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

Joel Robinson

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

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

DVB Projects to launch second Broadbeach apartment tower as demolition commences

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

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

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

Boutique Gordon townhomes now come with a BMW iX3 50

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

Vitale breaks Byron Bay records with EADE sales flurry 

Sydney’s property market is known for high prices, competitive bidding, and mounting pressure on first home buyers. But change is on the horizon.

From late 2025, eligible first home buyers in New South Wales will have access to a new federal government initiative aimed at addressing affordability: the Help to Buy Scheme.&nbsp;

<h2>What is the Help to Buy Scheme?</h2>

The program introduces a shared equity model intended to reduce the upfront cost of entering the property market, particularly in high-demand urban areas such as Sydney.

The scheme operates under a shared ownership structure in which the federal government takes an equity stake of up to 40 per cent for new homes, or 30 per cent for existing dwellings. This arrangement allows eligible buyers to significantly reduce their loan size and avoid the added cost of Lenders Mortgage Insurance (LMI).

Under this model, purchasers can enter the property market with as little as a two per cent deposit, well below the traditional 10 to 20 per cent usually required. The government’s contribution is not a loan but a co-ownership stake in the property. As such, there is no interest or rent charged on its portion.

Because the government’s equity combined with the buyer’s deposit typically meets or exceeds the 20 per cent threshold, LMI does not apply. The remaining balance, generally between 60 and 70 per cent of the property’s value, is financed through a standard home loan with a participating lender.

The government's equity in the property remains in place until the buyer chooses to repay it voluntarily or until the property is sold. Buyers can buy back the government’s share over time, in increments of at least five per cent, depending on their financial situation.

There is no fixed repayment timeline, but the amount to be repaid will be based on the property's market value at the time of repayment, not the original purchase price.

<h2>How do you qualify for the&nbsp;Help to Buy Scheme?</h2>

To qualify for the Help to Buy Scheme, applicants must meet the following conditions:

<ul>
	<li>Be an Australian citizen at least 18 years of age.</li>
	<li>Be a first-home buyer who does not currently own property.</li>
	<li>Intend to live in the property as their primary residence.</li>
	<li>Earn less than $100,000 per year for individuals, or $160,000 for couples.</li>
	<li>Purchase a property within the regional price caps, currently $950,000 in Sydney, though this is expected to rise to approximately $1.3 million ahead of the program’s launch.</li>
</ul>

While the Help to Buy Scheme does not solve affordability challenges across the board, it does offer a more accessible pathway for a defined segment of the market, particularly younger buyers with moderate incomes who have been priced out of traditional lending routes.

The scheme is expected to commence in NSW in late 2025, as part of a national rollout.

Under the new model, purchasers can enter the property market with as little as a two per cent deposit, well below the traditional 10 to 20 per cent usually required

Help to Buy Scheme: What first home buyers in NSW need to know

The First Home Owners Grant (FHOG) is a government initiative designed to help eligible first-time home buyers by offering financial assistance towards the purchase or construction of a new home.

While the FHOG is a nationwide program, it is administered separately by each state and territory, meaning the eligibility criteria, grant amounts, and property requirements can vary depending on your location. This means that the amount available and the conditions attached to the grant will differ, so it is important to check the specific guidelines for your state or territory.

It’s important to note that the FHOG is just one of several incentives available to first home buyers. In most states and territories, the grant is not linked to stamp duty exemptions or concessions, with the exception of the Australian Capital Territory (ACT). The FHOG is typically a one-off payment, reducing the overall cost of purchasing or building a new home before any stamp duty concessions are applied.

Below, we provide a breakdown of the First Home Owner Grants available across Australia, outlining the specific details for each state and territory.

<h2>New South Wales First Home Owner Grant</h2>

First Home Owner Grant: Offers a $10,000 grant for new homes valued up to $600,000. For land purchases and owner-builders, the threshold extends to $750,000.

Stamp Duty Benefits: Provides full stamp duty exemption for homes valued up to $800,000, with concessions available for properties up to $1 million.

<h2>Victoria South Wales First Home Owner Grant</h2>

First Home Owner Grant: Provides a $10,000 grant for first-home buyers purchasing or building new homes valued up to $750,000.

Stamp Duty Benefits: Offers full stamp duty exemption for properties up to $600,000, with concessions available up to $750,000.

<h2>Queensland First Home Owner Grant</h2>

First Home Owner Grant: Offers $30,000 for contracts signed between 20 November 2023 and 30 June 2025. The FHOG applies to new homes valued up to $750,000.

Stamp Duty Concessions: Provides additional concessions for properties valued up to $800,000.

<h2>Western Australia First Home Owner Grant</h2>

&nbsp;

First Home Owner Grant: Offers a $10,000 grant for new homes valued up to $750,000 in the southern regions and up to $1 million in the northern regions.

Stamp Duty Concessions: Available for homes valued up to $600,000 for transactions entered into on or after 9 May 2024.

<h2>Australian Capital Territory First Home Owner Grant</h2>

First Home Owner Grant: Replaced by the Home Buyer Concession Scheme, offering full stamp duty concessions for eligible buyers.

<h2>South Australia First Home Owner Grant</h2>

First Home Owner Grant: Provides up to $15,000 for new homes, including houses, apartments, and townhouses. As of 6 June 2024, there is no property value cap for eligibility.

Stamp Duty Relief: Available for new homes and vacant land purchases.

<h2>Tasmania First Home Owner Grant</h2>

First Home Owner Grant: Offers a $10,000 grant for new homes and off the plan purchases.

Stamp Duty Exemption: Between 18 February 2024 and 30 June 2026, first home buyers of established homes valued up to $750,000 receive a full exemption on property transfer duty.

<h2>Northern Territory First Home Owner Grant</h2>

First Home Owner Grant: The Northern Territory provides a $10,000 grant for new homes only. Additional government grants and concessions are available for first home buyers.

Stamp Duty Exemption: The only stamp duty exemption available to property buyers is the House and Land Package Exemption (HLPE).

Eligibility criteria and application processes differ across states. Prospective buyers should refer to their respective state revenue offices for full details on grant availability, conditions, and additional concessions.

Every First Home Owner Grant for new property by state

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

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

Staff Writer

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

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

alisonwarters@gmail.com

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

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

Ellen Walker

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

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

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

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NAME: Matthew Barr<img src="/images/2015/02/11/barr-feb-11-profiel.png" alt="" style="float: right;">
POSITION: General manager - Queensland
COMPANY: Oliver Hume
OFFICE LOCATION: Brisbane
<ul>
<li>How long have you been in the industry?</li>
</ul>
Coming up to 20 years in Victoria and Queensland.
<ul>
<li>What's happening in the area you specialise in?</li>
</ul>
We're currently seeing an increase in the supply of land that's resulting in stronger enquiries and sales rates. We're also seeing some price growth as a result of that.
<ul>
<li>Describe the most interesting property you have worked on?</li>
</ul>
I've worked across a number of large masterplanned communities in Queensland and Victoria. Probably the most interesting is Providence, South Ripley, which I'm working on now. Once it's complete, it'll be about 7,000 homes for a population of about 20,000 residents.
It's a true masterplanned community. Open park space for sports and recreation, health and wellbeing; barbecues, al fresco dining and community; education, with two planned primary schools and two secondary centre. It'll have a main street with supermarkets, commercial spaces, retailers and the like. A lot of projects call themselves master-planned, but this is a true masterplanned community.
<ul>
<li>What are the ingredients to being successful in your job?</li>
</ul>
I think developing long-term relationships in both good and bad markets is the key. Obviously, honesty and integrity go a long way.
<ul>
<li>What aspects of your role do you enjoy the most?</li>
</ul>
I enjoy the variety of projects and obviously the challenges that come from that. Of course, the diversified group of clients we work with makes it a very enjoyable job.
<ul>
<li>Where would you invest a spare $750,000?</li>
</ul>
I think I'd be looking at a residential property within a 5 kilometre radius of Brisbane CBD, with access to plenty of amenities and infrastructure. I think that's a pretty good bet at the moment.
<ul>
<li>Which football team do you support?</li>
</ul>
Given the fact I'm ex-Victorian, Collingwood.
<ul>
<li>What's your favourite app or techno gadget?</li>
</ul>
It'd be Card Munch, which allows me to enter business cards straight into my contacts by taking a picture.
<ul>
<li>How do you use social media?</li>
</ul>
I guess LinkedIn, Twitter and Facebook are the main ones I use, mostly to keep on top of what's going on and maintain a professional profile.
</body></html>

jrichardson-uRX5hFdKfN

In profile: Oliver Hume Queensland's general manager, Matthew Barr

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The American retailer J.Crew is reportedly the latest global retailer to head towards Australia. 
According to the<a href="https://www.ragtrader.com.au/news/j-crew-on-route?utm_medium=email&amp;utm_campaign=Newsletter+11+February+2015&amp;utm_content=Newsletter+11+February+2015+CID_34f1b9bafb7b2478002dc6a7983288ad&amp;utm_source=Email%20marketing%20software&amp;utm_term=more" target="_blank"> </a><a href="https://www.ragtrader.com.au/news/j-crew-on-route?utm_medium=email&amp;utm_campaign=Newsletter+11+February+2015&amp;utm_content=Newsletter+11+February+2015+CID_34f1b9bafb7b2478002dc6a7983288ad&amp;utm_source=Email%20marketing%20software&amp;utm_term=more" target="_blank">ragtrader</a> website, citing a fashion forecast from IBISWorld, J.Crew will follow the likes of Zara, H&amp;M, Sephora, Uniqlo and Topshop to set up shop Down Under.
IBISWorld suggest Marks &amp; Spencer is also in line to seek Australia outlets.
IBISWorld reckons Australia's love affair with affordable fashion-forward clothing has fuelled strong industry growth over the past five years, with revenue rising by an estimated 8.7% annualised to reach $1.1 billion in 2013-14. 
"Fast fashion retailing is a relatively new concept and has been driven by persistent consumer demand for new styles and designs on an increasingly frequent basis," IBISWorld advise.
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jchancellor-FAypfDUnLy

American retailer J.Crew tipped to arrive in Australia

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Lease marketing for the Harry Seidler-designed Grosvenor Place is well underway, coinciding with its $10 million refurbishment.
Colliers International is marketing the landmark tower complex to commercial tenants using a series of eye-catching advertisements, such as the one pictured below which featured in the Australian Financial Review.
<img src="/images/2015/02/11/ad-feb-11-two.png" alt="">
Source: Australian Financial Review.
The logo is derived from the tower's shape as it appears from a bird's eye view, illustrated here in the late Seidler's original outlook sketch.
<img src="/images/2015/02/11/seidler%20outlook%20diagram.jpg" alt="">
Image courtesy of Harry Seidler and Associates.
The design has been given a colourful twist, reminiscent of the palette of New York artist Frank Stella, whose work is exhibited in the building. The advertising campaign is by Sydney-based Frost*collective. 
Much of Grosvenor Place's floorspace is uninterrupted by internal columns to provide flexible arrangements for tenants. There are 85,515 square metres of office space in Grosvenor Place, with 1,611 square metres of retail space.
The marketing for the building, which can be seen at <a href="https://www.work-culture.com.au/" target="_blank">work-culture.com.au</a>, draws heavily on its heritage, referencing Seidler's design principles ("Planning for flexibility provides lasting value": Design Principle No. 4; "Architectural design must avoid fads": Principle No.9) and using Seidler's signature.
Seidler is widely regarded as one of Australia's modernist masters and most famous architects. He designed Grosvenor Place in 1982 and opened in 1987. In 1989, it received the RAIA Lustig &amp; Moar National Prize.
Late last year, it was announced that a <a href="https://www.afr.com/p/business/property/landscape_inspired_art_scape_roof_G88PMcETh7VB1LFxqwkqDO" target="_blank">$10 million refurbishment</a> of the complex's restaurant and cafe precinct would involve an "art-scape".
The site includes the low-set Royal Naval House, Johnson's Building and the 44 level Tower.
In 2009, the building underwent a $28 million refurbishment of its lower floors. In 2013, DEXUS Property Group acquired a 25% interest in Grosvenor Place for $271.25 million.
Colliers agent Aaron Weir is marketing commercial tenancies, while Pamela Medich of Dexus is handling retail leasing.
Feature picture: Eric Sierins Source: Harry Seidler and Associates.
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Harry Seidler's Grosvenor Place gets art inspired campaign

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The Westpac Melbourne Institute Index of Consumer Sentiment increased in February, a much stronger result than Westpac chief economist Bill Evans had expected.
"It represents the first time since February last year that we have seen a majority (albeit miniscule) of optimists over pessimists," said Evans.
"It is also the highest level of the Index since January last year."
<img src="/images/2015/02/11/westpac-feb-11-one.png" alt="">
Evans suggested the rate cut was not the only reason behind the big boost to confidence.
"Lower petrol prices and a surging sharemarket also appear to have had an impact."
The importance of these last two factors was highlighted by the "surprisingly modest 0.7% increase" in the confidence level of those respondents holding a mortgage – a group that is typically the most sensitive to interest rate changes, much lower than the over all increase of 8% in February.
The index tracking views on ‘time to buy a dwelling’ jumped by 9.7% to reach its highest level since February 2014.
<a href="/images/2015/02/11/westpac-feb-11-two.png" target="_blank"><img src="/images/2015/02/11/westpac-feb-11-two.png" alt=""></a>
Similarly, the index of house price expectations jumped by 6.9% to reach its highest level since September 2014.
Noting the Reserve Bank Board next meets on 3 March, Evans suggested for now, "we are comfortable to maintain our original call for a follow up move in March".
"However we recognize that a perfectly respectable case can be made for the Bank to pause for a month or two to assess developments in the housing market.
"The most important point is that February is not the end of this rate cut cycle with another cut extremely likely over the next three months." Evans concluded.
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Confidence up with strong improvement in time to buy dwelling sentiment: Westpac

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The freehold of Mornington's Bay Hotel on Mornington’s main shopping precinct has been listed for sale.
The 1880s Main Street property is set for 27 February onsite auction with $6 million plus tipped by listing agents, <a href="https://www.realcommercial.com.au/property-retail-vic-mornington-501441807" target="_blank">Vinci Carbone Property and Jacobs &amp; Lowe</a>.
The property provides $370,000 income per annum with the current 2007 signed lease term expiring February 2021 with further options until 2041.
"Hotels that occupy prime sites with quality lessees provide outstanding investments with the security of income combined with remarkable underlying land value," Joseph Carbone said,
The 60-62 Main Street, Mornington modernised property has over 13 metres of frontage on a 552 square metre block with rear lane way access. There is 732 square metre space within the Bay hotel which was converted in the mid-1990s from a bank. 
The property is located on the eastern side of Main Street, north of Barkly Street, in the seaside suburb located some 50 kilometres south east of Melbourne.
Mornington’s main shopping precinct is located in Main Street anchored by two major shopping centres.
Carbone sold the 52 Main Street retail premises for $4.39 million in 2011.
In 2013 MAB Funds Management Limited sold the Mornington Village Shopping Centre for $25.8 million through CBRE.
</body></html>

Mornington's Bay Hotel offered with lease through to 2041

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Melbourne will see the highest price growth of any capital city next year, HSBC has forecast.
In the latest HSBC Australia Downunder Digest report, HSBC Australia chief economist Paul Bloxham forecasts 4% to 8% price growth in Melbourne for 2016, after 7% to 8% growth in 2015.
Bloxham expects that in 2015, Melbourne and Sydney will "continue to outpace the rest of the nation", noting that from its mid-2012 trough, Melbourne's housing prices have increased by 20%.
<img src="/images/2015/02/10/Picture%2033.png" alt="">
However, Bloxham does not raise the prospect of a housing bubble in Melbourne as he did for Sydney, where <a href="/expert-insights/buying/sydney-prices-to-fall-hsbcs-bubble-warning">HSBC predicts prices could fall by 2%</a> in 2016 when they expect interest rates to increase.
He also noted the impact of foreign buyers on demand for Australian property, explaining that Foreign Investment Review Board figures "suggest a strong rise in foreign investment in Australian housing in 2014, with particular strength in investment in new dwellings." (see chart below).
<img src="/images/2015/02/10/Picture%2041.png" alt="">
"Much of the interest from foreign buyers is in the Sydney and Melbourne new apartment markets," writes Bloxham.
While Bloxham notes that foreign investment "is only a relatively small proportion of overall housing turnover", it is "likely to be having some effect on housing prices".
Victoria, which has seen the highest dwelling approvals of any state since 2009, is likely to see continued strength in the construction sector, according to Bloxham.
<img src="/images/2015/02/10/Picture%2040.png" alt="">
"As Australia's growth rebalances away from the mining states towards the south-eastern states – of New South Wales and Victoria – the strongest ramp-up in construction should be expected in these states," states the report.
Click to open in new window:
<a href="/images/2015/02/10/forecasts.jpg" target="_blank"><img src="/images/2015/02/10/forecasts.jpg" alt=""></a>
{mijopolls 88}
 
</body></html>

Melbourne growth to stand out in 2016: HSBC's Paul Bloxham

<html><body>
Rumours the Palmer Coolum Resort had been sold have been denied.
Politican businessman Clive Palmer quashed the local rumour which the local paper, the Daily Mercury chased up last week.
"The property's not for sale, not offered for sale," he told them.
He said the resort was still owned by Coeur de Lion Investments, which was "100% owned by me".
He said he liked the resort, intended to keep running it as a resort and had no intention of selling.
Palmer said the rumour seemed to do the rounds periodically.
"It's just not true," he said.
</body></html>

Clive says Palmer Coolum Resort is a keeper

<html><body>
GUEST OBSERVATION
The Australian economy is well placed for the medium to long term. But we face risks as we transition back to broad-based growth.
Australia’s resources boom lasted a decade. Iron ore, coal, gas, gold - you name it. If we could dig it up, China was ready to buy it at record prices.
But adapting to a boom is hard. The boom increased demand for the Australian dollar, increasing the exchange rate (which is just the price of an Australian dollar). This hurt non-commodity exporters and led to a two-speed economy. The resource centres of Western Australia and Queensland boomed while the manufacturing and services centres of Melbourne and Sydney hit the wall.
We adapted. It was tough.
However, mining booms are temporary. As exploration and development expands supply, the prices inevitably drop. Our mining boom has ended. We have seen massive falls in <a href="https://www.smh.com.au/business/mining-and-resources/iron-ore-tipped-to-fall-below-us40-this-year-20150206-138235">iron ore</a>, coal, <a href="https://www.theweek.co.uk/business/oil-price/60838/oil-price-yo-yo-continues-as-traders-jockey-to-find-bottom">oil</a> and gas prices in recent years. It was fun while it lasted, but the inevitable has occurred and now the Australian economy is adjusting back again.
<a href="https://62e528761d0685343e1c-f3d1b99a743ffa4142d9d7f1978d9686.ssl.cf2.rackcdn.com/files/71427/area14mp/image-20150209-13704-159mbzh.png"><img src="https://62e528761d0685343e1c-f3d1b99a743ffa4142d9d7f1978d9686.ssl.cf2.rackcdn.com/files/71427/width668/image-20150209-13704-159mbzh.png" alt=""></a>
It’s good the boom is over
This is a good thing. A mining boom is like a boozy party. Great while it lasts, and it may lead to a <a href="https://www.propertyobserver.com.au/https://www.abc.net.au/news/2015-02-07/house-passed-in-at-auction-after-million-dollar-price-dive/6077724">short-term hangover</a>. However, so long as our economy can adapt back to the “new normal” of a lower exchange rate and more balanced growth driven by broad trade with our Asian neighbours, the end of the boom will lead to a new period of economic prosperity. The key is adaptability.
The end of the boom doesn’t mean that our earnings from mineral exports are back to 2000 levels. The development of new projects means that we will keep exporting and <a href="https://www.businessinsider.com.au/australian-iron-ore-exports-are-still-making-plenty-of-money-for-the-government-2014-12">earning more</a>. Put simply, quantity matters as well as price.
<a href="https://62e528761d0685343e1c-f3d1b99a743ffa4142d9d7f1978d9686.ssl.cf2.rackcdn.com/files/71423/area14mp/image-20150209-13719-f1ta6v.jpg"><img src="https://62e528761d0685343e1c-f3d1b99a743ffa4142d9d7f1978d9686.ssl.cf2.rackcdn.com/files/71423/width668/image-20150209-13719-f1ta6v.jpg" alt=""></a>
Further, as the end of the boom leads to a fall in the Australian dollar, this hurts consumers as the price of imports rise. But Australian companies that compete with imports will find life easier. There will be more growth and jobs in these areas.
Similarly, the drop in the exchange rate helps our non-commodities exporters. Australian farmers, tertiary educators, high-end manufacturers and other service exporters should all have big grins on their faces. They will be expanding over the next few years as the rest of the world finds that they are much cheaper.
So the end of the boom will mean a return to more sustainable, balanced long-term growth across our economy. Asia is still growing and we are still well placed to benefit from that growth.
<a href="https://62e528761d0685343e1c-f3d1b99a743ffa4142d9d7f1978d9686.ssl.cf2.rackcdn.com/files/71424/area14mp/image-20150209-13713-3f98zz.jpg"><img src="https://62e528761d0685343e1c-f3d1b99a743ffa4142d9d7f1978d9686.ssl.cf2.rackcdn.com/files/71424/width668/image-20150209-13713-3f98zz.jpg" alt=""></a>
What are the short-term risks?
The biggest risk is that the federal government will panic. Transition means that unemployment will increase as workers fly-out of the mining centres and move back to the south eastern states. Federal tax revenue will also temporarily fall as profits decrease in the resource sector but are yet to rise in other sectors. This means that there will be an increasing budget deficit. Fortunately, we have low levels of government debt by international standards, interest rates are at historic lows and our government can easily borrow to both cover the deficit and invest in infrastructure that will assist the transition.
Our federal government should not party like it is 2010 again. But there is no budget crisis.
The second biggest risk is that state and federal governments will fail to continue the necessary long-term reform needed in areas such as taxation, health, education, transport and energy. The outcome of the Queensland state election has undermined reform. It shouldn’t. The evidence is clear that reforms, including privatisation, but particularly reforms that sensibly <a href="https://theconversation.com/privatisation-in-australia-as-the-accc-opens-a-can-of-worms-what-are-the-lessons-on-government-ownership-and-regulation-21752">introduce competition</a> where it can work, have benefited people in the states that have had the leadership to push forward.
There is still plenty of <a href="https://www.erawa.com.au/cproot/12778/2/Final%20Report%20-%20Inquiry%20into%20Microeconomic%20Reform%20in%20Western%20Australia.PDF">scope for reform</a>. Congestion charging on urban roads with funds being used to improve public transport, is a no-brainer. Removing impediments to the sharing economy, such as the regulations that protect vested interests but undermine platforms like Uber and Airbnb, will mean better and cheaper choice for families. Requiring government infrastructure projects to have independent cost-benefit analysis will reduce political boondoggles that help marginal electorates but cost the broader community. Moving to real-time pricing in electricity and using smart grids to give consumers more control over their power bills, will reduce energy use and carbon emissions while saving money for households.
There is a long list of reforms that governments should be pursuing. These reforms are necessary to maintain our economic flexibility. But with any reform there will be winners and losers. Governments need to have the guts to implement reforms, but the compassion to reform in a way that protects the most vulnerable in the community.
Finally, our governments need to remember the compact that has underpinned Australia since federation. We do not leave people behind. There has long been a series of transfers, through the grants commission and through the distribution of the GST, from the richer states to the poorer states and from the cities to the bush. These transfers help guarantee that all Australians can gain from long term economic growth. These transfers need to continue. But they also <a href="https://theconversation.com/bandaids-on-broadband-has-turnbull-got-what-it-takes-to-fix-the-nbn-36913">need to be transparent</a>. And states need to remember that <a href="https://economics.com.au/?p=8726">today’s winners can be tomorrow’s losers</a>. The transfers are like a national insurance policy that protect us all.
So, the economic future is looking bright for Australia. Sure, the economic winds have changed. But so long as we can adapt and “change tack”, and governments do not get in the way, the next ten years for Australia are likely to be even better than the last ten.
Stephen King is professor at the Department of Economics at Monash University.
This article was originally published on <a href="https://theconversation.com">The Conversation</a>.
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po-LsXgBTHBmX

Turning headwinds into tailwinds - the economy can correct course: Stephen King

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Abolish payroll tax and kick start the economy; it’s that simple! 
Problem solved – cue the Henry Tax Review which found that of the major heads of taxation revenue, payroll tax is more damaging to the economy than company tax. 
When Australia entered the global financial crisis, instead of handing out money, payroll tax should have been immediately abolished. If Australia wants to have strong employment then back the engine room that drives the economy, instead of greedy states and territories trying to destroy it.
If the Prime Minister wants to save his position he should act immediately on this given last week’s cash rate cut is not going to save the economy. What we are clearly seeing now is home owners and property investors being given the greatest free kick in Australian economic history with the majority well ahead of their respective mortgage repayments. Unless something is done we will see the cash rate at the current level and possibly lower for quite some time to come.
One only has to look at the NSW report on state finances for 2013-14 where a surplus of $1.247 billion was announced thanks mainly to residential and commercial sales. Nobody likes paying stamp duty on real estate transactions especially since they too were supposed to be abolished in 2000 when the GST was introduced. For those who follow the property markets closely ask yourself one simple question – where would real estate prices be today if stamp duty had been abolished? You’re right – they would be much higher.
Back to the 2013-14 NSW state finances report where government revenue grew by 9.8% and expenses grew by just 4.6%. Payroll tax receipts were $248 million which was much less than forecast – surprise, surprise.
The Abbott government needs to act decisively and fast given the budget is in such disarray that this week we saw the governor of the Reserve Bank and the new head of Treasury deliver a dire warning to Cabinet that unless the Senate passes the government’s spending cuts, the budget is at risk of never getting back to surplus. If payroll tax was removed the government would get back to surplus much faster as businesses can then re-invest much more back into their respective businesses instead of being fined for employing people.
If Tony Abbott wants to shirt-front something then there would be no better place to start than by abolishing this absurd tax that is dragging the economy down. What remains to be seen is whether or not our politicians in Canberra have the economic intelligence to recognise this anchor on the Australian economy and act forthwith.
Interesting to read <a href="/expert-insights/finance/what-central-banks-around-the-world-are-doing-with-interest-rates">what central banks around the world are doing with interest rates</a> given many are now predicting that the RBA will cut again when they meet next month. The RBA recently released their credit aggregates for December 2014 which identified that home lending is now up to a record $1.42 trillion. Total credit grew by 5.9% with housing posting 7.1%, business 4.8% and personal credit 0.9% in annual terms. If payroll tax were to be abolished business credit would almost double – which is exactly what our economy needs. Why is it that that elected governments fail to recognise this, given this would also drive up spending and GST receipts?
Maybe we need to do a test case, so where better to start than NSW – the best performing state in Australia. NSW also has a state election looming so it would be political suicide for either major party to fight such a decision.
The states and territories made a mockery of removing nominated taxes when the GST was introduced so it’s high time the electorates started reminding these governments that enough is enough.
Aside from politicians, I am yet to find anyone who supports payroll tax in Australia.
So what does that tell you?
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robertsimeon-hRNTwJyXkQ

Abolish payroll tax and kick start the economy: Robert Simeon

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At last Monday’s do-or-die Press Club speech Prime Minister Tony Abbott claimed jobs growth in 2014 was triple the rate in 2013, with 4,000 new jobs a week. 
Treasurer Joe Hockey said the same thing on AM on Wednesday, refashioning the figure as 600 new jobs a day.
It’s a claim that seems counterintuitive amid headlines about the PM abandoning as unachievable his pre-election pledge to create a million jobs within five years. Unemployment jumped above 6% last year, the resources bust is on us, and consumer and business confidence has stalled.
A walk-through the figures from the Treasurer’s office confirms the calculations are ridgy-didge, as far as they go, being based on simple averages of the total persons employed column of the most recent Australian Bureau of Statistics labour force data. The government is only making one debatable assumption: that the labour market performance through 2013 can be properly attributed to the previous government, even though the Coalition was in power for the last three months of the year, while the 2014 stats are credited to the current government. The Treasurer’s office says assuming a three month lag before its policies take effect is perfectly plausible, and let’s not quibble there.
On average in 2013 there were 5,063 jobs created each month, while in 2014 there were 17,823 a month — more than 4,000 a week or 600 a day.
The ABS data doesn’t break out employment by industry sectors but construction is reckoned to be the stand-out performer in jobs growth last year. Given how toppy property markets are looking, particularly in Sydney and Melbourne, it would be a brave policymaker who counted on a housing-led recovery in employment continuing on and on — even with lower interest rates.
But if the ABS data is right and jobs growth has tripled, why are we so gloomy about our job prospects and security? One problem with it is the official data fails to take account of population growth, as was highlighted in this <a href="https://www.google.com.au/url?sa=t&amp;rct=j&amp;q=&amp;esrc=s&amp;source=web&amp;cd=2&amp;cad=rja&amp;uact=8&amp;ved=0CC0QFjAB&amp;url=http%3A%2F%2Finsidestory.org.au%2Faustralia-today-a-million-new-adults-just-385000-new-jobs&amp;ei=twjUVNTHGaPJmAXX2oI4&amp;usg=AFQjCNFsu1-W8Q3M00TaKp2CXc-WXJJFmA&amp;sig2=E-mbSaUTIv-Bvmh_PvwBfQ">terrific article</a> by former Age economics editor Tim Colebatch. Over the three years to December 2014, the economy created 385,000 new jobs for every million new adults, his analysis shows, well down on the 690,000 new jobs created for every million new people over the past 30 years. Colebatch points at the high immigration rate — particularly employers using 457 visas to employ cheap cooks, for example — and argues the labour market simply can’t generate enough work for everybody.
People are simply dropping out of the workforce. The problem is highlighted in the following chart, which shows that, excepting Tasmania, the ratio of employment to population has tanked since the financial crisis.
<a href="https://media.crikey.com.au/wp-content/uploads/2015/02/employmentpopulation.jpg"><img class="aligncenter size-full wp-image-479203" src="https://media.crikey.com.au/wp-content/uploads/2015/02/employmentpopulation.jpg" width="513" height="445"></a>
South Australian Senator Nick Xenophon, whose office provided the chart, told Crikey he has railed for years about the official employment figures and queries the government’s jobs claim: “I think that needs to be deconstructed, it needs to be forensically looked at. What percentage of those new jobs is someone working three, six, eight hours a week, particularly given anyone is counted as employed if they work as little as an hour a week?”
Data quality aside, the most pressing question is, given the tough job of transitioning out of the resources boom, where is future jobs growth going to come from? The Treasurer’s office points to “green shoots” such as last month’s ANZ job ad survey, which <a href="https://www.theaustralian.com.au/business/economics/anz-survey-shows-job-ads-rising-for-seventh-month-in-row/story-e6frg926-1227182042074">showed</a> jobs ads had risen for the seventh month in a row, and this week’s Dunn &amp; Bradstreet business expectations survey for the next quarter, which <a href="https://www.smh.com.au/business/expectations-surveys-show-business-sector-optimistic-about-employment-20150202-1342fs">shows</a> a jump in the hiring intentions of business for the next quarter.
Unfortunately for the government neither survey, on a close reading, is optimistic. ANZ’s job ads survey was a reliable leading indicator when print dominated, and although it now includes online ads it does not include social fora like LinkedIn, so it is still finding its feet in the digital economy. ANZ chief economist Warren Hogan commented: “The good news is that the economy continues to produce new employment opportunities. The bad news is that this has not been quite enough to counteract the flow of new workers into the economy plus the on-going loss of jobs in certain sectors”.
Hogan told Crikey ANZ had revised its forecasts for 2015 down, like most economists and expected unemployment to peak later this year: “We’re expecting jobs growth in certain key services such as real estate, IT and telecommunications and construction.
“The $64,000 question is whether or not broader business services industries can increase their headcount again — banking, accounting and the legal profession have been subdued at best for the last half-decade and they are big employers”.
Headlined “outlook cools”, Dunn &amp; Bradstreet’s survey is also less than confidence inspiring: firstly, although the survey has shown a jump in hiring intentions since the last election, and a big jump in January’s one-month survey, actual hiring has consistently tracked below expectations. Whether the jump in intentions translates into new jobs is unclear.
D&amp;B adviser Stephen Koukoulas told Crikey there was no suggestion we were headed for the precipice: “The labor-intensive parts of economy are retail and construction. Both are doing pretty well. House building and construction is pretty strong, really encouraging, and unlike mining, which is not very labor-intensive. The other one is retail, as we move from the mining boom to the dining boom, if we’re spending more money in cafes and restaurants , that employs a lot of people. So there’s a compositional shift in growth towards those sectors.”
Koukoulas is also not too gloomy about the future of manufacturing: “If you’re a manufacturer and you’ve survived last few years, with the Australian dollar now below US80c and probably staying there, you’re going to start doing well.”
Hockey’s office nominate three industries as source of future jobs growth: financial services, infrastructure and high-tech manufacturing — pointing for example to the Sydney firm that makes RODE microphones, recently <a href="https://www.joehockey.com/media/transcripts/details.aspx?s=621">toured by the Treasurer</a>. The recent free trade agreements will help manufacturers too, Hockey’s office says.
A microphone-led recovery seems unlikely, but niche manufacturing stories are always like that. Most concerning for the likes of Xenophon (and Victorian independent Senator John Madigan, who let rip on submarines on Q&amp;A on Monday) is looming self-inflicted job catastrophes in industries like car manufacturing and shipbuilding, particularly if our next submarine is going to be built offshore.
Says Xenophon: “We are looking at a tsunami of unemployment with the auto sector in next few years. [The subs decision] will have a massive multiplier effect in terms of unemployment.”
Xenophon points to growth industries like food manufacturing, medical technology and backs calls for relief on penalty rates for small businesses in the hospitality sector. ”I think we should be looking in advanced manufacturing, taking head-on the dumping that occurs that kills jobs — we take a very narrow approach to the WTO rules. We need to have a strategic approach to infrastructure, and smart manufacturing. We need to make sure our subs are built here and I think we need to have incubators for SMEs to drive jobs growth — miniature silicon valleys in our capital cities.”
It’s not exactly a comprehensive jobs plan, but it’s better than cutting industry assistance, abolishing the carbon tax and praying — which seems to be the nub of the government’s strategy to date.
This story originally appeared on <a href="https://www.crikey.com.au/2015/02/06/where-are-all-these-jobs-abbott-is-supposedly-creating/">Crikey</a>.
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