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]

Joel Robinson

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 

When buying an apartment, most people compare the big-ticket items first. Floorplans. Kitchens. Balcony size. Natural light. The view.

But there's one everyday consideration that often doesn't come up until after moving in: how parcels are delivered.

As online shopping has become part of everyday life, parcel deliveries have shifted from an occasional event to a regular occurrence. Australians spent a record $82.6 billion shopping online in 2025, with almost one in every four retail dollars now spent digitally.

For apartment residents, that can present a challenge.

If nobody is home to accept a delivery, parcels may be redirected to a nearby Post Office, left in a building lobby or common area, or require building management to step in. In higher-density buildings, where dozens or even hundreds of residents may receive deliveries each day, parcel management has become an increasingly important part of everyday living.

That can create a range of frustrations. A missed delivery often means making time to collect a parcel elsewhere, while packages left unattended in foyers or mail areas can create clutter and increase the risk of theft. What seems like a minor inconvenience can quickly become a recurring issue for residents who shop online regularly.

It's one of those details that rarely features in a display suite but can have a noticeable impact once residents move in.

As a result, buyers are beginning to look beyond traditional apartment features and consider how a building supports day-to-day convenience, including whether there are secure options for receiving deliveries.

Australia Post's Parcel Lockers provide one solution.

<iframe allow="accelerometer; autoplay; clipboard-write; encrypted-media; gyroscope; picture-in-picture; web-share" allowfullscreen="" frameborder="0" height="315" referrerpolicy="strict-origin-when-cross-origin" src="https://www.youtube.com/embed/CkF2oKmlACg?si=C50sDaoUUn2nuLmq" title="YouTube video player" width="560"></iframe>

Rather than having a parcel delivered directly to an apartment, eligible deliveries can be sent to a nominated Parcel Locker. Once the parcel arrives, residents receive a notification through the AusPost app or SMS and can collect it using a QR code or one-time PIN at a time that suits them.

The Parcel Locker network now includes more than 1,500 locations nationwide, with installations at Post Offices, shopping centres, transport hubs and an increasing number of residential developments. By providing a secure collection point, Parcel Lockers help reduce missed deliveries and avoid parcels being left unattended in common areas.

For developers, parcel infrastructure is becoming another way to improve the resident experience. Rather than relying on concierge staff or leaving parcels in communal spaces, secure collection points help streamline deliveries while preserving the presentation and functionality of shared areas.

For buyers, it's a reminder that the best apartment features aren't always the most obvious.

A generous floorplan or quality finishes might help narrow the shortlist, but the conveniences that simplify everyday life, whether that's EV charging, secure bike storage or reliable parcel delivery, often become the features residents appreciate most once they're living there.

The apartment feature many buyers don't think about, until their first missed delivery

<a href="https://www.apartments.com.au/developers/hg-developments">HG Developments</a> is doubling down on Maud Street in Newstead, filing plans for a new apartment tower just a few doors down from its under-construction Aire Newstead development.

Recently submitted to Brisbane City Council, the proposal is for an 18-storey building designed by bureau^proberts, which has drawn heavily on Brisbane's subtropical design principles while referencing the suburb's industrial heritage.

A total of 64 apartments are planned for the amalgamated 1,518 sqm site at <a href="https://www.apartments.com.au/new-apartments/17-21-maud-street-newstead-qld-4006">17–21 Maud Street</a>, a short walk from the Brisbane River and Newstead Riverwalk.

<img alt="First look: HG Developments plans 18-storey subtropical apartment tower for Newstead" data-entity-type="file" data-entity-uuid="a400c7fd-bd15-48f8-a63b-10ede92efe00" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Maud%20st%20bldg.png?VersionId=.0vPmjpbC7CNP7kqGWa6L7rGIwsNExaw" />

"The building is defined by a series of vaulted motifs that reinterpret the arches, colonnades and layered facades evident throughout Newstead's historic built fabric," the Urban Design Report states.

"Combined with recessed glazing and generous balconies, these elements create a layered building envelope that provides shade, weather protection and opportunities for natural ventilation whilst establishing a distinctive architectural identity."

The proposal comprises 64 two, three and four-bedroom apartments across 18 residential levels, positioning it alongside a growing number of taller residential projects transforming Newstead's northern precinct. The tower incorporates extensive subtropical landscaping, with cascading planter boxes, deep planting at street level and a landscaped rooftop recreation area.

<img alt="First look: HG Developments plans 18-storey subtropical apartment tower for Newstead" data-entity-type="file" data-entity-uuid="1d8140f4-8b98-45cd-b1b8-1efe8c8e266b" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Maud%20st%20podium.png?VersionId=VAZtbCoD44YCJ57N99fQCAKeSJx7ldZs" />

Bureau Proberts has prioritised passive environmental design throughout the project, with generous balconies, recessed glazing and operable façades helping reduce solar heat gain while maximising natural ventilation. River views become available from the upper levels, while the building has been orientated to capture prevailing breezes from both the Brisbane River and the west.

The architects say landscape is intended to be integral to the building rather than an applied element.

"Vertical greenery, cascading planter boxes and elevated gardens are woven throughout the architecture, softening the built form and strengthening the connection between residents and the subtropical environment."

"Through the integration of landscape, high-quality materials and passive design principles, the development delivers a refined residential address that celebrates Newstead's heritage character while contributing positively to Brisbane's evolving subtropical identity."

Newstead has remained one of Brisbane's most active apartment markets in recent years, with a number of developers continuing to back the inner-city suburb.

HG Developments is currently delivering the 40-apartment Aire Newstead at 25 Maud Street. Fortis recently launched the 65-apartment <a href="https://www.apartments.com.au/new-apartments/crest-walker-newstead-12-kyabra-street-newstead-qld-4006">Crest &amp; Walker</a> on Kyabra Street, while builder-developer BPG and Don O'Rorke's Consolidated Properties are both expected to launch their respective Newstead projects before the end of the year.

HG Developments doubles down in Newstead with second Maud Street apartment development

Walk past a new apartment development promoting its sustainability credentials and it's easy to picture rooftop gardens, mature trees, landscaped courtyards and residents surrounded by nature.

But in many cases, that's not actually what those sustainability ratings guarantee.

Australia's leading environmental rating tools have played a significant role in improving the energy efficiency and environmental performance of buildings. Yet despite their focus on reducing emissions, many don't require developers to include trees, biodiversity or meaningful green space.

In other words, a building can achieve one of the country's highest sustainability ratings while containing little more than concrete, glass and hard landscaping.

That disconnect has led to the emergence of a new movement across Australia's property industry: nature-based cities.

The concept goes beyond designing buildings that consume less energy. Instead, it encourages developers to treat nature as essential infrastructure, integrating biodiversity, tree canopy, living landscapes and green spaces into projects from the earliest stages of planning.

Research has consistently linked access to nature with better physical and mental health, cooler neighbourhoods, improved biodiversity, stronger climate resilience and more connected communities. As Australia's cities continue to become denser, advocates say those outcomes should be considered just as important as energy efficiency.

Nature Based Cities (NBC) was established in 2022 to help accelerate that shift.

Founded by Hamton Executive Chairman Paul Hameister OAM, the not-for-profit was created after research highlighted a significant gap in Australia's sustainability framework. While existing environmental rating tools rewarded energy performance and emissions reductions, they placed little emphasis on the inclusion of living landscapes.

"We've always wanted to do more, and we know other developers who want to do more, but the ESD rating tools just aren't there," Hameister says.

"In Australia, you can have a five-green-star rated building that's concrete and glass with not a blade of grass.

"The focus is on reducing emissions, which is laudable, but there hasn't been enough attention paid to protecting and re-establishing nature. We need both for the health of the environment and for communities."

Since its launch, NBC has developed independent design guidelines and accreditation frameworks that encourage developers to prioritise ecology, biodiversity, tree canopy, walkability and living landscapes alongside traditional sustainability measures. The organisation first focused on medium and high-density residential developments before recently expanding into precinct-scale communities and masterplanned neighbourhoods.

Jan Talacko, founder of sustainability consultancy Ark Resources and a member of the Nature Based Cities Advisory Council, says the initiative addresses an area that has largely been overlooked by the property industry.

"Throughout my 25 years of working collaboratively with all stakeholders in the property sector, I've always favoured a pragmatic approach to sustainable design which encourages initiatives that not only meet environmental expectations but also improve amenity," Talacko says.

"Whilst we are making steady progress in relation to energy and carbon emissions from buildings, there has been much less emphasis on encouraging biodiversity and tackling the urban heat island effect.

"The Nature Based Cities initiative responds to a gap in the suite of tools currently used by the property development sector, which don't provide sufficient incentive, or recognition, for the integration of landscaping and greenery."

For apartment buyers, the shift is also changing the questions worth asking.

Rather than assuming a sustainable building will naturally include abundant green space, buyers are increasingly being encouraged to look beyond environmental ratings and ask what nature is actually being delivered. How much tree canopy will the development create? Has biodiversity been considered? Are landscaped spaces designed for people as well as appearance?

As Australia's cities continue to grow upwards and outwards, the next generation of sustainability may not simply be measured by lower emissions, but by how successfully developments bring nature back into everyday urban life.

What does it really mean for a building to be 'green'?

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>

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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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Perth sales up almost 70% on the same week last year: REIWA

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The insurance industry has come under heavy fire for the way it handled claims from those who suffered property and other losses in the wake of the flood disasters in Queensland and Victoria, following the release of the much-awaited parliamentary report chaired by Labor MP Graham Perrett.
The House of Representatives Legal Affairs Committee report In the Wake of Disasters provides numerous examples of the delays, frustrations and heartache suffered by some claimants due to insurance companies’ responses. More than three-quarters (78%) of 625 people surveyed as part of the report said their claim had been settled “slowly” or “very slowly”. More than 75% of those surveyed said their claims related to home and contents insurance. “Victims of extreme weather events all over Australia faced unacceptable delays in the assessment of their claims; misunderstandings about the scope and extent of their polices; a lack of information or communication from insurers; discrepancies or inaccuracies in damage assessments or third-party expert reports; and token efforts at dispute resolution,” says Perrett in his introduction to the report.
“Those who tried to assert their rights in the labyrinth of the claims process found themselves on the wrong side of a power imbalance.
“The committee concluded that consumer protections need to be increased, particularly in the claims-handling process. The best way to do this is to remove the legislative exemptions that the insurance industry currently enjoys, and bridge the gaps in consumer protection.” 
Perhaps the most damning line in the lengthy report is: “Indeed, the greater the disaster, the greater the vacuum of consumer protections”.
The report recommends that corporate watchdog ASIC be appointed to oversee the handling and settlement of claims, along with a host of changes to the way insurance companies interact with claimants.
Among the 13 recommendations made in the report, the committee wants General Insurance Code of Practice to be amended by July 1, 2012 to include the following minimum standards for claims handling in times of exceptional circumstances such as declared disasters:
<ul>
<li>a timeframe for informing claimants of the progress of the claim; </li>
<li>a timeframe for advising claimants if an external expert has been appointed; </li>
<li>assurance that external experts are fully qualified to undertake assessments; </li>
<li>an undertaking to provide claimants with information about the qualifications, employer, and role of external experts that are appointed to assist with their claim;</li>
<li>a maximum timeframe of 12 weeks for external experts to provide reports; </li>
<li>a maximum timeframe for accepting or denying a claim; </li>
<li>a timeframe for responding to requests for information; </li>
<li>an undertaking to communicate all decisions about insurance claims to the claimant in writing with clear and explicit reasons relating to their particular claim; and </li>
<li>a timeframe for informing claimants of the progress of their complaint or dispute.</li>
</ul>
Other key recommendations include that Bill Shorten, the Minister for Financial Services and Superannuation, “immediately establish a joint industry-government action group to address evidence of the rising costs and market failure of insurance premiums across Australia”.
<a target="_blank" href="https://www.aph.gov.au/Parliamentary_Business/Committees/House_of_Representatives_Committees?url=spla/insurance/report/index.htm">The full list of all 13 recommendations of the report can be found here.</a>
“I urge governments and the insurance industry to implement these recommendations with the utmost speed so that policyholders can have peace of mind for future, inevitable natural disasters,” says Perrett.
The report includes numerous examples of submissions made by exasperated claimants in relation to property claims, such as: “I have had five people come to assess my property and still nothing has happened”. 
The Caxton Legal Centre told the inquiry it had cases where hydrologists had still not visited a person’s property six and seven months after the event. 
Residents in Loddon Shire in rural north-west Victoria told the inquiry they felt they had been neglected due to their rural location or distance from major centres, and that larger towns and more vocal groups had been given a higher priority. 
“Central Goldfields Shire residents queried whether the ‘lack of publicity affected the willingness of insurance companies to come to the party’,” the report says. 
“Some residents met with further disadvantage due to their rural locations: vouchers provided by insurers for replacing house contents could only be used at designated retailers out of town, some more than kilometres away.” 
The report notes that in many instances “insurers did not meet the standards, in particular the timeframes, contained in the code when responding to the large volumes of claims arising from natural disasters.” 
One person recounted that “the process of dealing with the insurance company was more stressful than the actual natural disaster”. Another said “the stress of following up with the assessor appointed by the insurance company and the insurance company itself was far worse than dealing with the clean-up”. Yet another recounted that “due to the lengthy time response, my husband and small family are hurting more mentally and emotionally than the actual financial loss”.
Responding to the report, ICA chief executive Rob Whelan says the general insurance industry had handled “an unprecedented 275,000 claims stemming from extreme weather in 2011, with insurance losses of almost $5 billion”. 
Whelan says many of the Perrett report’s recommendations listed changes already enacted by either the insurance industry or the federal government. 
He says current dispute resolution processes had proven robust and effective, and further government and regulator intervention are not necessary.
Photo courtesy of <a target="_blank" href="https://www.flickr.com/">Flickr</a>.
 
 
 
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Insurance changes needed to better protect consumers in disasters: Report

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The auctions are back on again, and the chatter about what is happening on the 2012 property market has started. By Labour Day the trickle of opinion on the state of the market will turn into a flood.
The big question for many of you right now may well be: Should we buy the family home in Brighton or Hawthorn now – or should we wait till later in the year? You may be worrying about what’s happening to the economy and wondering how it’s going to affect the property market.
But the fact is it’s still impossible to say what’s happening on those two fronts. And whether you decide to buy now or later in the year, first you need to work through your home-buying plan for 2012. To some people this is an amazingly difficult ask. But I can assure you that if you make a sensible plan and follow it, it’s a Black Caviar certainty you’ll buy a house that suits your needs, makes your family happier and lets you retire earlier.
Your plan should include both financial and emotional outcomes. Financial outcomes include whether you aim to minimise debt as soon as possible and whether you want your home to help you build wealth. Emotional outcomes are about what kind of property will maximise your family’s happiness and wellbeing.
Your plan will of course be very different depending on what stage of life you are at, whether you’re a single, couple, have young children or older children, are in mid-life or retirement.
So grab your iPad or a piece of paper and pencil and divide a page into three columns. At the top of column 1 write ‘Position’; at the top of column 2 write ‘Property’ and at the top of column 3 write ‘Price’.
This is where you answers will go –what about the questions?
Start with the emotional outcomes. If you are a single or child-free couple you might be focusing on car spaces, benchtops or a groovy locale. But think in terms of a bigger picture. Imagine your life five years from now. Maybe you’ll meet somebody, leave somebody, get a job, lose a job, go to Nepal, discover the punt. The point is your price column shouldn’t tie you down to a life of endless mortgage payments; your property column should have room for a spouse or child or renter; and your position should go beyond the one funky suburb. Your best emotional outcomes are flexible ones.
If you have young children, your focus will be on how the house can accommodate you all happily as the family grows. So think hard when filling in the ‘Property’ column on how the floorplan can combine supervision with some separation. With older children your emotional focus is schooling and transport. So when you fill out the ‘Position’ column, remember that where you live in relation to schools and public transport determines how much time you’ll spend driving the kids around in the car.
In the mid-life stage, there’s a chance you’ll make a big dramatic life change – move to the country or overseas. But when you look at ‘Price’ be careful you don’t rule out the possibility you may want to come back to a home in the city. In the retirement stage your emotional focus will move back to the ‘Position’ column – to somewhere you can easily walk to a cafe, catch a train and see your doctor.
In terms of the financial outcomes in your life your answers will revolve around growth (building wealth to give you choice later in life), cashflow (allowing you to live for the now) and risk (allowing you to sleep at night). All boring but necessary.
Once you have a PPP plan, looking at each home becomes much easier and quicker because you know what you want. You can assess each home against your plan rather than looking at each home and then trying to work out a plan to fit.
If your PPP plan is functioning, well then the question asked at the start, “Do I buy now or do I wait?” can be answered relatively easily. It’s not so much about getting the timing right, but about the property itself: does it meet my PPP plan and does it feel right? Yes? Well then, buy it! No? Wait and keep looking.
 
Mal James is principal of<a href="https://www.jamesbuyeradvocates.com.au/" target="_blank" title="James Buyer Advocates"> James Buyer Advocates</a>, which advocates on behalf of buyers of property over $1 million. Mal writes weekly auction reports, advice and in-depth market analysis on James' website.
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To buy the best property for your needs, you need a plan

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There appears to be no relief in sight for residential builders, with new home sales declining by 7.3% in January, according to the latest HIA - JELD-WEN New Home Sales report. 
CommSec economist Savanth Sebastian says new home sales have slumped to their lowest levels in more than 11 years and the lack of activity in the home building sector does not bode well for a raft of businesses. 
“While the Reserve Bank doesn’t seem in a rush to cut rates, the ongoing downturn in the residential building market certainly keeps another rate cut on the table,” Sebastian says. 
A graph prepared by the HIA shows that new home sales have been in decline since about May 2010 (there was a brief modest recovery from March 2011 to May 2011), with current dwelling sales volumes around half of what they were three years ago.
Click to enlarge
<a title="Click to enlarge" rel="shadowbox" href="/images/stories/hiafeb29large.gif"><img src="/images/stories/hiafeb29.gif"></a>
Detached house sales fell by 7.4% in January and eased by 0.5% over the three months to January 2012. 
Detached house sales are down 11.9% compared with the three months to January 2011. 
The more volatile apartment market partially reversed its big jump of December 2011 by falling by 6.3% in January this year. 
Multi-unit sales are down 14.1% over the January quarter to be down by a substantial 25.1% when compared with the three months to January 2011. 
“A sharp decline of 19.6% in detached house sales in Victoria weighed on the overall January result,” says HIA chief economist Harley Dale. 
“Nevertheless, there were also declines in detached house sales in New South Wales and South Australia in the first month of 2012, so the overall update is a weak one.” 
“Victoria for a long time propped up new home building in Australia, and now the reverse is occurring,” says Dale. 
According to Dale, the latest new housing data indicates that the interest rate cuts of late 2011 were insufficient to generate a sustained improvement in new home building conditions and highlights “the inappropriateness of the rise in interest rates” in February. 
“New home sales, along with other leading housing indicators, are showing that other large markets in Australia are not filling the void in 2011-12.” 
“However, there is an upside given the current weak new home building environment. Now is a very good time to be building a new home for those who are financially set to take such a decision,” he says. 
Dale repeated the HIA’s demand for federal and state governments to “embark on policy reform to reduce the excessive and inefficient taxation of the new home building sector”. 
“Such reform would embolden households to engage in building a home while enhancing economic activity, efficiency, and productivity. It’s a no-brainer.” 
The HIA report is based on a survey of Australia’s 100 largest builders.
 
 
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New home sales at 11-year low led by big drop in Victoria: HIA

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Today I want to talk about our $100 million housing challenge to US fund manager Jeremy Grantham, and a new revolution in trading and risk management that is about to hit our financial markets. But first some background.
Regular readers will know that after years of research and development, Rismark designed the intellectual property that allowed it to introduce Australia’s first “hedonic”— or “quality-controlled” —house price indices with its strategic partner, RP Data, which is the nation’s largest real estate data company.
We also broke new territory by producing dependable “monthly” measures of house price movements (APM and the ABS report quarterly), and by publishing “seasonally adjusted” index numbers for the first time.
Finally, we extended our house price index coverage to include non-capital city, or “regional” markets, which while accounting for 40% of all dwellings by number, had historically been neglected by major index suppliers.
On every step of this complex journey we have consulted closely with, and often been guided by, academic, government and industry authorities, such as the RBA.
Today it is safe to say that despite a number of competitive alternatives, RP Data-Rismark’s index suite is recognized as the market leader.
There were two key reasons why we spent so much time and effort transforming Australia’s house price technology. And the first motivation led to us inevitably addressing the second.
Approximately 11 years ago I was in between jobs at Goldman Sachs and the RBA. At that time, most Australian house price indices were based on notoriously unreliable “medians”, and therefore problematically poor.
This would emerge several years later as a serious policy issue targeted by the RBA and Treasury for analytical remedy. That is, government economists pro-actively called for the development of new house price measurement tools.
Financial contracts tied to house price indices, otherwise known as derivatives, also did not exist. It was not until mid-2006 that the Chicago Mercantile Exchange would launch the world’s first house price index “futures” market based on the popular Case-Shiller indices.
This was also several years before I started working on <a href="https://mrcltd.org.au/research/home-ownership/volume_1.pdf" target="_blank">my 380-page paper</a> on housing policy for then prime minister John Howard. In that study, I noted, “while there are exceedingly sophisticated capital markets for corporate debt, equity, and exotic derivatives therein the same cannot be said for what is, in fact, a much larger asset category: owner-occupied housing”.
While wandering along the beach on a break one day in 2001 I asked myself why people couldn't hedge the biggest financial risk they faced (aside from a loss of labour income) – that is, the risk of a decline in the value of their largest asset holding, which was typically housing.
Having worked over 2000 and 2001 with Goldman Sachs and studied economics and finance at university, I was familiar with the functions of financial markets. But actively traded financial contracts tied to the $3 trillion housing asset class were not available. So I asked myself, Why not simply create futures (or derivatives) tied to a house price index to enable people to cost-effectively hedge the risk of house price rises or falls?
As I started looking into this, I discovered that the principal problem was with the prevailing house price proxies. They were far too infrequently reported, and far too inaccurate, to hope to convince investors to commit billions of dollars to exchange contracts valued, or “marked-to-market”, against them. The project would thus be put on hold until I helped found Rismark, with funding from Macquarie Bank.
A number of years later the RBA and Treasury would independently arrive at the same conclusion, but from the vantage of policymakers wanting superior information on housing risks (recall that Australia had experienced a stunning house price boom in the early 2000s that exercised the minds of regulators).
By combining a team of world-class PhDs with hundreds of millions of dollars of valuable housing data, RP Data and Rismark were able to ultimately solve the analytical problem. Using regression-based “hedonic” methods that carefully control for each property’s unique attributes – such as its location and land size, and its number of bedrooms, bathrooms, car spaces, and so on – we’ve been able to radically enhance the quality of estimates of monthly changes in capital values and rents.
It’s also well documented in the media that we’ve been actively working with regulators and exchanges to develop liquid financial markets based on our patented index technology. Due to various embargoes that will be shortly relaxed, I cannot say much more on this front other than to recommend you keep an eye out for the launch of several “global firsts” in the housing analytics space.
This brings me to GMO’s founder Jeremy Grantham, who has argued that Australia suffers from the mother of all housing bubbles. When he first aired these remarks in 2010, we at Rismark challenged him to put his money where his mouth was. Specifically, we offered to work with Grantham to help him to “short” – or bet against a fall in the value of – one of our national indices over the ensuing three-year period.
In order to do so, we would have to find a counterparty to take the other side of this transaction: i.e., some individual or institution that wanted to effectively go “long”, or lock in the future returns associated with our index.
One blogger recently claimed, incorrectly, that we intended to take the other side ourselves. Our original article demonstrates that this was not, in fact, the case:
“To be clear, Rismark would need to work proactively with Mr Grantham to construct this transaction. We believe we have counterparties that would likely be prepared to contract with him. But it may take several months to facilitate (and cannot be guaranteed). “Before we can proceed, we require a firm, contractually binding commitment from Mr Grantham that should we be able to facilitate this transaction, he will indeed act on the advice that he’s offered to the rest of the world by committing a tiny fraction – less than 1% – of his capital to his predictions.”
How would Grantham have fared had he backed his own rhetoric? The indices that RP Data and Rismark produce for trading purposes are “total return” benchmarks, much like the ASX All Ordinaries Accumulation index, which tracks changes in capital values and dividends.
Since the end of October 2010, when we first outlined this idea, RP Data-Rismark’s capital city accumulation index has risen by about 0.2%.
So using this benchmark, which is the most likely index that a counterparty would wish to trade against (given they’d be expecting the capital gains and rental income realized from Aussie housing), Grantham would be down around $200,000. Call it evens.
If, on the other hand, he wanted to use the RP Data-Rismark index that follows changes in capital values, Grantham would be up about 5% assuming we could have found a counterparty willing to ignore incomes (or rents).
Of course, the proposed transaction was over a three-year horizon, so we are only 40% of the way through it. And given that a national house price index has annual volatility of 5% to 6%, we are still within the realms of what one might expect to see. Much like those analysts who predicted six RBA rate cuts to a 3.5% cash rate by June this year, it would be highly imprudent to bank profits that have yet to be crystallised.
It is certainly true that we devised this bet at a deliberately attractive juncture for the bearish Grantham. It followed the RBA slamming the housing market with a surprise double interest rate hike in November 2010, which we forecast could put downward pressure on house prices over 2011. And that is indeed what transpired with the help of some additional RBA jaw-boning.
The good news for Grantham is that this opportunity still exists. So while he did not have the courage of his convictions when we first proposed it in late 2010, he can still put the trade on today.
Following media coverage of our idea, Grantham did personally contact my brother-in-law about it, and GMO officials requested a meeting in Sydney. Independently, I also received some email enquiries from GMO’s head office in Boston. Curiously, when I actually met with GMO’s executives face-to-face they made it clear they did not personally subscribe to Grantham’s relatively extreme positions.
Nevertheless, in the event that Grantham still believes shorting Aussie housing is one of the best investments of all time, we would love to hear from him…
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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Christopher Joye reignites his $100 million housing challenge to Jeremy Grantham

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Poor retail conditions and frightened consumers were blamed for yesterday’s collapse of the Queensland-based retailer Wow Audio Visual Superstores, with its 15 stores and 500 employees, but the seeds of this collapse were actually sown two years ago.
Ferrier Hodgson partners James Stewart, Stewart McCallum and Tim Michael confirmed yesterday they had been appointed as receivers and managers, prompted by a secured creditor.
<a href="https://www.smartcompany.com.au/sales/20101007-receivers-appointed-to-property-empire-owned-by-wow-sight-and-sound-directors" target="_blank">The problems began back in 2010</a>, when two directors of Wow Sight and Sound were caught up in a property sale with hundreds of millions of dollars, when banks appointed receivers to assets controlled by the two men.
The directors and co-founders, Sam Savvas and Suds Sotiris, served as directors of property group SSI. That company owned a number of smaller companies, including The Zone Australia and Aristocon. These two entities owned properties that were placed in receivership.
At that time, Wow Sight and Sound was not placed in receivership, and retail director Con Nicolas told SmartCompany in a statement that the company operated separately and was not affected – although Savvas stepped aside as chairman and chief executive. He passed away last year.
Guy Griffiths became chief executive in 2010, while Savvas said at the time these properties had been appointed receivers due to higher pressure in global property markets.
However, yesterday receiver James Stewart said the company had been negatively impacted by a bad debt of $20 million related to the collapse of Aristocon, one of the companies that oversaw some of the troubled properties.
Stewart said the group, which had $257 million revenue in 2010-11, “had been negatively impacted by a bad debt of approximately $20 million to a related company”.
“Wow has been subject to declining sales and profitability which has escalated in recent months,” Stewart also said.
The portfolio of assets placed in administration in 2010 was reportedly worth $400 million, including a commercial building worth $70 million on its own. It was reported there were more than 50 properties up for sale to recover debts of over $300 million, with several major banks involved in the entire process.
Before all this occurred, Wow had accepted a substantial amount of money from NAB’s private equity division, Integrated Capital Solutions. <a href="https://www.smartcompany.com.au/retail/20100128-nab-s-private-equity-arm-invests-in-queensland-retail-group-wow-sight-sound">Nicolas said  the time</a> the investment would be used to expand the company’s footprint – it wanted to open 25 stores within the following three years.
However, now the company has been placed in receivership. And while receivers have not made any announcement regarding store closures, it surely adds to the nerves felt by retailers across the country, who have already watched several businesses in a variety of industries announce the closure of more than 500 stores.
Receivers are now set to begin a sale campaign for the business, which has been well known in Queensland for its support of the Broncos rugby club during 2008-11.
This article originally appeared on <a href="https://www.smartcompany.com.au/index.php" target="_blank">SmartCompany</a>.
 
 
 
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How Queensland retailer Wow was brought down by a $20 million property debt

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The Shopping Centre Council has upped its opposition to a long-awaited retail tenancy code of conduct, telling the competition regulator that it will not engage with the Franchise Council of Australia on the proposed code.
FCA executive director Steve Wright says progress has been made on the voluntary code, which is designed to stem conflict between landlords and tenants about rental increases, end-of-term arrangements, fit-out requirements, and abuse of market power where landlords offer contracts on a "take it or leave it" basis.
The code will be up for discussion at a retail forum in Sydney tomorrow, alongside other ideas such as a payroll tax freeze, government assistance for small business and occupational health and safety.
Wright says although the SCC has clearly stated its opposition to the code, the FCA remains hopeful an agreement can be reached – particularly if it helps lead to harmonisation of retail tenancy laws across the country.
The guidelines are designed to give retailers confidence about security of tenure, and are particularly relevant given poor occupancy rates in shopping centres across North America, Wright says.
The Australian Competition and Consumer Commission said this morning that it had not yet received a completed code from the FCA. The ACCC assists industries with voluntary codes to ensure they contain no anti-competitive elements, but its assistance does not amount to an endorsement of a code.
But the SCC, which represents shopping centre owners and managers, has decried the proposed code as a “media stunt” and has told the FCA and the ACCC that it will not discuss the matter.
In a letter last week to ACCC chairman Rod Sims, SCC executive director Milton Cockburn writes: "Given that Australia already has the most highly regulated retail tenancy industry in the Western world, we have no intention of adding to that already considerable volume of regulation through the adoption of a code of conduct."
The SCC also says the code would only add to existing regulations, and has called for the franchise body to look at its own backyard.
“Most sensible people would support replacing the existing state and territory regulation of retail tenancies with a single national approach but this is not what the FCA has in mind.”
“Instead the FCA is apparently proposing an additional national code of practice which would sit on top of the existing state and territory legislation.”
The SCC says retail leasing is already much better regulated than laws covering franchising.
“State and territory legislation governs every aspect of the retail tenancy relationship, beginning even before the lease is entered into. The legislation contains financial and other penalties for non-compliance,” it says.
“The FCA wants even more rules to apply to retail leasing, which, by contrast, already has far too many rules."
This article originally appeared on <a href="https://www.smartcompany.com.au/index.php" target="_blank">SmartCompany.</a>
 
 
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Shopping Centre Council tells ACCC it won’t cooperate on retail tenancy code of conduct

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The total land value of Leichhardt municipality increased 30% from 2008 to 2011, according to NSW Valuer-General Philip Western.
He found the total land value increased from $10.891 billion in 2008 to $14.177 billion in July 2011.
Residential land values generally increased strongly, while properties on main roads had just moderate increases in value and waterfront property generally remained steady or had slight decreases in value.
From 2010 to 2011, the median residential land price in Leichhardt increased 8.5% from $563,000 to $611,000.
Western found commercial land values in most main centres in Leichhardt had moderate to strong increases, with the exception of commercial land on Parramatta Road and Marion Street, which generally showed just a slight increase.
Year-on-year, the median commercial land price in Leichhardt increased 5% from $572,000 in 2010 to $603,000 in 2011.
Small industrial sites and industrial land on Parramatta Road had slight increases in value over the three years, while the value of medium-sized industrial sites and industrial sites larger than 4,000 square metres remained steady.
From 2010 to 2011, the median industrial land price increased 7% from $486,000 to $520,000.
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>793 square metres at Allen Street, Leichhardt valued at $1,800,000 </li>
<li>196 square metres at Annesley Street, Leichhardt valued at $546,000 </li>
<li>209 square metres at Llewellyn Street, Balmain valued at $721,000 </li>
<li>271 square metres at Louisa Road, Birchgrove valued at $2,510,000 </li>
<li>210 square metres at Marion Street, Leichhardt valued at $430,000 </li>
<li>183 square metres at Norman Street, Rozelle valued at $615,000 </li>
<li>183 square metres at Young Street, Annandale valued at $565,000</li>
</ul>
Typical commercial land values were:
<ul>
<li>164 square metres at Darling Street, Balmain valued at $900,000 </li>
<li>190 square metres at Darling Street, Rozelle valued at $719,000 </li>
<li>247 square metres at Marion Street, Leichhardt valued at $525,000 </li>
<li>164 square metres at Norton Street, Leichhardt valued at $667,000 </li>
<li>158 square metres at Parramatta Road, Leichhardt valued at $299,000</li>
</ul>
Typical industrial land values were:
<ul>
<li>7,143 square metres at Allen Street, Leichhardt valued at $3,750,000 </li>
<li>414 square metres at Moore Street, Leichhardt valued at $520,000</li>
<li>669 square metres at Parramatta Road, Leichhardt valued at $859,000 </li>
<li>1,745 square metres at George Street, Leichhardt valued at $1,520,000</li>
</ul>
 
 
 
 
<ul></ul>
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Leichhardt land values up 30% in three years

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If like many property investors you’re asking if the property market has bottomed out. You’re asking the wrong question.
During the last week I’ve had a number of questions from the media and even more from clients asking me what’s going on in property and how much further will property values fall.
I guess this is because the latest figures came out showing that median house price are flat in some parts of Australia and still falling in others.
So I thought I’d give you my take on it, and I’m sure not everyone will agree with me.
That’s OK, because I love sparking debate and getting people thinking about what I'm saying.
How do you know what’s really going on?
The problem is, most people just take the information that the media spoon-feeds them as truth, and they miss out on opportunities because they don't really understand what's going on.
I want to give you one of the most important insights that I ever gained as an investor, because it opened up a whole new world of opportunity for me.
Currently there's a lot of debate about whether the real estate market has "hit the bottom". Is property just too unaffordable? Are prices going down more? Is the worst behind us? Are they going back up?
This kind of debate sells lots of newspapers, but the reality is that sophisticated investors don’t care whether the market has bottomed out yet. It doesn’t matter.
Here's why: 
A very, different, but critical insight 
The moment you leave your success or failure up to what direction the market goes, you're in trouble. 
Buying any kind of asset because you're trying to "time the market" and hoping it goes up puts you in serious jeopardy. 
You have no control over your returns, and you're making one of the most common mistakes I see investors make –speculating rather than investing. 
Timing the market is what unsuccessful investors do.
Here's what smart investors do to create long-term wealth:
First, they become educatedin a specific asset or investment strategy.   
They read, they learn, and they understand. They don't just throw money into an investment on a "hot tip" or because everyone else is doing it.
Second,they choose an investment strategy that suits the market.
I can't emphasise this enough.  This is why most investors fail – they choose the wrong strategy for the market they're in.
I learned years ago that there is no such thing as the "perfect strategy".  It doesn't exist. There are always pros and cons. And most importantly is choosing your strategy based on your market.
It may interest you to know that over the last year I’ve sold three properties because of what I see happening to our property markets (yes, sometimes I do sell my properties), and I’ve committed my money to other properties instead.
If you're waiting for the marketing to "hit the bottom", you've missed the point. 
The only way you'll know the market has bottomed is in hindsight – and if you were trying to wait until the bottom, you'll have missed it by the time you can tell when the bottom was.
So what should you do?
Instead of trying to do what is almost impossible (timing the market), the better strategy is to get educated and find out what truly is working in today's markets.
I’ve found that timing is one of the most misunderstood concepts with regard to investing. The truth is successful investors know how to create wealth at any point in a cycle. 
Of course timing matters – you don’t want to buy a property at the peak of the property boom, just to wait three or four years before its value starts to rise again.
But successful investors find that timing isn’t really that important.
Have you noticed how some investors seem to do well in good times and do even better in bad times?
Market timing isn’t really important to them. On the other hand, others do poorly in good times and even worse in bad times. Market timing seems to have very little effect on them either.
Interesting, isn’t it?
Another important point is that there are multiple property markets.
I just looked up the latest statistics and found that over the last year there were a number of suburbs in most states where the median price increased by more than 20% (yes, over the last 12 months). And there were other suburbs where the median price fell by more than 20%.
I’m not necessarily suggesting you buy in these suburbs – in fact there are one or two I would definitely avoid.
But what I’m saying is that while some investors are getting in the game and taking advantage of some of the best buying conditions property investors have experienced in a long, long timem, others are waiting for the timing to be perfect.
How will I know when the timing is right?
It wasn’t that long ago that I spoke with John, who had been waiting for over 10 years for the timing to be “just right” to start investing in property.
The timing will never be “just right”. There will always be challenges, situations, circumstances, obstacles, fears, doubts and things that you are going to have to overcome. The timing is never going to be perfect.
Ten years ago John saw some obstacles and didn’t get into property investment. If he had, chances are that wherever he bought his property it would have doubled in value by now, even if he had made a mistake and paid a little bit too much or bought in the wrong street.
It’s a fact that wealth is attracted to people who are decisive and committed. If you are waiting for the timing to be perfect, the timing will never be perfect to you. 
A window of opportunity?
Currently property investors are being offered a unique window of opportunity, a buyer’s market unlike anything they have seen for a long time.
Sure there are economic challenges out there, but testing times create great opportunities.
The list is long of wealthy Australian property investors who sowed the seeds of their portfolio in the early ‘90s property slump, or the property slump of the early 2000’s with “remarkably poor timing.” These successful investors were busy doing while others were pondering.
Yes, we’re going though a property slump and a major change in the economic landscape.
While the timing might seem unfavourable to some property investors right now, others are going to do very well over the next few years. That’s the way it always has been.
Michael Yardney is the director of <a href="https://www.metropole.com.au/">Metropole Property Investment Strategists</a> , a best-selling author and one of Australia's leading experts in wealth creation through property. He also writes the <a href="https://www.propertyupdate.com.au/">Property Investment Update</a> blog.
 
 
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If you are asking if the market has bottomed out, you are asking the wrong question

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“Tell a European you think there’s a housing bubble and you’ll have a reasonable discussion.
“Tell an Australian and you’ll have World War III.
“Been there, done that!” says the commentator Jeremy Grantham <a href="https://www.gmo.com/websitecontent/JGLetter_LongestLetterEver_4Q11.pdf" target="_blank">in his latest newsletter</a>.
<img src="/images/stories/granthamletter.jpg">
The bubble-watching investor Jeremy Grantham from US investment fund GMO almost appears to be weakening in his strident characterisation of Australia's property as the most overvalued bubble in the world. No concession on his past forecasts is offered, but there’s a hint of tired resignation.
The comments are offered in his 10-point investment advice tips where he urges investors to contain their natural optimism.
“Our species is optimistic, and successful people are probably more optimistic than average.
“Some societies are also more optimistic than others: the U.S. and Australia are my two picks.
“I’m sure (but I’m glad I don’t have to prove it) that it has a lot to do with their economic success.
“The U.S. in particular encourages risk-taking: failed entrepreneurs are valued, not shunned,” he writes.
“While 800 internet start-ups in the US rather than Germany’s more modest 80 are likely to lose a lot more money, a few of those 800 turn out to be today’s Amazons and Facebooks.
“You don’t have to be better; the laws of averages will look after it for you.
“But optimism comes with a downside, especially for investors: optimists don’t like to hear bad news,” he adds.
“And in a real stock bubble like that of 2000, bearish news in the US will be greeted like news of the bubonic plague; bearish professionals will be fired just to avoid the dissonance of hearing the bear case, and this is an example where the better the case is made, the more unpleasantness it will elicit.
“Here again it is easier for an individual to stay cool than it is for a professional who is surrounded by hot news all day long (and sometimes irate clients, too). Not easy, but easier.”
His top 10 investment advice slogans are:
1. Believe in history
2. Neither a lender nor a borrower be
3. Don’t put all of your treasure in one boat
4. Be patient and focus on the long term
5. Recognize your advantages over the professionals
6. Try to contain natural optimism
7. But on rare occasions, try hard to be brave
8. Resist the crowd: cherish numbers only
9. In the end it’s quite simple. Really
10. This above all: to thine own self be true
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