Article summary

<ul data-end="785" data-start="311">
	<li data-end="459" data-section-id="5hbcyr" data-start="311">Pikos Group has released the five-penthouse collection at Skye Kangaroo Point, headlined by a two-storey sky home spanning more than 1,000 sqm.</li>
	<li data-end="561" data-section-id="1p7lq8n" data-start="460">Early buyer interest suggests the residences could set a new Queensland apartment price record.</li>
	<li data-end="667" data-section-id="1y70z0l" data-start="562">The collection includes four move-in ready penthouses and the highly customised Skye One residence.</li>
	<li data-end="785" data-section-id="yvm0y1" data-start="668">The release caps one of Bri​sbane's most ambitious luxury apartment developments overlooking the Brisbane River.</li>
</ul>

<hr data-end="790" data-start="787" />
Pikos Group has released the five-penthouse collection at its <a href="https://www.apartments.com.au/buildings/skye-residences-by-pikos-kangaroo-point-8-river-terrace-kangaroo-point-qld-4169">Skye by Pikos</a> development in Kangaroo Point, with early buyer interest indicating the flagship residences could eclipse every apartment sale previously recorded in Queensland.

The collection crowns the luxury riverfront development with five residences, including four completed penthouses and Skye One, a two-level sky home spanning more than 1,000 sqm that will be tailored to its eventual owner.

[smartcode_project:default project_id=90059 project_image_fid=374075]

Wanting to offer a fully customisable home, Pikos is offering Skye One as a blank canvas, allowing the buyer to work alongside the developer's design team to customise the home's layout, finishes and internal spaces.

The residence will feature a 247 sqm private rooftop terrace with its own swimming pool, sauna, steam room, outdoor kitchen and multiple entertaining areas overlooking the Brisbane River and CBD skyline.

The remaining four penthouses have been completed and are ready for immediate occupation, each offering four bedrooms, expansive open-plan living areas, soaring ceilings and private lift access.

[smartcode_project:default project_id=90059 project_image_fid=374059]

One of the defining features throughout the project is its use of Roman Classic Travertine, with more than 20,000 sqm of the natural stone imported from Italy after being personally selected by Pikos Group Founder and Executive Director Pedro Pikos, interior designer Julie Williamson and third-generation stone specialist Mario Caucci.

Pikos said the penthouse collection represented the culmination of the company's long-term vision for Skye.

"True legacy isn't measured by what we build today, but by what endures tomorrow," Pikos said.

"Our ambition is to create places that become more valuable with time, enrich the lives of generations, and stand as timeless landmarks long after we've stepped away."

[smartcode_project:default project_id=90059 project_image_fid=374060]

Williamson said the interiors were inspired by the natural character of Kangaroo Point and the Brisbane River rather than international design trends.

"Materiality tells the story of a place," Williamson said.

"We looked to the movement of the Brisbane River, the texture of the cliff face and the warmth of the surrounding landscape to create interiors that feel understated, enduring and unmistakably Brisbane."

Positioned above the Kangaroo Point cliffs, Skye places residents within walking distance of Howard Smith Wharves, South Bank and James Street while offering uninterrupted river and city views.

[smartcode_project_cta:default project_id=90059]

Joel Robinson

Brisbane's next apartment price record? Pikos unveils Skye's exclusive penthouse collection

Article summary

<ul data-end="888" data-start="289">
	<li data-end="442" data-section-id="8tsh6o" data-start="289">DVB Projects is preparing to launch its second Gold Coast apartment development, with demolition now underway at 137 Old Burleigh Road, Broadbeach.</li>
	<li data-end="573" data-section-id="1nyxl3e" data-start="443">The 34-level tower will comprise just 49 ultra-luxury residences, including half-floor, full-floor and penthouse apartments.</li>
	<li data-end="717" data-section-id="oiyimj" data-start="574">The launch follows strong demand at DVB's nearby Sea Glass project, which is more than 50 per cent sold and currently under construction.</li>
	<li data-end="888" data-section-id="epk9o9" data-start="718">The development adds to the transformation of Old Burleigh Road, with premium beachfront apartment projects continuing to reshape the tightly held Broadbeach strip.</li>
</ul>

<a href="https://www.apartments.com.au/developers/dvb-projects">DVB Projects</a> is preparing to launch its second Gold Coast apartment development, with demolition now underway on the Broadbeach site as the Sydney developer moves closer to bringing the ultra-luxury project to market.

The 34-level tower at <a href="https://www.apartments.com.au/new-apartments/137-old-burleigh-road-broadbeach-qld-4218">137 Old Burleigh Road</a> will comprise just 49 residences, ranging from half-floor apartments through to full-floor homes and a penthouse. The launch follows the strong sales performance of DVB's nearby Sea Glass development. More than half of the apartments at Sea Glass, on the other side of Broadbeach, have been snapped up, well ahead of its late 2027 completion

<img alt="DVB Projects to commence demolition on $320m Broadbeach luxury tower" data-entity-type="file" data-entity-uuid="2944b4be-c84e-4b54-8dc1-c712e76704c0" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/E02_Exterior_Street%20Level%20Entrance.jpg?VersionId=YoNig7pRdrE3HCue7sUj78LzJteeQf3H" />

The start of demolition at 137 Old Burleigh Road signals DVB Projects’ underlying confidence in the Gold Coast’s luxury beachside apartment sector.

“We see the Gold Coast as one of the most compelling lifestyle markets in Australia, particularly at the premium end where demand continues to deepen,” said Dean Brown, Managing Director of DVB.&nbsp;

“This project has been carefully designed to respond to that demand - delivering large-format residences with a level of quality, privacy and amenity that is still relatively rare in the apartment market on the beachside."

Brown says the site itself is "exceptional."

"Old Burleigh Road is one of the most tightly held beachfront strips, and opportunities to deliver a project of this scale and calibre in this location are extremely limited.”

<img alt="DVB Projects to commence demolition on $320m Broadbeach luxury tower" data-entity-type="file" data-entity-uuid="398f377a-c037-455e-9250-0c5e0d84c35b" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/I12_FF%20Balcony.jpg?VersionId=NwOiRWGMubR1c8wthuEfggklcja7al9." />

The project will comprise 40 half-floor residences of approximately 260 sqm, alongside eight full-floor residences spanning around 524 sqm.

A single penthouse will crown the building, featuring a private pool, barbecue area, indoor gym and dedicated entertaining spaces.

Residents will have access to a resort-style suite of amenities, including a 20-metre pool with daybeds, a gymnasium, hot and cold plunge pools, a sauna, and private residents’ lounge and dining facilities.

<img alt="DVB Projects to commence demolition on $320m Broadbeach luxury tower" data-entity-type="file" data-entity-uuid="d1642bb0-9a66-4427-a022-dfc0988c6287" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/A02_Pool%20to%20View.jpg?VersionId=c0IXPyn_Gp_Kn3XCwzMrqIVkAdCEwVXP" />

Sales agent Todd Matheson, of <a href="https://www.apartments.com.au/project-marketer/pezet-matheson">Pezet Matheson</a>, which is marketing both 137 Old Burleigh Road and Sea Glass, said 137 Old Burleigh Road would address a clear gap in the market for genuine luxury products.

“There are very few opportunities on the Gold Coast where buyers can secure a residence of this size and quality in a new building,” Matheson said.

“What we’re seeing is a growing cohort of downsizers and interstate buyers who still want space - they’re not willing to compromise on living area, entertaining or finishes.

“This project has been designed with that buyer in mind. It offers the scale of a home, combined with the convenience and security of apartment living, in one of the coast’s most desirable positions.”

<img alt="DVB Projects to commence demolition on $320m Broadbeach luxury tower" data-entity-type="file" data-entity-uuid="59aae0ca-5639-4320-8aca-d0bf60f48e43" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/E01_Exterior%20Hero.jpg?VersionId=DS8Zfy2WtgUEtdfe0TEUuf1W1GfcZq8S" />

Located on a 1,156 sqm site one block from the beachfront, the development will replace an ageing walk-up building and is expected to contribute to the ongoing transformation of the Old Burleigh Road strip into one of the Gold Coast’s most prestigious residential corridors.

With the development moving into the delivery phase, 137 Old Burleigh Road is slated to hit the market later this year.

[smartcode_project_cta:default project_id=145141]

DVB Projects to launch second Broadbeach apartment tower as demolition commences

A proposal to redevelop one of North Sydney's ageing commercial buildings has taken another step forward, with plans for a 38-storey mixed-use tower adding momentum to the long-awaited transformation of the Alfred Street precinct.

Now on public exhibition through the NSW Government's Housing Delivery Authority-led State Significant Development pathway, the proposal for 271-273 Alfred Street would replace an underutilised commercial building with 95 apartments, ground-floor retail, commercial space and affordable housing. The proposal was submitted by&nbsp;Tara Shore Pty Ltd, acting for the John Taylor Family Trust.

While the project will deliver much-needed housing on the southern edge of the North Sydney CBD, it also represents another piece of a broader precinct that has spent years in planning limbo.

<img alt="First look: New public domain vision underpins 95-apartment North Sydney tower on Alfred Street" data-entity-type="file" data-entity-uuid="7e1ce1b4-38df-48ab-992f-386814d86308" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Alfred%20St%20da%20podium.png?VersionId=sC_h6w.A9VEoB98qsqowPlIoz__sBZBt" />

Despite its proximity to both North Sydney Station and the Victoria Cross Metro, redevelopment of Alfred Street has progressed slowly over the past decade as broader planning controls, zoning and building heights remained unresolved. The introduction of the Housing Delivery Authority pathway has provided a new avenue for projects to progress, allowing rezoning and development assessment to occur concurrently and unlocking sites that have long been earmarked for renewal.

Designed by Office of Cortese &amp; Gilder, the proposal seeks to do more than replace an ageing office building. The architects have positioned the project as the first stage of a wider public domain vision that would improve pedestrian connectivity and create a more cohesive mixed-use precinct as neighbouring sites are redeveloped over time.

The proposal includes a widened Alfred Street setback, new street trees, landscaping and outdoor seating, along with a landscaped through-site pedestrian link connecting Alfred Street with Little Alfred Street. The connection is intended to become the first section of a future east-west pedestrian network extending across the precinct.

<img alt="First look: New public domain vision underpins 95-apartment North Sydney tower on Alfred Street" data-entity-type="file" data-entity-uuid="8ea39ac3-46ad-4562-b4a0-b862e91c2dda" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Alfred%20St%20da%20site.png?VersionId=K7umCd21KpetEFuVfsPlnJKhUOsmTTdV" />

The mixed-use tower would comprise retail space at ground level, commercial uses on level two and apartments from level three upwards.

In total, the development would deliver 95 apartments, including nine one-bedroom, 28 two-bedroom, 56 three-bedroom and two four-bedroom residences. Twenty-one apartments, representing 15 per cent of the residential gross floor area, would be secured as affordable housing and managed by a registered community housing provider for at least 15 years.

Nine basement levels would provide 133 resident car spaces, seven motorcycle spaces and 111 bicycle spaces.

According to the Architecture and Urban Design Report, the public domain strategy is designed to transform what is currently an inward-facing commercial edge into a more active and connected pedestrian environment, creating a stronger relationship between the commercial core and surrounding residential neighbourhoods.

Office of Cortese &amp; Gilder has also prepared a broader public domain framework spanning neighbouring properties between 263 and 283 Alfred Street, arguing that a coordinated approach to redevelopment will deliver better public spaces, improved tower separation and a more connected streetscape as the precinct evolves.

The proposal comes at a time where North Sydney is slated for future residential growth. Commercial developer FiveX has residential plans for the neighbouring site at 275 Alfred Street. They've proposed a 39-storey mixed-use tower with 184 apartments, while Freecity was recently approved for nearly 300 apartments across a 51-storey building on Walker Street.

Read more:&nbsp;<a href="https://www.apartments.com.au/news/nsw/first-look-freecity-gets-green-light-for-mixed-use-apartment-and-hotel-tower-in-north-sydney">First look: Freecity gets green light for mixed-use apartment and hotel tower in North Sydney</a>

Read more:&nbsp;<a href="https://www.apartments.com.au/news/nsw/first-look-fivex-plans-39-storey-residential-tower-in-booming-north-sydney">First look: Fivex plans 39-storey residential tower in booming North Sydney</a>

&nbsp;

Alfred Street the latest North Sydney pocket to be transformed by residential development

Buyers considering a residence at boutique Gordon townhouse development <a href="https://www.apartments.com.au/new-townhouses/lume-gordon-43-47-dumaresq-street-gordon-nsw-2072">Lume</a>&nbsp;now have another reason to bring forward their decision.

For a limited time, purchasers of a residence at Lume will receive a BMW iX3 50 electric SUV, valued at more than $120,000, as part of their purchase. The offer is designed to add value for buyers while complementing the lifestyle envisioned for the architecturally designed Upper North Shore development.

Scott Timmins, Development Manager at <a href="https://www.apartments.com.au/developers/winim">WINIM</a>, said the partnership was created to provide buyers with a compelling reason to act.

"In today's market, buyers need a compelling reason to act now, and the BMW partnership was designed to create that catalyst. We wanted to add genuine value for our future purchasers. Choosing the all-electric BMW iX3 50 also reflects the values behind LUME, forward-thinking design, innovation and a more sustainable way of living. It's a premium incentive that complements the lifestyle our buyers aspire to and rewards those who commit early."

[smartcode_project:default project_id=7354 project_image_fid=374893]

Delivered by WINIM in partnership with Burtonwood Investment Partners, Lume comprises 14 architecturally designed two, three and four-bedroom townhomes created for families seeking the space of a freestanding house with the ease of modern, low-maintenance living.

The three-storey residences, designed by award-winning architecture practice <a href="https://www.apartments.com.au/architects/rothelowman">Rothelowman</a>, have been tailored for families and multi-generational living, featuring private internal lifts, flexible lower-level spaces, generous open-plan living and entertaining areas, media rooms, and landscaped outdoor spaces with custom outdoor kitchens.&nbsp;

Inside, engineered oak flooring, bespoke dining joinery with integrated wine fridges and backlit bars, sculptural porcelain bathrooms, Parisi freestanding baths and Astra Walker tapware create interiors that balance functionality with refined finishes.

Each townhome has been designed to combine generous internal spaces with sustainability initiatives such as EV charging infrastructure, while <a href="https://www.apartments.com.au/landscape-architect/arcadia-landscape-architecture">Arcadia</a>'s landscaped communal areas, centred around a restored creek line and native planting, encourage residents to connect with nature and spend more time outdoors.

[smartcode_project:default project_id=7354 project_image_fid=269527]

Rothelowman's Gary Tsui said the architecture was conceived to respond carefully to its Upper North Shore setting.

"Our vision was to create elegant, uplifting homes that draw on and positively contribute to the local character through meticulously considered design and an interaction with the surroundings."

The communal landscape has been designed as more than an open space between homes. Arcadia's Ben Newell and Kate Phillips said the adjoining reserve provided an opportunity to create a distinctive natural retreat for residents.

"Just as waterways carve their way through Ku-ring-gai's landscape, a raised boardwalk weaves through the reserve, connecting the homes to this tranquil oasis."

[smartcode_project:default project_id=7354 project_image_fid=374892]

Located just 300 metres from <a href="https://www.apartments.com.au/developments/gordon-nsw-2072">Gordon</a> Village and Gordon railway station, Lume offers convenient access to Sydney's CBD while placing residents close to some of the North Shore's leading schools, including Ravenswood, Pymble Ladies' College and Knox Grammar. Lane Cove National Park, Gordon Golf Club and a range of cafés and restaurants further reinforce the family-focused lifestyle on offer, with the BMW iX3 50 complementing everything from local trips around Gordon to weekend drives and city commutes.

Construction is underway with completion expected in mid-2027.

[smartcode_project_cta:default project_id=7354]

Boutique Gordon townhomes now come with a BMW iX3 50

Two apartments have sold for more than $10 million at EADE Byron Bay, setting some of the highest apartment prices ever achieved in the coastal town and underlining the growing appetite for luxury beachfront apartments in Australia's most popular coastal locations.

The $210 million project by Vitale Property Group has now secured more than $70 million in sales, led by residences that changed hands for $12.75 million and $11.75 million.

The record-breaking transactions reinforce the shift occurring in Byron Bay's premium property market, where affluent downsizers and lifestyle buyers are increasingly opting for high-end apartments over large beachfront homes.

<a href="https://www.apartments.com.au/new-apartments/eade-byron-bay-29-shirley-street-byron-bay-nsw-2481">EADE Byron Bay</a> occupies a rare 6,000 sqm absolute beachfront site on the corner of Shirley and Milton Streets overlooking Main Beach and The Wreck surf break, just 350 metres from Byron Bay's town centre.

The 25-residence development is the first beachfront apartment project approved in Byron Bay in more than a decade and is currently under construction, with completion expected in May 2027.

[smartcode_project:default project_id=145590 project_image_fid=359521]

The project has attracted a mix of local Byron Shire residents downsizing from larger homes, alongside interstate buyers from Sydney, Melbourne and Brisbane seeking a permanent coastal lifestyle without compromising on space.

Designed by <a href="https://www.apartments.com.au/architects/hayball">Hayball</a> and with interiors by <a href="https://www.apartments.com.au/interior-designers/alexander-co">Alexander &amp; Co</a>, EADE comprises&nbsp;10 garden apartments ranging from 284 sqm to 622 sqm, nine with private pools, five full-floor apartments and 10 rooftop residences with private plunge pools, expansive outdoor entertaining areas and uninterrupted ocean views.

[smartcode_project:default project_id=145590 project_image_fid=359527]

<a href="https://www.apartments.com.au/developers/vitale-property-group">Vitale Property Group</a> Managing Partner Chris Vitale said the project's combination of scale, location and limited future supply was driving buyer demand.

"There isn't another beachfront holding in Byron Bay of this size and position that could be developed again," Vitale said.

"Buyers are responding to the scarcity and the irreplaceability of a site of this calibre and to floorplans they can't find elsewhere in the market.

"We are seeing buyers place significant value on quality, space, design, resort-style amenities and the rarity of the location. The sales achieved to date demonstrate that discerning purchasers recognise the long-term significance of what is being created at EADE Byron Bay.

"Many are coming from larger homes in the Byron region, or from Sydney, Melbourne and Brisbane, and are after the space, security and convenience, without the upkeep of a house."

&nbsp;

[smartcode_project:default project_id=145590 project_image_fid=359523]

The Byron Bay project follows Vitale Property Group's delivery of the Mondrian Hotel and Private Residences at Burleigh Heads, with EADE continuing the developer's focus on luxury coastal developments.

Residents will have access to a resort-style swimming pool, gymnasium, sauna, cold plunge pool, concierge services and dedicated workspaces, while the project is targeting an 8-Star Green Star rating.

EADE Byron Bay is being exclusively marketed by Projx Australia in conjunction with WHITEFOX Projects.

WHITEFOX National Projects Director Phillip Rand said demand had been driven predominantly by owner-occupiers.

"We are seeing buyers at EADE place significant value on quality, space, design, resort-style amenities and the rarity of this location," Rand says.

"The sales achieved to date demonstrate that purchasers at this level recognise the long-term significance of what is being created at EADE Byron Bay."

Residences at EADE Byron Bay are currently priced between $4.75 million and $15.95 million.

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[smartcode_project_cta:default project_id=145590]

Vitale breaks Byron Bay records with EADE sales flurry 

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>

Want to find out more? <a href="https://www.youtube.com/@UrbanAustralia?utm_source=YouTube&amp;utm_medium=Video&amp;utm_campaign=Subscribe&amp;utm_id=Subscribe">Subscribe to our YouTube channel</a> for more property videos.

Ellen Walker

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

Prominent New Zealand apartment and hotel operator, <a href="/developers/safari-group">Safari Group</a>, is offering up a prime investment opportunity for Australians to purchase off the plan in one of the world’s most popular ski destinations.

They recently took to market Mountain Oak Queenstown Apartments, in the growing precinct of Remarkables Park in Frankton, near the airport and at the foot of The Remarkables - the mountain range the locals like to call “The Remarks”.&nbsp;

Sydney investors have shown interest in the one, two and three-bedroom apartments that secure high-season occupancy six months over the year, primarily over summer and winter months.

They average 90 per cent occupancy across their portfolio over January, February, March, August, November and December, while shoulder season months of April, July, September and October are still occupied 70 per cent of the time, with the growing appeal of Queenstown becoming not just a hotspot for the snow, but a lifestyle destination.

Even in the low seasons of May and June, occupancy levels reach around 40 per cent.

<img alt="Safari Group’s Mountain Oak Apartments brings new investment potential to Queenstown" data-entity-type="" data-entity-uuid="" src="https://res.cloudinary.com/dz9xllyip/image/fetch/f_auto,c_limit,w_1440,q_auto/https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/field/image/Ext_Cam15_Sunny.jpg?VersionId=SJAROUM_1s.Tr5ciMk4EEj5oAt_Vewmv" />

Safari’s Safari Hotels arm can also manage the holiday letting for an investor, from the listing on holiday accommodation websites such as Airbnb and Booking.com to the cleaning and maintenance of the investment. They’ve been in the short stay management business for 15 years and offer 24/7 support for investors, an important convenience benefit for any overseas investor

Another major drawcard for Australians is that New Zealand doesn’t have a stamp duty policy - so the entry price of NZ$639,000 (AU$586,000), is all that is payable on completion.

<img alt="Safari Group’s Mountain Oak Apartments brings new investment potential to Queenstown" data-entity-type="" data-entity-uuid="" src="https://res.cloudinary.com/dz9xllyip/image/fetch/c_scale,w_580,dpr_2.0,q_auto:good/https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/313_Livingv2_WEB.jpg?VersionId=nV229fM0ZeYpoxOrX372HyGjfwY_LR8c" />

Safari is starting construction of the 141 apartments in Q2 this year, with a two-year build estimated to complete in mid-to-late 2027.<img alt="" data-entity-type="" data-entity-uuid="" height="15" src="https://lh7-rt.googleusercontent.com/docsz/AD_4nXczFpFAb7WuA6f4f9TtKWcqXyNwR8qqtakWv352ERkpqNlP3KwIo8YKxw67jZNHfpjEGIZGv5MQTbnvLZwNt8iu9IVdOrswOjCvBZ4zhSoOOLrpt6etVEZTN1gkBho0r_R72zdHNA?key=yq3daOanqHSb88QFd8jGYKdb" title="Click and drag to move" width="15" />​

The apartments will feature modern amenities and contemporary designs with expansive windows capturing sweeping views of The Remarkables mountain range.&nbsp;

Interiors are equipped with modern finishes, premium appliances, and secure electronic key-locked doors, ensuring a comfortable living experience for residents and guests alike.

With its strategic location near Coronet Peak and Cardrona Alpine Resort, as well as key retail and dining precincts such as Market Street, Five Mile Shopping Centre, and Remarkables Market, Mountain Oak offers a strong proposition for investors seeking high rental yields and capital appreciation in one of New Zealand’s most sought-after locations.&nbsp;

Queenstown’s sustained demand for visitor accommodation and rental properties is underpinned by a shortage of housing options, attracting both local and international buyers.

Safari Group offers low-touch investment proposition in Queenstown’s popular ski fields district

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Australian households continue to pay down their debt and increase their savings as house prices fall, the new RBA’s March 2012 Financial Stability Review (FSR) says.
“Real net worth per household is estimated to have fallen by 6.5% over 2011, to be 11.5% below its 2007 peak… This contrasts with the rapid trend expansion in this series over the decade to 2007 when average annual growth was 6.5%,” says the RBA.
<img src="/images/stories/absmarch282.gif">
According to the RBA, the recent weakness in household wealth has been driven by dwelling prices, “which were down about 4% on an average nationwide basis over the year to December 2011 with prices declined in most cities over the year”.
“Housing market conditions remain soft; preliminary data indicate that dwelling prices have fallen a little in early 2012. At the national level, the ratio of dwelling prices to income has fallen over the past year, and is below the average of the past decade, while rental yields have begun to pick up, assisted by stronger rental growth as well as lower prices.”
As with the previous September 2011 report, the latest report notes that the household saving rate remains well above the levels recorded in the 1990s and early to mid-2000s, with households “actively shifting their portfolios towards more conservative assets such as deposits”
“The aggregate debt-to-income ratio has drifted down over the past year, with demand for new debt remaining low and many households choosing to repay their existing debt more quickly than required.
“Solid income growth is also helping to support households’ debt-servicing capacity. In aggregate, households are managing their debt levels well, though mortgage arrears rates are still a little higher than a few years ago,” says the RBA.
<img src="/images/stories/absmarch281.gif">
According to the RBA, part of the motivation for this higher rate of saving “may have been a desire to bolster wealth, given the weakness in some asset markets in recent years”.
“Another sign of the more cautious approach of households is that they have been actively shifting the composition of their financial asset portfolio away from riskier assets like equities and towards deposits.
“From the beginning of 2008 to September 2011, there were net outflows from households’  directly held equities of nearly $50  billion, while holdings of deposits increased by around $210 billion ($94 billion more than in the previous corresponding period).
“The net outflows from equities have come on top of – and were probably in reaction to – declines in equity prices over recent years, especially given that the resulting capital losses coincided with more attractive rates of return available on deposits,” says the RBA.
The comments are in line with the previous FSR report issued in September 2011, where the RBA noted that the financial position of the household sector “continues to be shaped by a more cautious attitude to spending and borrowing, as evidenced by the considerable increase in the household saving rate”.
“After trending up since the mid 2000s, the household saving rate rose further over the past year, reaching 10.5% of disposable income in the June quarter. It is now at levels similar to those last seen in the mid-1980s,” the RBA said in the last report. 
The RBA has also released a chart showing the<a target="_blank" href="/news"> 15 regions with the highest rates of mortgage arrears.</a>
 
 
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lschlesinger-FZcF9M3vE6

Households continuing to deleverage as house prices fall: RBA 

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The sale of CFS Retail Property Trust’s 50% share of the Myer Centre Brisbane to unlisted property trust ISPT for $366 million helped boost first-quarter commercial sales to $1.4 billion nationally. 
According to CBRE analysis of all commercial transactions, sales in the traditionally quiet first quarter fell off sharply from the December 2011 quarter, but were still 18% above the first-quarter average recorded since the GFC.
The sale of the centre on a 6.5% yield was the largest retail transaction since Lend Lease’s Australian Prime Property Fund Retail (APPF Retail) acquired a 50% interest in Cairns Central for $261 million from Westfield Group in October 2011. 
The next largest deal was the Home Hub Hills Centre in Castle Hill in Sydney purchased by the La Salle Australia Core Plus Fund from developer Fenix Real Estate for $180 million. 
Retail was the most heavily traded sector comprising 51% of turnover, ahead of the office sector, which would normally be the most traded asset class, accounting for 37% of the total.
CBRE executive director of global research and consulting Kevin Stanley says this is a sign that investors are still keen to invest significantly into the retail sector, despite facing challenges of low consumer spending in some merchandise sectors and online retailing growing in popularity. 
Australian head of retail investments for Jones Lang LaSalle Simon Rooney, who brokered the Myer Centre Brisbane sale, says it demonstrated that “institutional investors view the current period as a window of opportunity to secure strategic exposure to the dominant, core regional shopping centre market that traditionally is rarely traded”.
Click to enlarge
<a href="/images/stories/cbremarch28.gif" rel="shadowbox" title="Click to enlarge"><img src="/images/stories/cbremarch28thumb.gif"></a>
Industrial property accounted for 12% of sales transactions. 
Foreign investors purchasing 43% of all assets sold by volume following a year when foreign investors purchased a record 37% share of all commercial properties sold above $20 million. 
Foreign investors active over the first three months of the year were all Asia-based, including La Salle Investment Management, Pramerica, Frasers Commercial Trust and Aviva Investors. 
Beyond foreign investors, local wholesale funds (26% of all purchases) and local private investors (20%) were also active. 
Geographically, Queensland accounted for 54% of all sales – a major deviation from trend – the state usually accounts for about 20%. 
“It appears investors are looking beyond the troubles of the past few years to the stronger economic growth which is now forecast to return to the sunshine state,” says Stanley. 
Stanley says concerns during the quarter centred on financial uncertainty coming from the Eurozone which was slowing investment decision making. 
“A slow start to the investment year is not uncommon in Australia, with January a holiday month, but the first quarter volume in both 2009 and 2011 was much lower than the $1.4 billion recorded in the first quarter of 2012,” says Stanley. 
“We think the prospects for rental growth in the office sector are still the brightest of all the asset classes and local and foreign investors continue to weigh solidly into the sector,” says CBRE regional director of institutional investment properties Rob Sewell.
Sewell says 2012 first-quarter sales activity had been impacted to an extent by an unusually early Easter break, with many vendors having delayed marketing assets until the second quarter. 
“We have a number of marketing programs ready to launch post Easter, including 6-10 O’Connell Street (a 25-storey B-grade office building in the Sydney CBD),” he says. 
Sewell says many institutions are showing a preference for assets with higher cash yields rather than lower yielding growth assets given ongoing wariness in relation to occupier demand. 
“Overall, we are seeing a lot more depth in the buyer demand, with more core plus institutional investors in the market, however the bulk of the funds are still seeking new, core assets,” he says
 
 
 
 
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Commercial sales get to $1.4 billion aggregate in March 2012 quarter: CBRE

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The most disconcerting trend to come out of the Stockland downgrade announcement was Matthew Quinn’s observation that banks were not offering financing to their buyers.
He said house-and-land buyers assessed as qualified for financing by Stockland were often getting knocked back by banks.
"A lot of these leads are still in the system, with conversion taking longer and finance approvals taking longer," Quinn said.
''Often this is due to buyers going through the finance process and getting knocked back even where we assessed them as being able to get finance,'' he said.
Perhaps the key reason for the bank hesitation came elsewhere in the briefing, when Quinn noted Stockland residential lot sales were being affected by competitors cutting their prices.
Quinn <a target="_blank" href="https://www.propertyobserver.com.au/industry-news/stockland-downgrades-earnings-as-wet-weather-delays-illawarra-residential-projects/2012032754023">said the cuts were between by between $50,000 and $70,000</a>.
Quinn told analysts that while there was some price pressure in areas where direct local competitors had aggressively discounted prices, Stockland did not usually match price cuts and preferred to “ride out” the discounts.
But in a recent survey of 40 of the top 100 home builders, 72% of respondents said house-and-land buyers were having trouble obtaining finance.
Some 62% advised that it was getting worse or showing no change, according to the survey released by RBS Equities this month.
Buyers’ difficulties in obtaining finance were resulting in lost sales for 79% of the home builders that responded, and in delays for buying for 21%.
Consumer caution – which has been around since the GFC –  is now meeting resistance by way of financing challenges in the most affordable sector of housing.
It should, <a target="_blank" href="https://www.propertyobserver.com.au/residential/federal-government-must-decide-if-housing-industry-warrants-a-handout-in-may-budget/2012032053937">as I pointed out last week</a>, be of increasing concern to state and federal government policymakers.
Have we heard much from the opposition on the issue?
But surely the lengthening absence of data indicating any housing construction recovery – and accompanying credit growth – must be weighing on Federal Treasurer Wayne Swan during his May budget preparations.
Bendigo and Adelaide Bank chairman Robert Johanson says the housing market succeeds because of economic prosperity rather than government intervention.
So while we await the prosperity sentiment, and any government intervention, it seems home builders are going to have to offer more than free air-conditioners or $5,000 barbecues to secure sales.
Maybe the astronomical price of land has to come back to earth a bit.
 
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jchancellor-FAypfDUnLy

Land prices coming back to earth as developers start discounting

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It might just be a coincidence, but this week is the 13th one of the year and last night I delivered my 13th presentation for 2012.
The first quarter of the year is usually much quieter for such proclamations than later months, so either this year will be full-on speech wise or things are just topsy-turvy. I hope the former, as our bank account can do with the speaker fees!
Last night’s gig was for a Brisbane-based public development company, and while I have left out my recommendations to said business – you will just have to employ us if you want our strategic input – the bulk of my short address might be of interest.
It corrals many of the current themes into 13 paragraphs.
Ohhh…. the synergy is just killing me!
1. 40/60 rule
40% is the cycle.
South-east Queensland went into downturn in early 2008 – exacerbated by Suncorp’s exit, the flood and the Labor government.  Since 2008, property values have fallen by 6%, new starts dropped by a third to 26,000 per annum across Queensland, and sales volumes across the state have halved to 35,000 per year.
Now we have the LNP in State Parliament and for at least two terms, maybe three; an undersupply – statistically speaking – of new housing; $135 billion worth of resource projects underway across Queensland; and $29 billion worth of new infrastructure being built across south-east Queensland. The property clock sits at six o’clock for Brisbane and between four and five o’clock for the Gold and Sunshine coasts. Other Queensland regions sit higher up the cycle, and some of these areas have experienced boom conditions over the last three to five years, e.g. Gladstone, and to a lesser extent, Mackay and Rockhampton.
60% is what you buy.
Last year, 25% of the dwellings bought across Australia were four-bedroom stock; 55% three-bedroom; 15% two-bedroom; and 5% one-bedroom stock.
Close to two-thirds of the new housing starts and sales take place in our capital cities – and there has been little change in a decade. In our capitals themselves, about 60% of the action takes place in the outer suburbs, with the middle-ring getting a quarter of the play and the inner suburbs just 15%. The middle ring’s market share has dropped from 40% since the late 1990s.
A recent ABS survey shows that just 4% of the Australian population moved over the last five years because they wanted a smaller home, compared with around 20% who moved for a larger property. The desire for a smaller home is highest with older Aussies, with 14% moving for such, but in Queensland, this proportion is half the national average.
Nine out of 10 sales are now resales, with new sales dropping from a 30% market share before the GST to 11% today. For mine, new product is too expensive when compared with established stock; is either too tall or small (apartments); or too skinny and too far away (new detached product). In contrast to new built sales, housing refurbishments now take up half the total dollars spent on housing across the country. This spend has doubled over the last decade or so.
2. Outlook
Due to demographics and mild panic (negative press about how far Australian property prices could fall), there is an unprecedented amount of resale stock on the market. It is now starting to drop across Queensland, but this overhang will keep prices keen in coming years.
We anticipate that rents will continue to rise, between 5% and 8% per annum, which in turn will lift some first-home buyer interest and get investors back into the market. Price growth will occur, but this cycle will remain very subdued, lifting nationally by between 2% and 4% per annum. Across parts of Queensland, including Brisbane, this lift could be close to double the national average.
Rental returns will attract investors first and not capital gains, which will be treated as a “bonus”. Investor activity will come from brokers and financial planners, and not via traditional means such as real estate agents or local “walk-ins”.
One in two buyers need to sell something in order to buy. It’s very hard to make new sales to this market without signing “subject to” contracts. One in every seventh buyer is a first-home buyer, and around 40% are investors. The investor component is the only real growth market over the next cycle.
3. End comments
Valuations are and will remain a challenge. Proactive programs need to be put in place to help ensure a better result. Rental evidence should be the basis for new dwelling valuations. Supporting evidence is crucial.
Baby boomers – which make up 25% of the population, but 38% of the households, and hold half the housing wealth in the country – will also shape the next 10 years, placing a drag on house price appreciation. Two-thirds of them live in middle-ring or inner-city suburbs, and in order to have financial retread (many won’t retire but retread, to quote Neil Young), they will facilitate the redevelopment of the middle-ring rather than continue to stop redevelopment via NIMBYism.
The capitals are where the action is, and it gets pretty skinny outside of Sydney, Melbourne, south-east Queensland and Perth – these four cities hold two-thirds of the sales and housing starts across the country. In Queensland, the volumes drop away very quickly outside of Townsville, Mackay, Gladstone/Rockhampton and Cairns.
Michael Matusik is the director of independent property advisory Matusik Property Insights. Matusik has helped over 500 new residential developments come to fruition and writes the weekly  <a title="Matusik's Missive" target="_blank" href="https://matusikmissive.wordpress.com/">Matusik's Missive</a>. The Matusik Missive is free, however, reprinting, republication or distribution of any portion of this material, or inclusion on any website, is strictly prohibited without the written permission of Matusik Property Insights and may incur a charge.
 
 
 
 
 
 
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michaelmatusik-49YzLvdmNv

About 40% of property price direction is dependent on the cycle, 60% on what you buy

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Ten NSW 7-Eleven service stations have sold at auction, with the assets again proving popular with retirees with self-managed super funds due to their high rental yields. 
The 10 petrol stations sold in a price range from $2.2 million to $3.9 million, with yields ranging between 5.75% and 7.7% and an average yield of 6.81%.
A 2,335-square-metre petrol station on the Princess Highway in Dapto near Wollongong, which returns annual rent of $320,000, sold with the top rental yield for this tranche of 7.75%.
 The first and second tranches of stores were auctioned in March and <a href="https://www.propertyobserver.com.au/victoria/hoppers-crossing-7-eleven-sells-for-%243.49-million-with-nine-bidders-missing-out/2011072050862" target="_blank">July last year</a> and achieved average yields of 6.96%.  A third tranche <a href="https://www.propertyobserver.com.au/retail/high-yields-for-7-elevens-continue-to-attract-investors/2011120752720" target="_blank">was auctioned in November</a> and achieved an average yield of 6.54%.
The full list of NSW services stations is:
<table cellpadding="0" cellspacing="0" border="1" style="width: 470px;"><tbody>
<tr>
<td valign="top" width="240"></td>
<td valign="top" width="113">
Size
</td>
<td valign="top" width="116">
Annual rental
</td>
<td valign="top" width="116">
 Yield
</td>
</tr>
<tr>
<td valign="top" width="240">
South Windsor, 735 George Street
</td>
<td valign="top" width="113">
47,370 sqms
</td>
<td valign="top" width="116">
$250,000
</td>
<td valign="top" width="116">
6.89% 
</td>
</tr>
<tr>
<td valign="top" width="240">
Roseville, Cnr Pacific Highway &amp; Boundary Street
</td>
<td valign="top" width="113">
2,598 sqms
</td>
<td valign="top" width="116">
$250,000
</td>
<td valign="top" width="116">
6.05% 
</td>
</tr>
<tr>
<td valign="top" width="240">
Bankstown, 180 Stacey Street
</td>
<td valign="top" width="113">
4,465 sqms
</td>
<td valign="top" width="116">
$320,000
</td>
<td valign="top" width="116">
7.33%  
</td>
</tr>
<tr>
<td valign="top" width="240">
Greenacre, 301-313 Hume Highway
</td>
<td valign="top" width="113">
8,268 sqms
</td>
<td valign="top" width="116">
$300,000
</td>
<td valign="top" width="116">
7.01% 
</td>
</tr>
<tr>
<td valign="top" width="240">
West Pennant Hills, 552 Pennant Hills Road
</td>
<td valign="top" width="113">
955 sqms
</td>
<td valign="top" width="116">
$160,000
</td>
<td valign="top" width="116">
7.10% 
</td>
</tr>
<tr>
<td valign="top" width="240">
Parramatta, 81 Victoria Road
</td>
<td valign="top" width="113">
2,802 sqms
</td>
<td valign="top" width="116">
$170,000
</td>
<td valign="top" width="116">
5.75% 
</td>
</tr>
<tr>
<td valign="top" width="240">
Dapto, 125 Princess Highway
</td>
<td valign="top" width="113">
2,335 sqms
</td>
<td valign="top" width="116">
$200,000
</td>
<td valign="top" width="116">
7.75%
</td>
</tr>
<tr>
<td valign="top" width="240">
Newport, 307-311 Barrenjoey Road
</td>
<td valign="top" width="113">
1,435 sqms
</td>
<td valign="top" width="116">
$250,000
</td>
<td valign="top" width="116">
7.01%
</td>
</tr>
<tr>
<td valign="top" width="240">
Burwood, Cnr Shaftsbury Road &amp; Parramatta Road
</td>
<td valign="top" width="113">
4,549 sqms
</td>
<td valign="top" width="116">
$170,000
</td>
<td valign="top" width="116">
6.43%
</td>
</tr>
<tr>
<td valign="top" width="240">
Minchinbury, 815 Great Western Highway
</td>
<td valign="top" width="113">
2,419 sqms
</td>
<td valign="top" width="116">
$250,000
</td>
<td valign="top" width="116">
6.79%
</td>
</tr>
</tbody></table>
The latest group of NSW properties was sold as part of a sale program kicked off by 7-Eleven following its acquisition of 295 service stations from Mobil Retail in May 2010.
Since acquiring the Mobil business, 7-Eleven has been converting the Mobil stores into 7-Eleven service stations with attached convenience stores.
All properties come with new 15-year leases to 7-Eleven with three further renewal options of five years each and 4% annual fixed rent increases. The tenant pays all outgoings except land tax.
“Over the past 12 months we have consistently achieved yields of between 6% and 7%, which is an indication of how stable these assets are,” says John Macree, NSW head of sales and investments at Jones Lang LaSalle.
Macree says retirees with self-managed super funds were again prominent buyers at what was a well-attended auction. 
At least one NSW service station was sold to an interstate buyer. “Investors are seeing the importance of having solid long-term investments with a long-term stable income stream. That is particularly important for those planning for their retirement.” 
To date, Macree says about 80% of the buyers at 7-Eleven auctions have been self-funded retirees. 
“Of those, about half were investing through a self-managed super fund structure,” he says.
This is the second time in that past six months that 7-Eleven has achieved a 100% clearance rate at auction. The company sold 10 service stations in Sydney last November.
 
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Self-funded retirees continue to snap up NSW 7-Elevens service stations, drawn by high yields 

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Renovating shows have flooded our TV screens leading to a boom in home renovations around the country. However, as we saw on The Block, there is often not a lot of money to be made out of renovating.
Part of the problem is that many people get absorbed with the hype surrounding these shows. The figures back it up.
IBISWorld forecast in August that Australia’s DIY and renovation sector would grow by 15% over the next five years and be worth $25.5 billion by 2016-17. The biggest problem is that renovating is not a game, it is a business and it needs to be run like a business.
The best way to make money out of renovating is if you:
1. Buy the property under market value.
2. Buy the worst house in the best street.
3. Are capable of doing all the renovations yourself – meaning the carpentry, electrical, plumbing, bricklaying, footings and foundations etc etc
4. Concentrate full time on the renovation. Does this sound like you?
The difficulty with making a profit out of renovating a house and selling it is because you are relying on one house to deliver the ultimate price. Consider, for example, you pay $700,000 for a house to renovate. You decide to spend $150,000 on the renovation. By the time you do the work and put the house on the market you have considerable money tied up in the holding costs for the project until you sell. If you sell.
Depending on the property market cycle at the time, the selling price is up in the air – hence this is a speculative investment, which can be very risky. If you cannot turn the project around from purchase to selling within 12 months you will have a serious problem. Or very deep pockets.
Luckily there is an alternative – development and subdivision. When you are developing a property you are proposing to build two or more houses on the one block. What this means is that you are creating multiple houses on the land, hence multiple sales and revenue. If we take, for example, a property we have bought for our same $700,000 and subdivide it into three properties, it is costing us $233,333 for each unit site. The cost of building the three will be more economically viable than just renovating one house because you can spread the costs of the development across the three properties.
With the right project team behind you, and you run the project like a business not a game, it can be very lucrative. Property development and subdivision can also mean proposing an apartment building on your property. Here are a few things you need to know:
Step 1 
Ask yourself, “What is my objective?” That is, are you developing the property to build and hold dwellings to lease, or are you developing the property to build and sell for a profit?
Step 2
You need to consider the purchasing structure in which you intend to buy. The purpose of the development will dictate the type of company structure you will need to set up. It is best to engage a specialist accountant that deals with property development transactions.
Step 3
Clearly understand your financial position and, with the assistance of your accountant, determine your buying power. By knowing how much you can afford to spend you will have a clearer  idea of the property types and locations you can realistically consider.
Step 4
Research the suburbs you are interested in by physically visiting and inspecting the location and what it has to offer. Investigate the demographics of the area and review the dominant buyer and tenant types. Understanding your target market before designing your development is crucial.
Step 5
Walk the streets in and around the pocket you’re considering, taking note of the different types of dwellings on offer. Are there any new townhouse developments? Streets dominated by one style of housing (such as stand-alone houses) can present difficulties in gaining planning approval. The character of an area, and perhaps specific streets in particular, plays a critical role in council decision-making processes.
Step 6
When sourcing a property to develop pay particular attention to title documents. This document will notify you of any restrictions on the property, such as a single-dwelling covenant. The documentation will also assist in identifying the existence of any easements, which can impact the viability or potential design and layout of your development.
Step 7
Once you’ve selected a potential site it is wise to obtain pre-purchase planning advice from a town planner, who will confirm what is legally achievable for the site. Steer clear of obtaining planning advice from the local council, as the advice they provide can be conservative, which may limit the profitability of your development.
It is recommended that you conduct your own independent research concerning the site and similar approved developments at and around the location. This information is freely available by contacting the council.
Peter Bozinoski is director of <a target="_blank" title="ProjectFacilitator" href="https://projectfacilitator.com.au/">ProjectFacilitator.com.au</a> He appears on the Channel 31 show <a href="https://www.c31.org.au/program/view/program/melbourne-property-tv" title="Melbourne Property TV" target="_blank">Melbourne Property TV</a> every Monday night at 8.30pm.
 
 
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Eight steps to add value to your property (and renovating is not one of them)

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The new daily house price index launched by RP Data and Rismark in concert with the ASX affords some timely insights into the latest market dynamics. Based on the daily index values through to the March 27 (inclusive), we can arrive at several insights. 
First, Australian home values stopped falling in 2012 and look to be treading water. During the first three months of the year, dwelling values across the eight biggest Australian cities are, on average, unchanged. Drilling down into more detail, home values declined during the seasonally tepid month of January, but have recovered these losses in February and March. 
You can see from my first chart below that once the end-2011 “high watermark” was reclaimed in the third week of March, Aussie home values have tended to track sideways. (Note that the resolution of the y-axis in the next two charts has been boosted to make it easier on your eye: while the changes look large, they are, in truth, small.)
Click to enlarge
<a title="Click to enlarge" rel="shadowbox" href="/images/stories/march271.gif"><img src="/images/stories/march271thumb.gif"></a>
The good news is that Australian house prices are not falling, which makes a change from the deflationary conditions that prevailed during much of 2011. In fact, we’ve had no substantive cumulative decline in Australian home values since late 2011. To prove this point, my next chart stretches this same data back over the last four months (note again the high-resolution y-axis, which optically exaggerates the index movements).
Click to enlarge
<a title="Click to enlarge" rel="shadowbox" href="/images/stories/march272.gif"><img src="/images/stories/march272thumb.gif"></a>
What is perhaps more interesting is that if we go back a little further in time to, say, the beginning of 2010, we find that the capital gains and losses over 2010 and 2011, respectively, have cancelled each other out. As my final chart illustrates, the cost of Australian housing has not increased at all over the last two and a bit years (values are up slightly, and certainly not down in actual, or “nominal” terms). This image, of course, looks nothing like the hysterical pictures painted by doomsayers such as Steve Keen, who has variously prophesised 20% to 40% falls in Aussie house prices. 
If we account for the rise in the cost of living (i.e., inflation) and the growth in disposable household incomes over this same period, we find that there has been an inflation- or income-adjusted “real” decline in housing costs. Put differently, Australian housing has become cheaper when we deflate its price by our earnings. This is why Rismark’s dwelling price-to-household income ratio has fallen to its lowest level since mid-2003. This is a positive development for those who aspire to one day be owner-occupiers.
Click to enlarge
<a title="Click to enlarge" rel="shadowbox" href="/images/stories/march273.gif"><img src="/images/stories/march273thumb.gif"></a>
Peering ahead, there are reasons to be optimistic. While the mix of the total returns real estate investors realise has probably changed (with more income and less capital growth), and the total returns themselves will be lower than those that manifest during the 1990s and early 2000s, it is unlikely that we will see another significant slump in prices unless the RBA changes its policy stance. 
Recent auction data has been encouraging, with clearance rates in the two most popular auction centres, Sydney and Melbourne, oscillating around the 60% threshold.  And contrary to some reporting, leading-indicator data on new home loan approvals over both February and March suggest that housing demand has bounced back, as we expected following the RBA’s (net) 40 basis-point reduction in mortgage rates. 
One of the more significant signals apropos the health of the market is the fact that the share of first-time buyers as a proportion of all loans approved printed at a historically high 20% in January. This was well above the 17.5% average recorded during 2011, and also better than the long-run average since the ABS began collecting this data. It tells me that would-be buyers are starting to act on the improvement in their purchasing power.
Christopher Joye is a leading financial economist and a director of Rismark International and Yellow Brick Road Funds Management. The above article is not investment advice.
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Flat-lining 2012 Australian housing prices no longer falling: Christopher Joye

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Every negotiation can be very easily broken down into its component parts once you understand what is really going on.
Over the next few weeks, I'll be posing 20 questions, which (when taken together) are intended to help you fully grasp everything involved.
These questions will ensure you are thoroughly prepared, as they will also serve to remind you of the key things you should watch out for "at the table".
Both before (and during) any negotiation, here is what you need to be asking yourself. Are you:
1. Pursuing what you really Want?
Never enter a negotiation until you have a clearly defined outcome in mind. Be sure to write it down concisely, and then make it the focal point of your prep work.
2. Researching your opposition?
This is very important. Learn as much as you can about whom you're up against. Try to discover what it is they want, their strengths and weaknesses, even their likes and dislikes.
3. Preparing thoroughly?
And that means point by point.
It's important to do your homework on the property, the market and the neighbourhood. You do not want to be fumbling for papers, looking for statistics or sales evidence. Instead, you need to focus on the deal and have everything at your fingertips.
4. Considering method and timing?
Wherever possible, start your negotiation face to face. It's always easier for them to say no over the phone or by letter. Furthermore, master negotiators will always initiate the "process" to gain the advantage of both preparation and timing.
5. Achieving early agreement?
Try to get minor agreement on one or two point, early in the negotiation, even if it's just the recognition of a potential problem.
For example: “I think we can agree we have an issue with _________, so let's find a way to resolve that.”
6. Exploring constraints and flexibilities?
Discovering the cards held by the other side can be invaluable. Some of their constraints may be immovable, but you may find some issues to be reasonably flexible.
Likewise, examine and understand your own constraints and flexibilities.
7. Adopting a reasonable attitude?
In many negotiations, you end up forming a relationship with the other side, and this needs to be mutually beneficial. Therefore, recognise and acknowledge their constraints and desires, just as you expect them to recognise yours.
8. Listening carefully?
As you can appreciate, listening is actually quite different from merely hearing, whenever someone speaks to you. Make sure that you fully understand what is actually being said, but more importantly, why it's being said.
9. Offering solutions?
You need to understand that it's certainly not one-way traffic. Part of your role is to come up with solutions.
In every negotiation, you ought to try making a guess as to what objections, issues, and problems the other party is going to come up with. Once you do that, you can propose alternatives, solutions, and flexible outcomes that they may well not have even considered.
10. Properly anticipating?
What you're trying to anticipate here are the other party's reactions, objections, and responses.
For each possible objection or reaction, list what you might be able to use as a response. Try and come up with alternatives and examples, to counter the other party's potential negatives.
11. Seeking out win-win resolutions?
When it's all said and done, Negotiating is really nothing more than give and take by both parties.
What you're seeking to do is trade your least important items for those that will really help you achieve your desired outcome.
12. Proposing options, not ultimatums?
You should only use an ultimatum as a last resort — only when you can back it up and carry it through, and the other side knows that. Even then, you are probably better to seek options and alternatives, which will lead to a positive outcome for both parties.
Whenever the only answer simply is yes or no, someone has to lose.
13. Staying with the big picture?
Don't allow yourself to end up debating just one point or issue. To resolve that single issue will again require someone to lose.
To achieve your desired outcome, always make sure you have a number of variables under negotiation, all at the same time.
That way, you can float “trial balloons” simultaneously in an attempt to trade what are minor issues for you.
14. Adopting persuasive rationale?
Think about what you need to do (or say) to logically convince the other side — without the need for confrontation.
You might not necessarily win every point, but they will have difficulty finding flaws in your logic. Whenever they are ambivalent on a point that's important to you, your logic will win the day.
Bottom line: You're now about 70% of the way through your prep-work for a successful negotiation. And after next week, will have the complete framework to refer to.
Chris Lang is an advisor to commercial property investors and gives keynote speeches and regular seminars on the best way to invest in commercial property. He maintains a blog, <a target="_blank" title="Chris Lang's blog" href="https://his-best.biz/">his-best.biz</a>, which he updates regularly about the best way to get the most out of your commercial property investment.
 
 
 
 
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Fourteen questions to ask yourself before you begin a negotiation in commercial property

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Unlisted property investments are delivering better returns than both Australian and overseas equities in superannuation fund portfolios, a new APRA working paper shows.
The following graph compares the total return of various asset classes between June 2004 and June 2010 and clearly shows that better recent performance and upward trajectory of unlisted property investments compared with equities, which have declined sharply since early 2010.
Click to enlarge
<a title="Click to enlarge" rel="shadowbox" href="/images/stories/apramarch27.gif"><img src="/images/stories/apramarch27thumb.gif"></a>
The graph is part of a working paper titled “Effect of fund size on the performance of Australian superannuation funds” written by Dr James Richard Cummings, senior research analyst at APRA.
 
 
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Property periodically outperforming shares in super fund portfolios between 2004 and 2010: APRA

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The total land value of the 51,694 properties in the City of Liverpool was $17.940 billion in July 2011, according NSW Valuer-General Philip Western.
That figure is up 1% from the July 2008 valuation of $17.462 billion.
In the three years since the last valuation residential land generally experienced a slight increase in value.
From 2010 to 2011, the median residential land price increased 1.8% from $226,000 to $230,000.
Commercial and industrial land in the city both had a slight decrease in value over the three years.
The median industrial land price stayed constant from 2010 to 2011 at $1.23 million. The median commercial price dropped slightly from $600,000 to $598,000 over the same period.
Rural-residential land values generally had a slight decrease, with the exception of rural- residential land marked for future residential development in the south west growth centre, which generally had a moderate increase in value.
From 2010 to 2011, the median rural land price increased 1% from $659,000 to $665,000.
Landowners and rate-paying-lessees received a notice of valuation last month.
The valuations are used to determine rates and land taxes on investment properties.
Typical residential land values were:
<ul>
<li>451 square metres at Alexandrina Court, Wattle Grove valued at $249,000 </li>
<li>428 square metres at Barnwell Place, Cecil Hills valued at $244,000 </li>
<li>467 square metres at Braidwood Drive, Prestons valued at $218,000 </li>
<li>556 square metres at Coonong Street, Busby valued at $196,000 </li>
<li>482 square metres at Forcett Close, West Hoxton valued at $228,000 </li>
<li>573 square metres at Geebung Court, Voyager Point valued at $316,000 </li>
<li>664 square metres at Longstaff Avenue, Chipping Norton valued at $340,000 </li>
<li>563 square metres at Weir Crescent, Lurnea valued at $216,000 </li>
</ul>
Typical commercial land values were:
<ul>
<li>1.3 hectares at Camden Valley Way, Casula valued at $3,000,000 </li>
<li>1,442 square metres at Elizabeth Drive, Liverpool valued at $800,000 </li>
<li>575 square metres at George Street, Liverpool valued at $796,000 </li>
<li>1,625 square metres at Cowpasture Road, Carnes Hill valued at $742,000</li>
</ul>
Typical industrial land values were:
<ul>
<li>9,194 square metres at Alfred Road, Chipping Norton valued at $2,750,000 </li>
<li>2,490 square metres at Heathcote Road, Moorebank valued at $754,000 </li>
<li>9,896 square metres at Riverside Road, Chipping Norton valued at $3,050,000 </li>
<li>1,859 square metres at Seton Road, Moorebank valued at $672,000 </li>
<li>1.5 hectares at Lyn Parade, Prestons valued at $3,450,000 </li>
<li>2,750 square metres at Avalli Road, Prestons valued at $897,000</li>
</ul>
Typical rural residential land values were:
<ul>
<li>2 hectares at Denham Court Road, Denham Court valued at $758,000 </li>
<li>2 hectares at Derwent Road, Bringelly valued at $550,000 </li>
<li>1.6 hectares at Overett Avenue, Kemps Creek valued at $60,600 </li>
<li>1.9 hectares at Rossmore Avenue, Rossmore valued at $611,000 </li>
<li>1.2 hectares at Sixth Avenue, Austral valued at $752,000</li>
</ul>
Typical hobby farm land values were:
<ul>
<li>40.5 hectares at Greendale Road, Wallacia valued at $1,780,000 </li>
<li>10.2 hectares at Greendale Road, Greendale valued at $675,000</li>
</ul>
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