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.

&nbsp;

&nbsp;

&nbsp;

&nbsp;

&nbsp;

[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>

&nbsp;

First Home Owner Grant: Offers a $10,000 grant for new homes valued up to $750,000 in the southern regions and up to $1 million in the northern regions.

Stamp Duty Concessions: Available for homes valued up to $600,000 for transactions entered into on or after 9 May 2024.

<h2>Australian Capital Territory First Home Owner Grant</h2>

First Home Owner Grant: Replaced by the Home Buyer Concession Scheme, offering full stamp duty concessions for eligible buyers.

<h2>South Australia First Home Owner Grant</h2>

First Home Owner Grant: Provides up to $15,000 for new homes, including houses, apartments, and townhouses. As of 6 June 2024, there is no property value cap for eligibility.

Stamp Duty Relief: Available for new homes and vacant land purchases.

<h2>Tasmania First Home Owner Grant</h2>

First Home Owner Grant: Offers a $10,000 grant for new homes and off the plan purchases.

Stamp Duty Exemption: Between 18 February 2024 and 30 June 2026, first home buyers of established homes valued up to $750,000 receive a full exemption on property transfer duty.

<h2>Northern Territory First Home Owner Grant</h2>

First Home Owner Grant: The Northern Territory provides a $10,000 grant for new homes only. Additional government grants and concessions are available for first home buyers.

Stamp Duty Exemption: The only stamp duty exemption available to property buyers is the House and Land Package Exemption (HLPE).

Eligibility criteria and application processes differ across states. Prospective buyers should refer to their respective state revenue offices for full details on grant availability, conditions, and additional concessions.

Every First Home Owner Grant for new property by state

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

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

Staff Writer

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

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

alisonwarters@gmail.com

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

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

Ellen Walker

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

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

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

<html><body>
The two-speed nature of the leisure property sector has been starkly revealed in NAB’s June quarterly survey of the hotel property sector. 
While overall conditions for the sector have softened, but remain positive, the outlook for CBD hotels versus those in regional markets could not be more different. 
This is reflected in NAB’s All Hotels Index (a measure of sentiment and confidence in the sector), which stands at +54 in June for CBD hotels, compared with -5 for non-CBD hotels. 
According to the 300 property market participants who took part in the survey, the capital values of CBD hotels are tipped to rise by a healthy 5.3% over the next 12 months and by 6.2% over the next two years. 
In comparison, hotel property values outside of the CBD are expected to stagnate over the next year (declining 0.2%) and to rise by just 1.6% over the next two years. 
Growth in CBD hotel values and room rates is being supported by the business travel sector and the absence of new supply in the main capital cities. 
The undersupply of CBD hotel rooms is expected to persist, with the booming resources sector driving business demand. 
And while demand from international travellers was even weaker across the sector, this was especially felt in non-CBD hotels, where demand from this source was assessed as “poor”. 
A July report by research firm STR global found Perth to be leading a nationwide revival in hotel room revenue, with rates rising 9.6% in the first six months of the year, followed by 8.1% in Brisbane and 8.4% in Sydney.
According to Bryon Merzeo, business development manager from STR Global Australia and New Zealand, while international growth has been powerful, domestic consumer stays on Tuesdays, Wednesdays and Thursdays have been “incredible”.
However, non-CBD hotels, which are not able to tap into the corporate traveller market, are facing headwinds from a tourism market suffering from the high Australian dollar and ongoing consumer caution. 
According to the NAB survey, demand from business travellers (the key market consumer segment) is rated as only “good” for non-CBD hotels compared to “very good” for CBD hotels. 
CBD hotel room rates are also increasing and are forecast to increase at far healthier rate than those outside of metropolitan regions. 
CBD room rates increased by 4.4% in the June quarter, with the strongest gains recorded in NSW (5.3%). They are tipped to rise by 5.8% over the next year and 6% over the next two years.
Outside of the CBD, hotel room rates fell by 1.2% in the June quarter (following growth of 1% in the March quarter). Over the next year non-CBD room rates are going nowhere (a rise of 0.2%) and are tipped to increase by a modest 2.3% over the next two years. 
On the key measure of revenue generated per available room (RevPar), the biggest increase occurred NSW in the June quarter with takings up 5.1%, outperforming the CBD sector as a whole, which increased by 4.7%. 
Non-CBD hotel room revenue lagged far behind growing by just 0.3% over the quarter. Revenue forecasts are modest with increases of 1.6% and 3.4% over the next two years. 
Looking ahead, CBD hotels in NSW and Western Australia are expected to see the greatest increase in revenue generated from their available rooms. 
Occupancy rates were significantly higher for CDB hotels (77%) compared with non-CBD hotels (68%) in the June quarter with average occupancy rates highest in NSW and WA (75% in both markets) and lowest in Queensland (68%). 
The diverging performance of the two hotel markets has already been revealed in the March quarter tourist accommodation figures which revealed rising occupancy rates and per night room takings in all major CBD markets, but declining occupancies and returns in many regional markets. 
These trends are expected to remain broadly unchanged over the next year, although respondents are forecasting a moderate pick-up in demand for non-CBD hotel rooms from domestic and international travellers, consistent with higher occupancy. 
Offshore investors have also signed several hotel deals this year, signalling confidence in the metro hotel market. 
In May LaSalle Investment Management snapped up the 380-room Novotel Melbourne on Collins Street in the CBD for $204 million, and US hospitality property group Host Hotels &amp; Resorts spent about $137 million for a 75% stake in the 396-room Hilton Melbourne South Wharf Hotel. 
In January, the 276-room Hilton Melbourne Airport Hotel was sold to Pan Pacific Hotels Group for $109 million in a deal negotiated by CBRE. 
CBD hotels listed for sale include the 202-room Rendezvous Adelaide at 55 Waymouth Street being sold by Jones Lang LaSalle agents James Gatland, Aaron Desange and Mark Durran with $60 million plus hopes.
<ul></ul>
The 278-room Citigate Perth at 707 Wellington Street is up for sale by Desange and Mark Durran from Jones Lang LaSalle with expectations above $65 million.
Overall, conditions for hotel property remain positive but have softened since the March quarter survey as a result of high Australian dollar, interest rate concerns and consumer caution.
</body></html>

lschlesinger-FZcF9M3vE6

Regional hotels booked for trouble, but CBD hotels have staying power

<html><body>
The Port Authority of New York and New Jersey has reportedly struck a deal with shopping centre operator Westfield Group to develop shops and restaurants in and around the World Trade Center site, according to the Wall Street Journal.
The newspaper has suggested Westfield has agreed to the terms of a deal in which it would contribute $612.5 million toward construction costs of 365,000 square feet of retail space.
In return, Westfield will get a 50% stake in the development.
“We are excited to be moving forward in partnership for the World Trade Center retail,” Westfield CEO Peter Lowy says in a statement. “We look forward to creating a world-class shopping experience for lower Manhattan and the City of New York.”
The Port Authority will cover the rest of the cost, which is expected to be $1.55 billion, with the help of a $200 million insurance payment.
Westfield intends to bring a mix of retail, from high-end stores to restaurants geared towards the growing lower Manhattan population.
With a target opening date of 2015, it is envisaged that it would be reminiscent of the design of the Time Warner Center, with the retail spread among the lower floors of office towers along Greenwich Street and underground concourses that will connect with the Santiago Calatrava-designed transit hub.
It is also expected to feature some locations with views of the memorial planned for the site.
It would mark a major upgrade from the retail at the World Trade Center before the 2001 terrorist attacks, according to the <a href="https://asia.wsj.com/home-page" target="_blank" title="Wall Street Journal">WSJ</a>.
It notes that previously the stores and restaurants there generally catered mostly to office workers, instead of the affluent young families that are increasingly settling in the Financial District.
Westfield won the rights to redevelop that retail in mid-2001 but sold its stake in the property back to the Port Authority after the attacks.
The firm has long expected to return, and in late 2007 struck a similar agreement that ultimately was scuttled amid economic woes and construction changes at the site.
Since then, the amount of space to be developed has been reduced from the 42,500 square metres initially planned, in large part to because one of the buildings planned for the site, 2 World Trade Center, has since been shelved indefinitely.
The Port Authority and Westfield are still finalising the terms of the deal, but broad outlines have been agreed upon, people familiar with the matter say. The agreement is expected to be presented to the Authority’s board in the fall.
</body></html>

jchancellor-FAypfDUnLy

Westfield to sign deal at rebuilt World Trade Center

<html><body>
Have you ever purchased something (usually a big-ticket item) and then feel a twinge of regret? If so, what you are experiencing is quite normal and it's called "buyer's remorse".
Although excited at the time of the purchase, once they've spent a lot of money, many people feel a deep regret and concern that they made the wrong decision, referred to as buyer's remorse. In this blog, I'm going to specifically discuss the buyer's remorse associated with buying a property. Buying a property is an emotionally charged process. 
During the initial search process, many buyers may go from feeling excited to frustrated when they realise the constraints of their budget. After some time, it is not unusual for many buyers to see a property they like but then miss out on it for one reason or another. This may result in a feeling of disappointment and loss.
When buyers eventually exchange contract on a property, many may feel a sense of relief and euphoria.
However, this feeling of elation often does not last long, as many buyers naturally begin to feel a sense of remorse over their purchase as they grapple with a series of fear and anxieties such as: 
<ul>
<li>fear of having made the wrong choice;</li>
<li>fear of having over-paid;</li>
<li>fear of over-indulgence or living beyond one's means;</li>
<li>fear that other people may later question the purchase or claim to know better alternatives;</li>
<li>fear of buying at the wrong time;</li>
<li>fear that a better/cheaper property is around the corner (also known as Fear of Missing Out or the FOMO factor);</li>
<li>fear of the financial implication to ensue (i.e. debt); or</li>
<li>fear of having been pressured by the sales agent.</li>
</ul>
It is also not uncommon for buyers to compare their purchases with those of their friends and families. Buyers need to be careful when doing so, because no two properties are like. For example, just because a friend/family purchased a property at $800,000 as opposed to your $850,000 does not automatically mean that they got a bargain while you over-paid. So be cautious not to have a knee-jerk reaction to price only.
Another common trigger for buyer's remorse is the pre-settlement inspection. Many properties have been scrubbed clean, landscaped and styled within an inch of their lives just before sale. So it comes as a shock to many buyers to see the property empty, slightly dirty and with an overgrown yard, for example. The gloss of the marketing campaign is over and buyers are faced with the reality of a vacant property that does not seem as glamorous as it did in the brochure.
The good news is that, based on our experience, buyer's remorse doesn't last too long. Acceptance and contentment soon follow – especially once the buyers are able to start putting their personal touches to the property (such as painting).
So if you are a property buyer experiencing buyer's remorse, just stay calm and have faith that all your due diligence and research will stand the test of time.
Oliver Stier is the director of <a href="https://www.ohpropertygroup.com/" title="OH Property Group" target="_blank" style="outline-style: none; outline-width: initial; outline-color: initial; text-decoration: underline; color: #6888b1;">OH Property Group</a>, a Sydney-based buyers agency. In addition to being a licensed real estate agent, Oliver also holds the Chartered Financial Analyst (CFA) designation. You can follow Oliver on Twitter at <a href="https://www.twitter.com/ohproperty" style="outline-style: none; outline-width: initial; outline-color: initial; text-decoration: underline; color: #6888b1;">www.twitter.com/ohproperty</a>
</body></html>

oliverstier-Cu9aF99VRm

Have confidence in your property purchases

<html><body>
Stale stock on the market in Melbourne ballooned from 19,800 to 31,600 properties in the last three months, according to Prosper Australia spokesman David Collyer. He says stale stock is particularly accumulating in new suburbs on the city fringe.
Collyer defines stale stock as unsold property on the market for more than 60 days.
“Gardens have been primped, interiors polished up, advertisements run, open for inspections attended, auctions conducted and … no sale,” Collyer notes, arguing that it points at a major correction, as the supply and demand equation would need to be restored by price slides across Melbourne.
“Hardest hit are the first-home buyer hunting grounds in Melbourne’s west, with over 5,600 brand-new houses stale and more being added daily.”
In Derrimut, Werribee and Point Cook, the postcode 3030, there were 2650 stale listings, in the 3029 postcode of Tarneit, Truganina, Hoppers Crossing some 1932 sale listings and at Roxburgh Park and Craigieburn, postcode 3064, some 1095 stale listings.
“To give these figures perspective, only 564 Point Cook properties sold in all last year,” Collyer said.
“This overhang is massive. Developers miscalculated. They built way ahead of buyers and have now come to a grinding halt.”
He forecast this could lead to abrupt and widespread unemployment in the construction trades as projects are completed and workers laid off.
The stale stock figure was collated by Prosper Australia from data published by SQM Research. Prosper was the tax reform group that called for a "home buyers' strike" in March.
</body></html>

Stale housing stock builds up on Melbourne's outer fringe

<html><body>
Following the higher-than-forecast quarterly inflation result for July (0.9% versus a forecast 0.7%), ANZ is now forecasting the Reserve Bank will lift the cash rate by 25 basis points at its August 2 meeting to 5%. While 5% is unlikely to be the peak in rates, a further tightening would be unlikely before the middle of 2012, the ANZ says.
The bank had previously forecast no further rate rises this year and even a possible rate cut.
However, it now says it is of the view that the CPI figure has “brought inflation in Australia to an uncomfortably high starting point given the robust 2012 outlook".
“This necessitates a small adjustment to the policy rate,” says ANZ chief economist Warren Hogan.
The bank says if rates are kept on hold it will be a “finely balanced decision, likely driven by international uncertainties and recent weakness in domestic data”. 
“Some members of the RBA board may well not want to hike in August. But with the RBA’s persistent focus on inflation, and the forward-looking nature of monetary policy, a small move now will likely be the RBA’s preferred action. The RBA should have capital to convince board members of the need to move given rates have been raised only once in the last 15 months,” Hogan says. 
“The most likely factor that could keep the RBA on hold in August would be a significant deterioration in the US debt situation.”
A decision to raise rates on August 2 would be followed by an extended policy of no rate rises, according to ANZ, as happened since the last rate rise in November 2010.
</body></html>

Rates likely to go up next week: ANZ

<html><body>
A private offshore investor has paid $395 million for 259 George Street, the 42-storey, 200-metre-high office tower in the Sydney CBD.
The building makes up 9% of the value of the Commonwealth Property Office Fund, which is managed by Colonial First State.
The sale price was negotiated at a 15.3% premium to the asset’s June 30, 2011 independent valuation of $342.5 million, a 2.9% rise on the previous year following a revaluation of the portfolio.
In 1999, the fund acquired 50% of the building for $127.5 million with a rental value a year of $5,454 per square metre. The remaining 50% interest was acquired in 2005 for $125 million.
The tower was constructed in 1983 and underwent a $115 million refurbishment in 2006, which repositioned the asset to high A-grade quality.
Suncorp, the anchor tenant, has naming rights for the concrete-and-glass building. Other tenants include Standard &amp; Poor’s, technology firm GBST and ASX-listed investment firm Argo.
Level 31 in the building is listed for lease by Ray White commercial agent Anthony Harris at a gross rent of $805 per square metre for 950 square metres of space.
Darren Steinberg, managing director of property at Colonial First State Global Asset Management described the result as a very pleasing result for fund unit holders.
Fund manager Charles Moore says the sale mitigates upcoming lease expiries along with projected capital expenditure requirements over the short to medium term.
The sale of 259 George Street follows the sale of three of the fund’s Perth-based office assets to GDI Property Group on July 12, 2011 for $152 million, close to their book value.
In June the fund reported a valuation upgrade of 2.9% covering 16 of its 29 office assets, for the year ending June 30. This lifted valuations by $68.2 million on the previous year's valuations.
Moore said at the time the revaluations confirmed the stabilisation in investment yields and the values of Australian office property.
"Despite the number of external shocks experienced in the broader market, we are encouraged by the solid transaction activity levels and expect to see positive valuation outcomes going forward," Moore said.
Settlement on 259 George Street is due on October 31.
</body></html>

Sydney's Suncorp building sold for $395 million

<html><body>
The sale of the Birallee Shopping Centre in Wodonga by Centro to Sydney-based investment firm Hadley Green for $11.7 million augers well for other regional shopping centres listed for sale.
The shopping centre, which has a gross lettable area of 5,686 square metres and is about a kilometre from the Wodonga town centre at 51-57 Elgin Boulevard, was sold by Colliers agent Lachlan MacGillivray.
The selling price was in line with the 30 June 2011 book value.
About 200 kilometres to the west of Wodonga, Michael Gross and Tim Darcy from Gross Waddell are selling the Deniliquin Plaza in the Riverina region of NSW by expressions of interest closing on August 17.
Offers of around $8 million are expected for the centre, which is bounded by Hardinge, Wood, Macauley streets and Hussey Lane, a commercial precinct west of Deniliquin.
It serves about 19,000 potential consumers in an agricultural region that produces rice, milk, potatoes and tomatoes.
It last sold for $6.6 million in August 2002.
Nearly three-quarters (72%) of the plaza’s $730,000 rental income comes from the Coles tenancy, which occupies 2,994 square metres – 71% of the 4,212-square-metre gross lettable area.
Coles holds a 20-year lease expiring in 2017 and pays percentage rent of 2% of gross sales for sales above $21.7 million. The lease has four renewal options of five years.
Other brand-name tenants include the Reject Shop (630 square metres), Bakers Delight (83 square metres) and Liquorland (204 square metres), plus a St George ATM. 
Leases range in length from three years to eight years. 
Hadley Green, which holds five more shopping centres in its portfolio, is forecasting an initial 9% investment yield for the Birallee Shopping Centre on the back of strong income and capital growth.
The shopping centre was jointly owned by the listed Centro Retail Trust and the CSI Fund, into which Centro-managed syndicates invested, the Australian Financial Review reported.
MacGillivray says syndicates and private purchases are “particurlarly hungry” for this type of asset due to its strong fundamentals, secure income and stable nature of tenancy profile.
The shopping centre sale follows the listing of Centro Albion Park shopping centre in Albion Park, a suburb of Wollongong in the Illawarra region of NSW by Colliers director of retail investment services NSW Heath Crampton.
The centre is part of an $83 million syndicate of three regional shopping centres Centro is looking to wind up in order to pay out investors.
Crampton, who is expecting a yield of between 8.5% and 9% for the Albion centre, expects shopping centre investment activity to pick-up significantly in the second half of the year.
This, he says is “primarily due to the introduction of several new institutional managed wholesale funds with a focus to acquire sub-regional and neighbourhood assets with a capital value of sub-$100 million”. 
“This sub-$100 million market has predominantly been limited to private investors in the last 24 months.” 
In April the Bundoora Square Shopping Centre (4,800 square metre of gross lettable area), about 15 kilometres from Melbourne, sold for $20.9 million at an equivalent market yield of about 7.4%.
In December 2010, the Findon Westside Shopping Centre (about 4,000 square metres of lettable area) in the western suburbs of Adelaide was sold for $13.2 million at an equivalent market yield of 7.74%.</body></html>

Centro Wodonga sale bodes well for regional shopping centre market

<html><body>
House prices continued to stagnate or decline across the country in the June quarter, with only Sydney's house, Darwin’s unit and Adelaide unit markets showing the faintest positive sign of life. Sydney’s 0.1% rise to $644,658 puts it nearly $100,000 above the national median house price.
The median national house price has fallen 0.6% to $546,121 during the June quarter, according to Australian Property Monitors, with national unit prices down 0.8% to $404,753.
It represents a 2.4% annual decline for houses and a 2% annual decline nationally for units.
Melbourne remained stagnant over the quarter but was down over the year to June by 2.1% to $554,610. Unit prices in the Victorian capital fell marginally in the quarter by 0.7% to $394,842.
Brisbane house and unit prices fell for the second consecutive quarter, resulting in a yearly fall of 4.9% to $446,778 for houses and a fall of 3.9% for units $359,865. However, APM suggested the city continues to recover from the general disruption to its housing market as a consequence of the January floods.
Canberra’s house and unit markets both recorded surprising falls in the quarter, with house prices dropping 2.8% to $551,065, putting an end to a run of positive growth, and units falling 1.3% to $405,000.
“In the June quarter diverse local conditions had a more significant impact on median prices in each city, with these individual factors expected to have continued variable effects on growth in each market,” says Dr Andrew Wilson, senior economist at Australian Property Monitors.
“This is in contrast to the effect of national market conditions that have impacted prices across the board until recently.”
“The prospect remains however of increased buyer activity emerging through the spring selling season, as early signs are emerging of increased first home buyer and investor activity in most markets, albeit from a low base, that will help to encourage market activity and confidence,” Wilson says.
<img src="/images/stories/apmjuly281.jpg">
<img src="/images/stories/apmjuly282.jpg">
</body></html>

Property prices flat or declining in June quarter: APM

<html><body>
Stockbroking firm Bell Potter has confirmed to Property Observer that it will lease two floors near the top of Aurora Place at 88 Phillip Street in the Sydney CBD.
The firm will reportedly pay gross rent in excess of $1,500 per square metre for about 3,000 square metres of office space in RBS Tower, as it is now known, setting a new record for an office leasing deal in Australia.
Bell Potter’s move to Aurora place from its existing premises at Level 33, Grosvenor Place at 225 George Street follows its merger with Southern Cross Equities in early July.
Southern Cross Equities already occupies two floors in Aurora Place.
Knight Frank is the appointed agent for the 41-storey building, which was designed by Renzo Piano and has a distinctive glass curtain wall.
Elsewhere in the building, Ray White agent Jeremy Piggin is currently offering space of 313 square metres at a gross rent of $1,460 per annum, equating to total annual rent of $456,980.
Piggin says he had a sublease listing in the building but has been unsuccessful to date in finding a tenant for the 39th floor space.
The latest report by The Australian follows an Australian Financial Review report in June that Bell Potter was set to take floors 37 and 38 in the building at a net rent in excess of $1,300 per square metre.
Also in June, executive recruitment firm Spencer Stuart paid a net rent of $1,125 for 1,200 square metres of space at 1 Macquarie Place in Sydney – the most expensive leasing deal of the quarter, according to Savills’ second-quarter Sydney office report.
During the June quarter five major leasing deals were signed with European commercial bank WestLB renewed its lease of 1,200 square metres of space at 7 Macquarie Place at a gross rent of $742 per square metre.
Aurora place, which has 49,000 square metres of net letable area, was acquired by the Korean Pension Scheme in December 2009 for $685 million.
The deal equated to just under $14,000 per square metre of net letable area at a yield of 6.7%.
</body></html>

Bell Potter sets office leasing record for Sydney premises

<html><body>
Yesterday’s inflation data heralds good and bad news for Australian households.


It almost certainly means interest rates are heading higher. Probably at least two more hikes – or half a percentage point in total – are left in the current monetary policy cycle. We may be spared too many more by the strong currency and the fact that the economy’s sensitivity to interest rate changes is much greater than it was in decades past.

While that’s undeniably disappointing news for borrowers, they should remember that even with two more hikes, the “market” (or discounted) mortgage rate in Australia will only be 7.6%. In January 1990 it was over 15%.

And although it is cold comfort for those with big loans, higher interest rates will be terrific news for net savers and Australia’s growing class of retirees, who should be heavily invested in cash-like securities. It means that these folks should be able to generate near-risk free cash or “enhanced cash” returns of 7% to 8% per annum. That’s easy, safe money.

On the flip side of the coin, further increases to the RBA’s target cash rate mean that we are likely to see a little more softening in house prices before the central bank starts cutting costs again. 

It means that the rental market will continue to tighten beyond its already very firm levels with vacancy rates at all-time lows. Perversely, it means that <place w:st="on"><country-region w:st="on">Australia</country-region></place>’s inflation rate will be propelled higher by robust rental growth as investment in housing supply stagnates. Indeed, we could see gross rental yields heading north of 5% in the apartment sector. 

And, unfortunately, it means that Australia’s mortgage default rate, which stands at an internationally very low 0.7% today, will probably edge up further.

The good news is that potential buyers and investors are going to be presented with more favourable valuation prospects. 

The dynamic whereby disposable household incomes in Australia rise solidly while house prices flat-line or decline modestly, which has held for the last year or so, will be reinforced. 

As I have argued countless times before, this is not a bad thing. Asset prices cannot always appreciate. Investment is not a one-way bet. Prices will typically fluctuate through the cycle. 

In fact, <a target="_blank" title="The home buyers' losers club" href="https://www.propertyobserver.com.au/trends/economy/the-home-buyers-losers-club-joye/2011072650914">as I showed recently</a>, one in 10 Australian property investors lose money when they trade their homes, and that is before accounting for transaction costs. On average, they do well: excluding rents, the compound annual capital growth rate over the past 10, 20 and 30 years has been 7 to 8%. Including rents, that number is considerably higher.

When you buy a home, you are, on average, making a seven- to eight-year commitment. So you need to consider what your total post-tax returns will be over this period. 

A conservative guide is that asset prices will track disposable incomes through the cycle. Historically, disposable incomes have expanded at a 6% per annum pace in <place w:st="on"><country-region w:st="on">Australia</country-region></place>. Going forward, a more realistic guide is probably around 4% to 5% per annum. 

If you can generate this kind of capital growth (CGT-free if you are an owner-occupier) in concert with net rental yields of 3 to 4% per annum, you are doing fine. Of course, this is an average outcome. Some will do better, others worse. That’s called risk.

As part of a broader portfolio, housing is a good “diversifier” because its returns tend to be uncorrelated with – or move in a different direction to – most other investment classes.

My own reckoning is that patient folks opportunistically investing in housing over the next one to two years are probably going to get the best prices, and valuation fundamentals, that they will have had access to in a long time. 

The demand-and-supply fundamentals underpinning Australia’s housing market are already quite attractive. They are only going to get better over the next 12 months. The one fly in the ointment is interest rates. When the RBA comes to cut them, affordability in this country is likely to be the best we have seen in over a decade, which will help to fuel a very strong recovery (and encourage people to allocate scarce capital to improving supply).

In the heated debate about interest rates, people seem to forget that 90% of Australians have variable rate debt. As we saw during the GFC, it is much easier to cut interest rates, and bequeath instant cash-flow relief to all those households paying off loans, than it is to chase the inflation tiger by the tail.

Trust me, you want our RBA to be vigilant in attacking inflation. You don’t want it to get too far “behind the curve”, which yesterday’s data confirms it is. 

If the RBA has to respond belatedly to an entrenched inflation problem the likes of which it struggled with in the decades prior to the 1990s, you will be slugged with much more challenging conditions. You will be dealing with the bad old days of double-digit interest rates.

And in the event the RBA does get its monetary policy settings wrong (i.e., overcooks the interest rate egg), it will not hesitate to correct the mistake and grant instant relief to everybody with a loan.

So what actually happened yesterday? As I have predicted for more than a year, Australia officially has an inflation problem. 

Underlying or core inflation has been running at more than a 3.5% per annum pace over the last six months. That is one percentage point above the RBA's implied 2.5% per annum target, which just happens to be the highest inflation target in the developed world. (Remember, inflation is a tax on your savings.)
 
<hr class="system-pagebreak">
 
August or September now loom as very likely for the first RBA cash rate increase. And I reckon we will get another one before the year is out, following which the RBA will probably sit on its heels and watch and wait.

What makes yesterday’s inflation numbers so much worse – we already knew that the cost of living indices were running at an annual pace of circa 4% – is that the June quarter was supposed to be a softer outcome, one where we got statistical payback for the incredibly high first-quarter numbers. 

All the economists were canvassing downside risks to their projections for core inflation of around 0.7%. And many economists argued that the first quarter numbers had potentially been dragged up by the floods, even though core inflation is meant to strip out the impact of unusually strong price rises. 

Recall also that throughout the last six months we have had huge currency appreciation (both in US dollar and trade-weighted terms), which, we were told, should have been deflationary. Indeed, the currency appreciation in the last quarter was much stronger (more than three times as much) as the appreciation in the first quarter.

Finally, we have had non-stop war stories about the “retail recession” and how there is massive, across-the-board retail discounting.

Guess what? They were all wrong. 

In the first quarter, average core inflation was 0.85%. In the second quarter, average core inflation was 0.9% (taking the average of the trimmed mean and the weighted median). 

And this is before Australia starts digesting an unprecedented increase in private investment via the commodity price boom and urbanisation of Chindia. 

It is before Australia starts importing more inflation from China, where wages and prices are sky-rocketing care of a pegged currency and inflationary US monetary policy. 

It is with the benefit of a near-100% appreciation in the currency from the 60US¢ lows touched in late 2008 and early 2009.

Glenn Stevens told our parliamentarians at the start of 2011 that the RBA had a history of getting "behind the curve" with respect to inflation, which has averaged an unacceptably high 3% per annum over the last decade. 

Stevens told MPs that the RBA had to learn from its mistakes and that if you waited to remove all risk to your forecasts – if you waited to eliminate all uncertainty (as many have argued they should) – it would be too late. The inflation genie would be out of the bottle, so to speak.

Well, underlying inflation in Australia has been running 40% above the RBA's 2.5% per annum target for the last half year. The RBA is now well and truly behind the interest rate curve. It has not touched rates since November 2010, and rate changes today take around another two years to have their full effect.

The inflation doves have been quite sensationally blown out of the sky. Rates are heading higher. Soon.
Christopher Joye is a leading financial economist and works with <a style="outline-style: none; outline-width: initial; outline-color: initial; text-decoration: underline; color: #6888b1;" href="https://www.rismark.com.au/" title="Rismark International" target="_blank">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.
</body></html>

Latest Investing Insights

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

Editor's Picks

Developments

New apartments

New townhouses

News

Latest Investing Insights

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

Editor's Picks

Receive the latest news stories to your inbox

Developments

New apartments

New townhouses

News