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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Residential tenancy legislation Laws regarding residential tenancies in Victoria are outlined in the <a target="_blank" href="https://www.legislation.vic.gov.au/Domino/Web_Notes/LDMS/LTObject_Store/LTObjSt5.nsf/DDE300B846EED9C7CA257616000A3571/ECD74A4F9E870913CA25781C0015F8EA/%24FILE/97-109aa055%20authorised.pdf" title="Victoria Residential Tenancies Act" style="outline-style: none; outline-width: initial; outline-color: initial; text-decoration: underline; color: #6888b1;">Residential Tenancies Act 1997</a> and the <a target="_blank" href="https://www.legislation.vic.gov.au/Domino/Web_Notes/LDMS/LTObject_Store/LTObjSt5.nsf/DDE300B846EED9C7CA257616000A3571/ECD74A4F9E870913CA25781C0015F8EA/%24FILE/97-109aa055%20authorised.pdf" title="Residential tenancies regulation" style="outline-style: none; outline-width: initial; outline-color: initial; text-decoration: underline; color: #6888b1;">Residential Tenancies Regulations of 2008</a>.
Further information for residential landlords Consumer Affairs Victoria has produced a <a target="_blank" href="https://www.consumer.vic.gov.au/CA256902000FE154/Lookup/CAV_Publications_Renting/%24file/RentingComplete.pdf" title="Guide for landlords" style="outline-style: none; outline-width: initial; outline-color: initial; text-decoration: underline; color: #6888b1;">guide to residential tenancy</a> for both landlords and tenants.
Dispute resolution for residential tenancies Disputes regarding residential tenancies in Victoria are handled by the <a target="_blank" href="https://www.vcat.vic.gov.au/CA256DBB0022825D/HomePage?ReadForm&amp;1=Home~&amp;2=~&amp;3=~" title="VCAT" style="outline-style: none; outline-width: initial; outline-color: initial; text-decoration: underline; color: #6888b1;">Victorian Civil and Administrative Tribunal</a>.
Further resources Other useful resources include the <a target="_blank" href="https://www.reiv.com.au" title="Real Estate Institute of Victoria" style="outline-style: none; outline-width: initial; outline-color: initial; text-decoration: underline; color: #6888b1;">Real Estate Institute of Victoria</a>, <a target="_blank" href="https://www.poa-vic.org/" title="Property Owners Association of Victoria" style="outline-style: none; outline-width: initial; outline-color: initial; text-decoration: underline; color: #6888b1;">Property Owners Association of Victoria</a>, <a target="_blank" href="https://www.propertyoz.com.au/vic/Division/Default.aspx" title="Property Council of Australia" style="outline-style: none; outline-width: initial; outline-color: initial; text-decoration: underline; color: #6888b1;">Property Council of Australia</a>, <a target="_blank" href="https://www.ntd.net.au/index" title="National Tenancy Database" style="outline-style: none; outline-width: initial; outline-color: initial; text-decoration: underline; color: #6888b1;">National Tenancy Database</a> and <a target="_blank" href="https://www.consumer.vic.gov.au/CA256EB5000644CE/page/Renting?OpenDocument&amp;1=910-Renting~&amp;2=~&amp;3=~" title="CAV" style="outline-style: none; outline-width: initial; outline-color: initial; text-decoration: underline; color: #6888b1;">Consumer Affairs Victoria</a>.
Commercial tenancy legislation Retail tenancy in Victoria is governed by the <a target="_blank" href="https://www.legislation.vic.gov.au/Domino/Web_Notes/LDMS/LTObject_Store/LTObjSt3.nsf/DDE300B846EED9C7CA257616000A3571/BBE8B0A7F118CE5FCA257761002C3F33/%24FILE/03-4a013.pdf" title="Retail leases act" style="outline-style: none; outline-width: initial; outline-color: initial; text-decoration: underline; color: #6888b1;">Retail Leases Act 2003</a> and the <a target="_blank" href="https://www.sbc.vic.gov.au/images/stories/vsbc_Retail_Leases_Regulations_010111.pdf" title="Retail leases regulations" style="outline-style: none; outline-width: initial; outline-color: initial; text-decoration: underline; color: #6888b1;">Retail Leases Regulations 2003</a>.
Dispute resolution for commercial tenancies The <a target="_blank" href="https://www.sbc.vic.gov.au/retail-leasing-matters/dispute-resolution" title="Victorian Small Business Commissioner" style="outline-style: none; outline-width: initial; outline-color: initial; text-decoration: underline; color: #6888b1;">Victorian Small Business Commissioner</a> is responsible for mediating disputes arising from commercial tenancies. Should mediation prove unsuccessful, matters can be escalated to <a target="_blank" href="https://www.vcat.vic.gov.au/CA256DBB0022825D/page/Other+Disputes+at+VCAT-Retail+Tenancies?OpenDocument&amp;1=75-Other+Disputes+at+VCAT~&amp;2=50-Retail+Tenancies~&amp;3=~" title="VCAT" style="outline-style: none; outline-width: initial; outline-color: initial; text-decoration: underline; color: #6888b1;">VCAT</a>.
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cknowlton-QnEa6ntUYP

Useful links for landlords in Victoria

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Since one of the primary drivers of property prices is where people choose to live, I like to know where future population growth is likely to occur to ensure the value of my properties keeps rising.
It should come as no surprise that the vast majority of people in Australia live within the capital cities. According to RP Data, 64% of Australia’s residents lived in one of our eight capital cities of June 2010, with 55.5% living in Sydney, Melbourne, Brisbane or Perth.
Although we have vast open spaces in this lucky country, much of it is empty expanse, and two-thirds of our population lives in only 0.5% of the overall land mass.
More Australians lived on the land a century ago, but with the industrial revolution the jobs and therefore the population moved to the big cities, and this trend has continued. Even 50 years ago only 60% of our population lived in capital cities, but people keep moving to where the jobs are.
Sure, we have a resources boom and a small percentage of our population is being drawn to the mining towns, but the vast majority of Australian business is housed within the major capital cities, and that's where the jobs are.
I've always chosen to invest in capital cities rather than regional Australia because a larger population base means more owner-occupiers looking for homes, which pushes up prices, as well as more tenants driving rental demand and therefore rents upward.
With good employment prospects and major infrastructure like schools, hospitals and public transport, as well as desirable lifestyle amenities such as shopping, recreation, restaurants and entertainment venues, capital cities will continue to be home to a large portion of the population.
I admit that there are some regional towns that have exhibited great capital growth, and in some cases better growth than some underperforming suburban areas, but on the whole capital city properties have outperformed other types of properties in the long term.
This is particularly true for our four major metropolises – Melbourne, Sydney, Brisbane and Perth – where more than half our population reside.
Another important consideration is that our large capital cities boast diverse economies with a wide array of industries supporting them, compared with regional towns, where the local economy is often driven by one or two industries. Having a more stable economy ensures that the property markets in our big cities are less subject to sudden changes. This is different to the more speculative holiday hotspots and mining towns, where fortunes can be made and lost in the blink of an eye.
Just look at the once booming Gold or Sunshine coasts, where properties are languishing on the market and prices have fallen due to a significant drop in the tourism sector – the main industry that largely drives that local economy.
Of course all property markets are cyclical and will have their highs and lows, but over the long term it is evident that above-average capital growth will be found in the suburban property markets of our major metropolises. While this may lead to affordability issues, particularly for first-home buyers trying to get into these markets, it also means there will be a good supply of tenants for those investors who own the right properties.
For me capital cities are the place to be.
Michael Yardney is the director of Metropole Property Investment Strategists, a best-selling author and one of Australia's leading experts in wealth creation through property. For more information about Michael visit <a href="https://www.metropole.com.au/">www.metropole.com.au</a> <a href="https://www.propertyupdate.com.au/">www.propertyupdate.com.au</a>.
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myardney-DFoGhGbSJX

City living or country retreat?

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It might not be as sexy as a penthouse overlooking Darling Harbour or have as much cachet as a ski lodge on Mt Hotham, but an industrial warehouse could provide returns that blow the others away, according to experts.
Not only are industrial rents expected to rise, but according to Joshua Charles, regional director of industrial services and logistics at CB Richard Ellis, the industrial market stands out because it is still very cheap relative to other commercial asset classes and to residential.
He recommends industrial investment because properties tend to come with a large chunk of land, and they are generally easier to manage and maintain than other types of real estate.
Charles concedes industrial assets are often riskier than other tenancies because landlords are usually reliant on income from just one tenant, whereas other commercial properties usually have multiple tenants with leases starting and ending at different times.
But Michael Fenton, national head of industrial at Jones Lang LaSalle, says the increased risk profile is offset by generally higher yields and a lower capital expenditure requirement.
Demand for warehouse space growing
Fenton says tenant demand for industrial space is increasing every month, both in terms of enquiries and new leasing deals being struck. There is also increased interest from owner-occupiers, though this is generally confined to the “smaller end of the market” and to strata space. Both buyers and investors are finding it tough to get their hands on a property, as almost no new industrial property has been built in the past three years.
Managing director of industrial at Colliers Malcom Tyson is upbeat about the sector’s future, saying prices have “reset” and are now “reasonably good value”, meaning it’s a good time to get into the market.
Tyson says investors should look for properties close to rail, road and port infrastructure.
Charles’ tip for investors is to focus on properties with leases of less than four years, which are being overlooked by institutional investors. As the market tightens, Charles says landlords will be able to get a better deal out tenants when they look to renew in one to two years’ time.
 The east coast market – specifically Brisbane, west and south Sydney and most of Melbourne – is proving attractive to overseas investors. Charles says there is significant interest from Asian investors and some from European ones.
According to Colliers International Marketing Research Forecast Report, Sydney’s outer-west market has the cheapest prime grade rentals – between $100 and $110 per square metre annually, with yields of between 8 and 8.5%.
Melbourne’s least expensive prime grade market is in the northern suburbs, with rents between $130 and $160 and yields up to 8.25%.
Fenton tips more portfolio sales and high-end property offerings in 2011, with domestic institutions returning to the industrial market alongside overseas interest.
 New entrants to the space include the large A-REITs, fund managers who are now focused on industrial property as a core investment sector, mid-level managers and offshore groups
 Recent reports on the sector sit well with these predictions.
 NAB’s March 2011 quarter industrial market outlook (released in May) predicts the industrial property sector is due for an upswing in the next two years.
Nationwide, industrial property rents are tipped to rise by 3% over the next two years, and the national vacancy rate is tipped to fall from 5.8% to 4.4%. Under-supply is expected to be a feature of all state industrial property markets over the next three to five years.
Colliers’ Industrial Research and Forecast Report (also released in May) is equally upbeat, reporting that industrial market performance improved during first half in 2011 “as it moved through post GFC headwinds to have a more positive outlook than it had six months ago”.
Western Australia – leading the way
The NAB forecast for WA’s industrial sector is extremely healthy as the state continues to benefit from the resources boom. Over the next two years, the state is forecast to have the strongest rental growth (5%), capital growth (4%) and the lowest vacancy rates due to a lack of new construction and limited supply in the existing market.
NSW/ACT – playing the long game
Rent rises are expected to be strong in this market over the next two years, rising by 3.1 per cent as it emerges as the best-performing market by 2013. NAB also predicts capital values to increase by 1.3% during this time frame. The market is predicted to be the most undersupplied in Australia over the next three to five years.
Victoria/Tasmania – strong and steady
Victoria and Tasmania are currently the “stand-out” performers in the industrial property sector, driven by demand from major retailers and strengthening port trade. Over the next two years, capital values are expected to rise by 4%.
Queensland – getting better all the time
Though currently performing poorly, Queensland’s industrial market is tipped for modest improvement over the next two years, though at a slower rate than NSW/ACT’s. Over the next two years, NAB predicts capital values will rise by 1.8% and rents by 1.7%. The floods have tempered ongoing recovery in the Brisbane market, though it is still expected to improve due to increased tenant demand and limited new supply.
South Australia – if you build it they will come
Currently the sentiment in South Australia is cautious, but planned infrastructure projects such as South Road Superway are expected to boost the local economy and drive up demand for industrial property. An expanding defence sector, mining exploration, population growth, access and transport are predicted to assist growth over 2011, according Savills’ January 2011 outlook report.
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lschlesinger-FZcF9M3vE6

Industrial offers high returns for investors

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Better at sport, a more efficiently run state government and more affordable. Melburnians can now add a stronger-performing office market to the list of things they lord over Sydneysiders.
Kevin Stanley, head of research for Australian and New Zealand at CB Richard Ellis, told Property Observer Melbourne’s prospects over the next two years were bright, with a good balance struck between growth in rentals and affordability.
Melbourne’s office rentals are on average 40% less expensive than Sydney’s, and Stanley says there is room to grow but rents are “not so high as to limit expansion”.
This mix – strength rental growth combined with affordability – should offer encouragement to investors.
“Melbourne will retain lead in the short term – up until around 2013,” Stanley says. “As new buildings are completed, this will raise vacancy rates, slow down performance relative to now, but Melbourne won’t go backwards.”
A similar sentiment is echoed by Richard De Lure, senior economist at NAB, who says the Melbourne market clearly offers more than Sydney’s in terms of capital growth rate and rental expectations and will “remain strong going forward over the next 12 months to two years”.
“There is strong demand in Melbourne and a lack of supply,” De Lure says. He identifies Sydney’s land constraints as a key inhibiting factor while highlighting Melbourne’s Docklands project as a unique facet of its market.
But Sydney investors should not lose heart – the market is improving and will soon start to shake off the shackles of the GFC, which hurt the Harbour City more than any other capital city in Australia, given the loss of jobs in banking and financial services.
De Lure expects the Sydney office market will start picking up and coming back in 2012, with white-collar jobs growth expected to be strong.
NAB’s most recent Quarterly Australian Commercial Property Survey (for the March 2011 quarter) painted a rosy picture of the national office market as one of the best performing commercial property subsectors, a position it is expected to retain over the next one to two years. Nationwide capital value expectations are for growth of 2.8 % over the next 12 months and 4.3 % over the next two years.
According to the NAB report, Victoria and the much smaller Tasmanian market currently outperform all other major office markets and they will continue to set the pace during the next 12 months (to the March 2012 quarter). Conditions in the NSW and ACT markets are also expected to improve over this period “as recovering tenant demand underpins rental growth and sales activity continues to grow”.
 
State-by-state outlook
 
According to the NAB report, vacancy rates are expected to fall in all states in 2011, “partly reflecting the still poor state of the construction sector and expectations of improving tenant demand”. Stanley concurs with this assessment.
 
Victoria and Tasmania - Top of the heap
Victoria and Tasmania will lead the pack on all the key criteria in 2011 – capital value growth, rental growth, office demand and market tightness. During the 12 months to March 2012, capital values are forecast to rise by 3.5%, rental growth to climb 4.6% and vacancies to tighten to 4.5% from current level of 5.3%.
 
In 2013 capital growth is expected to reach 4.6 %.
 
Western Australia - Strengthening
Capital value growth in WA is expected to match that in Victoria and Tasmania and rise 3.5 per cent by March 2012, while vacancies are forecast to fall to 4.5% over this period. NAB predicts the market will strengthen leading into 2013, with capital value growth lifting to 4.5%. Over the course of the year, office rents are predicted to rise by 4.3%, with the resources boom driving up tenant demand for office space.
 
NSW/ACT – On the mend 
 
Although their markets have been sluggish up until now due to the GFC fallout, NSW and ACT are good medium-term bets for investors, with capital values forecast to rise by 4.8% over the next two years reflecting a slowdown in supply additions and white-collar employment growth, especially in the finance industry. In the short term though, vacancy rates in NSW/ACT are expected to fall from 8.1% to the still relatively high 6.7% as some large projects are completed this year.
 
By 2013 vacancy rates in NSW/ACT are expected to fall to 5.8%.
 
South Australia – Adelaide tight till 2013 
 
Adelaide is set to remain a tight market over the next 12 to 18 month, with no new supply expected over this time period. The market experienced reasonable rental increases through 2010, and demand has picked up in 2011. Rental growth may come under pressure in 2012 to mid-2013 with the completion of the new ATO building, Adelaide Bendigo Bank and SAPOL bringing new stock onto the market. According to Andrew Bahr, director of office services at CB Richard Ellis, the question is “whether the local Adelaide market, which has been typically driving demand over the past 18 months, has the need and capacity to take up such a large amount of stock. The recovery of the resource sector and the demand it creates both directly and indirectly will be a major determinant.”
 
Queensland – poor prospects 
 
Investors may shun Queensland in 2011 (and possibly beyond), with growth forecast at just 0.6%, the lowest in Australia. Things should start improving in 2012 – capital values are forecast to grow by 2.1%, but the state will still lag behind the rest of the country. Vacancy rates are expected to drop from the current 9% to 6% over the next two years.
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Melbourne office market leaves Sydney in the dust

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Although the strong Australian dollar is hurting the tourism sector, hotels, particularly in capital cities, are still selling well.
 According to Michael Thomson, national director of hotels and leisure at Colliers, limited supply, strong demand and high occupancy rates continue to drive the sector forward.
 “Most state capitals are performing well despite the strong dollar,” Thomson told Property Observer. “Occupancy rates are at 80% at the moment, and in Sydney it is closer to 90%. The dollar has not had a huge impact on buyers.”
 US investors in particular appear unfazed by the unfavourable exchange rate. LaSalle Investment Management snapped up the 380-room Novotel Melbourne on Collins Street in the CBD for $204 million in early May and revealed it had US$1 billion up its sleeve for more acquisitions in the Australian hotel market.
 International director Andrew Heithersay told the Australian Financial Review a major factor in its decision to invest was the “limited supply outlook coupled with Melbourne’s growing and diverse accommodation demand drivers”.
 Just a week earlier, 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.
 Asian investors have also shown strong interest in the Australian market. Singapore investor Michael Kum added the one-year-old 275-room Travelodge in Melbourne’s Docklands to his hotel portfolio in February for a reported $54 million, and in January the prestigious 10-year-old 296-room Hilton Melbourne Airport Hotel was sold to Pan Pacific Hotels Group for $108.9 million. It was last sold in 2004 for $40 million. Patrick Imbardelli, president and CEO of the Singapore-based company, said in a press release the deal demonstrated the company’s “commitment to growing in the Australian market”.
Such positive results are reflected in NAB’s March 2011 Hotel Market Outlook, which rates the hotel sector as one of the best performers in the commercial property market. The outlook is particularly rosy for CBD hotels, where high demand from business travellers and supply constraints are keeping prices up.
Outside of the major metropolitan regions, however, the picture is markedly different, with hotels more dependent on the struggling leisure market. In this sector, the high dollar is having a restraining impact, made worse by natural disasters such as the cyclones and flooding in Queensland.
Overall, though, NAB forecasts capital values in the hotel sector to increase by 4.1% over the next year and by 5.3% over the next two years. Jones Lang LaSalle Hotels expects about $750 million worth of hotel stock to change hands in 2011, in line with the long-term average. In addition, the group expects improved trading conditions in 2011 as the “favourable supply / demand balance which existed prior to the global financial crisis comes into focus once more,” according to the company’s 2010: What A Year For Investment report.
Among the high-profile CBD hotels currently up for sale are the 273-room Hotel Enterprise on Spencer Street, Melbourne, close to Southern Cross Station, being sold by Jones Lang LaSalle, and the 67-room New Esplanade Hotel in Perth being marketed on behalf of receivers by CB Richard Ellis and Jones Lang LaSalle.
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Hotel investors can rest easy in capital cities

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Residential tenancy legislation
Laws regarding residential tenancies in New South Wales are covered by the <a target="_blank" href="https://www.legislation.nsw.gov.au/maintop/view/inforce/act+42+2010+cd+0+N" title="New South Wales Residential Tenancies Act">Residential Tenancies Act 2010</a>  and by the <a target="_blank" href="https://www.legislation.nsw.gov.au/maintop/view/inforce/subordleg+664+2010+cd+0+N" title="New South Wales Residential Tenancies Regulations">Residential Tenancies Regulation</a> 2010. These laws came into effect in January 2011, and a Q&amp;A addressing some common concerns about them can be found <a target="_blank" href="https://www.rpemery.com.au/rental_agreement/new-tenancy-laws-NSW." title="New South Wales Residential Tenancies Act Q&amp;A">here</a>.
Further information for residential landlords The NSW state government has a <a target="_blank" href="https://www.fairtrading.nsw.gov.au/Tenants_and_home_owners/Being_a_landlord" title="New South Wales guide for landlords">guide for landlords</a> on its website.
Dispute resolution for residential tenancies Disputes regarding tenancy in New South Wales are handled by the <a target="_blank" href="https://www.cttt.nsw.gov.au/default.htm" title="New South Wales Consumer, Trader and TenancyTribunal">Consumer, Trader and Tenancy Tribunal</a>.
Further resources The <a target="_blank" href="https://www.reinsw.com.au/" title="Real Estate Institute of New South Wales">Real Estate Institute of New South Wales</a>, <a target="_blank" href="https://www.poansw.com.au" title="Property Owners Association of New South Wales">Property Owners Association of New South Wales</a>, <a target="_blank" href="https://www.propertyoz.com.au/NSW/Division/Default.aspx" title="NSW division of Property Council of Australia">Property Council of Australia</a> and<a target="_blank" href="https://www.ntd.net.au/index" title="National Tenancy Database"> National Tenancy Database</a> are other resources that can be useful for landlords of residential properties.
Commercial tenancy legislation Owners of commercial properties in New South Wales can find information about retail tenancy on the NSW state government’s <a target="_blank" href="https://www.fairtrading.nsw.gov.au/Businesses/Retail_tenancy" title="NSW commercial tenancies information">website </a>. Retail leases in the state are governed by the <a target="_blank" href="https://www.legislation.nsw.gov.au/maintop/view/inforce/act+46+1994+cd+0+N" title="NSW Retail Leases Act">Retail Leases Act of 1994</a>.
Dispute resolution for commercial tenancies Any disputes regarding retail tenancies must be mediated by the <a target="_blank" href="https://www.fairtrading.nsw.gov.au/Businesses/Retail_tenancy/Resolving_retail_tenancy_disputes" title="NSW commercial tenancy dispute mediation">Office of Fair Trading</a> , but if this does not resolve the dispute, the matter can be escalated to the <a target="_blank" href="https://www.lawlink.nsw.gov.au/lawlink/adt/ll_adt.nsf/pages/adt_retail_leases_division" title="NSW Administrative Decisions Tribunal">Administrative Decisions Tribunal</a>.
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Useful links for landlords in NSW

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The Sydney and Brisbane office markets are entering an accelerated period of rental growth, according to a new global report by CB Richard Ellis.
The report also shows that Australia office rents are cheap by comparison to other key office markets, such as Hong Kong, Singapore and Mumbai.
CBRE ranks Brisbane and Sydney alongside Mumbai, Bangalore, Taipei and New Delhi in terms of rental growth potential in its latest Market View report of Asian Pacific offices for the March 2011 quarter.
 <img src="/images/stories/sydney%20colliers-1.jpg">
Melbourne and Perth are further along the accelerated rental growth cycle, and rental growth in Canberra and Adelaide is slowing.
According to CBRE data, rents in Sydney grew three times faster (0.9%) in the first quarter of the year than they did between March 2010 and March 2011.
Brisbane office rental also remain strong, matching growth of 0.8% for the year in the first quarter of 2011.
The report says rental growth is gathering momentum in Sydney and Adelaide as landlords reduce incentives, while the development outlook for the Brisbane CBD and nearby suburbs is strong due to a lack of large office spaces in the CBD to meet demand.
Adelaide continues to perform strongly but is starting to slow down. CBRE data show that this market grew by 8.2% for the 12 months to March 2011, but by only 1.8% for the first quarter of 2011.
Perth has the most expensive prime office rents, averaging $650 per square metre per year, followed by Sydney at $607, Brisbane at $624, Melbourne at $434, Adelaide at $369 and Canberra at $352.
Australian office rents are cheap by comparison with the major metropolises in Asia Pacific.
Sydney’s average rent equates to an average of US$58 per square foot, but in central Hong Kong, by far the most expensive place to rent office space in the region, one square foot of office space costs US$186 per square foot. The next most expensive are inner Tokyo (U$124) and Mumbai’s Bandra-Kurla Complex (US$109.50).
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Sydney and Brisbane office rents cheap but growing: report

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The fall in house prices in expensive suburbs has been the biggest drag on median values in capital city dwelling markets over the past year, with the trend continuing during April, according to the Rismark RP Data index.



Dwellings in the most expensive capital city suburbs recorded a 5.4% slump over the past year to April 2011.

“The uber-luxury segment is risky and highly illiquid and has the rug whipped from under it via a combination of the soaring Aussie dollar and the volatile share market,” Rismark joint managing director Christopher Joye says.

“Luxury homes in areas like Sydney’s eastern suburbs will continue to face valuation headwinds as banks deal with the new normal of subdued credit growth.”

Joye suggests another fly in the ointment is the much lower growth – and pay packets – expected in the financial services industry.

By contrast, the Rismark RP Data Index found home values in the middle 60% of suburbs were down by 0.9%.

Dwellings in the cheapest 20% of suburbs were the best performers, easing just 0.5%.
<img src="/images/stories/april%20rp%203.jpg">
 
Capital city dwelling markets declined by 0.3% during April, according to seasonally adjusted figures. It was the fourth consecutive month in which a fall was recorded.


The national median dwelling price across Australia stands at $418,000, with a $468,000 median in the eight capital cities.

Sydney dwelling values eased 0.5% (seasonally adjusted) to a $515,000 median in the three months to April.

Perth, Brisbane and Adelaide had the most turbulent three months. Brisbane was the weakest capital city, with values 3.1% (s.a.) to $430,000. Adelaide values slipped 2.3% (s.a.) to a median price of $381,000, and Perth values fell 3% (s.a.) in the past three months to a $468,250 median.

Darwin values eased just 0.2% (s.a.) to $442,250, and Hobart values were down 2.0% (s.a.) to $315,000.

The best-performing capital city was Canberra, with values up 0.8% (s.a.) over the April quarter to $490,000.

The report noted over the three months since the January floods, dwelling values in Australia’s capital cities have tapered by – 1.2% on a seasonally-adjusted basis.

In raw terms, dwelling values have declined by a more modest – 0.2%.

“The difference between the raw and seasonally adjusted results reflects the fact that the housing market typically experiences higher rates of capital growth at the start of each year, which is reflected in the seasonally adjusted data,” Joye says.



“The solid performance of cheap suburbs runs against the grain of popular claims that default rates are rocketing up amongst first-time buyers, which the RBA recently rejected,” RP Data head of research Tim Lawless says.

“The luxury end of the housing market is showing its volatility.
 During the growth phase of the cycle the most expensive homes realised the highest capital gains.
“Yet as the market cools premium home values seem to be losing steam the fastest,” Lawless says. 



Rismark expects at least another one to two rate hikes this year, which will solidify the cooling in residential valuations.

According to Lawless, monthly movements in capital city home values have flattened out after the record-low seasonally-adjusted reading for January which was affected by a range of natural disasters.

“On a month-to-month basis, the January result was the worst on record with capital city dwelling values down –1.2 per cent (seasonally-adjusted).

“Since that time the magnitude of declines has moderated noticeably with average monthly seasonally adjusted falls of –0.4 percent between February and April. 

“Thus far this has been a very controlled exit from the strong growth conditions of 2009 and the first half of 2010,” Lawless says.
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Prices tumble in top end of town

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If current home ownership trends continue, one in four Australian retirees will be renters rather than home owners by 2040, a new white paper by Australia’s largest superannuation fund claims.
Rather than invest in property, people are choosing to invest more money in their super funds. Data compiled by REST Industry Super shows that in 2000, 18.6% of those aged between 45 and 54 had more than $100,000 in their superannuation funds. By 2007 this had risen to nearly 27%. The proportion of people aged between 35 and 44 who had between $50,000 and $99,999 invested in super increased from 10.4% to 18.4% over the same period.
Correlating this with ABS home ownership data from 1995-96 to 2007-08, the report shows that the percentage of people under 35 who either owned their homes outright or were paying off mortgages declined from 45% to 37%. If this pace of decline continues, the report argues, it is “inevitable that for an increasing number of Australians, buying property will no longer be the largest investment they make in their lifetime”.
The decline in home ownership is more pronounced the younger the age group. Extrapolating the current 2007-2008 home ownership data reveals that by the time those currently aged between 45 and 54 reach 65, in the next eight to 17 years, one in five will retire without owning their own home.
When those currently aged 35 to 44 reach retirement age, a quarter will not own their own home. And by the time today’s 25- to 34-year-olds reach 65, in 28 to 37 years, a third will be still renting.
“This trend in declining home ownership reflects a combination of both choice and necessity. Some people in younger generations are consciously deciding not to purchase a home. Meanwhile, others want to buy a home but are unable to because of the reduced affordability of housing, especially in capital cities,” the report says.
According to REST Industry Super, the dual trends of lower home ownership and rising superannuation balances means that individuals who do not own their homes will need to ensure they have sufficient alternate retirement savings, which may include superannuation savings.
The median superannuation balance for 55- to 64-year-olds was about $70,000 in 2007. “Unless this is supplemented by other retirement income, like a home or investment property, $70,000 is unlikely to be adequate to support someone through the 15-25 years of their retirement. Retirees will be heavily reliant on the age pension and associated benefits,” the report says.
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Home ownership dream could be in twilight years

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Collapsed bookseller REDGroup has highlighted rental costs as a major issue facing retailers as part of its submission to the Productivity Commission’s inquiry into the retail industry.
REDGroup, owner of Borders and Angus and Robertson, currently in administration, wrote in its submission – seen by the AFR – that although Australian businesses’ average sales per square metre are equal to those of their global peers, average square metre retail leasing cost costs $770 in Australia, the highest in the world.
“As the bricks-and-mortar retailer revenue model becomes increasingly challenged, so will the current rental cost model,” REDGroup wrote in its submission. “Landlords who have transparency of their tenants’ sales performance will need to review their rent models as retailers start to question the value of bricks-and-mortar stores beyond the ‘flagship’ store in key locations or hubs.”
Borders rented on Pitt Street Mall in Sydney, among other locations. According to a Spring 2010 Colliers report, the average weekly retail rent in Sydney on Pitt Street Mall sat at US$769 per square metre, the sixth most expensive in the world. Paris’s Champs-Elysees ranked as the dearest retail rent at $1,255 per square metre, followed New York’s Fifth Avenue at $1,250, Russell Street in Hong Kong at $1,205, London’s Bond Street at $1,174 and Milan’s Via Monte Napoleone at $929, according to Colliers.
Concerns over rental costs come as a deed of company arrangement is due to be agreed this week between administrator Ferrier Hodgson and the group’s creditors.
REDGroup went into voluntary administration on February 17 this year owing about $8 million to employees, $118 million to secured creditors and $44 million to unsecured creditors.
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