<a href="https://www.apartments.com.au/developments/broadbeach-qld-4218">Broadbeach</a> offers plenty of reasons to live vertically, but moving from a substantial family home into an apartment can expose the compromises of high-density living. Privacy, room for guests and usable living space tend to matter more when an apartment is intended as a permanent home rather than an occasional coastal base.

A typical residential floor at <a href="https://www.apartments.com.au/new-apartments/the-eveleigh-broadbeach-7-9-surf-parade-broadbeach-qld-4218">The Eveleigh</a>, on Surf Parade,&nbsp;contains just four apartments. The 94-residence development by <a href="https://www.apartments.com.au/developers/hirsch-faigen">Hirsch &amp; Faigen</a> is predominantly made up of expansive three-bedroom homes, with a limited collection of half-floor penthouses above.

Across the apartment floors, <a href="https://www.apartments.com.au/architects/rothelowman">Rothelowman</a> has used the relatively limited number of residences to give each home greater access to natural light and outlook. Living spaces extend towards full-height glazing, while a series of bay windows frame selected views across the Pacific Ocean, city and hinterland rather than treating the building edge as a continuous wall of glass.

&nbsp;

[smartcode_project:default project_id=149670 project_image_fid=360965]

“The apartment floors deliver a collection of homes that embrace controlled outlook via a series of bay windows deliberately framing moments of view,” Rothelowman Director Kim Lowman said.

From outside, those projecting forms contribute to the tower’s faceted profile. Strong horizontal and vertical elements establish its proportions, while the changing position of the sun alters the light, shadow and reflection across the façade throughout the day.

The same attention moves inside the apartments, where the material palette combines warm timber, natural stone, metallic detailing and softer curved forms. Kitchens sit within the main living zone, with stone island benches, integrated joinery and European appliances, before the living areas extend towards the glazing and the outlook.

&nbsp;

[smartcode_project:default project_id=149670 project_image_fid=360981]

Three genuine bedrooms provide room to accommodate family and guests, while two secure car spaces and storage address some of the practical considerations that can become more noticeable when moving from a larger home. Feedback from the display suite has centred on the warmth and restraint of the interiors, with buyers commenting that the residences feel like homes rather than conventional coastal apartments.

A limited collection of half-floor penthouses occupies the upper levels, increasing the scale of the living spaces and adding private balconies and elevated finishes. From this position, the outlook extends between the ocean and hinterland.

Outside the private residences, The Eveleigh separates its shared spaces between the podium and rooftop. The podium is centred on wellness, with subtropical landscaping surrounding a swimming pool and pool terrace, yoga garden, private gymnasium, sauna and hot and cold plunge facilities. Landscaped retreats and pavilions provide additional places to sit away from the main recreation areas.

&nbsp;

[smartcode_project:default project_id=149670 project_image_fid=360966]

Higher in the building, a rooftop pavilion and private dining suite sit alongside resident lounge, barbecue and outdoor dining areas, opening towards panoramic views across the ocean, city and hinterland.

“Buyers are no longer just looking for an apartment, but a lifestyle where they can relax, reset, and enjoy a balanced way of living,” Hirsch &amp; Faigen Director of Sales Matt George said.

Interest to date has come from established owner-occupiers and interstate lifestyle purchasers, including buyers planning a future move to the Gold Coast. Many are coming from larger homes and want to reduce ongoing maintenance without giving up space for family and guests, privacy, two car spaces or the ability to entertain at home.

&nbsp;

[smartcode_project:default project_id=149670 project_image_fid=360969]

Much of that daily life can also take place beyond the building without requiring a drive. Kurrawa Beach and Pratten Park are an easy walk from Surf Parade, while Pacific Fair, Oracle Boulevard, The Oasis, restaurants, cafés, entertainment and public transport are also within walking distance.

The Eveleigh is Hirsch &amp; Faigen's fourth Gold Coast development since entering the market in 2021, following The Hemingway at Palm Beach, The Emerson at Kirra and Yves at Mermaid Beach. Each of the preceding projects sold out before completion.

“Broadbeach had been on our radar throughout our time operating on the Gold Coast,” the developer said. “Following our projects in Palm Beach, Kirra and Mermaid Beach, Broadbeach represented the natural next step for the business.”

The Surf Parade site brought together proximity to the beach, protected coastal outlooks and walkability to dining, shopping and recreation. Hirsch &amp; Faigen also identified the street as an emerging premium residential address, with enough separation from Broadbeach's busier destinations to retain a quieter environment at home.

The Eveleigh is now under construction by Maxcon, with completion forecast for mid-2028. Three-bedroom residences are currently available from $2.87 million.

[smartcode_project_cta:default project_id=149670]

Joel Robinson

The Eveleigh brings house-like apartments to Broadbeach

A long-stalled Campbelltown development site is back in play, with new plans for 139 apartments set to supersede a mixed-use scheme approved almost a decade ago but never built.

The new proposal for 28 Cordeaux Street would deliver 116 market and 23 affordable apartments in a part 14-storey building, bringing a substantial new project into a Campbelltown market where new apartment supply remains limited.

Plans have been filed over the 3,092 sqm corner site at Moore-Oxley Street, around 600 metres from Campbelltown Railway Station and the city-centre retail core.

The site already carries a mixed-use residential approval dating to 2016. Doroch Architects has now been engaged on a larger replacement scheme, which is progressing as a State Significant Development Application following a Housing Delivery Authority determination in August 2025.

The apartment mix comprises 39 one-bedroom, 72 two-bedroom and 28 three-bedroom residences. Two-bedroom apartments make up just over half of the project, while three-bedroom homes account for 20 per cent.

<img alt="First look: New 139-apartment plans revive long-stalled Campbelltown city centre site" data-entity-type="file" data-entity-uuid="136dd5b9-3791-4da6-9e31-76f533f5b4de" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Campbelltown%20da2.png?VersionId=LgOSy9nwf5u.MGswBBwaGGxuX8QpHSl_" />

Of the 139 apartments, 23 will be delivered as affordable housing under the in-fill affordable housing provisions of the Housing SEPP. The affordable component represents 15 per cent of the residential gross floor area and will be managed by a registered Community Housing Provider.

Doroch has sought to break the scale of the building into two distinct elements, with a masonry podium of around four storeys establishing the street edge before the residential tower steps back above.

The corner position has shaped that approach. Cordeaux Street faces toward the commercial and civic centre, while Moore-Oxley Street leads into the lower-scale residential neighbourhood to the south, and the design verification report describes the site as "bridging the commercial core to the north and established residential areas to the south."

The podium will be expressed predominantly in face brick, while the upper levels shift to brushed and grooved concrete cladding with darker metal detailing. Recessed sections, deep balcony edges and landscaping break down the upper form, with an approximately 11.8-metre setback to the northern boundary addressing the adjoining St Peters Anglican School.

<img alt="First look: New 139-apartment plans revive long-stalled Campbelltown city centre site" data-entity-type="file" data-entity-uuid="c8b3d2d3-c561-4bfc-a5d9-a68c0c10dac1" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Campbelltown%20da1.png?VersionId=AeAEyJU02Gk2k5noUj2StziCvdQ7fW4B" />

Campbelltown has been starved of new residential developments in the last decade.

The only other notable development set to come to market this year is ALAND's Queen Square, a mixed-use precinct on over two hectares that will comprise apartments above a vibrant ground-level retail and hospitality dining precinct.

First look: New 139-apartment plans revive long-stalled Campbelltown city centre site

First Look: Sherlock Construction pitches apartments for low-rise Deception Bay

Queensland builder-developer MAYD has revealed the first look at its major North Kirra beachfront development, lodging amended plans that reduce the number of apartments and increase the proportion of larger residences.

The project is planned across a substantial 4,742 sqm amalgamated site spanning seven lots at <a href="https://www.apartments.com.au/new-apartments/2-6-pacific-parade-bilinga-qld-4225">2-6 Pacific Parade</a> and 27-33 Golden Four Drive in Bilin​ga, directly opposite Nor​th Kirra Beach.

<a href="https://www.apartments.com.au/developers/mayd-group">MAYD</a> secured the site for $32.5 million in 2025, in what was one of the Gold Coast's largest property transactions of the year.

The development will be delivered across two stages, with the first stage carrying an estimated gross realisation value of around $360 million.

The latest amendments seek to reduce the overall apartment count and shift the project further toward the owner-occupier market, with larger residences designed for buyers wanting considerably more space than traditionally offered in a beachfront apartment.

The residential mix will include townhomes, oversized two-bedroom apartments, substantial three-bedroom residences and four-bedroom homes.

MAYD has appointed Cera Stribley to lead the architecture and interiors, with the Melbourne-based design practice drawing on the beachfront setting through a series of ocean-facing terraces and heavily landscaped balconies.

Strong horizontal forms and curved balconies will define the exterior, with subtropical landscaping integrated throughout the building to soften the built form and increase the connection between the residences and the beachfront.

The project will also include an extensive collection of resident wellness and lifestyle facilities, continuing the broader shift across the Gold Coast's luxury apartment market toward larger homes supported by resort-style amenity.

<img alt="MAYD" data-entity-type="file" data-entity-uuid="d1bcbb05-e659-4b47-8bd4-1e595315e2ad" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-08-27%20at%202.05.03%E2%80%AFPM.png?VersionId=jj0XEud1X1DuLt7_KyElhjMdZGOXmLHP" />

MAYD Founder Todd Mould said North Kirra was increasingly appealing to buyers attracted to the more established, lower-density character of the southern Gold Coast.

"North Kirra presents one of the most compelling luxury residential opportunities currently emerging in Australia, combining absolute beachfront with the character and authenticity that buyers are increasingly seeking, and the same sense of tight-knit community that defined Burleigh and Currumbin perhaps 10 or 15 years ago," Mould said.

"With Gold Coast Airport on its doorstep, it also offers a level of accessibility that broadens its appeal across almost every market demographic."

The project comes as the southern Gold Coast continues to attract an increasing share of high-end apartment development and buyer activity.

Kirra in particular has emerged as one of the region's more tightly held beachfront markets, with its relatively low-density character, established surf and hospitality scene and proximity to Gold Coast Airport differentiating it from the higher-density markets further north.

Mould said those characteristics had informed the approach MAYD and Cera Stribley had taken to the project.

"We've worked closely with Cera Stribley to create a vision that is deeply connected to its surroundings," he said.

"Inspired by the coastline itself, the architecture has been shaped around space, privacy and resort-style living, creating a collection of homes that reflects the next generation of luxury on the southern Gold Coast."

MOTIV Managing Director Carly Cottam, who has been appointed to market the project, said buyer attention had continued to move south along the Gold Coast.

"Purchasers who may once have defaulted to Broadbeach, Main Beach or Surfers Paradise are increasingly recognising the value of a genuine beachfront location that offers lower density, strong amenity and a more established sense of community," Cottam said.

"Kirra has a powerful combination of growing demand and genuine scarcity. Beachfront supply is inherently constrained, the area remains relatively low density, and buyers are increasingly placing a premium on locations that feel established, uncrowded and authentic rather than heavily developed."

Cottam said the proximity to Gold Coast Airport was also proving increasingly important for interstate and second-home buyers.

"Being minutes from Gold Coast Airport makes it particularly compelling for interstate buyers, frequent travellers and second-home purchasers who can access an authentic coastal lifestyle almost immediately after stepping off a flight."

The acquisition takes MAYD's active development portfolio to more than $500 million, with the North Kirra project representing one of its largest undertakings to date.

MAYD is targeting an early 2027 launch.

First look at MAYD's North Kirra mixed-use precinct

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Castle Hill, the longtime hub of the Hills District, has been one of the major beneficiaries of Sydney's Metro expansion, with improved connectivity helping drive continued population growth, development and buyer demand across the Hills District.

But despite that growth, the suburb has seen relatively few major new apartment projects brought to market over the past 18 months.

Hills District developer Reve Group is looking to fill that gap with <a href="https://www.apartments.com.au/new-apartments/nova-r-ve-castle-hill-2-garthowen-crescent-castle-hill-nsw-2154">Nova Rêve</a>, a major new mixed-use precinct on the corner of Garthowen Crescent and Old Castle Hill Road, a short walk from Castle Hill Metro Station and Castle Towers.

[smartcode_project:default project_id=152737 project_image_fid=377679]

The project will comprise three residential towers alongside a hotel, restaurants, cafes and a skybar, more than 1,600 sqm of ground-floor retail and almost an acre of landscaped gardens.

It represents the largest project undertaken by Reve Group, the development arm of the Kassis family, which has been building across the Hills District for more than 30 years through Kassis Homes.

[smartcode_project:default project_id=152737 project_image_fid=377675]

Nova Rêve also represents a significant step up from the family's first apartment development, Grand Rêve, which was delivered nearby on Garthowen Crescent.

Grand Rêve introduced larger, house-like apartment layouts and premium inclusions including Wolf and Sub-Zero appliances to the Castle Hill market.

Nova Rêve takes that approach to a precinct scale, combining the residential component with hospitality, retail and substantial public and resident landscaping.

[smartcode_project:default project_id=152737 project_image_fid=377685]

Reve Group Managing Director Sam Kassis said the project reflected the family's three decades of building in the Hills, which has evolved from trophy homes on quarter-acre blocks to larger-scale apartment development.

"Grand Rêve was our first apartment project here and it showed us what this pocket of Castle Hill could be. Nova Rêve is the refinement of that idea: not just apartments, but a place the whole suburb can use," Kassis said.

A key part of that approach is the hotel, which has been designed to operate as an amenity for the wider Castle Hill community rather than solely hotel guests.

It will include restaurants, cafes, skybars and all-day dining, alongside conference and event facilities catering to business functions, community groups and private events.

At ground level, more than 1,600 sqm of shops and cafes will open onto the surrounding streets and landscaped areas.

Almost an acre of gardens designed by Land and Form Studios will run through the precinct, incorporating pathways, seating, barbecue areas and children's play spaces.

[smartcode_project:default project_id=152737 project_image_fid=377680]

Reve Group's Romio Georges said creating an active ground plane had been central to the planning of Nova Rêve.

"There are gardens with pathways, barbecues, seating and play areas, shops and cafes opening onto the street, and a hotel with restaurants and a skybar that anyone in Castle Hill can walk into," Georges said.

The project's elevated position on one of Sydney's highest ridgelines will also provide apartments with outlooks toward the Sydney skyline, surrounding parkland and the Blue Mountains.

More than 80 per cent of the apartments will occupy corner positions, with Turner responsible for both the architecture and interiors.

&nbsp;

[smartcode_project_cta:default project_id=152737]

<h3 data-end="3697" data-section-id="q3n5ak" data-start="3672">&nbsp;</h3>
</main>

Nova Rêve arrives as Reve Group bets on Castle Hill's next growth phase

Sydney’s property market is known for high prices, competitive bidding, and mounting pressure on first home buyers. But change is on the horizon.

From late 2025, eligible first home buyers in New South Wales will have access to a new federal government initiative aimed at addressing affordability: the Help to Buy Scheme.&nbsp;

<h2>What is the Help to Buy Scheme?</h2>

The program introduces a shared equity model intended to reduce the upfront cost of entering the property market, particularly in high-demand urban areas such as Sydney.

The scheme operates under a shared ownership structure in which the federal government takes an equity stake of up to 40 per cent for new homes, or 30 per cent for existing dwellings. This arrangement allows eligible buyers to significantly reduce their loan size and avoid the added cost of Lenders Mortgage Insurance (LMI).

Under this model, purchasers can enter the property market with as little as a two per cent deposit, well below the traditional 10 to 20 per cent usually required. The government’s contribution is not a loan but a co-ownership stake in the property. As such, there is no interest or rent charged on its portion.

Because the government’s equity combined with the buyer’s deposit typically meets or exceeds the 20 per cent threshold, LMI does not apply. The remaining balance, generally between 60 and 70 per cent of the property’s value, is financed through a standard home loan with a participating lender.

The government's equity in the property remains in place until the buyer chooses to repay it voluntarily or until the property is sold. Buyers can buy back the government’s share over time, in increments of at least five per cent, depending on their financial situation.

There is no fixed repayment timeline, but the amount to be repaid will be based on the property's market value at the time of repayment, not the original purchase price.

<h2>How do you qualify for the&nbsp;Help to Buy Scheme?</h2>

To qualify for the Help to Buy Scheme, applicants must meet the following conditions:

<ul>
	<li>Be an Australian citizen at least 18 years of age.</li>
	<li>Be a first-home buyer who does not currently own property.</li>
	<li>Intend to live in the property as their primary residence.</li>
	<li>Earn less than $100,000 per year for individuals, or $160,000 for couples.</li>
	<li>Purchase a property within the regional price caps, currently $950,000 in Sydney, though this is expected to rise to approximately $1.3 million ahead of the program’s launch.</li>
</ul>

While the Help to Buy Scheme does not solve affordability challenges across the board, it does offer a more accessible pathway for a defined segment of the market, particularly younger buyers with moderate incomes who have been priced out of traditional lending routes.

The scheme is expected to commence in NSW in late 2025, as part of a national rollout.

Under the new model, purchasers can enter the property market with as little as a two per cent deposit, well below the traditional 10 to 20 per cent usually required

Help to Buy Scheme: What first home buyers in NSW need to know

The First Home Owners Grant (FHOG) is a government initiative designed to help eligible first-time home buyers by offering financial assistance towards the purchase or construction of a new home.

While the FHOG is a nationwide program, it is administered separately by each state and territory, meaning the eligibility criteria, grant amounts, and property requirements can vary depending on your location. This means that the amount available and the conditions attached to the grant will differ, so it is important to check the specific guidelines for your state or territory.

It’s important to note that the FHOG is just one of several incentives available to first home buyers. In most states and territories, the grant is not linked to stamp duty exemptions or concessions, with the exception of the Australian Capital Territory (ACT). The FHOG is typically a one-off payment, reducing the overall cost of purchasing or building a new home before any stamp duty concessions are applied.

Below, we provide a breakdown of the First Home Owner Grants available across Australia, outlining the specific details for each state and territory.

<h2>New South Wales First Home Owner Grant</h2>

First Home Owner Grant: Offers a $10,000 grant for new homes valued up to $600,000. For land purchases and owner-builders, the threshold extends to $750,000.

Stamp Duty Benefits: Provides full stamp duty exemption for homes valued up to $800,000, with concessions available for properties up to $1 million.

<h2>Victoria South Wales First Home Owner Grant</h2>

First Home Owner Grant: Provides a $10,000 grant for first-home buyers purchasing or building new homes valued up to $750,000.

Stamp Duty Benefits: Offers full stamp duty exemption for properties up to $600,000, with concessions available up to $750,000.

<h2>Queensland First Home Owner Grant</h2>

First Home Owner Grant: Offers $30,000 for contracts signed between 20 November 2023 and 30 June 2025. The FHOG applies to new homes valued up to $750,000.

Stamp Duty Concessions: Provides additional concessions for properties valued up to $800,000.

<h2>Western Australia First Home Owner Grant</h2>

&nbsp;

First Home Owner Grant: Offers a $10,000 grant for new homes valued up to $750,000 in the southern regions and up to $1 million in the northern regions.

Stamp Duty Concessions: Available for homes valued up to $600,000 for transactions entered into on or after 9 May 2024.

<h2>Australian Capital Territory First Home Owner Grant</h2>

First Home Owner Grant: Replaced by the Home Buyer Concession Scheme, offering full stamp duty concessions for eligible buyers.

<h2>South Australia First Home Owner Grant</h2>

First Home Owner Grant: Provides up to $15,000 for new homes, including houses, apartments, and townhouses. As of 6 June 2024, there is no property value cap for eligibility.

Stamp Duty Relief: Available for new homes and vacant land purchases.

<h2>Tasmania First Home Owner Grant</h2>

First Home Owner Grant: Offers a $10,000 grant for new homes and off the plan purchases.

Stamp Duty Exemption: Between 18 February 2024 and 30 June 2026, first home buyers of established homes valued up to $750,000 receive a full exemption on property transfer duty.

<h2>Northern Territory First Home Owner Grant</h2>

First Home Owner Grant: The Northern Territory provides a $10,000 grant for new homes only. Additional government grants and concessions are available for first home buyers.

Stamp Duty Exemption: The only stamp duty exemption available to property buyers is the House and Land Package Exemption (HLPE).

Eligibility criteria and application processes differ across states. Prospective buyers should refer to their respective state revenue offices for full details on grant availability, conditions, and additional concessions.

Every First Home Owner Grant for new property by state

In the ever-evolving landscape of sustainable architecture and environmentally conscious design, systems and ratings in place can help determine the energy efficiency of residential buildings in Australia.

Australia has multiple building rating systems that evaluate energy efficiency and sustainability in existing and new building designs.

Some systems assess individual building components, while others provide an overall rating for the entire structure.

A rating system ensures that homes are comfortable and energy-efficient, whether you are buying, renovating, or building.

NatHERS (Nationwide House Energy Rating Scheme) is a common way for new homes to meet energy efficiency requirements.

As new developments continue to shape the urban environment, understanding NatHERS ratings becomes essential for developers and homeowners. This article delves into the concept of NatHERS ratings, their significance, and how they contribute to creating energy-efficient homes.

<h2>What is NatHERS?</h2>

NatHERS is a national initiative implemented by the Australian government to promote energy efficiency in residential buildings. The scheme aims to provide a standardised method for assessing the thermal performance of homes, considering factors such as insulation, orientation, ventilation, and building materials.&nbsp;

NatHERS ratings are the most common way new homes meet the National Construction Code's (NCC's) minimum energy efficiency requirements.&nbsp;

NatHERS assessments provide thermal and whole-home ratings for new homes, townhouses, and apartments.

The rating helps evaluate the energy performance of buildings, guides homeowners and developers to make informed decisions about the energy efficiency of their properties, and encourages the construction of more sustainable, comfortable, and cost-effective homes.

<h2>How NatHERS Ratings Work</h2>

NatHERS ratings are determined through four accredited software tools (AccuRate, BERS Pro, FirstRate5, HERO) using a calculation engine CSIRO developed to predict building temperature based on various factors.

The tools can model complex effects of building mass, insulation, window size, and other elements.

The outcome is a star rating that reflects the building's overall thermal efficiency, indicating how well it can maintain a comfortable indoor temperature without excessive reliance on heating or cooling systems.

The star rating scale ranges from 0 to 10, with a 6-star rating being the minimum requirement for compliance with the National Construction Code (NCC).&nbsp;

Achieving a higher star rating demonstrates a commitment to energy efficiency and sustainability, as the building is better equipped to minimise its environmental impact and reduce long-term energy costs.

Anyone can use NatHERS tools, but accredited assessors can provide certified ratings and professional advice.

<h2>Benefits of Higher NatHERS Ratings</h2>

Energy Efficiency: Buildings with higher NatHERS ratings are more energy-efficient, requiring less heating and cooling energy. This reduces the structure's carbon footprint and lowers occupants' energy bills.

Cost Savings: Homes with higher NatHERS ratings are generally more energy-efficient, resulting in reduced energy consumption for heating and cooling. This translates to lower energy bills for homeowners, making sustainable living environmentally friendly and economically viable in the long run.

Environmental Impact: Lower energy consumption directly translates to a reduced environmental impact. Buildings with higher NatHERS ratings contribute to the overall goal of mitigating climate change by lowering greenhouse gas emissions associated with heating and cooling systems.

Improved Comfort: Buildings with high NatHERS ratings offer better thermal comfort to occupants. Proper insulation, well-designed ventilation, and optimal orientation maintain a consistent and comfortable indoor temperature, providing occupants with a more enjoyable and healthier space.

Market Value and Desirability: Higher NatHERS ratings can enhance the market value of a property. As energy efficiency becomes a more significant consideration for homebuyers, a well-rated building may attract a premium price and stand out in the real estate market.

Compliance with Building Codes: NatHERS ratings are a vital component of the National Construction Code (NCC), and compliance with these ratings is often a mandatory requirement for new developments. Local councils and planning authorities may set minimum energy efficiency standards that must be met to obtain development approval.

The Nationwide House Energy Rating Scheme (NatHERS) is a crucial initiative shaping the future of energy-efficient, resilient, and cost-effective homes. With its recent upgrades, NatHERS has evolved into a world-leading tool for the building sector, supporting the global commitment to achieving net-zero emissions by 2050.

Staff Writer

What is a NatHERS rating in new off the plan apartment developments?

Mixed-use developments have gained significant popularity across Australia in recent years due to their unique blend of residential, commercial, and recreational spaces.

Unlike traditional single-purpose developments, mixed-use projects offer a harmonious integration of various functions within a single locale.

Residential units seamlessly coexist with commercial establishments, retail outlets, dining venues, entertainment hubs, and recreational facilities, with the combination not only enhances convenience but also fosters a vibrant lifestyle and a sense of community.

<h3>Convenience and accessibility</h3>

Mixed-use developments are designed with convenience in mind. They often integrate residential units with commercial spaces, retail outlets, restaurants, and recreational facilities, creating a self-contained community.

[smartcode_project:default project_id=114215 project_image_fid=204874]

The proximity allows residents to enjoy the convenience of having essential amenities and services within walking distance. Whether it's grabbing a cup of coffee, going grocery shopping, or accessing healthcare services, everything is conveniently located, saving residents time and effort.

<h3>Vibrant lifestyle and community</h3>

One of the major advantages of mixed-use developments is the vibrant lifestyle they offer. With a diverse range of amenities and communal spaces, residents have ample opportunities to interact, socialise, and build a sense of community.

[smartcode_project:default project_id=107714 project_image_fid=214122]

The presence of parks, community centres, and shared spaces fosters a lively atmosphere, encouraging residents to engage in various activities and events. The vibrant lifestyle within these developments creates a unique sense of belonging and camaraderie among the residents.

<h3>Potential for higher rental yields and property value appreciation</h3>

Mixed-use developments tend to attract a broad range of tenants and buyers due to their versatile nature. This high demand can result in higher rental yields for investors and potentially lead to property value appreciation over time.

[smartcode_project:default project_id=139989 project_image_fid=212887]

The integration of commercial and retail spaces attracts businesses, which can provide a stable rental income stream. Additionally, the popularity of mixed-use developments often drives up property values, making them a potentially lucrative investment in the long term.

<h3>Enhanced security and maintenance</h3>

Mixed-use developments typically have comprehensive security measures in place. With controlled access points, CCTV surveillance, and professional security staff, residents can enjoy enhanced safety and peace of mind.

[smartcode_project:default project_id=108019 project_image_fid=212658]

Additionally, these developments often have dedicated maintenance teams responsible for the upkeep of common areas, landscaping, and infrastructure. This ensures that the overall appearance and functionality of the development are well-maintained, creating a pleasant living environment for residents.

<h3>Live-work-play balance</h3>

One of the key attractions of mixed-use developments is the ability to achieve a desirable live-work-play balance. The integration of residential and commercial spaces allows residents to live closer to their workplaces, reducing commuting time and improving work-life balance.

The proximity to various amenities and recreational facilities encourages an active and healthy lifestyle. Residents can easily access fitness centres, parks, restaurants, and entertainment options, all within the same development, leading to a more fulfilling and convenient way of life.

alisonwarters@gmail.com

The top five reasons to buy in a mixed-use development

When buying a property, everyone needs to be aware of the additional costs that come as part of the buying process.

Often the largest outlay, after the deposit which goes to the bank, is stamp duty.

<h2 style="line-height: 1.38;">What is Stamp Duty?</h2>

Stamp duty is an extra tax to pay the government when you buy land, a property, and other certain assets.

It happens when the legal ownership is transferred. It can also be known as property transfer duty or transfer duty.

<iframe allow="accelerometer; autoplay; clipboard-write; encrypted-media; gyroscope; picture-in-picture" allowfullscreen="" frameborder="0" height="415" src="https://www.youtube.com/embed/C32BWkB5--c" title="YouTube video player" width="660"></iframe>

<h2>Who pays Stamp Duty?</h2>

In some circumstances, you may get an exemption. For some states, you won’t have to pay for stamp duty if you are a first home buyer or a pensioner for houses under a particular price. There are also stamp duty concessions, where you may be entitled to a discount.

<h2>How much does Stamp Duty cost?</h2>

Each state has different rules which affect how much you need to pay. These rules can affect the rate you pay, and the timeframe you will need to pay in. Before you buy land or a property, make sure you check the up-to-date information for your state’s stamp duty.

You can use a free stamp duty calculator online to see approximately how much you’ll need to pay. Find out if you’re eligible for an exemption by enquiring on a project via Urban!

Overall, the stamp duty you need to pay will depend on:

<ul>
	<li aria-level="1">How much your land/property is worth</li>
	<li aria-level="1">Where your land/property is located</li>
	<li aria-level="1">What type of land/property it is</li>
</ul>

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Ellen Walker

Off-the-plan property explained: What is stamp duty?

For most Australians, buying an apartment is one of the biggest financial decisions they'll ever make

The location, floorplan and price are often the first considerations, but in recent years another question has become increasingly important: who is actually delivering the project?

A series of high-profile builder collapses, construction delays and defect concerns have fundamentally changed how many Victorians approach buying off the plan. The collapse of Porter Davis in 2023, which reportedly left around 1,700 homes unfinished, became one of the most visible examples of the risks that can emerge when a construction company fails. <a href="https://www.equifax.com.au/sites/default/files/lpassets/pdf/Final-Business-Market-Pulse-June-Sector-Deep-Dive-Report-2.pdf">Similar challenges across the broader construction sector</a> have left buyers asking more questions before signing a contract.

As Victoria continues encouraging higher-density housing to address supply shortages, transparency is becoming just as important as location or price.

One tool increasingly entering the conversation is the <a href="https://icirt.com/">Independent Construction Industry Rating Tool (iCIRT)</a>, an independent assessment framework designed to help buyers better understand the developer or builder behind a project. Originally developed by Equifax in consultation with government and industry as part of NSW's Construct NSW reforms, the system has since expanded nationally.

<h2 data-end="1519" data-section-id="7nmx3" data-start="1492">What is an iCIRT rating?</h2>

Most Australians are familiar with independent ratings in everyday life.

We compare ANCAP safety ratings before buying a car. We look at Health Star Ratings in supermarkets. Banks rely on credit assessments when lending money.

Until recently, however, there has been very little independent information available to help apartment buyers assess the business responsible for delivering a residential project.

That gap is what iCIRT was designed to address.

Builders, developers and other construction professionals with an iCIRT rating have demonstrated high-trust characteristics through an independent, evidence-based assessment across six criteria: Character, Capability, Conduct, Capacity, Capital and Counterparties. This involves a rigorous review of financial health, past project track record, and ethical conduct. Crucially, an iCIRT rating could help provide property buyers with confidence that they are working with a professional who has demonstrated the capability, capacity, and willingness to return and rectify issues.

<img alt="iCIRT" data-entity-type="file" data-entity-uuid="dcbb59af-3d5a-43aa-b28e-a66e55a83568" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Announcement.png?VersionId=6OD8r.v.oucEF01BWxR85urzoD9seQ9e" />

Importantly, iCIRT is not a recommendation to purchase a particular property, nor is it a traditional credit rating. It is an independent assessment framework designed to provide objective information about a construction business using a <a href="https://icirt.com/sites/default/files/2025-08/iCIRT-Methodology-Issue1-May-2021.pdf">published methodology</a>.

The system has been widely adopted in New South Wales, where more than one-third of medium and large residential builders and developers now hold an iCIRT rating, representing over two-thirds of the state's residential building market by value as of 2025/26.

<h2 data-end="3126" data-section-id="h6ohtj" data-start="3084">Why buyers are doing more due diligence</h2>

For many buyers, particularly those purchasing off the plan, the biggest risk isn't whether they'll like the kitchen finishes.

It's whether the project will be delivered on time, to the expected quality, and by a company capable of completing the development.

<a href="https://icirt.com/sites/default/files/2026-07/iCIRT%202025%20Consumer%20Survey%20Report%20v05.pdf">Consumer research commissioned by iCIRT</a> found more than half of respondents believed current protections do not adequately safeguard buyers from builder insolvencies or defective projects. Other research found 88 per cent of prospective buyers would seek independent ratings or due diligence before purchasing, while 90 per cent said trust in construction professionals is essential.

That doesn't mean buyers should rely on a single rating alone.

Independent legal advice, understanding the contract, and seeking financial advice all remain important parts of the due diligence process.

However, an independent assessment can provide another source of information alongside those traditional checks.

<h2 data-end="4138" data-section-id="pquzxc" data-start="4094">Trust is becoming a competitive advantage</h2>

The conversation isn't only changing for buyers.

Developers are also recognising that trust has become an increasingly important part of the sales process.

<img alt="mirvac" data-entity-type="file" data-entity-uuid="1c11c691-e8cd-46c3-88fd-6c8d614e8357" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/mirvac.png?VersionId=ZqDqNL36WJOOCmNMmmO93Q2GTrFOBomz" />Mirvac is a 5 Gold Star iCIRT rated developer, the highest possible rating a developer can get: Harbourside by Mirvac

Five years ago, purchasers typically asked about floorplans, finishes and settlement dates.

Today, sales teams are increasingly being asked about the developer's experience, financial stability, previous projects and construction partners.

For companies with strong governance and established delivery records, an independent iCIRT rating provides another way to demonstrate those credentials before buyers even visit a display suite.

According to Equifax, the assessment can also help businesses drive sales and <a href="https://icirt.com/resources-for-business/icirt-rating-helps-scion-secure-high-value-projects">secure high-value projects</a>, as well as identify operational improvements and <a href="https://icirt.com/resources-for-business/mirvac-reinforces-brand-trust-and-quality-independent-icirt-rating">attract top talent</a>.

<h2 data-end="4962" data-section-id="1j54ng5" data-start="4912">Beyond buyers: lenders are paying attention too</h2>

The influence of independent construction ratings is also extending beyond consumers.

According to Stamford Capital's Real Estate Debt Capital Markets Survey, an increasing number of lenders now incorporate iCIRT ratings into their due diligence processes when assessing residential development finance applications.

The survey found lender adoption has continued to rise, with many respondents saying independent assessments provide additional insight into governance, counterparties and delivery capability beyond traditional financial analysis. Some lenders also reported declining funding applications where businesses had poor or no ratings.

As construction costs remain elevated and access to development finance becomes more selective, demonstrating credibility is becoming increasingly valuable.

<h2 data-end="5801" data-section-id="1qazuxs" data-start="5772">What it means for Victoria</h2>

Victoria's apartment market is entering a new phase.

The state is seeking to accelerate higher-density housing while simultaneously introducing reforms aimed at improving confidence in residential construction.

For buyers, that means there are more tools available than ever before to research the businesses behind a project.

For developers, it signals that transparency is becoming another point of differentiation in an increasingly competitive market.

Buyers are asking more questions than ever before and increasingly expecting independent information, not just marketing material, before making one of the biggest financial commitments of their lives.

<img alt="iCIRT" data-entity-type="file" data-entity-uuid="958e1497-8151-4689-aadc-baf59f6e6122" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/iCIRT-Infographic-Assessment-Process-Final.png?VersionId=7KyVcwSo4vCLXBYBdq382e3Si.R.9PWQ" />

<hr data-end="6469" data-start="6466" />
The information contained in this article is general in nature and does not constitute personal, financial, legal or tax advice. It does not take into account your personal objectives, financial situation or needs. Therefore, you should consider whether the information is appropriate to your circumstances before acting on it and, where appropriate, seek independent professional advice.

This article contains links to third-party websites. These links are provided for convenience only. Equifax Australia does not control and is not responsible for the content, accuracy or privacy practices of external sites.

Copyright © 2026 Equifax Australia Information Services and Solutions Pty Ltd. All rights reserved.

Buying off-the-plan in Melbourne? How independent iCIRT ratings are set to change Victorian property

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Detached houses have now superseded units as the best performers across the capital city property markets. Up until recently unit values were showing a much stronger performance.
Across Australia’s combined capital cities over the 12 months to October, houses grew in value by 8.2% as opposed to units at 5.9%.
There’s a commonly held view that house values appreciate at a more rapid pace than unit values due to the underlying land value however, this has not necessarily been the case throughout most of the past five years.
<img src="/images/stories/2013/11/28/kusher-nov-28-one.gif" width="470" height="228" alt="kusher-nov-28-one">
These results show that capital city values over the past five years to November 2013 increased at an average annual rate of 3.7% compared to growth of 4.0% per annum across the unit market. If we look at the two previous five-year periods we see that growth in house values outstripped unit values.
Between October 1998 and October 2003, house values rose by 15.0% each year compared to unit value growth of 11.1%. Between October 2003 and October 2008 house values increased at an average annual rate of 4.9% compared to 3.6% for units.
<img src="/images/stories/2013/11/28/kusher-nov-28-two.gif" width="470" height="233" alt="kusher-nov-28-two">
Strong growth in house values over the preceding two five-year periods highlights a time when houses were typically favoured over units. However, with current mortgage rates extremely low, buyers are potentially stretching themselves financially in order to purchase a detached house rather than a unit.
It will be interesting to see if the higher level of growth reverts to units in Sydney and Melbourne over the coming year as selling prices rise and affordability becomes more challenging for detached housing.
Once we see start to see a rise in interest rates, we may also see the dynamics shift.
<img src="/images/stories/2013/11/28/kusher-nov-28-three.gif" width="470" height="228" alt="kusher-nov-28-three">
Based on these results, one of the reasons why value growth has been more closely aligned between houses and units over the past five years comes down to affordability factors.
The median selling price for a unit has consistently been between 10 and 15% lower than that of a house since early 2006.
Although this may not sound significant, the current difference is 14.8% which equates to $80,000 across the combined capital cities which is much more than a year’s average wage.
Dwelling approvals data shows that over recent years, there has been a sharp escalation in the proportion of approvals for higher density product as opposed to houses. I expect this trend to continue, largely due to the lower prices of units and increasing demand for people to live in inner city areas which are close existing transport infrastructure.
<img src="/images/stories/2013/11/28/kusher-nov-28-four.gif" width="470" height="217" alt="kusher-nov-28-four">
Based on dwelling approval data over the 12 months to September 2013, 42.4% of all dwelling approvals were for units as opposed to houses. Although houses account for the majority of dwelling approvals, the proportion of unit approvals has increased from:
• 38.9% in 2012
• 33.2% in 2007
• 34.2% in 2003
• 29.6% in 1993.
Dwelling approvals data over the past 12 months across the capital cities shows that higher density living in our major capital cities will be a central feature into the future. More than 50% of all approvals in Sydney, Melbourne, Brisbane, Darwin and Canberra were for units as opposed to houses over the 12 months to September 2013.
Although many people have aspirations of owning a house as opposed to a unit, in reality it’s becoming more and more difficult. Added to this is that  affordable housing tends to be quite a distance from CBD area. As a result we are seeing a rising prevalence of higher density construction in our major capital cities, particularly within inner city areas.
Current market conditions may lead to stronger demand from both investors and tenants and subsequent stronger levels of value growth for units as opposed to houses over the coming years.
 
<hr>
 Cameron Kusher is senior research analyst at <a target="_blank" rel="nofollow" href="https://www.myrp.com.au/">RP Data</a>.
 
 
 
 
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ckusher-ujnxiKuFQs

Detached houses overtake units as the best performers in capital city markets

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You can argue the case for bravery or stupidity, yet there's always one intrepid soul willing to be that first animal into crocodile infested waters.  A treacherous crossing with potential ruin at the jaws of a true killing machine with a skill set honed over many a year, yet the crossing is worth the risk considering the green pastures that lay beyond.
Unfortunately for me I'm not on safari gazing over the banks of the Mara River in deepest Africa, but rather walking along City Road, Southbank.  In recent weeks that brave soul taking the plunge into one of the more hostile urban environments Melbourne has to offer is  <a href="http://www.yelp.com.au/biz/a-taste-of-france-southbank" target="_blank">A Taste of France</a> - to most people a French patisserie but in the eyes of Apartments.com.au a venture willing to take on a beast that has the ability to crunch and spit out any unsuspecting prey.
<a class="colorbox colorbox-insert-image" href="https://res.cloudinary.com/dz9xllyip/image/fetch/q_auto:good/https://s3-ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/pictures/article-images/article-2225219-15C1E831000005DC-679_964x641.jpg" rel="gallery-all" title="Sometimes it doesn't go to plan. Image © Caters News"><img alt="" class="image-article-full-width-702px" src="http://urbanmelbourne.info/sites/urbanmelbourne.info/files/styles/article_full_width_702px/public/pictures/article-images/article-2225219-15C1E831000005DC-679_964x641.jpg?itok=OcNmQtGf" title="Sometimes it doesn't go to plan. Image © Caters News" typeof="foaf:Image"></a>
City Road in particular has evolved over decades into the hostile environment it is now.  As apartments towers began their infiltration during the late 1990's and gathered pace thereafter, the urban realm was treated as an afterthought - hey there's no rush given there's so many sites yet to be developed plus so many retail and amenity options within a 15-20 minute walk.  Unfortunately the lax attitude has lingered and the area finds itself in a quandary with an ever increasing population mass concentrated around City Road, with City Road itself almost completely inactive from a pedestrian's view.
Some may recall the best part of ten years ago a plan put forward by Melbourne City council to activate and beautify certain parts of Southbank, with City Road coming in for its share of attention.  Included was a circus, a Piccadilly Circus on Southbank of sorts, concentrated around the City Road and Queensbridge Street intersection.  As expected nothing came of the plan and essentially nothing has been done to correct the wrongs of City Road and many other areas of Southbank since.
There are small pockets of resistance though with the recently refurbished <a href="http://www.melbourne.vic.gov.au/CommunityServices/CommunityFacilities/Boyd/Pages/AboutBoyd.aspx" target="_blank">Boyd Community Hub</a> introducing a cafe with outdoor seating while Wine House opposite provides respite for those inclined to enjoy a tipple, yet A Taste of France is the first  commercial/retail outlet to take the fight to the street with curbside seating.
<a class="colorbox colorbox-insert-image" href="https://res.cloudinary.com/dz9xllyip/image/fetch/q_auto:good/https://s3-ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/pictures/article-images/Img_0356.jpg" rel="gallery-all" title="Leading the charge, at a snails pace.City Road at peak hour"><img alt="" class="image-article-full-width-702px" src="http://urbanmelbourne.info/sites/urbanmelbourne.info/files/styles/article_full_width_702px/public/pictures/article-images/Img_0356.jpg?itok=zOuuAK5Q" title="Leading the charge, at a snails pace.City Road at peak hour" typeof="foaf:Image"></a>
The above picture says it all really, dying tree and all.  Good weather on a Saturday morning should see the masses out and about.  The population is certainly there yet where are all the people?  Quite possibly enjoying themselves elsewhere I'd suggest.  Light penetration is good, footpaths are wide, an ever increasing population and no-one walking the area aside from one or two - it's an indictment on Southbank!
So what cane be done to right the wrongs of Southbank?  Well it's a massive undertaking that requires time and capital yet the first steps in correcting the areas failings could involve:
<ul>
<li class="rtejustify">
		Melbourne City Council devising a capital works program to rid the main thoroughfares initially of asphalt and lay pavers equal to those within Melbourne's CBD.  Simultaneously enlist a firm such as <a href="http://www.uap.com.au/street-furniture/" target="_blank">Urban Art Projects</a> to create practical art pieces such as street furniture or sculptures to insert at key locations</li>
	<li class="rtejustify">
		Nice and simple - plant more trees</li>
	<li class="rtejustify">
		With a nice new street level perspective, Council should waive any fees associated with any business willing to implement alfresco seating, or possibly even install fixed glass curbside balustrades (similar to Lygon Street or Lonsdale Street) free of charge </li>
	<li class="rtejustify">
		Platinum Tower will introduce one of the worlds<a href="http://platinumtower.com.au/#/architecture/" target="_blank"> largest vertical gardens</a> to the streetscape upon completion.  Consider requiring any future developments carry green podiums rather than the obligatory inactive mesh or finned facade over above ground car parks.  This serves to soften the vista and brings and earthy, enjoyable element to the area.</li>
	<li class="rtejustify">
		Introduce traffic calming measures</li>
	<li class="rtejustify">
		Address the Kings Way overpass with a similar application to the <a href="https://res.cloudinary.com/dz9xllyip/image/fetch/q_auto:good/https://s3-ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/Image6571.jpg" target="_blank">rail overpass found over Carlisle Street</a>, East St Kilda - a little art can go a long way</li>
</ul>
As for that zebra I like to call A Taste of France, life won't be getting much easier with the 170 metre Platinum Tower opposite commencing construction in the new year, providing a 'soothing' hum of construction equipment for the next two or so years.  Sometimes, just sometimes though that first animal to cross the treacherous river makes the crossing successfully and prompts many others to follow -  here's hoping!
Ultimately all I've done is highlight one problem and suggested some remedies.  I don't profess to being able to solve the issues of Southbank, the problem is neither can those charged with its success.
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silvermb

Into the jaws of Southbank

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The current value growth phase across Australia’s combined capital cities is nowhere near as strong as other growth phases over recent times.  Although home values are rising, they are doing so at a much more moderate pace than during previous growth phases. 
Home values are higher now than they have been in the past however, a different market characteristic now is that investors represent a much greater portion of the market. This could potentially heighten the risks associated with a downturn in the current growth phase.<img class="aligncenter size-full wp-image-2766" alt="chart 1" src="https://blog.rpdata.com/wp-content/uploads/2013/12/chart-1.jpg" width="470" height="168" style="margin: 0px auto 15px; padding: 3px; border: 1px solid #e6e6e6; outline-width: 0px; background-color: rgba(255, 255, 255, 0.701961); max-width: 100%; text-align: center; height: auto; display: block; vertical-align: bottom;">
19 months ago, the combined capital city housing market reached a low point following a -7.7% fall in home values.  Since that time, capital city home values have recorded total value growth 10.3% to November 2013.  In comparison, over the 19 months from the beginning of 2001 home values rose by 31.3%.  From the start of 2007, home values were 13.7% higher 19 months later from the beginning of 2009 home values were 19.8% higher 19 months later.  So as you can see, home value growth in this phase has been much more moderate, however, home values are also higher.
Interestingly, values were still growing after 19 months in 2001/02 however, values had begun to fall by this point in 2007/08 and 2009/10.  In 2007/08 the market was beginning to plunge into the financial crisis and aggressive interest rate cuts were not yet enough to stimulate higher demand and subsequent higher home values.  In 2009/10 low interest rates and the First Home Owners Grant Boost (FHOGB) stimulated the growth in the housing market however, once the stimulus was removed and interest rates started to rise we saw the rate of value growth fall and eventually turn negative.
In the current growth phase we have not as yet seen interest rates rise and there has been no other external stimulus such as the FHOGB, and values are still rising after 19 months.  A feature of the market in this growth phase compared to the previous three growth phases highlighted is that a greater proportion of demand is being made up by investors; of course investors were a part of the market in the previous growth phases however, owner occupiers held greater prominence than they do currently.
So is this market being fuelled purely on investment speculation?
Not quite. Currently, there is a comparatively higher proportion of investment activity in the market when compared to the previous growth phases.  Over the 19 months from January 2001, investors accounted for a month-to-month average of 32.2% of the value of total housing finance commitments. 
From January 2007 investors accounted for a month-to-month average of 34.8% of all housing finance commitments and from January 2009 they accounted for a month-to-month average of 32.7%.  From May 2012 to September 2013 (latest data available) investors have accounted for a month-to-month average of 35.9% of all housing finance commitments.  The level of investor activity throughout the current growth phase is not abnormally high but it is certainly elevated compared to the previous three growth phases analysed. 
Across this growth phase investment levels are not abnormally high they are escalating.  In September 2013, investment finance commitments made up 37.3% of all housing finance commitments which were the highest proportion since May 2004 (37.5%).
<img class="aligncenter size-full wp-image-2767" alt="chart 2" src="https://blog.rpdata.com/wp-content/uploads/2013/12/chart-2.jpg" width="470" height="166" style="margin: 0px auto 15px; padding: 3px; border: 1px solid #e6e6e6; outline-width: 0px; background-color: rgba(255, 255, 255, 0.701961); max-width: 100%; text-align: center; height: auto; display: block; vertical-align: bottom;">
As I see it there are two potential pitfall of the current heightened level of investment in this market growth phase.
Firstly, data suggests that investment activity is highest within New South Wales, Northern Territory and the Australian Capital Territory.  Anecdotal evidence suggests that offshore investment activity is particularly strong in Victoria. 
If we assume that the state-wide data is a proxy for the capital city markets, we gain some valuable insight into the characteristics of investors.  In Sydney, home values have already risen by 15.9% from their May 2012 low. In Melbourne home values are now 8.6% higher than their low in May 2012.  Darwin values are 15.9% higher than their low in January 2012, while in Canberra, values have increased by just 3.1% from their January 2012 low.  Values are still trending higher in Sydney and Melbourne. In Darwin value growth has moderated while in Canberra values are falling. 
My point is that if investors are chasing capital growth, in all likelihood and based on timing, they have already missed the best opportunity.  If investors are focused on rental return, yields have trended lower across each of these cities over the past year.
<img class="aligncenter size-full wp-image-2768" alt="chart 3" src="https://blog.rpdata.com/wp-content/uploads/2013/12/chart-3.jpg" width="470" height="166" style="margin: 0px auto 15px; padding: 3px; border: 1px solid #e6e6e6; outline-width: 0px; background-color: rgba(255, 255, 255, 0.701961); max-width: 100%; text-align: center; height: auto; display: block; vertical-align: bottom;">
Secondly, a potential future weakness for the market is that some investors may not necessarily be ‘committed’ to the asset class.  Meaning that if value growth was to slow or start to fall are these investors invested in residential property for the long haul, or will they choose to exit the asset class just as quickly as they have entered? 
My opinion is that if they aren’t committed then there is potential risk associated in the future where a significant supply of investment grade units may come to market when investors may be looking to exit poor performing assets.
One final risk of course is a rise in the unemployment rate.  Official government forecasts are calling for unemployment rates to peak at 6.25% by the middle of next year.  To date, the unemployment rate has been trending higher at a fairly moderate pace and was recorded at 5.7% in October.  If this rate was to rise to 6.25%, it would be the highest unemployment rate since September 2002 (higher than any time during the financial crisis). 
If we were to see investors look to exit their investment properties such as they did in 2008 in line with an escalation in mortgage arrears, we could see weakening home values much like what occurred in 2008.  
<img class="aligncenter size-full wp-image-2769" alt="Chart 4" src="https://blog.rpdata.com/wp-content/uploads/2013/12/Chart-4.jpg" width="470" height="168" style="margin: 0px auto 15px; padding: 3px; border: 1px solid #e6e6e6; outline-width: 0px; background-color: rgba(255, 255, 255, 0.701961); max-width: 100%; text-align: center; height: auto; display: block; vertical-align: bottom;">
Overall there are always risks associated with the housing market, or any market for that fact.  We have no doubt that the Australian Prudential Regulation Authority (APRA) are regularly analysing these risks and liaising with the banking community to ensure these potential risks don’t turn into a reality for the market.

<hr>
Cameron Kusher is senior research analyst at <a target="_blank" rel="nofollow" href="https://www.myrp.com.au/">RP Data</a>.
 
 
 
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What lies beneath: Investor driven growth cycle heightens underlying risks

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I think now is the time to issue a bit of a warning. This week we have hit the point where I anticipate the market will start to slow down a little.
Now don’t panic. I am not saying it will drop, nor will it stop, but the frantic pace of recent weeks will fall away.
With less than a month until Christmas it is inevitable that for some potential buyers the focus will shift from house shopping to Christmas shopping. Those people will have decided it is just too hard to keep pushing to find the perfect property before the holidays.
But as I said, for vendors it isn’t time to panic.
The market is solid right now. Even if a percentage of buyers withdraw there will remain a healthy percentage who will continue to engage in the hope they can secure a new house for Christmas, even if they can’t move in.
We have several auction scheduled over these last weeks before Christmas and interest is good.
Prices have been strong but not ridiculous which isn’t a bad thing as it reflects a very solid market platform.  With a few less vendors in the mix prices should hold, delivering a happy outcome for pre-Christmas buyers and sellers.

<hr>
Ewan Morton is managing director of the Sydney based <a rel="nofollow" href="https://www.mortonandmorton.com.au/" target="_blank">Morton &amp; Morton</a>.
 
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emorton-DecMjPQt5h

Market is solid, but prepare for a Christmas slowdown

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Auctioneers have a very public role – every Saturday they’re out trying to sell as much property as possible. It takes a lot of confidence and a lot of preparation.

Property Observer spent one Saturday with Steve Burke and Nicholas Goold from Hocking Stuart Glen Iris to get a behind-the-scenes look at the life of an auctioneer. We were able to see how auctioneers coax people in to bidding higher and, if an auction passes in, how they negotiate with vendors and buyers to secure the highest price possible.

In this episode of Day in the life we follow Steve Burke to the auction of <a href="https://www.realestate.com.au/property-townhouse-vic-camberwell-115340459">1B Cooloongatta Road Camberwell</a> (pictured below the video), a three-bedroom townhouse.

A similar property next door sold for $871,000 last month and Burke is hoping to beat that. But he has to contend with a limited number of interested bidders and a potentially unrealistic vendor.

The negotiations get quite tense and there are lessons to be learned on how to act in such circumstances.

Burke and Goold remind us it’s a complex job that’s not suited for everyone but a job that can do vendors wonders.
{qtube vid:=wt6PdCNBPmU&amp;feature=youtu.be}
 
{yoogallery src=[images/stories/2013/12/05/cam]}
Photos: 1B Cooloongatta Road Camberwell


(Satur)Day in the life

9:00: Arrive at office and start preparation for the days auctions

9:30 Call around to make sure all interested parties will be at the auction

10:00 Leave for the auction and meet the clients

10:45 Auction starts

11:00 Auction ends and negotiations start

12:00 Negotiations finish and time to celebrate then finalise paperwork

13:00 Head to the next auction to repeat the process



Transcript

It’s a November Saturday in Glen Iris and potential property buyers are out in force, attending and bidding at auction. It’s the modern day battlefield for today’s property buyers. I’m speaking with auctioneers Steve Burke and Nick Goold as they take a number of properties to auction. 

I’m Steve Burke from Hocking Stuart Glen Iris, the director here at the company and I’m very excited to have a chat today. We have got a busy day ahead, we have five auctions scheduled today. I’m looking forward out there today in a very strong market and getting some bidding and some very good results for our clients.

My name is Nicholas Goold. I’m a sales exectuve and auctioneer here at Glen Iris as well.

I think it’s seen very much as a glamorous industry. People just see the public side when people are handing out brochues, people are bidding and it’s all very exciting. People drive up in flashy cars. But there’s a lot of work that goes on behind the scenes and that is a lot of administration work, a lot telephone calls, a lot of prospecting. Before you actually get to auction day it can be a two or three year journey.

It certainly takes a specific set of skills and a personality type. Not everyone wants to do it, not everyone is comfortable doing it because you’re a big advertisement for the agency and for the company itself. 

We’re driving out to 1B Coolangatta Road Camberwell. It’s a three bedroom townhouse which has been on the market for four weeks with 55 groups coming through. Two or three of those have come back for a second look and Steve’s hoping they’ll be bidding today.

Real estate is all about comparing apples with apples and recently next door sold for $871,000 with another agent so that’s our agent and wer’e certainly hoping to achieve a better result than that today.

There’s a lot of people here today but not many serious bidders. Steve has to try his best to coax bids out of a reluctant crowd. The vendor’s reserve is $908,000. Slightly unrealistic given next door sold for just $871,000.

*Auction*

After a few minutes and another vendor bid of $850,000, it passes in to the young couple for $860,000, well below the vendor’s reserve. Steve must now work to get the two to meet in the middle. The vendor is upstairs in the second bedroom as Steve negotiates at the kitchen table. 

This is where the skills of an auctioneer really come into play. It’s a tense situation for the vendor. Steve knows these were one of the few genuinely interested bidders at the auction. Next door sold not that long ago, but that price was pushed up by a bidding war between this couple and the eventual buyer. With their competition out of the way the couple know they’re in a strong position.

We’re just giving the purchasers a few minutes chance – breathing space to work out what they’re prepared to pay and the vendor the same. And we’re looking to see if we can bring the two parties together. We’re being summoned inside.

*Negotiations*

It’s a very emotional decision for our vendors. We’ve now got an offer of $875,000 and our vendor has come to $880,000 in price. So we’re $5000 away. This is the job of the agent to bring the parties together. And let’s hope we can get a sale sticker up very shortly. 

The talks go back and forth for some time, But it seems Steve has pushed the couple as far as he can and they’re standing up to leave the table. This is Steve’s last chance to secure a sale today. He speaks to the vendor one last time with a final offer of $877,500.

*Deal accepted*

It took a lot of back and forth but Steve was able to secure a deal that’s kept both parties more than happy.

The vendor and her recently graduated son will move out after settlement and this young couple can start their new life in Camberwell. For everyone involved it’s time to celebrate.

*Toast*

Basically we’ve got an opportunity to sell her property for her today. A cash unconditional contract which means there’s no cooling off or it’s not subject to finance or any such means. As a result we were able to bring the parties together. It was very close, in percentage terms, to what she actually wants. She had a bit of council from her friends and common sense prevailed. Well done.
<a href="mailto:awalsh@propertyobserver.com.au" target="_blank">awalsh@propertyobserver.com.au</a>
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awalsh-7Ub9EypybQ

Day in the life of an auctioneer - Walking the negotiation tightrope

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Australia spends more on infrastructure today than at any stage in its history. Yet governments are unable to meet demand and don’t expect ever to do so. What can governments do to keep up with escalating demand and community expectations for infrastructure?
Reserve Bank assistant governor Philip Lowe <a href="https://www.businessspectator.com.au/news/2013/11/26/infrastructure/rbas-lowe-urges-tolls-infrastructure" target="_blank">says</a> tolls and levies could be the answer to more efficiently funding the transport infrastructure we need - infrastructure he says would boost productivity and improve living standards.
Tolls are just one issue likely to be debated as part of the Productivity Commission’s current <a href="https://www.pm.gov.au/media/2013-11-13/productivity-commission-inquiry-infrastructure-costs" target="_blank">inquiry</a> into infrastructure costs, which is considering how infrastructure is funded and financed by both the Commonwealth and the states.
Governments trying to fix the infrastructure backlog face a number of constraints including money, suitable land access and community buy-in.
Historically, Australia is a large investor in infrastructure with per capita spending of about $18,500 per annum in the past decade. This means the nation has pulled ahead of the OECD, reflecting two mining booms and nation building public spending.
Gridlock frustrates
At the same time congestion in Australia’s major cities continues to escalate with gridlock on roads impacting passenger and freight logistics. This situation reflects poorly on project selection processes and willingness to choose infrastructure that lifts national productivity. For example, renovating existing infrastructure and shifting demand from the peak to the shoulder period can often have superior productivity impacts compared with building greenfield assets.
While Australia has a strong case to build more infrastructure, it must do so with a great deal more discipline and clear purpose towards the long term national interest.
Prioritising projects with the highest cost benefit ratios is fundamental. At the same time we must recognise that Australia has erred on this front, which has come at a cost to the public. These projects are typically in the category “too much, too late,” such as gold plating electricity distribution networks on the east coast and the south-east Queensland water grid.
If more road and public transport investment is to occur, governments should also focus on how they will service private capital during the long period of investment in infrastructure. This means a willingness to allow prices to reflect full cost recovery for the infrastructure provided, permit prices to reflect the incentive to invest and where appropriate use the government’s balance sheet to fund shadow tolls where a user charge is not appropriate.
Productivity matters
Better infrastructure for Australia should be anchored by a clear objective of lifting national productivity. This clarity of objective has been missing which has made it difficult for governments to be purposeful and consistent in their infrastructure decisions.
To that end the regulatory system requires reform, as it must provide the right price signals and incentives to make the best use of existing infrastructure. Tolls and user charges can have a more fundamental role to play in shaping demand and helping to direct where investment is needed to lift productivity growth.
Of course a toll should always be a fee for a defined level of service, and the community has the right to expect choice in the services available. The problem is that infrastructure often fails this test to the detriment of business and the community.
Tolls need to be justified
It is notable that the M1, M2, M4 and M5 toll roads in Sydney all originally demonstrated great benefit to commuters with faster travel time. But the reality is that now each of these toll roads has a peak hour exceeding 10 hours per day; slow speed and uncertain travel time is the norm.
To address this situation, state and federal infrastructure agencies need to enshrine customer service benchmarks that govern lifetime performance of major assets and networks. Government and the private sector concession holders will then require a framework to sustain them together.
The Australian community expects globally competitive transit times during the peak hour. Using tolls to help fund transport infrastructure is reasonable but without service benchmarks commuters are not assured of value for money; a toll becomes just another tax.
Tolls and user charges are not a panacea without fundamental institutional reform. Infrastructure must perform a service to the community that is relevant and compelling in order to justify a user charge in the first place. This is one of the missing ingredients to a better infrastructure future for Australia.

<hr>
Garry Bowditch is CEO of the <a rel="nofollow" href="https://smart.uow.edu.au/index" target="_blank">SMART Infrastructure Facility</a> at the University of Wollongong, which has been funded by the NSW and Queensland state governments to conduct research into infrastructure costs.
This article was originally published at <a href="https://theconversation.com" target="_blank">The Conversation</a>. Read the <a href="https://theconversation.com/should-users-pay-the-toll-for-australias-infrastructure-problem-20774" target="_blank">original article</a>.
 
 
<img width="1" height="1" alt="The Conversation" src="https://counter.theconversation.edu.au/content/20774/count.gif">
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gbowditch-XhQ427ncp8

We need to fix our national infrastructure problem, but who's going to pay for it?

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Two out of five houses sold to investors last year in Queensland.  Investor interest in townhouses and apartments is much higher, with seven out of 10 townhouses selling to investors and 85% of apartments being sold to non-residents.
Sales to investors are up on 2012, by about 10%.  During 2014 they will get even higher.
This article outlines where most of the investment buying has been taking place across Queensland.
Houses
Most houses in Queensland - like the rest of the country - are purchased by owner-residents.  Investor interest is highest in mining-related regions and in resource-based towns.  Investment interest remains high in those areas, albeit at a lower level than in previous years.
Investor interest - so far this cycle - has been more limited in the south east corner of the state than in Queensland's regions.   This is a trend that is somewhat consistent across townhouses and apartment sales as well.
<img alt="matusik-dec-5-one" height="333" width="470" src="/images/stories/2013/12/05/matusik-dec-5-one.png">
Townhouses
More townhouses sell to investors than to owner-residents.  A trend which is not only evident in off-the-plan/new townhouse sales, but also for resales too.
Owner-resident interest does increase at resale, but only if the townhouse complex has certain features.  These include:
<ul>
<li>
three- or four-bedroom product
</li>
<li>
ensuites
</li>
<li>
off-street parking for two cars
</li>
<li>
private courtyards
</li>
<li>
duplex arrangements
</li>
<li>
smaller complex
</li>
<li>
well located
</li>
<li>
acoustically proofed i.e. limited road traffic noise
</li>
</ul>
The owner-resident interest in townhouses is highest in the south-east.
Townhouse living is becoming more popular in Brisbane and on both the Gold and Sunshine Coasts.  Townhouse development is expected to increase, at the expense of new house/land, across South East Queensland in coming years/decades.
Think townhouses, more maybe, than apartments.
<img alt="matusik-dec-5-two" height="329" width="470" src="/images/stories/2013/12/05/matusik-dec-5-two.png">
Apartments
There is more consistency across Queensland when it comes to apartment sales to investors.  The vast majority of Queensland apartments sell to investors.  The Queensland apartment market is driven by investment selling.
Reflecting the recent market downturn, investor interest in apartments was lowest on the Sunshine Coast and in Cairns and Townsville last year.  In was much lower on the Gold Coast (in 2011 and 2012) than the chart below suggests.  Given the rock-bottom prices being offered for Gold Coast apartments in recent years, it is little wonder that investment interest has increased.
Owner-resident interest is there for resale apartments, but not to the same extent as townhouses or detached homes.
Apartments that attract the most owner-resident resales usually are:
<ul>
<li>
in small complexes
</li>
<li>
have high quality - the <a target="_blank" href="https://matusikmissive.com.au/2012/09/18/four-fs/">four Fs</a>
</li>
<li>
in an established neighbourhood
</li>
<li>
similarly sized (within the same development)
</li>
<li>
on a unique site - view, aspect, height
</li>
</ul>
<img alt="matusik-dec-5-three" height="335" width="470" src="/images/stories/2013/12/05/matusik-dec-5-three.png">
<ul></ul>
Comments
For mine, too much property is still being sold to investors across many parts of Queensland.
The longer term averages are 30% for houses; 65% for townhouses and about 75% for apartments.
Yet, we will see more investment selling of Queensland property as the residential recovery gains more momentum during 2014 and 2015.
Investors should be wary of buying in a project or location which is seeing a lot of investment selling.  There is only so much rental market to go around.
Investors also have a better chance of getting a better <a target="_blank" href="https://matusikmissive.com.au/2013/06/05/what-makes-a-good-investment-2/">resale</a> if the dwelling has owner-resident resale appeal.
Sadly, a lot of Queensland's new residential projects of late, don't.

<hr>
Michael Matusik is the founder of <a href="https://www.matusik.com.au/" rel="nofollow" target="_blank">Matusik Property Insights</a>, which has helped over 550 new residential projects come to fruition.  
Read <a href="https://www.matusikmissive.com.au/" rel="nofollow" target="_blank">Michael’s Blog</a> or follow him on <a href="https://www.facebook.com/ThinkMatusik?fref=ts" rel="nofollow" target="_blank">Facebook</a> and <a href="https://www.twitter.com/michaelmatusik" rel="nofollow" target="_blank">Twitter</a> or connect via <a href="https://www.linkedin.com/in/michaelmatusik" rel="nofollow">LinkedIn</a>.
 
 
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michaelmatusik-49YzLvdmNv

Investors are taking too large a slice of the Queensland property market

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Developer Ho Bee Australia’s strong reputation in Asia will aid in the sales of apartments in their $120 million Surfers Paradise tower, which will be the first high rise development to grace the Surfers Paradise skyline in five years.
The $120 million unnamed 41-storey apartment tower will be located between central Surfers Paradise and Main Beach, and will sit adjacent to the Surfers Paradise North light rail station.
<img alt="Ho-Bee-Surfers-Paradise-site-aerial-one" height="237" width="470" src="/images/stories/2013/12/04/Ho-Bee-Surfers-Paradise-site-aerial-one.jpg">
Site works are currently underway; with the last development to commence construction in the precinct being the Hilton Towers in 2009.
<img alt="Ho-Bee-Surfers-Paradise-site-aerial-two" height="276" width="470" src="/images/stories/2013/12/04/Ho-Bee-Surfers-Paradise-site-aerial-two.jpg">
Sales and marketing agent Deborah Provost says the Gold Coast is facing a critical shortage of new apartment stock.
“This product will go some way in filling that impending void,” says Provost.
“I have been dealing extensively with local, interstate and overseas buyers who are primed to make their next property play on the Gold Coast.
“They are encouraged by the dwindling supply of new apartments here and increasing property values sparked by burgeoning activity in the southern capital markets, but their options here are becoming limited in the traditional beach strip precinct between Broadbeach and Surfers Paradise.
“Currently, the majority of new apartment stock in projects like Hilton and Soul is priced above $1 million and to an extent that has polarised some prospective investors.
“Locally, we will be marketing the project to end-users and lifestyle buyers who know the area and its attributes well.
“Asian investors also have a penchant for beachfront apartments and we will be tapping into this market with targeted investor product,” says Provost.
<img alt="Ho-Bee-tower---artists-impression-cropped-one" height="459" width="470" src="/images/stories/2013/12/04/Ho-Bee-tower---artists-impression-cropped-one.jpg">
Barry Lee of DBI Design says the tower will be of international standard.
“The developers are capitalising on the strengthening local market, lack of new beachside apartment stock available or planned, and improving property market conditions across the country.
“This project is a symbolic step forward for our city.
“Its design will make a sophisticated and meaningful contribution to our city’s spectacular skyline, while delivering new levels of innovation in sustainability and community,” says Lee.
Lee says the tower will be the first project in Gold Coast’s new cycle.
The tower is anticipated to launch in the first quarter of 2014, at which time the name will be revealed.
<a target="_blank" href="mailto:ntrotman@propertyobserver.com.au">ntrotman@propertyobserver.com.au</a>
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ntrotman-Et3xWpamVh

Overseas investors to tap into Surfers Paradise's first highrise in five years

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A two-bedroom villa in Liverpool was Sydney’s most affordable auction over the past weekend, according to Australian Property Monitors.
Located at <a target="_blank" href="https://www.realestate.com.au/property-villa-nsw-liverpool-114933223">4/8 Reilly Street</a>, it sold for $320,000 through Century 21 Fairfield.
Prior to this sale, it last sold in 2009 for $235,000, according to RP Data records. It also sold in 2001 for $145,000, in 1999 for $126,000, and in 1998 for $118,000, according to RP Data records.
Listing agent Nickolas Dilles told Property Observer it was a “very good” auction, with about 25 people in attendance and six registered bidders. The auction saw “very spirited bidding”. 
Dilles revealed that the reserve price was $290,000, and the successful bidder was an owner-occupier.
He added that most of the registered bidders were investors, but “owner-occupiers will pay a premium”.
Dilles also said that the property market in the Liverpool, Fairfield and Cabramatta areas is “extremely busy” at the moment.
“It’s very very vibrant. Anything on the market’s sold in around 10 days,” he said.
He added that a shortage of stock and good returns were contributing factors to the areas’ popularity.
Dilles noted that there is a lot of investor activity in the area at the moment, and believes there is a “50/50” split between investors and owner-occupiers.
In the next six to 12 months, Dilles thinks the property market in Liverpool and its surrounds will continue to grow.
“It’s continuing to escalate, primarily because there’s no stock around. There are many properties being sold at their first open house,” he said.
According to Century 21 Fairfield’s estimated asking rent of $345 per week, the price reflects a 5.61% yield.
According to the <a target="_blank" href="/news">latest RP Data report</a>, the median sale price for units in Liverpool is $278,500, up 5.1% on last year. The average discount required to sell a unit is 6%, while private treaty sales average 64 days on market.
The median asking rent for units is $325 per week, and gross rental yield currently stands at 6.1%.
dleow@propertyobserver.com.au
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dleow-BGaNPbHWyK

Cheap Liverpool, NSW villa sells for $320,000, reflects 5.61% yield

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Investors should look for units in residential towers which have a sense of community about them, according to architects.
Hayball director Rob Stent says towers that build a sense of community retain their value better than other more bland developments.
One tower he designed six years ago now includes heavily booked communal facilities, multiple book reading clubs, dining clubs and networking meetings.
He describes it as a vertical neighbourhood where people have a sense of belonging and community which makes the building sought after.
“Being sought after retains the values and has a higher sense of owner pride. It's a self-perpetuating thing,” Stent told Property Observer.
“Having a building with the right settings you have the value retained. That's what developers that have a longer term perspective on brand and investors with a longer term eye to increased capital values should be having a look at.”
Australian apartment dwellers are more and more looking at shared spaces as a way to offset the space constraints of unit living.
Head of architecture at Monash, Diego Ramírez-Lovering, says Australian residents are becoming more and more used to communal living.
“In Australia it's not quite Sweden where 10 families will happily share a kitchen. It may get there one day,” Ramírez-Lovering says.
Also important is the concept of a 20-minute neighbourhood where people can walk to most places they need to go.
“This issue of the surroundings is an incredibly important issue; we see a lot of people moving out to the fringes buying a house and land package which is relatively affordable,” Ramírez-Lovering says.
“But they then spend a fortune on commuting all around town for employment and recreation and so on. I would say the key is to try and get these clusters of activity so you don't have to go too far.”
They were speaking to Property Observer from Synergy Property’s Nord development, in North Melbourne, a site with a Walk Score of 93.
Hayball has been working on the project for two years and marketing for the project is just underway.
The development includes units of three-bedroom configurations which Ramírez-Lovering says is an increasingly important part of new developments in Melbourne.
“There is a situation in Melbourne with higher density living that has resulted in sub-standard new apartments of impossible size up to 32 square metres and blind bedrooms,”  Ramírez-Lovering says.
“You can understand how the market gets to that point but it's interesting to understand that as we shift to a more intense and dense city and apartments become the norm and have much more diverse households living in them.
“Having apartments that are adequately sized that provide great amenity is so crucial.”
Stent says anecdotal evidence shows renters are less interested in lower quality unit stock now.
“Agents say they’ve never been so busy at painting and carpeting these old style apartments. They're no longer sought after. People are making the choice if they’re renting to go somewhere else that has more amenity or comfort or interior style and quality.”
{qtube vid:=C_G1HxDUK2M}
 
Transcript
I'm very interested as to how we're going to as architects really engage in a really meaningful way in terms of the challenges that are facing our community. We're going to be faced with enormous challenges - the aging population; the productivity commission news is alarming. That's been there for some time. People should be aware of it. How are we going to provide the housing and healthcare for an aging population which will be a significant part of the population with a diminished tax base. Look at the figures in terms of in Melbourne there's 2030 looking to be 6-7 million, recent ABS just released. Our increasingly diverse population is very different to what it was 15-20 years AGO. With not only our ethnic diversity but our demographic diversity in terms of also household configurations. Single households are the fastest growing households in Australia - what that means for housing. We're starting to see evidence the house and land package on the fringe is no longer appealing to many people. There’s still a lot of housing of that nature being build but there’s a need to provide alternative means of housing to satisfy diversity.
Developers that are in tune with those changes increasingly focus on providing a range of housing and not just sticking to the same old. The ones which will be adaptable and ready to meet the changes will be successful. Those that do the same old same old will be less successful because it's been a very simple process.
From investor’s point of view, if they're looking at a development they need to look at those sorts of developments through these eyes. Who’s out there that’s going be giving them the bigger market, that's a much broader market more diverse market than in Australia's history. It is a diverse population now. I n terms of where investors look they'll have to look at our society. That's having a number of attributes in the apartments. Whether there's flexibility in terms of apartments, spatially, what else it offers to provide an opportunity that you can't find in your apartment because of size constraints because of the commercial constraints that you would have augment. For example a playground or a playroom or spaces where you can have a party of have friends and family around.
We did the development some time ago with about 400 apartments, about six years old now. It’s born out in terms of what can emerge in terms in communities in a vertical scale. It has heavily booked communal facilities, there's 3-4 book reading clubs in the building, dining clubs, a whole series of networks and meetings in the building. It’s like a vertical neighbourhood. People do have the sense of belonging and community which makes buildings sought after. Being sought after retains there values and has a higher sense of owner pride. It's a self-perpetuating thing. Having a building with the right settings you have the value retained. That's what developers that have a longer term perspective brand and investors with a longer term eye to increased capital values should be having a look at.
In Australia it's not quite Sweden where 10 families will happily share a kitchen. It may get there one day but the interesting thing is to look at is what’s more successfully with sharing, or less successful. In one of your buildings I looked at, one of the key locations for sharing was the laundry. That makes so much sense because it's student housing. However this notion about rethinking our preconceptions about sharing are. There can be much more sharing than there is now on the other hand not all sharing works. Private open space is held dear dear by the population. That will shift over time. This issue of the surroundings is an incredibly important issue; we see a lot of people moving out to the fringes buying a house and land package which is relatively affordable. But they then spend a fortune on commuting all around town for employment and recreation and so on. I would say the key is to try and get these clusters of activity so you don't have to go too far. That is challenging because the housing usually comes first and services follows. I think that's a flawed model. There are different ways to think about it in alternative ways.  A notion that a house might not just be a house but it might be your office. It might not just be for your immediate family. It might be possible to sell or rent a portion of your house if circumstances change. So Thinking about housing because there is so much of it particularly in middle and outer suburbs, in ways which acknowledges all these changes function in much more flexible ways to accurate these things because the services very often take a long time to get there.
I live in Richmond. We’ve got a great deal of diversity just in our street. Our neighbours are three two-storey 60s built flats. There's leasing boards on them all the time. According to agents they say they’ve never been so busy at painting and carpeting these old style apartments. They're no longer sought after. People are making the choice if they’re renting to go somewhere else that has more amenity or comfort or interior style and quality. People need to be mindful that quality apartments are what people live in to purchase or rent. What we're seeing is some of the lower quality stock being hard to move. Some of the smaller apartments have resistance in terms of rental.
There is a situation in Melbourne with higher density living that has resulted in sub-standard new apartments of impossible size up to 32 square metres and blind bedrooms. You can understand how the market gets to that point but it's interesting to understand that as we shift to a more intense and dense city and apartments become the norm and have much more diverse households living in them. Having apartments that are adequately sized that provide great amenity is so crucial. It's great to see the inclusion of 3 bedroom apartments even though it seems like such a small detail the ability to have families in what was homogenous environment is a great idea.
<a href="mailto:awalsh@propertyobserver.com.au" target="_parent">awalsh@propertyobserver.com.au</a>
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