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.

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<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>

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Ellen Walker

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

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This week I had the opportunity to run the numbers on an eleven unit development project. 
Normally, Property Bloom clients ask us to source lower density developments such as dual occupancies or three to four unit developments.  Whilst crunching the numbers on this big boy, I started to wonder how many smaller projects we'd need to complete to achieve a similar financial outcome. The answer surprised me. 
What do you need to consider when looking at a medium density development project?  
By the way, density is a measurement used to work out how many dwelling can be built within a particular zoning. In NSW, a medium density zone is defined as 20-40 dwellings per hectare.
1. Finance. Investors can be afraid of jumping from a residential loan to a commercial/development funding and believe that banks will generally lend on three-four unit projects under residential lending. There are a few myths around this. If you have a good relationship manager at your bank, your finances are in good order and you present a larger project to them in a professional way, they will consider it. Also, people assume the commercial funding is going to be more expensive and it can be, but there are lenders out there with very competitive rates. It's imperative to use an experience commercial financier when seeking these loans.  
2. Risk. Generally larger development projects are assumed to carry more risk. Assessment of risk is different for everyone but it really comes down to the bottom line. How much profit is there in the project and is it sufficient to take on the risk? How accurate is the research and cost estimates being used?  What are the current market conditions and are they likely to change anytime soon? This will determine exactly how risky it may be or may not be. 
3. People. A good team is imperative. Because if you don't have a trusted team, you'll be testing the experience and efficiency of these people on a larger scale. If they let you down, you will feel it!  Having a proven track record with your team, particularly your builder when embarking on a large scale development, is critical. 
So just how did we find this development site? One of our clever project managers has a great skill. She communicates extremely well and is a very nice person. She was chatting to one of the property owners in this street and ended up negotiating with this man and his neighbour who both owned large lots in this suburb of Newcastle. It wasn't long before she'd secured their adjoining properties under an Option Agreement.  
One of the main benefits of this agreement is that  there are no holding costs until we are ready to build next year. During this period we manage the design and planning process of the project, so construction can commence upon settlement of the land.
The site is located six minutes drive from the main hospital, twenty minutes from the CBD and ten minutes from the university. There are local shops with a nice cafe, three schools in walking distance, an aquatic centre, gym and a number of parks and sporting fields, making it a very popular with the locals.
Our research tells us that there is strong rental and resale demand. 
I thought I'd share with you the numbers on this medium density, eleven unit project as they are looking quite good: 
Land cost:  $1,040,000 
Stamp Duty and acquisition costs: $45,000
Estimated consultant and council fees and charges:  $86,000
Estimated build costs including contingency: $2,640,000
Option fee:  $120,000
Miscellaneous/other costs:  $30,000
Estimated total costs:  $3,961,000
Estimated end values 11 x 3 bedroom townhouses:  $4,840,000
Estimated weekly rental per townhouse $450 per week
Looking at the numbers, there is opportunity to create equity of $879,000. This is before we apply a project management fee which we will discuss with the purchaser. So the developer's margin at this stage is 22%. The purchaser also needs to include holding costs during the six month construction period. There is scope to increase the equity with playing with the design and looking at other configurations such as including a four bedroom home. We've purposely kept our estimated end value conservative. 
In comparison, a typical dual occupancy project will create around $130,000 in equity at a total cost of $740,000. That's a 17.6% margin. That's not too bad and many of our clients come back to do another one. But you'd need to complete about seven dual occs to achieve a similar equity position as the eleven unit project.
It's interesting to compare the numbers and whilst a larger development is not for everyone, we are excited to be able to offer something different. So, if you are ready to sink your teeth into a large project and have sought professional financial advice, then we've done a lot of the hard work for you. 
Jo Chivers is Chief Executive Officer of property development project managers <a href="https://www.propertybloom.com.au/about" target="_blank">Property Bloom</a>.
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Medium density development numbers add up: Jo Chivers

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A preliminary draft plan for a $160 million retail park in the Sydney suburb of Bankstown has been released, with the public invited to submit their ideas until October 21.
The Preliminary Draft Major Development Plan for the Bankstown Business Estate is designed to make best use of surplus aviation land around Bankstown Airport, some 41 hectares of Commonwealth-owned land.
LEDA Holdings managing director Robert Ell said the disused land is a perfect fit for such a proposal.
“The site has been earmarked for commercial use for a long time,” Mr Ell said.
“The project would also fill a commercial gap, attracting some of the world’s top retail names and providing affordable shopping opportunities for locals.
"The impact on local residents should be negligible because the site is buffered by Bankstown Airport’s runways, existing commercial operations, local golf courses and the Georges River."
$50 million of the proposed development has been slated for local infrastructure upgrades.
Potential retail development could include a discount factory outlet, bulky goods retail, warehousing, medical and fitness tenants and lifestyle and entertainment facilities such as alfresco cafes, restaurants, bowling lanes and play centres.
For more information, go to the Bankstown Business Estate website <a href="https://www.bankstownbusinessestate.com/the-site/" target="_blank">here</a>.
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Preliminary Bankstown Business Estate project draft released

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Infinity, designed by award-winning architect Koichi Takada above what will be bustling retail and restaurant space, is Crown Group's Green Square project with it’s stage one limited apartment release intent on setting the benchmark for urban living in Sydney.
The apartment block is marketed as the landmark gateway to Sydney’s newest precinct which by 2030 is expected to have 40,000 residents and 22,000 workers.
<img src="/images/2015/07/31/crownfirst.jpeg" alt="">
From just its preliminary design work, Crown Group has won awards, including Best Concept Design at the 20th Annual Urban Development Institute of Australia (UDIA) NSW awards for excellence.
<img src="/images/2015/07/31/second.jpeg" alt="">
Crown Group CEO Iwan Sunito says <a href="https://infinitybycrowngroup.com.au/" target="_blank">the building’s curved form</a> ensured a world-class development with architectural significance.
“The project draws on Crown Group’s 18 years’ experience developing residential property in Sydney and will showcase the world’s best in innovative residential design," he said.
<img src="/images/2015/07/31/2015-07-302020.07.16.jpeg" alt="">
Located at 301-303 Botany Road, a short distance from Green Square train station, Crown Group’s project is located within the new Green Square town centre, a major new residential, retail and cultural hub – which sits at the heart of a broader $8 billion redevelopment of Green Square.
<img src="/images/2015/07/31/this.jpeg" alt="">
 
The 20-storey development comprising a 39,400 sqm gross floor area is principally based on retaining solar access to the Green Square Plaza and library, along with an internal public courtyard which forms an open-air dining precinct.
Crown Group undertook the recently-completed Viking by Crown in Waterloo, a 10-storey building featuring 110 apartments.
Crown hosted an event this week for the unveiling of the model for the 401-apartment Infinity building with apartment sales to begin August 29.
For more information, click <a href="https://infinitybycrowngroup.com.au" target="_blank">here</a>.
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Crown's award-winning Green Square project Infinity

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GUEST OBSERVER
Despite reaching new record levels for the year, building approvals are showing the first signs of having peaked according to the latest ABS data for June released today. 
The run of record approvals over the last financial year has created a pipeline of new housing construction activity at levels to finally meet Australia’s needs after years of underbuilding. 
Nationally the latest ABS Building Approvals were down 8.2% in June 2015 in comparison to the previous month’s figure. For the 12 months to June 2015 however the record-breaking run continued with 220,423 new dwellings approved in seasonally adjusted terms. This was up from 195,302 approvals for the same 12 month period to June 2014. 
The figures point to the market operating as it should and responding to new macroprudential settings with the reduction in approvals likely pegged to investor based activity. 
The good news here is that when we compare building approvals figures with household formation rates the two are lining up. 
The bad news is the signs are suggesting this may have peaked. On average 154,000 new homes are built per year, but this has been falling short by between 2,000 and 14,000 homes of what is required each year over the past 10 years, creating a housing shortfall. However the approvals we have seen over the last twelve months will start to make a dent in the housing deficit, especially in Sydney. 
With investment loans likely to be lower, the critical issue is to ensure as many approvals are converted to actual builds as possible to boost supply, especially in Sydney where pricing pressures have been predominantly due to undersupply. 
The danger is that measures to contain house price growth in Sydney and Melbourne mean new housing drops away in other states. These states have only just come back to moderate, long-term five-yearly average house price growth off the back of recent strong building activity. 
Declining investor numbers and new taxes on foreign investment will impact on the number of approvals that progress to construction. It is vital that strong supply is maintained to moderate housing prices particularly in Sydney and Melbourne. 
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Governments need to continue to focus on supply side efficiencies in land release, improvements to development assessment and reform of inefficient taxes such as stamp duty to support continued supply. 
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Nick Proud is executive director of residential for The Property Council of Australia and can be contacted <a href="https://www.propertyoz.com.au/Profiles/ProfileDetail.aspx?pid=75" target="_blank">here</a>.
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Record building approvals but figures moderating: Nick Proud

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A median price is a commonly used measure of pricing in the housing market. It represents the ‘middle’ sale price in a list of transactions arranged in ascending (or descending) order. 
For example, if there were eleven house sales across a suburb, the median would be the sixth most expensive sale which means that there would be an equal number of more expensive and more affordable properties. 
It is valuable to look at other measures such as quartiles from time-to-time as this methodology provides a reflection of the more affordable and more expensive segments of the housing market in a region. If a region had 21 sales over a period the lower quartile would be the 6th cheapest sale and the upper quartile would be the 6th most expensive sale. 
The difference across the lower and upper quartiles provides us with more than just a view of range in prices; quartile measures also provide an indication of the diversity of housing stock in a region. A good example of this is the high profile suburb of Point Piper in Sydney which has significantly diverse housing stock due to its harbourside location. The lower quartile price is still hefty at $4,720,000 however, the upper quartile comes in at $30,000,000; more than six times the lower quartile price. 
For this analysis we are highlighting the capital city suburbs with the least difference between the bottom and top quartile; or the least amount of diversity in housing stock.
For houses, Strathmore Heights in Melbourne has shown the smallest difference at just 5.6% based on sales over the past year. Across the unit market the suburb with the smallest differential between the lower and upper quartile was Albany Creek in Brisbane at just 1.3%. 
Of surprise is the fact that very few of the suburbs listed for either houses or units are relatively new development areas. In fact across both product types the areas can generally be classified as established suburbs with relatively few new homes over recent years. This would tend to indicate that at the time of development many of the homes built were fairly similar and since that time relatively little in the way of renovation may have taken place. 
The results suggest that these suburbs have very little difference between precincts within the suburb. What this means is there are no areas particularly more or less desirable within these suburbs and this is reflected by the fact there is relatively little price variation throughout the suburb. 
While using a median price as a measure is common across the property industry, by looking at quartiles it enables us to provide greater insights into the dynamics of a particular market. These insights simply aren’t available when medians are the focus. 
The results also reiterate that the median represents the typical housing cost but above and below that figure there can be significant variation in quality and cost or there can be very little difference. 
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Tim Lawless is head of the CoreLogic RP Data research and analytics team and can be contacted <a href="https://blog.corelogic.com.au/author/timlawless/" target="_blank">here</a>.
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Suburbs with the least diversity in housing stock: CoreLogic RP Data's Tim Lawless

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The majority of potential property investors remain undeterred by APRA's recent changes in investment policy, according to new research by Mortgage Choice. 
54% of respondents to Mortgage Choice's 2015 Investor Survey plan to continue with their investment plans regardless of changes to investment lending policies.
Mortgage Choice chief executive office John Flavell said 70% of respondents believed now was still a good time to invest.
“While on average 54% of investors said the changes wouldn’t affect their investment plans, the story was a little different for Gen Y buyers,” Mr Flavell said.
“Baby boomers by comparison, were far less likely to be put off by the changes, with just 30% saying any changes would affect their property investment plans.
“Our data shows an increasing number of investors are actually Gen Y’s who are purchasing property for the first time. For many younger buyers, purchasing an investment property before an owner occupied property gives them the opportunity to purchase where they can afford while still living where they want."
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Investment changes fail to deter property investors: Mortgage Choice

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Recent CoreLogic RP Data questions whether or not a recent pick up in Adelaide's housing value growth is near or short term. 
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Adelaide value growth climb near or long term? CoreLogic RP Data

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GUEST OBSERVER
End of financial year has arrived. But for property investors, tax time isn’t just about deductions and depreciation schedules – it’s also a great time to re-evaluate your investment property and ensure you are in good standing for the next financial year. 
Investors should ask themselves the following five ‘hard questions’ this month if they want their property to remain competitive - and occupied - in the current rental market. 
<ul>
<li>Are the tenants right? </li>
</ul>
Most rental agreements wind up after twelve months, which means it’s a good time to assess whether the tenants are right for your property. Ask yourself, do they pay their rent on time and take care of the property? Or is your property manager regularly chasing payments? If you answer yes to the latter, then it might be time to find new occupants. Ultimately, discuss with your property manager if they think the tenants are suitable – they see plenty of properties and tenants each day and can advise you if your tenants are right. 
<ul>
<li>Is it time to review the rent? </li>
</ul>
The new financial year is also a great time to assess whether the weekly rent is on par and if it’s providing you with the right returns. Not all rental agreements come to an end in July – but it doesn’t mean you can’t start planning and reviewing the market. 
Often in a competitive market place, it’s acceptable for landlords to increase the asking rent to match rises in inflation. Similarly, if an area has become more desirable with the introduction of new infrastructure or amenities (such as a nearby university or improved public transport), then it’s ok to determine with your property manager a reasonable rental increase. 
On the other hand, when the real estate market is booming, the rental market often falls flat as residents decide to purchase a property for themselves. During this time, to ensure that your property is competitive and doesn’t become vacant, it might be worth keeping the rent on hold until the next financial year when it’s time to review again. 
<ul>
<li>Are you covered? </li>
</ul>
Landlord insurance is a must for any property investor. After all, you need to protect your assets in case your tenant does something that seriously damages your property. However, in the hustle and bustle of tax time, many people forget about renewing their landlord insurance. So make sure you or your property manager ticks this box come the new financial year. 
<ul>
<li>Is it time to do some handy-work?</li>
</ul>
Many investors purchase a property with the hope to renovate down the track when further finances become available. The next thing you know, one year becomes five and you haven’t even picked up a hammer and nail. 
Renovating your property can provide excellent rewards on your investment. In the short term, an improved property can enhance the appeal for renters, while long term a little bit of handy-work can result in greater capital growth for when you decide to sell down the track.
If you analyse your finances at EOFY and don’t have the budget to conduct a full blown renovation, remember that a little bit of handy work such as a quick coat of paint can go a long way. Doing small jobs over a long period of time can ease the hip pocket and also get your home up to scratch. And your current tenants will appreciate your efforts in preserving the property. 
<ul>
<li>Should you refinance? </li>
</ul>
For those who have had held their current home loan for several years, it’s likely that your lifestyle and financial situation have changed - so it could be worthwhile refinancing your property. 
Every investor should consider refinancing to find themselves a better deal. For instance, you may find a lower interest rate or a loan which offers additional features (such as redraw or account splitting), or perhaps you’d like to use this equity to renovate the home. Refinancing may also offer potential tax benefits if you can access equity to invest in further properties for your portfolio. Regardless of the reason, speak to your financial advisor who can provide the best advice if this is an option for you. 
It’s no easy feat being a property investor. While you can call on the advice and services of property managers, financial advisors and legal advisors, ultimately these hard questions will come down to you. Take the time each financial year to reassess your investments and you’ll be in a strong position to maximise your short and long term returns. 
Frank Valentic is the founder of Advantage Property Consulting, an independent Buyers’ Agency spanning Buyers’ and Vendors’ Advocacy, Property Management and Owners Corporation services. Frank is also a Buyers’ Advocate Judge on “The Block” TV Show. He can be contacted <a href="https://advantageproperty.com.au/about/team/frank-valentic" target="_blank">here</a>.
 
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Hard questions every investor should ask come the new financial year: Frank Valentic

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GUEST OBSERVER
The recent collapse in the Chinese share market was preceded by a boom – a boom that was, in turn, fuelled by relaxed restrictions on margin lending, and a growth in the shadow banking sector<a href="https://www.economist.com/node/21601872/">.</a> Both served as inducements for Chinese retail investors to borrow in order to invest in a rising stock market.
The central bank urged people to buy local stocks, cut interest rates, and reduced the required reserve ratio for banks to free up more funds for lending. What could go wrong!
Since late 2013, Chinese authorities have pursued a policy of further opening up the capital markets. The aim has been to “internationalise” the local currency, the yuan (renminbi or “people’s money”), and to link the local stock exchanges to international markets. A major milestone was reached when the Shanghai-Hong Kong Stock Connect (also known as the “Through Train”) was launched in November 2014. This scheme now allows Hong Kong investors to trade on the Shanghai Stock Exchange, and provides a channel for mainland capital into the Hong Kong Exchanges and Clearing (HKEx) - further increasing the internationalisation of Chinese outbound investment.
The Chinese share markets (China has two national bourses, one in Shanghai and one in Shenzhen) are dominated by retail investment, and its 90 million retail investors have fuelled much of the growth.
Given the youth of the Chinese markets (born in 1990), Chinese retail investors are, by definition, inexperienced and prone, like any adolescent, to bouts of exuberance. Along with the <a href="https://www.kpmg.com/cn/en/IssuesAndInsights/ArticlesPublications/Documents/China-Capital-Markets-FTSE-201106.pdf" target="_blank">stock market boom</a>, even more rapid rises in the value of the two exchanges have been driven by government measures aimed at encouraging money out of the over-heated property markets and into corporate equity<a href="https://www.dailyreckoning.com.au/chinas-stock-market-valuation-grew-by-6-5-trillion-in-just-12-months-cw/2015/06/09/">.</a>
The property bubble which has hit many Chinese cities has been worrying the authorities since at least 2010, and efforts have been made to crack down on property speculation and investment-driven demand. Home purchase restrictions where first put into place in 2010, and in March 2013 Beijing called for stricter enforcement of a 20% capital gains tax on home sale profits. It also asked cities with fast property price increases to raise the down payment requiremen<a href="https://www.propertyobserver.com.au/https://www.cnbc.com/id/100516350">t</a> and mortgage rate on second homes.
Damping down the property market is one part of China’s longer-term strategy to move away from its old model of high and increasing levels of investment, especially in industrial activity and urban infrastructure. The new model is based on lower investment, more subdued (more sustainable) growth and higher domestic consumption more in line with shifting national priorities towards improving the quality of air, water and living standards for more Chinese people.
By June last year analysts were warning that investor confidence in the domestic Chinese A-share market (A-shares are denominated in renminbi, B-shares in foreign currency) had been “weak for quite some time”. So when the Chinese banking authorities cracked down on margin lending in June, and the banks began to call in their margin loans, already fragile investor confidence collapsed quickly - and the market fell with it. Those falls continued this week, despite moves by Chinese authorities to restore confidence.
The Chinese authorities have reacted instinctively – the same way that authoritarian regimes everywhere react. They sought to rectify. Rectification in this case has been very restrained by Chinese standards, but even restrained intervention has meant the introduction of a slew of measures aimed at halting the free fall and stabilising the market. These have included temporary halts on trading on over half of all China-listed stocks, a six-month ban on major shareholders selling listed stocks, postponement of approved new listings (IPOs - initial public offerings) and suspension of new IPO approvals.
The Ministry of Public Security began investigations into <a href="https://www.scmp.com/news/china/policies-politics/article/1838247/chinese-police-find-signs-illegal-share-trading">“</a>malicious short selling” and some “suspicious foreign banks” (even the global market index provider MSCI was blame<a href="https://www.scmp.com/comment/insight-opinion/article/1838214/msci-joins-list-reasons-china-market-crash">d</a> for the market crash).
The authorities also ordered major brokerages to increase their investments and further cut interest rates. The People’s Bank of China even announced it would provide liquidity support to the China Security Finance Corporation, which oversees the margin financing of brokers.
<h2>Irrational exuberance</h2>
As Robert Shiller explained in 2000, well before the global financial crisis, all markets experience periods of irrational exuberance. Nor should it surprise anyone that a market as young and uneducated as the Chinese market should be more volatile that most.
The real question now is what effect recent stock market volatility will have on the “real” Chinese economy. The first point here is that the Chinese stock index is not closely linked with the macro economy and is not an indicator for economic trends. Second, most financing does not come from the stock market, but from bank loans. Of <a href="https://cityoflondon.gov.uk/business/economic-research-and-information/research-publications/Documents/Research-2015/Chinas_capital_markets.pdf" target="_blank">total social financing</a> in 2014, only 2.6% came from the stock market, while bank loans accounted for 59%.
As the Chinese share markets stabilise around a new lower level, if the money lost from the market goes into real consumption, that could potentially even be good for the economy.
If money lost from the markets simply vaporises in the form of bad loans, gambling losses and corrupt payments, then that will be a significant loss, but one which an economy the size of China’s can bear. The net result, as often occurs with such events, will probably be a transfer of wealth from ordinary Chinese to the wealthy, including many major shareholders who have cashed out.
Ambitious plans for full yuan convertibility under the capital account will probably be delayed as the Chinese authorities become more cautious in their approach. In the longer term, the Chinese authorities, at the very least, will need to establish clearer measures for risk evaluation and responsibility, and begin to educate retail investors. 
Alice de Jonge is senior lecturer, International Law; Asian Business Law at Monash University and an author for The Conversation. She can be contacted <a href="https://theconversation.com/profiles/alice-de-jonge-118840" target="_blank">here</a>.
 
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China’s market lesson will be one of wealth transfer

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Darwin's recent home value plunge has been ranked by CoreLogic RP Data as the highest capital city decline.
 
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