a href="https://www.apartments.com.au/new-apartments/27-29-heydon-street-mosman-nsw-2088">Heydon Street</a> among the first to receive development consent. 
&nbsp; 
Abadeen Founder and Executive Chairman Justin Brown said the project reflects a considered and appropriate response to its planning context. 
&nbsp; 
“This approval demonstrates how carefully considered, design-led development can align with the objectives of the Low and Mid-Rise Housing Policy," Brown said.

"The scheme has been designed to respond sensitively to its village setting, with a built form, scale and level of amenity appropriate to its local context. The determination reflects a balanced and considered planning outcome, with Council recognising the capacity for this site to accommodate additional housing within a well-located and established precinct.”

<img alt="Abadeen secures first approval under low and mid-rise housing policy for Heydon Street, Mosman" data-entity-type="file" data-entity-uuid="92811ce3-02e8-44fc-996e-c61ae039bd3e" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Heydon%20Street%20Aerial.jpg?VersionId=ZHJVuWQT64QcdrFJx963pFWFzTX7lI2I" />

The Heydon Street approval followed extensive consultation with Mosman Council, with Abadeen working closely with Council throughout the assessment process.

The approved scheme comprises 27 residences, with only four per floor, creating a low-density living environment. The building will include four half-floor penthouses designed to capture views across Middle Harbour, Sydney Harbour and the surrounding district.&nbsp;

The project is expected to appeal to downsizers and owner-occupiers seeking house-like proportions, privacy and local convenience. There will be north-facing Middle Harbour views from the second level upward. It is also just a flat 100-metre walk to Bridgepoint Shopping Centre, which will appeal to owner-occupiers and in particular downsizers.

Two-bedroom residences are expected to be priced from $1.99 million when sales launch later this year. 
&nbsp; 
Joe Tack, CEO at Abadeen, said the outcome reflects both the quality of the site and the broader need for well-located housing. 
&nbsp; 
“This is a highly considered site within a highly established local setting, offering elevated views and strong connectivity. The project has been designed to respond to that context, delivering a scale and quality of housing aligned with both the planning framework and evolving market demand.” 
&nbsp; 
“This approval is particularly significant in the context of Mosman, where new housing supply has historically been limited. While it represents the first approval of this scale in Mosman to be achieved in over 50 years, it is importantly located within a well-established residential location, in close proximity to the established commercial amenity of Spit Road and Mosman Village. It reflects strong confidence in Abadeen’s approach to design, delivery and community integration, while contributing to the delivery of much-needed housing in a highly constrained market.”

Abadeen has an established track record across Sydney’s Lower North Shore, with recent completions including KOYO in Crows Nest and ENSO in Neutral Bay.

In Mosman, Abadeen recently completed The Hampden, with Mosman Residences on the corner of Spit Road and Clifford Street scheduled for completion later this year. Construction has also commenced at Burran Residences, comprising three full-floor ultra-premium homes positioned just 50 metres from Balmoral Beach, with residences expected to achieve prices in excess of $20 million. Two further projects are also progressing through planning within the local government area.

Abadeen secures first approval under low and mid-rise housing policy for Heydon Street, Mosman apartment development

Apartment developer <a href="https://www.apartments.com.au/developers/martello">Martello™</a> is one of the latest entrants to the Gold Coast development market, with its debut project set to be one of the most boutique offerings on Chevron Island in recent years.

Martello has unveiled <a href="https://www.apartments.com.au/new-apartments/aere-chevron-island-18-20-mawarra-street-chevron-island-qld-4217">Aere Chevron Island</a>, a collection of 33 large-scale two-, three-, and four-bedroom apartments across an 18-storey building on Mawarra Street.

[smartcode_project:default project_id=143932 project_image_fid=367517]

The developer has placed a strong emphasis on wellness, briefing architecture firm Raunik Design to embed this philosophy into the project. It is a direction <a href="https://www.apartments.com.au/developers/martello">Martello™</a> plans to carry through its future developments along the coast.

<a href="https://www.apartments.com.au/developers/martello">Martello™</a> has positioned Aere as a continuation of its human-centric development approach, with a focus extending beyond amenity to the fundamentals of layout, natural light, and spatial planning. Promax Construction has already been appointed to deliver the project, with construction expected to commence in the coming months as part of the group’s broader expansion into South East Queensland.

Rising above the low-rise fabric of Chevron Island, Aere’s design emphasises generous internal proportions and uninterrupted outlooks, with residences oriented to capture coastal, skyline, and waterway views. Interiors prioritise open-plan living, with large-format glazing and carefully considered transitions between indoor and outdoor spaces.

[smartcode_project:default project_id=143932 project_image_fid=367508]

The upper levels are dedicated to larger-format homes, including four-bedroom residences designed as half-floor offerings. These layouts prioritise separation between living and sleeping zones, along with increased privacy and storage, features more commonly associated with detached housing than traditional apartment product.

Aere’s private resident amenity spaces centre on wellness. A rooftop level will incorporate a heated swimming pool, sauna and spa, while the rest of the wellness spaces throughout the building include a&nbsp;residents’ lounge, dining areas and a gym.

The inclusion of both social and quieter retreat spaces reflects a broader shift in higher-end apartment design on the Gold Coast, where developers are increasingly responding to owner-occupier demand for buildings that support long-term living rather than short-stay use.

[smartcode_project:default project_id=143932 project_image_fid=367814]

Aere is positioned within walking distance of Chevron Island’s village centre along Thomas Drive, as well as the HOTA cultural precinct via the Green Bridge, connecting residents to parklands, galleries, and event spaces.

For <a href="https://www.apartments.com.au/developers/martello">Martello™</a>, Aere represents the first in a series of planned Gold Coast developments, with the group also exploring opportunities in other coastal precincts, including Kirra and Palm Beach.

The move north comes as sustained population growth and infrastructure investment continue to reshape South East Queensland, with developers increasingly targeting boutique, design-led projects in established lifestyle pockets. Aera’s relatively small scale and emphasis on spatial quality position it within this emerging segment of the market.

[smartcode_project_cta:default project_id=143932]

Stephen Taylor

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