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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The iconic Dickens Manor estate in Elwood has been listed for sale.
The house was built for the architect T.J. Crouch, who established the Royal Victorian Institute of Architects in 1856.
It’s been a wedding reception venue for many decades.
Offers are due by October 28, with more than $3.5 million expected.
The 1,296-square-metre site has an older-style two-level mansion and comes with a planning permit to reconfigure the existing building into individual residential units with scope for additional development on the vacant land.
The Dickens Street property has been listed by CBRE city sales agents Mark Wizel and Josh Rutman.
“We anticipate the strongest interest to come from developers looking to construct a multi-unit project and also expect interest from buyers looking to add a modern extension to the current classically styled building,” Rutman says.
Wizel says the location of the property is likely to help drive interest in the site.
“This is an ideal offering in the current funding climate as we have observed significantly less barriers to entry for developments of 50 or less units.
“We understand this to be both the preference of the majority of developers, as well as the preference of Australia’s leading financial institutions,” Wizel says.
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jchancellor-FAypfDUnLy

Subdivision likely as Elwood's Dickens Manor put on the market

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<img src="/images/stories/tamarama3.jpg">
The architect-designed Tamarama house (pictured above) owned by Dan White, the Bellevue Hill-bound great-grandson of the founder of the Ray White real estate empire, and his wife, Sam, has been sold.
At $6.6 million it was a little short of its <a target="_blank" href="https://www.propertyobserver.com.au/residential/title-tattle-bill-gates-rents-on-sydney-harbour/2011092351664">desired $7 million selling hopes </a>when initially listed through Ray White Double Bay's Elliott Placks.
The suburb’s record $11 million sale – and another at $10.5 million – were achieved in mid-2008 just before the global financial crisis and its ensuing prestige price re-adjustment.
While certainly no longer commanding ambitious boomtime prices, it’s the second prestige home to sell at Tamarama in the past month.
<img src="/images/stories/wolorai.jpg">
The Bellevue Hill-bound plastic surgeon<a href="https://www.propertyobserver.com.au/residential/title-tattle-third-brighton-behemoth-joins-the-fray/2011091651583" target="_blank"> Robert Drielsma</a><a target="_blank" href="https://www.propertyobserver.com.au/residential/title-tattle-third-brighton-behemoth-joins-the-fray/2011091651583"> has sold his Tony Masters-designed Tamarama house</a> (pictured above) for about $6.75 million.
The four-bedroom house last sold for $6.1 million in 2004 when it was bought from the Rubicon bigwig Gordon Fell and his wife, Pip.
The contemporary, three-level house in Wolaroi Crescent was built after the 501-square-metre block was bought for $1.45 million in 1997.
Bordering the gully reserve of Tamarama Park opposite the beach, the three-level house is set in landscaped gardens designed by William Dangar.
The house sold through Pauline Goodyer of GoodyerDonnelley Real Estate and Belle Property's David Vereker, who were aiming for $8 million.
Its initial hopes last year were $11 million.
It’s now been listed at $5,000 a week through Sydney Slice Executive Rentals by its new owner.
The White couple sold because they're upgrading to a 2,460-square-metre Victoria Road property in Bellevue Hill with tennis court.
The four-bedroom, four-bathroom Tamarama residence constructed three years ago has interiors by Briony Fitzgerald, the interior designer daughter of the acclaimed designer Ann Gyngell.
Drielsma and his wife, anaesthetist, Debbie Hong, have upgraded to a Bellevue Hill residence they bought for $9.85 million earlier this year. It had been listed in August last year with $14 million hopes.
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Tamarama loses some glamour as post-GFC prestige sales find their feet

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There are 40 suburbs across Melbourne that have $1 million-plus median house prices, according to RP Data.
This is four more than last year and 18 more than recorded over the year to June 30, 2009.
Toorak, with 111 house sales during the financial year, ranked as the most expensive suburb according to the RP Data list, with a $2.4 million median price.
Toorak was the founding member of Melbourne's million-dollar club, when 10 years ago it recorded 174 house sales resulting in a median price of $1.05 million.
Deepdene was second priciest at $2.02 million – but from just 11 sales ranging from $1.55 million to $3.7 million.
Tim Lawless, national head of research at RP Data, says 10 of the 40 suburbs fell within the prestigious Boroondara Council region.
There were six of the suburbs in the Bayside Council area nd five in each of the Port Phillip and Stonnington precincts.
The remainder were distributed across Glen Eira (four), Banyule (three), Whitehorse (two), Melbourne (two), Darebin (one), Mornington Peninsula (one) and Moonee Valley (one).
New entrants to the list were Alphington ($1.07 million from 31 sales), Caulfield South ($1.03 million from 87 sales), Ivanhoe ($1 million from 83 sales) and South Melbourne ($1.01 million from 101 sales).
Given the list’s requirement for at least 10 sales over the 12-month period, some suburbs such as Kooyong don't show enough activity.
“Over the year to June 30, Kooyong has recorded only nine transactions and all except two of them were over the million-dollar mark,” Lawless notes in The Age.
Lawless notes statistics from the RP Data-Rismark home value index had the premium sector of the market slowing at a more rapid rate than other price segments.
Throughout the year to July, values across Melbourne's top 20% of suburbs dropped 9.8% compared with much smaller falls across the more affordable price segments.
“Next year it will be interesting to see how the million-dollar-club is fairing,” Lawless notes.
Australian Property Monitors recently <a target="_blank" href="https://www.propertyobserver.com.au/residential/sydney-now-has-106-suburbs-above-%241-million/2011092351661">indicated Sydney had 106 suburbs with median house prices of more than $1 million in the six months to July</a>.
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Melbourne's million-dollar-club continues to grow: RP Data

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Property investors continue to come under heavy fire for distorting the housing market and exacerbating housing affordability problems as the Canberra Tax Forum gets under way today.
The latest to have a go at landlords is Sarah Toohey, campaign manager of lobbying group Australians for Affordable Housing, who says the current tax system allows investors to use their rental properties like an offshore bank account. Toohey is not attending the tax summit.
Toohey points the finger at negative gearing provisions, which she says “encourage investors to make a loss and reduce their tax payable”.
“Essentially it allows higher income earners to use rental housing as a tax shelter. It's the offshore account of the Australian tax system,” Toohey writes in an opinion piece for the ABC’s opinion website The Drum.
“If that wasn't enough, investors also get a 50% tax discount on any capital gain they make on the sale of the property. It means that any income gained through property appreciation gets taxed at half the rate of other income,” she adds.
Her complaint follows <a href="https://www.propertyobserver.com.au/residential/housing-academic-says-landed-gentry-destroying-fair-go/2011092851716" target="_blank">property investors being called the “landed gentry”</a> by Ian Winter, executive director at Australian Housing and Urban Research Institute and <a href="https://www.propertyobserver.com.au/tax/academic-calls-on-canberra-to-fix-housing-tax-mess/2011100251762" target="_blank">accused of being unfairly favoured under the current tax system</a> by Melbourne University’s Miranda Stewart.
Toohey says the insidious effect of these two tax breaks (negative gearing and capital gains) is felt when they work together.
“Tax deductibility encourages investors to borrow more than they can afford, because they're really borrowing to make a loss on the cost of running the property, in anticipation of a capital gain payoff.
“Because investors aren't constrained by what they can actually pay, they push up house prices, and get an unfair advantage over first-home buyers, indeed all home buyers, who can only spend what they're able to afford based on their income,” she says.
Toohey quotes ATO statistics for the 2008-09 financial year that show that landlords claimed a collective loss of $6.5 billion, while earning $24 billion in rent.
“These tax breaks go to people who need it least, generally existing home owners with some wealth to spare. They encourage investment in established housing at and do little to relieve the shortage of 493,000 rental properties that are affordable and available to people on low incomes,” she says.
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lschlesinger-FZcF9M3vE6

Property investors under fire as tax summit kicks off

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An auction of the next tranche of 7-Eleven convenience stores is expected to attract interest from private investors, particurlarly those with self-managed super funds. 
The 10 stores are all based in NSW within a roughly 80-kilometre radius from the Sydney CBD.
The Sydney auction is schedule for November 9 and is the third auction of 7-Eleven properties in New South Wales this year.  Previous auctions attracted yields of between 6% and 8%.
The stores, purchased as part of 7-Eleven’s acquisition of 250 retail sites from Mobil Retail in 2010, include service stations, convenience stores and customer parking.
All stores come with 15-year leases to 7-Eleven with three renewal options of five years each. 
They range in size from 1,200 square metres in Yagoona on the Hume Highway to a 4,300-square-metre site in Wilson Street in St Mary’s. 
The sale is being handled by John Macree, NSW head of sales and investments at Jones Lang LaSalle, who says prices and yields are expected to vary greatly given the different sizes.
 
Macree says the NSW portfolio will appeal to “self-funded retirees including those with self-managed super funds because of the stable long-term income stream and the banks’ willingness to offer attractive finance packages on these style of assets”. 
He says that following the success of the previous campaign, a number of prospective buyers had already been making enquiries. 
“The last auction attracted a number of keen bidders and we expect that some of those who missed out on an opportunity last time will be heading to the auction room again in November. This portfolio is attractive for a number of reasons including the quality of the tenant, long-term leases and prime locations,” he says. 
During a previous auction in July 12 out of 13 sites sold, with a 5,575-square-metre Hoppers Crossing site on the corner of Old Geelong and Heaths Road achieving the highest price of $3.49 million. 
The properties that will be up for auction in November include: 
<table cellpadding="0" cellspacing="0" border="1" style="width: 470px;"><tbody>
<tr>
<td valign="top" width="308">
Location
</td>
<td valign="top" width="308">
Site area (sqm)
</td>
</tr>
<tr>
<td valign="top" width="308">
Emu Plains, 126-128 Old Bathurst Road 
</td>
<td valign="top" width="308">
3,328 
</td>
</tr>
<tr>
<td valign="top" width="308">
St Mary’s, 2 Wilson Street 
</td>
<td valign="top" width="308">
4,328 
</td>
</tr>
<tr>
<td valign="top" width="308">
Gymea, 110 Gymea Bay Road and 353 President Avenue 
</td>
<td valign="top" width="308">
1,233 
</td>
</tr>
<tr>
<td valign="top" width="308">
Lindfield, 238-240 Pacific Highway 
</td>
<td valign="top" width="308">
1,708
 
</td>
</tr>
<tr>
<td valign="top" width="308">
Yagoona, 519 Hume Highway 
</td>
<td valign="top" width="308">
1,267
 
</td>
</tr>
<tr>
<td valign="top" width="308">
Ingleburn, 72 Cumberland Street 
</td>
<td valign="top" width="308">
1,728 
</td>
</tr>
<tr>
<td valign="top" width="308">
Ryde, 328 Blaxland Road 
</td>
<td valign="top" width="308">
2,093
</td>
</tr>
<tr>
<td valign="top" width="308">
Lansvale, 22-36 Hume Highway
</td>
<td valign="top" width="308">
4,874
</td>
</tr>
<tr>
<td valign="top" width="308">
Woolooware, 192-196 Kingsway
</td>
<td valign="top" width="308">
2,532
</td>
</tr>
<tr>
<td valign="top" width="308">
Turramurra, 1408 Pacific Highway
</td>
<td valign="top" width="308">
2,824
</td>
</tr>
</tbody></table>
The 7-Eleven company has 32% of the convenience retailer Eastern Seaboard market. The company generates approximately $3 billion in sales per year.
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Investor interest expected for 7-Eleven portfolio auction

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Five out of 20 economists surveyed by the Australian Financial Review expect the Reserve Bank to cut interest rates by the end of the year, while six tip rates to fall over the next six months. Five others expect rates to rise in the next six months.
The most popular six-month forecast (the view held by nine out of 20 economists) is for the RBA to leave its finger on the pause button.
In the previous AFR quarterly survey carried out at the end of June, only four out twenty economists (Westpac, St.George, Goldman Sachs and UBS) correctly predicted that rates would remain on hold at 4.75% with the majority of economists expecting a rate rise by now.
The economic barometer has shifted significantly over the past three months as the world economy lurched from one crisis to the next and the outlook for the US and the Eurozone remains unstable and uncertain.
Looking ahead to March next year, Shane Oliver, AMP’s head of investment strategy, is tipping the greatest fall in the cash rate by 75 basis points to 4% by while at the opposite end of the scale HSBC’s chief economist Paul Bloxham expects the cash rate to rise by 25 basis points to 5% over this period.
Oliver forecasts GDP growth of just 1.5% for the 2011 calendar year and 3.2% for the 2012 calendar year.
Four economists, including Westpac’s chief economist Bill Evans expects the cash rate to sit at 4.25% by March next year.
<table border="1" cellpadding="0" cellspacing="0"><tbody>
<tr>
<td valign="top" width="205">
Economist
</td>
<td valign="top" width="205">
3 month forecast
</td>
<td valign="top" width="205">
6 month forecast
</td>
</tr>
<tr>
<td valign="top" width="205">
Shane Oliver, AMP
</td>
<td valign="top" width="205">
4.5%
</td>
<td valign="top" width="205">
4%
</td>
</tr>
<tr>
<td valign="top" width="205">
Warren Hogan, ANZ
</td>
<td valign="top" width="205">
4.75%
</td>
<td valign="top" width="205">
4.75%
</td>
</tr>
<tr>
<td valign="top" width="205">
John Honan, Ausbil Dexia
</td>
<td valign="top" width="205">
4.75%
</td>
<td valign="top" width="205">
4.75%
</td>
</tr>
<tr>
<td valign="top" width="205">
Gavin Stacey, Barclays Capital
</td>
<td valign="top" width="205">
4.75%
</td>
<td valign="top" width="205">
5%
</td>
</tr>
<tr>
<td valign="top" width="205">
Dominic Bryant, BNP Parabis
</td>
<td valign="top" width="205">
4.5%
</td>
<td valign="top" width="205">
4.25%
</td>
</tr>
<tr>
<td valign="top" width="205">
James McIntyre, CBA
</td>
<td valign="top" width="205">
4.75%
</td>
<td valign="top" width="205">
5%
</td>
</tr>
<tr>
<td valign="top" width="205">
Joshua Williamson, Citigroup
</td>
<td valign="top" width="205">
4.75%
</td>
<td valign="top" width="205">
4.75%
</td>
</tr>
<tr>
<td valign="top" width="205">
Adam Boyton, Deutsche Bank
</td>
<td valign="top" width="205">
4.5%
</td>
<td valign="top" width="205">
4.25%
</td>
</tr>
<tr>
<td valign="top" width="205">
David Bassanese, Fin review
</td>
<td valign="top" width="205">
4.5%
</td>
<td valign="top" width="205">
4.25%
</td>
</tr>
<tr>
<td valign="top" width="205">
Paul Bloxham, HSBC
</td>
<td valign="top" width="205">
4.75%
</td>
<td valign="top" width="205">
5%
</td>
</tr>
<tr>
<td valign="top" width="205">
Stephen Walters, JP Morgan
</td>
<td valign="top" width="205">
4.75%
</td>
<td valign="top" width="205">
4.75%
</td>
</tr>
<tr>
<td valign="top" width="205">
Richard Gibbs, Macquarie Grp
</td>
<td valign="top" width="205">
4.75%
</td>
<td valign="top" width="205">
4.5%
</td>
</tr>
<tr>
<td valign="top" width="205">
Alan Oster, NAB
</td>
<td valign="top" width="205">
4.75%
</td>
<td valign="top" width="205">
4.75%
</td>
</tr>
<tr>
<td valign="top" width="205">
Stephen Roberts
</td>
<td valign="top" width="205">
4.75%
</td>
<td valign="top" width="205">
5%
</td>
</tr>
<tr>
<td valign="top" width="205">
Su-Lin Ong, RBC Capital Mkts
</td>
<td valign="top" width="205">
4.75%
</td>
<td valign="top" width="205">
4.75%
</td>
</tr>
<tr>
<td valign="top" width="205">
Felicity Emmett, RBS
</td>
<td valign="top" width="205">
4.75%
</td>
<td valign="top" width="205">
5%
</td>
</tr>
<tr>
<td valign="top" width="205">
Besa Deda, St.George Bank
</td>
<td valign="top" width="205">
4.75%
</td>
<td valign="top" width="205">
4.75%
</td>
</tr>
<tr>
<td valign="top" width="205">
Roland Randall, TD Securities
</td>
<td valign="top" width="205">
4.75%
</td>
<td valign="top" width="205">
4.75%
</td>
</tr>
<tr>
<td valign="top" width="205">
Scott Haslem, UBS
</td>
<td valign="top" width="205">
4.75%
</td>
<td valign="top" width="205">
4.75%
</td>
</tr>
<tr>
<td valign="top" width="205">
Bill Evans, Westpac
</td>
<td valign="top" width="205">
4.5%
</td>
<td valign="top" width="205">
4.25%
</td>
</tr>
</tbody></table>
The range of six month-forecasts highlights the “very usual, set of complex forces” shaping the Australian economy mentioned by RBA governor Glenn Stevens in a recent speech.
Evans’ predictions of two rate cuts by March 2012 come with forecasts of low GDP growth of just 1.2% for the 2011 calendar year and 3.6% for the 2012 calendar year on the back of “underperforming housing”
Optimistic forecasters include Nomura’s Stephen Roberts and Roland Randall from TD Securities, who expect the economy to grow by 4.6% during the 2012 calendar year.
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Economists divided on six-month rates forecast

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Cairns is still attracting its fair share of lifestyle migrants, albeit at a slower rate than before, but the number of economic migrants has diminished, according to the October Month in Review report from Herron Todd White.
“People relocating to Cairns tend to fall into two classes – the lifestyle and the economic migrants,” the report says.
“With the slowdown in the Cairns economy, the economic migration component, consisting largely of young singles or young couples or young families moving to Cairns for employment reasons, has diminished,” the Cairns office of Herron Todd White says.
According to the report, recent lifestyle migrants are typically the “pre-retirement empty-nester demographic, looking for a nice place to live but with opportunities for full- or part-time work if required”.
“Indeed, cashed-up lifestyle migrants who have sold up in Sydney or Melbourne to move to Cairns are like gold in the current market environment.”
According to the Cairns office market observations, lifestyle migrants are demanding a variety of accommodation styles, “some buying up big as if expecting to be constantly descended upon by the friends and relatives they have left behind, while others are seeking well-located unit accommodation with good amenities”.
The northern beaches are often a preferred destination, the report says.
The latest report puts the Cairns residential property market at the bottom of the property cycle and says it is still “very much a buyer’s market”, with property demand from investors and first-home buyers weak and the market for low-end housing slow.
“Demand for better-quality houses and units in good locations remains solid, largely sustained on the basis of the trade-up buyer segment,” it says.
“There are two types of trade-up buyer: existing locals trading up (or down or sideways) in response to changing circumstances and/or preferences, and people relocating to Cairns.”
“Locals are also active in the trade-up market, but the catch with this segment is selling their existing home. We often hear of sales that fall through because buyers are unable to sell their existing house in the presently slow market environment.”
Two recent reports have highlighted the struggles facing the Cairns market.
The Moody’s mortgage delinquency report highlighted the <a href="/news">tourist regions of far north Queensland, Sunshine Coast and Gold Coast as having performed very poorly over the June quarter</a>, with delinquencies of 2.59%, 2.68%, and 3.11% respectively.
Similarly, the RP Data Equity Report says far north Queensland <a href="https://www.propertyobserver.com.au/residential/queensland-hit-hardest-post-gfc-as-6.3-of-homes-worth-less-than-their-purchase-price/2011092851719" target="_blank">has recorded the greatest proportion of properties in a negative equity position</a>, at 13.5% of all homes.
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Cairns still attracting lifestyle buyers, as tide  goes out on economic migration

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Many investors just simply fall in love with retail property. This is probably because of familiarity — as it tends to influence so much of our daily lives.
Therefore, after investing in residential property for a while, you find people will gravitate naturally towards retail properly.
To them, it seems to be the next logical step. But is that actually the case?
Let's talk about the weather!
Surely, that only affects rural property — doesn't it? Well, just ask struggling retailers, and they'll tell you otherwise.
You see, in the run up to summer clothing retailers will be holding their breath. Any onset of wet weather will greatly affect the sale of thongs, board shorts and bikinis. And Coca-Cola blamed the fall in its soft-drink sales upon last summer's heavy rains.
Interestingly though, rain also tends to drive people indoors to regional shopping centres — but mostly to browse and eat, rather than buy specialty items.
Cinemas will also benefit from poor weather conditions, whereas, tourist and outdoor entertainment operators find the going tough.
What about interest rates?
The residential sector will always suffer first (and the most), whenever interest rates are on the rise. But as people need to spend more on their mortgage payments, they have less to spend on discretionary retail items. This is particularly when <a target="_blank" href="/news">they also decided to boost their savings to near-record levels</a>.
In this rising interest-rate sequence, industrial property will tend to follow retail — and begin to slow about six to nine months afterwards.
This is because Australia's industrial property is predominantly occupied by "distributors", rather than manufacturers. And these distributors are mainly supplying those struggling retailers.
So that only leaves offices!
According to an 80-year study by BIS Shrapnel, there appears to be little or no correlation between rising interest rates and the office sector.
Therefore, the rise and fall for offices is dictated by the prevailing supply and demand within the sector. And traditionally, that has tended to span a 16- to 18-year cycle.
Bottom Line: If you understand how to read the signs and can anticipate the cycles, you need not be caught out.
But clearly, the retail sector is delicately poised at the moment, whereas, offices are currently heading along a predictable upward path.
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 href="https://his-best.biz/" title="Chris Lang's blog" target="_blank">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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chrislang-EQKojcgJPV

Offices a more stable commercial investment than retail

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One of the things that investors and economists struggle with is “dynamics”. George Soros prefers to term it “reflexivity”. In the econo-jargon they have an even fancier sounding term: “endogeneity”.  A brickie might sum it up simply as “the knock-on effect”. 
Bluntly stated, events have consequences, and to have the best possible chance of working out the future, you need to spend a lot of time thinking hard about them. A good example is the current public or “sovereign” debt crisis. All of this started off with a credit crisis among private borrowers. The consensus solution was to bail out the private sector with public money because we wanted to avoid the risks of a 1930s-style depression. 
Setting aside the long-term moral hazard implications of “socialising” private mistakes (i.e., the “heads I win, tails taxpayers lose” dynamic), an unanticipated knock-on effect of the policy reactions to the 2007-09 calamity has been the 2010-11 public debt crisis and, more particularly, the possible disintegration, or at least restructuring, of the Euro zone and its once-successful common currency. 
Another knock-on effect that I’d like to discuss today has been the stunning appreciation of the Aussie dollar during 2010-11. Many economists and investors believed that due to the enormous local investment in resources, Australia would eventually run into an inflation problem, with the consequence being higher interest rates. We did indeed see a rebound in core inflation, and the RBA has dutifully lifted rates to above-average levels. But what most people, including the RBA, did not originally count on was that the Aussie dollar would soar to more than 110 US cents. 
According to the RBA’s research, every 10% increase in the currency reduces core consumer prices by about 1% over the following three years, with most of the impact coming in the first 12 months. We had a peak-to-trough 36% increase in the Australian dollar spot (as measured against the US dollar) since its low of about 81 US cents in 2010. Taking a more reasonable trading range, the rise has been more like 15%. 
The key point is that the unexpectedly strong advance of the currency was a crucial “deflationary” impulse that helped the RBA to keep rates on hold following its first contractionary hike in November 2010. The central bank has recognised this by referring to the role of the currency with mounting regularity as a restraining influence on inflation and activity over 2011. 
Coupled with a rolling series of crises that nobody predicted, from the east coast floods to the Japanese tsunami-cum-nuclear catastrophe to the oil price shocks induced by the Middle Eastern revolutions, domestic hikes that were slated to materialise have gradually disappeared (my own views have not changed). 
Now the economy’s restraining knock-on effects are actually working in reverse. Just when every second bank in the country was upwardly revising its forecast for the Aussie dollar to around 110 US cents or higher, the currency has fallen like a stone on the back of risk aversion arising from the snowballing European woes. 
As I write, it is trading at just 95.28 US cents, and looks like it may break through to 94 US cents. That is a 16% fall from its peak, and a 10% plus decline from its average in 2011 (see chart). Click to enlarge
<a title="Click to enlarge" rel="shadowbox" href="/images/stories/joyeoctober41.gif"><img src="/images/stories/joyeoctober41thumb.gif"></a>
So, while a raft of banks have swung 180 degrees to adjust their interest rate forecasts from hikes to cuts in 2011-12, including, among others, Goldman Sachs, Deutsche Bank, Westpac, Macquarie and AMP, the “shock absorber” that is Australia’s currency is delivering de facto rate cuts as we speak. 
Recall the chorus of calls in the media from countless vested interests that the high Aussie dollar was killing industry? You don’t need to have a plus-size cranium to work out why such whining has suddenly stopped. 
The 10% to 15% fall in the Aussie dollar significantly improves the competitive position of exporters (including those that sit on the RBA’s board) as the price of their goods and services is lower (assuming our trade-weighted exchange rate moves by a similar margin). It also assists import-competing industries, such as manufacturers, given that the price of imports increases (thus making their goods and services relatively cheaper). 
A permanent decline in the exchange rate of this magnitude is also quite explicitly inflationary, as research <a href="https://www.rba.gov.au/publications/bulletin/2011/sep/bu-0911-2a" target="_blank">published by the RBA</a> only a couple of weeks ago shows. 
A final knock-on effect I want to discuss today concerns interest rates. As most know, the RBA is responsible for setting the level of interest rates across the economy via changes to its "official target cash rate". In this context, one of the many good things the RBA does is provide detailed information on the "average" interest rates (e.g., deposit and home loan rates) that prevail across the market. 
I have been writing for quite a while now about how the "inversion of the yield curve" has driven down the cost of fixed-rate loans. This is basically econo-speak for telling you that the financial markets believe that the price of money in the future will be lower than it is today (i.e., future interest rates will be less than current-day rates). The markets believe this because they think the RBA will be forced to cut its cash rate on the back of lower-than-expected global growth. A related nuance, which I have explained in detail before, is that the price of fixed-rate Aussie government bonds has exploded due to the latter’s appeal in a world of deteriorating sovereign credit quality. 
On Monday Australia's largest mortgage broker, AFG, <a href="/news">reported a "huge spike" from 9% to 16% in the share of people using fixed-rate loans</a>. Now, according to the official RBA data, we can say with certainty that the average three-year, fixed-rate home loan has fallen by 0.70 percentage points in recent months, or by nearly three full RBA rate cuts, which would amount to 0.75% (see chart).
<a title="Click to enlarge" rel="shadowbox" href="/images/stories/joyeoctober42.gif"><img src="/images/stories/joyeoctober42thumb.gif"></a>
Indeed, three-year fixed-rate home loans have not been this cheap since way back in July 2009 (i.e., more than two years ago). The RBA has lifted interest rates on seven occasions since that time. In fact, the cost of three-year fixed-rate home loans actually peaked at 7.8% in April last year. Today's rates are now 1.1 percentage points lower than those levels (the equivalent of more than four RBA rate cuts). 
A similar thing has happened with small business loans (see chart above). According to the RBA's data, the three-year fixed rate for small businesses has fallen from 8.75% in April 2011 to 7.80% today, or by almost a full percentage point (i.e., four RBA cuts). 
In summary, the markets and the economy have responded to quickly deliver the stimulus many doves argue that Australia desperately needs — in the form of a much lower currency and substantially reduced interest rates—without the policymakers at the RBA or Treasury having to lift a finger. This is one illustration of why markets can play a very valuable, self-correcting role. It is also another reason why the RBA will likely keep its finger off the rate trigger until the global dust settles.
Christopher Joye is a leading financial economist and works with <a target="_blank" title="Rismark International" href="https://www.rismark.com.au/">Rismark International</a>. Rismark and RP Data provide house price analytics products, and solutions that enable investors to go long and/or short the housing market. The above article is not investment advice.
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chrisjoye-JYhJsTrNRC

We have had three rate cuts, without the RBA lifting a finger

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Single first-home buyers have a battle on their hands if they want to secure a property in today’s market, which is predominantly dominated by second-home buyers, investors, and young couples who are able to draw on combined salaries.  In fact the only time we see a significant rise in this sector of the market is during periods where generous incentives are offered by the government, which conversely does little to ease the pain for property buyers.  The resulting increase in competition caused by a temporary inflation of the economy – particularly in the inner- and middle-ring suburbs – makes it harder to get a foothold, not easier.
We only have to take a brief backward glance at the initiation of the first-home owner boost in 2008 to understand the advantages fleeting targeted schemes like this can effect. The post-GFC property boom was ignited by the first-home owner boost introduced in October 2008. During this period grant recipients accounted for 40% of overall housing turnover.
However, in Victoria it was the extra dollar incentives offered for purchasing new properties in the growth corridors that had the biggest effect on first-home buyer trends, and this was where the buying activity centred. Immediately following the introduction in November 2008 overall sales of new dwellings had increased by 1,764 to 11,695.  Melton, in Melbourne’s West, grew by 8.2%, equating to 7,535 new residents – an all-time high.  Other regions such as Deer Park (17 kilometres west of Melbourne’s CBD) recorded a 15.67% rise in its median value. And by January 2009 there had been 530 house sales recorded in Tarneit (25 kilometres south west of Melbourne), with prices increasing 21%. Werribee (32 kilometres southwest of Melbourne) and Point Cook (25 kilometres south of Melbourne) attracted the greatest number of grant recipients, with Werribee South recording a whopping 25.74% rise in its median house price, which was clearly unsustainable over the long term. 
When the grant was finally scaled back demand substantially declined, and the effects are still being felt.  The REIV recorded a 4.3% decline in Werribee’s median house price over the last quarter alone, and according to RateCity, there have been 40,000 fewer first-home buyers entering the residential market in the year from July 2010 – 2011.
The decline has caused a two-tier rift in our property market and left home buyers in the outer-suburban regions facing a long road of potential property stress.  RP Data’s recent equity report shows that “3.7% of home owners across the nation are in a negative equity position,” which includes a significant proportion who purchased at the peak of the market (many of whom were first-home buyers).  Clearly, the reduction in demand following the drawback of the first-home owner’s boost and a sharp period of interest rate rises has taken its toll. Another report analysing mortgage-backed securities by Moody's Investor Services shows a worrying i<a target="_blank" href="/news">ncrease in delinquencies</a> from those holding the least amount of equity in their properties. The report has produced a “heat map” for each metropolitan and regional housing market across the country and it reveals the greatest deterioration in mortgage performance is evidenced in those areas “radiating” away from our well facilitated metropolitan inner- and middle-ring suburbs – principally the outer regional areas.  These are the areas our first-home buyers flocked to during the boost and the areas that are now s<a target="_blank" href="https://www.propertyobserver.com.au/residential/queensland-hit-hardest-post-gfc-as-6.3-of-homes-worth-less-than-their-purchase-price/2011092851719">truggling with negative equity </a>and an inability for buyers to bail out due to the reduction in demand.
On the other side of the coin the inner-metropolitan regions where most people want and need to live are fast becoming unaffordable for the majority of home buyers who don’t already have existing equity in the property market – principally first-home buyers.  RP Data now has 40 Melbourne suburbs listed with a median house price of a million dollars or more.  Furthermore, in its recent equity report Victoria came top of the list, with 71.4% of Victorians currently holding at least 50% equity in their property. Melbourne has also recorded the highest rate of capital growth over a five-year period (to July 2011), with dwelling values up 51.5%. The overall results of the report specified that the biggest gains were understandably in the capital cities – areas where job security is strong and vendors are under no pressure to sell. Regional “mortgage belt” areas containing the highest default rates dwindle some 10% behind.
Obviously Australia is suffering a housing dilemma, which is largely the result of our geographical landscape where more than 75% of Australians live in and around our major cities along the eastern and south-eastern costal planes.  The limited land available in these locations, along with a growing population of buyers and immigrants, naturally puts pressure on Australia’s metropolitan prices and even taking into account the recent soft market, which has slightly improved buying conditions across the country, it’s clearly splitting the housing market into a gradual rich/poor divide.
Luring people out of the metropolitan inner-suburban areas is the only obvious way to ease inner-city demand and consequently make housing more affordable. However any future plans to do so have to be sustainable and not fuelled with fly-by-night incentives. In Victoria, the state government’s answer to the shortage of housing has been to action urban land releases on former farmland in growth corridors such as Casey, Hume, Whittlesea, Wyndham, and Melton – areas lacking in public transport, adequate health services, and other amenities needed to support a growing population.  It was boldly stated that infrastructure would be provided in these areas to make them liveable for new home buyers; however this was to come in the form of a hefty new tax called the ”growth areas infrastructure contribution” – the GAIC. 
As I understand it, the GAIC is levied if land is sold, transferred or subdivided, or if sizable building works are conducted. The cost can be up to $95,000 per hectare and essentially it falls at the feet of the purchaser, which further increases the underlying cost of purchasing. There is negligible encouragement for any new home buyer to move into these areas, and quite clearly it’s going to do little, if anything, to address the growing issues facing the practicalities of sustainable population growth.
We have a looming crisis on our hands, and the only way to solve it is to build suburbs with enough diversity and infrastructure to foster a sense of community.  Re-igniting the first-home buyer market and committing to a strategised plan to adequately facilitate the outer-metropolitan regions would be a great initial step towards addressing this issue. This means providing more than simply an abundance of “roof space” or high-rise inner- city rabbit hutches, it requires substantial hand-in-hand investment in schools, small business, open spaces, and transport facilities without which growth cannot be sustained. All in all, most owner-occupiers will admit the most valuable asset they own is their home – however it is no longer a right reserved for all – for a growing sector of our population, it’s fast falling out of reach.  
Catherine Cashmore is senior buyer advocate for <a target="_blank" title="JPP" href="https://www.jpp.com.au">JPP Buyer Advocates</a> – the largest dedicated buyer advocacy service in Victoria. With extensive experience in all matters regarding real estate, JPP successfully purchases and negotiates more than $100 million worth of property each year.
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