Apartment buyers in New South Wales are set to gain a decade of insurance-backed protection against major building defects, after the NSW Parliament passed the Fair Trading and Building Legislation Amendment Bill 2026.&nbsp;

The Bill establishes decennial defect insurance, known in the market as Latent Defects Insurance (LDI), as an alternative to the existing two-year strata building bond. It cleared the Legislative Council with amendments on Tuesday evening (August 4, 2026), with the Legislative Assembly agreeing to those amendments shortly after.

Under the reform, eligible developers can satisfy their statutory bond obligation by taking out an approved decennial-style policy that gives owners 10 years of cover for major structural defects from completion, claimable directly, without first having to pursue developers or builders through costly legal action.&nbsp;

The change forms the final tranche of amendments arising from the 2021 statutory review of the Strata Schemes Management Act 2015 and related legislation.

Resilience Insurance, which originated the cover in Australia and has delivered it in NSW since 2022, welcomed the passage and credited the NSW Government for delivering it.

“This is protection apartment buyers have needed for a long time, and the credit for delivering it belongs to the NSW Government,”&nbsp;said Corey Nugent, CEO of Resilience Insurance.

“Minister Chanthivong and his team have shown real leadership in replacing an outdated two-year bond with cover that matches the lifespan of the buildings people are buying into. Reform like this is what good, evidence-based regulation looks like.”

Resilience has delivered LDI in NSW since 2022, protecting thousands of apartments, giving the State, and now the country, real-world evidence of how decade-long, no-fault protection works in practice.

The reform also places NSW within a wider national shift.

NSW is the third jurisdiction to put decennial cover into law. The ACT legislated for it in 2024, with the scheme taking effect in late 2025, and Victoria passed its own framework on 17 June. Between them, the three cover the majority of Australia's apartment market.

The reform commences once the legislation is proclaimed, which is expected in the coming weeks. From that point, developers of Class 2 residential apartment buildings can meet their statutory obligation with an approved decennial policy in place of the bond.

Buyers who purchased into projects that took out the cover early are among the first in the country to take keys to apartments carrying decade-long structural protection.

“With the legislation passed, the focus now turns to making it work for buyers,”&nbsp;Nugent said.

“There are already thousands of apartments in NSW covered by this insurance, bought by developers who moved early. The question every buyer should be asking in a display suite is a simple one: does this building come with 10-year defect cover, and who stands behind it?&nbsp;

“We look forward to working with the Government and the Building Commission in coming weeks as the framework moves to implementation, and to sharing what we have learned over the past four years so the protection reaches owners as smoothly and quickly as possible.”

Other states are working through their own reform programs. Western Australia has indicated that decennial cover is within consideration a later stage of its reform sequence, and Queensland has been examining the settings as it looks at the development pipeline ahead of the 2032 Olympics.

Resilience Insurance acknowledges the NSW Government’s continued focus on strengthening consumer protection while supporting housing delivery across the State.

Fast Facts: What the reform means

<ul style="color:#222222; font-family:Arial, Helvetica, sans-serif; font-size:small; font-style:normal; font-variant-ligatures:normal; font-weight:400; text-align:start; white-space:normal; background-color:#ffffff; text-decoration-thickness:initial; text-decoration-style:initial; text-decoration-color:initial">
	<li style="margin-left:15px; font-family:Aptos, Arial, Helvetica, sans-serif; font-size:12pt; color:#000000">Proven at scale:&nbsp;Decennial cover has operated in NSW since 2022, protecting thousand of apartments.</li>
	<li style="margin-left:15px; font-family:Aptos, Arial, Helvetica, sans-serif; font-size:12pt; color:#000000">10 years of cover:&nbsp;Protection for major structural defects runs for a decade from completion, claimable directly and with no legal action required.</li>
	<li style="margin-left:15px; font-family:Aptos, Arial, Helvetica, sans-serif; font-size:12pt; color:#000000">An alternative to the bond:&nbsp;Eligible developers can meet their statutory obligation with an approved decennial-style policy in place of the 2% strata building bond.</li>
	<li style="margin-left:15px; font-family:Aptos, Arial, Helvetica, sans-serif; font-size:12pt; color:#000000">Part of a national shift:&nbsp;The ACT has had decennial provisions in force since 2025 and Victoria passed its framework in June. NSW now joins them.</li>
	<li style="margin-left:15px; font-family:Aptos, Arial, Helvetica, sans-serif; font-size:12pt; color:#000000">No-fault, first resort:&nbsp;Owners corporations claim directly from the insurer without first having to establish who is liable for the defect.</li>
	<li style="margin-left:15px; font-family:Aptos, Arial, Helvetica, sans-serif; font-size:12pt; color:#000000">Cost-competitive:&nbsp;At approximately 1.8% of build cost, LDI is typically priced below the 2% bond while offering broader, longer protection.</li>
	<li style="margin-left:15px; font-family:Aptos, Arial, Helvetica, sans-serif; font-size:12pt; color:#000000">Market position:&nbsp;Resilience originated LDI in Australia and has delivered it in NSW since 2022.</li>
</ul>

Fast Facts: What is Resilience LDI?

<ul style="color:#222222; font-family:Arial, Helvetica, sans-serif; font-size:small; font-style:normal; font-variant-ligatures:normal; font-weight:400; text-align:start; white-space:normal; background-color:#ffffff; text-decoration-thickness:initial; text-decoration-style:initial; text-decoration-color:initial">
	<li style="margin-left:15px; font-family:Aptos, Arial, Helvetica, sans-serif; font-size:12pt; color:#000000">Resilience Latent Defects Insurance (LDI):&nbsp;Covers major structural defects for 10 years from completion.</li>
	<li style="margin-left:15px; font-family:Aptos, Arial, Helvetica, sans-serif; font-size:12pt; color:#000000">Consumer-first:&nbsp;Direct claim access, no need for lengthy legal action.</li>
	<li style="margin-left:15px; font-family:Aptos, Arial, Helvetica, sans-serif; font-size:12pt; color:#000000">Cost advantage:&nbsp;At approximately 1.8% of build cost, LDI is typically priced below the traditional 2% Strata Bond while offering broader protection.</li>
	<li style="margin-left:15px; font-family:Aptos, Arial, Helvetica, sans-serif; font-size:12pt; color:#000000">Market leader:&nbsp;&nbsp;Resilience Insurance originated LDI in Australia and is the national market leader.</li>
</ul>

Joel Robinson

NSW parliament passes 10-year defect insurance laws for new apartment buyers

Builder-developer <a href="https://www.apartments.com.au/developers/mcnab-developments">McNab</a> has wasted little time reshaping one of South Brisbane's most significant undeveloped apartment sites after acquiring the property earlier this year.&nbsp;

McNab has lodged plans to scrap an existing approval for two 30-storey towers and instead deliver a single 28-storey residential building, preserving part of the site for a future development opportunity.

The proposal, lodged over <a href="https://www.apartments.com.au/new-apartments/64-peel-street-south-brisbane-qld-4101">64 Peel Street and 9 Cordelia Street</a>, is for a residential-led mixed-use development comprising 124 apartments above a landscaped podium, alongside a boundary realignment that preserves part of the land for a future residential project.

<img alt="First look: McNab resets decade-old South Brisbane approval with 124-apartment tower" data-entity-type="file" data-entity-uuid="743bf564-3f8f-45fc-b8d3-bbf18f5b628f" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/mcnab%20Peel%20st%20podium.png?VersionId=EhCxGrVn_VFH3qTbKnI4WppGwaMnOn0t" />

Designed by <a href="https://www.apartments.com.au/architects/hayball">Hayball</a>, the development will deliver 119 two-bedroom and five three-bedroom apartments across 23 residential levels. A five-level podium will accommodate 135 car spaces, while the ground floor will include a 66 sqm commercial tenancy, an activated residential lobby with work-from-home spaces, and a publicly accessible landscaped plaza linking Cordelia and Peel streets.&nbsp;

Communal amenities will span Level 6 and the rooftop, including indoor and outdoor recreation spaces, a swimming pool, barbecue facilities, kitchen and dining areas, lawn space, sauna, steam room and yoga facilities.

The application also proposes a boundary realignment to create a standalone 1,290 sqm development lot while retaining an adjacent parcel for future redevelopment, allowing the balance of the site to contribute additional housing over time.

Hayball said the architecture has been shaped by the site's elevated corner position at the intersection of Peel and Cordelia streets and Brisbane's subtropical climate.

The design incorporates generous landscaped setbacks, a masonry podium wrapped with planting, large north-facing balconies, and a slender tower profile intended to maximise natural light, cross ventilation and long-range views. The rooftop has been conceived as a wellness-focused retreat overlooking Brisbane, with amenities positioned to capture views towards Mount Coot-tha and the CBD.

<img alt="First look: McNab resets decade-old South Brisbane approval with 124-apartment tower" data-entity-type="file" data-entity-uuid="c5f99e84-6ad8-4a87-82d1-869685b754d2" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/mcnab%20tower%20perspective.png?VersionId=Gw0IuJaSAlk.tvGBxInhZOcQAdIB..2b" />

The planning submission positions the proposal as a response to both changing market conditions and Brisbane's Kurilpa Sustainable Growth Precinct planning reforms.

McNab acquired the site after the previous approval was granted, with the existing scheme no longer reflecting current residential market demands, economic conditions, construction challenges, construction efficiencies or the quality of development outcome now being pursued, the planning report noted.

McNab continues to expand its residential development pipeline across Brisbane and the Gold Coast. The developer recently launched The Tannery in West End, securing more than 60 per cent of apartments before the project's public release. It is also delivering Elements Budds Beach in Surfers Paradise and Lucia Highgate Hill, an eight-apartment boutique development overlooking the Brisbane River.

McNab resets decade-old South Brisbane approval with 124-apartment tower

A steeply sloping Bellevue Hill site is set to accommodate a new mid-rise apartment development, with plans lodged for 20 homes that respond to the site's dramatic topography.

The proposal for the consolidated land at <a href="https://www.apartments.com.au/new-apartments/138a-140-bellevue-road-bellevue-hill-nsw-2023">138A-140 Bellevue Road</a> has been designed by Sydney architecture practice Common Office, which has used the site’s substantial fall to distribute the building’s scale and unlock 20 apartments without presenting the full height to the street.&nbsp;

“The unique design strategy leverages the site’s substantial topographical fall to facilitate increased density, presenting a seven-storey profile to Bellevue Road while rising to 10 storeys at the rear,” Common Office said in its architectural design report.

The apartment mix spans one, two, three- and four-bedroom residences. Four two-bedroom apartments are designated as affordable housing, while the plans also include two adaptable dwellings. The mix is majority three-beds, with the typical three-bed apartment offering around 144 sqm internally, with balconies of around 15 sqm.

The affordable housing component represents 15 per cent of the residential floor area and allows the project to access additional height and floor space under the NSW Government’s in-fill affordable housing provisions. The site also falls within the inner area of the Low and Mid-Rise Housing Policy because it is within 400 metres walking distance of Double Bay Town Centre.

<img alt="First Look: Plans lodged for topography-led affordable housing project in Bellevue Hill" data-entity-type="file" data-entity-uuid="b1230d0f-3bfa-4a11-abaf-0928c66ef345" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Bellevue%20da.png?VersionId=dZeMK3P.OutGjN8ycjsxm8uNsj_QFWQv" />

Common Office has arranged the building around a masonry podium and a lighter upper volume, drawing on two recurring elements of Bellevue Hill’s established architecture: sandstone bases and the vertical proportions of local Inter-war Art Deco apartment buildings.

“The proposal is governed by a holistic design language that reconciles the solid horizontal masonry of the neighbourhood’s podiums with the elegant verticality of its Art Deco heritage,” the architect said.

“The building maintains a consistent rhythmic logic utilising deep recesses and a sophisticated material transition to break down the 10-storey scale into a series of articulated, human-scale volumes.”

<img alt="First Look: Plans lodged for topography-led affordable housing project in Bellevue Hill" data-entity-type="file" data-entity-uuid="0147f503-1af1-4d51-97fb-c2f1cba63a9d" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Bellevue%20bldg.png?VersionId=GoW7q3NlK67OpnePXhk7zvklrlKb72Qc" />

Large-format sandstone tiles will define the lower levels, establishing a robust base that negotiates the change in elevation from Bellevue Road. Above, red-tinted precast concrete frames, recessed balconies, anodised aluminium screens and expanded metal details will create a more vertically expressed façade. Integrated planter beds will introduce greenery across balcony edges and recessed sections of the building.

The elongated northern façade has been divided into three recessed vertical masses to reduce its perceived length. Triangular window elements and metal privacy screens reference the geometry of nearby Art Deco buildings while controlling overlooking toward surrounding homes. The southern elevation will incorporate further privacy screening, landscaped edges and deep balconies to maintain light and ventilation.

<img alt="First Look: Plans lodged for topography-led affordable housing project in Bellevue Hill" data-entity-type="file" data-entity-uuid="e8679cf1-18bc-4447-8a0f-0052b94ab83c" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Bellevue%20da%20rooftop.png?VersionId=5SQqQqRFf76rvE2p1TbxJSweMN70AIbc" />

Private and communal landscaping is distributed throughout the development. A landscaped garden apartment is positioned within the lower portion of the site, while a communal terrace on Level 5 will include a central timber deck, barbecue facilities, resident planting plots and areas for outdoor dining and informal gatherings.

Common Office described the terrace as an elevated sanctuary designed to capture district views and sunlight. Its planting strategy incorporates endemic species associated with the Eastern Suburbs Banksia Scrub, extending the landscape vertically through the building and providing habitat for local flora and fauna.

A second communal outdoor area is proposed at roof level, with built-in seating, paved gathering areas and perimeter planting.

Bellevue Hill is enjoying renewed momentum in the new apartment market, with several boutique developments recently launched and currently under construction. Positive Investment Enterprise is delivering the 16-apartment Kew Palm House on Birriga Road, while Chanine Developments is also under construction at Florian, a 36-apartment project on Banksia Road.

&nbsp;

Bellevue Hill is enjoying renewed momentum in the new apartment market, with several boutique developments recently launched and currently under construction.

First Look: Apartment development pitched for Bellevue Hill, Double Bay fringe

South Brisbane's apartment pipeline continues to build momentum, with <a href="https://www.apartments.com.au/developers/trk-property-group">TRK Property Group</a> lodging plans for a 161-apartment tower on Montague Road as developers accelerate investment across the Kurilpa Sustainable Growth Precinct.

The proposal for 176–186 Montague Road would replace an existing office building with a 20-storey residential tower designed by <a href="https://www.apartments.com.au/architects/cox-architecture">COX Architecture</a>, adding to a growing pipeline of high-density projects reshaping one of Brisbane's fastest-evolving inner-city precincts.

The project has been conceived as a "living building", featuring a flowing tower form, extensive vertical landscaping, and generous communal spaces that respond to the evolving Kurilpa Sustainable Growth Precinct.

TRK Property Group Development Director Matt Kan said the project reflected the confidence developers have in South Brisbane's long-term future.

"South Brisbane is entering an incredibly exciting period, and we see Montague Road sitting right at the heart of that evolution," Kan said.

"With the former Visy site directly opposite us and significant investment planned throughout the broader Kurilpa precinct, there is a real sense of momentum around this part of the city and what it will become over the coming years.

"For TRK, this is an opportunity to be part of that next chapter and deliver a project that responds to where the precinct is heading, while contributing to the continued evolution of Brisbane's river edge."

<img alt="First look: TRK Property joins South Brisbane apartment surge with Montague Road tower plans" data-entity-type="file" data-entity-uuid="590fe1ad-f892-4446-a679-80e33a16d029" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/TRK%20tower%20facade.png?VersionId=uOJStrcKpyHFcPE1w6_9SMAFzVMCcZll" />

The scheme includes a mix of one, two, three and four-bedroom apartments, incorporating multi-purpose rooms in selected residences to provide additional flexibility for home offices or expanded living areas. The proposed mix comprises 15 one-bedroom, 13 one-bedroom plus MPR, 73 two-bedroom, 26 two-bedroom plus MPR, 30 three-bedroom, and four four-bedroom apartments.

Rather than adopting a conventional rectilinear tower, COX Architecture has developed a sculpted form inspired by the movement of the Brisbane River.

"The proposal has been designed by COX Architecture as a 'living building' that responds to the site's riverine setting, floodplain history and evolving urban context within the Kurilpa Sustainable Growth Precinct," the planning report states.

"The architectural form draws from the fluid nature of the Brisbane River, with a curved and undulating tower form that creates a varied architectural edge and avoids a conventional rectilinear tower expression."

The podium has also been designed as an architectural feature rather than a conventional parking structure, with cascading planting, screening and natural-toned materials softening its appearance. Resident parking is elevated above ground level to address the site's flood constraints, while habitable apartments sit above flood planning levels. Upper-level communal facilities are designed to accommodate shelter-in-place arrangements during major flood events.

<img alt="First look: TRK Property joins South Brisbane apartment surge with Montague Road tower plans" data-entity-type="file" data-entity-uuid="01fa15d0-90df-46c7-9555-7941fc45373c" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/TRK%20podium.png?VersionId=mHyua.w1pHGBt9qEdWzrlsv.leztUCwO" />

Communal amenity is a major focus of the proposal. Around 1,815 sqm of shared resident space is proposed across the ground floor, level 19 and the rooftop, including co-working areas, indoor and outdoor recreation spaces, wellness facilities, dining and gathering areas, lawn spaces, a rooftop pool and spa, and extensive landscaping. At street level, a landscaped forecourt and approximately 345 sqm of publicly accessible open space along Montague Road are intended to improve the pedestrian experience while activating the building's frontage.

The development will provide 163 car spaces, including 152 resident bays and 11 visitor spaces, together with 144 bicycle spaces incorporating resident storage, visitor parking, bicycle maintenance facilities and e-mobility charging infrastructure.

The site sits within one of Brisbane's fastest-changing inner-city precincts, less than two kilometres from the CBD and within easy reach of South Bank, West End, the Queensland Cultural Centre and extensive public transport connections. The Kurilpa Sustainable Growth Precinct planning framework is encouraging higher-density residential development to help meet Brisbane's housing supply targets while supporting walkable, transit-oriented neighbourhoods.

TRK Property joins South Brisbane apartment surge with Montague Road tower plans

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]

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

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?

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

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Two waterfront development sites in Canberra’s Yarralumla Bay have sold for a combined $1.78 million to the neighbouring Canberra Girls Grammar School.
Located on the shores of Lake Burley Griffin, Block 15, Section 17 sold for $860,000 while Block 16, Section 17 sold for $920,000.
The two sites are three kilometres from Capital Hill and five kilometres from Canberra City.
JLL managing director for ACT Andrew Balzanelli and JLL head of investment sales for ACT Greg Lyons handled the Land Development Agency offerings.
There were six registered bidders.
The Canberra Girls Grammar School (CGGS) principal Anne Coutts said the acquisition presented an exciting phase in the development as the school moves towards its 90th anniversary in 2016.
Picture of Canberra Girls Grammar School courtesy of AY Arktos/<a class="mw-mmv-license cc-license" href="https://www.propertyobserver.com.au/https://creativecommons.org/licenses/by-sa/2.5" target="_blank">CC BY-SA 2.5</a>.
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jchancellor-FAypfDUnLy

Canberra Girls Grammar School buys adjoining sites

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Most of what people think they know about real estate is misinformation.
It helps to explain why so many Australians who attempt property investment have a bad experience and sell out at a loss.
Most of the questions I get from people, at seminars or via email, spring from a misconceived notion of the state of play in real estate.
Common examples include:
<ul>
<li>“With house prices surging around Australia, do you think ….?”</li>
<li>“Now that the property boom is over, what …?”</li>
<li>“I want to buy property within 5 kilometres of the CBD to get the best growth, but ….”</li>
<li>“Given what we have a housing shortage, do you think  ….?”</li>
</ul>
Or the dumbest question of all: “When do you think the bubble will burst?”
There are myriad examples. It seems the depth of research achieved by most consumers is a scanning of newspaper headlines. Australians are adept at absorbing myths, misconceptions and misinformation from media sound bytes.
One of the greatest of real estate myths popped up last week. Like most pieces of misinformation in real estate, it was created by a press release from an organisation pushing its vested interest.
It sought to perpetuate the great furphy, much cherished by real estate agents, that you will always get a better sale price if you employ an agent, as opposed to selling privately. It was apparently based on a survey of the perceptions of real estate consumers.
This was self-serving nonsense which contradicted my own research and considerable experience in the market.
The opposite is true. Your best chance of getting a top price for your property is to sell it yourself. You will also save thousands in commissions and marketing costs. The only time you should engage an agent is when you don’t have the time to handle the marketing process yourself.
Part of the argument from the agency community is that when you employ a selling agent you gain their negotiating skills. This is a hilarious concept. I am still waiting for my first encounter with a real estate agent skilled in negotiating.
Another part of the argument is that agents are motivated to get you the best possible price, because they get more commission.
<blockquote>
The only time you should engage an agent is when you don’t have the time to handle the marketing process yourself.
</blockquote>
This, too, is nonsense. The only motivation of a selling agent is a fast sale. The faster the better. Their motivation is convincing the vendor to accept the offer on the table.
In terms of commission, the difference between a $450,000 sale price and $470,000 is negligible. It’s $20,000 worth of difference to the vendor, but only small change to the agent. The agent’s motivation is to get the vendor to accept the $450,000 offer quickly – not to work hard to get the buyer to lift their offer.
As a buyer, my toughest negotiations have always been with private sellers. They will fight tooth and nail to get their price. Most real estate agents, on the other hand, are pushovers. They just want a quick sale and will devote their energies to talking the vendor down in price, rather than trying to talk the buyer up.
So the typical scenario is this. The vendor wants $470,000 and the agent wins the appointment by telling the vendor they will indeed get $470,000, perhaps more. Then the agent will go to work on “conditioning” the vendor, which means acquainting them with the reality that their property really isn’t worth $470,000.
A potential buyer offers $420,000. The agent uses that to further condition the vendor. The agent’s motivation is, always, a fast sale. So the agent’s energy will be focused on getting the vendor to accept the low offer, rather than negotiating hard to convince the buyer to lift their offer. The former could mean a sale today, while the latter course could mean a sale weeks later, or no sale at all.
I know about this subject. One of the books I’ve published was on this very topic. I conducted a lot of research before writing it. And the overwhelmingly conclusion my research revealed was that private sellers get higher selling prices than do agents.
In my property buying career, I have never paid the asking price for a property marketed by an agent, always considerably less. I’ve never had to fight the agent. The agent has always taken my offer and worked on the vendor.
It shouldn’t be that way, but that’s the way it is.
Terry Ryder is the founder of <a href="https://hotspotting.com.au/" target="_blank">hotspotting.com.au</a>. You can <a href="https://mailto:ryder@hotspotting.com.au" target="_blank">email</a> him or contact him on <a href="https://twitter.com/hotspotting" target="_blank">Twitter</a>.
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terryryder-YECXbqmri2

You don't get a better sale price with an agent

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If you are a buyer, perhaps re-think your position.
The Inner Melbourne million dollar plus market is at its strongest levels in terms or bidders, sellers and action in three years. There is no evidence of an end in sight, despite the current mainstream media’s obsession with doom.
Yes, the market may change next week, but it hasn’t yet and your buying strategies need to be in sync with the current market (if you want to buy).
The Block is not real – it’s fairy tales and it’s not a true representation of the Inner Melbourne housing market – it’s a true representation of poorly thought out buying and selling procedures in the apartment market.
Below is the real market and we think real buyers know this.
We bought four last week (two off market) and missed a young buyer's home.
<ul>
<li>All bar one had competition and we have 12 auctions and negotiations next week (double Super Saturday). 
</li>
<li>We as James Buyer Advocates are experiencing significant client demand on good homes. The market right now is incredibly strong and robust and  the average amount of bidders per auction supports that again, as it has all year. 
</li>
<li>The long-term bidder average does not lie – if its consistently over two, then the market is strong and getting stronger – it’s all about buyer depth.</li>
</ul>
When will it end?
We have no idea, but it hasn’t ended yet.
Here is our good buyer plan till Christmas:
<ol>
<li>
Consider engaging a professional buying team. Break the ‘losing cycle’ and become a buyer … of a good home. Get on board your team, one that really understands property. No, not the accountant that always says don’t do it. Yes to an accountant that actually owns property, has his or her own wealth and is successful in business. No, not a financial planner that tells you to buy off the plan or ready made investments while they are trousering a big commission. Yes to a financial planner that understands and helps build your wealth through home ownership. No to a banker who’s name escapes you. Yes to a private banker or broker whom you have a longer term relationship with. No to a buyer advocate that can’t show you 50 similar homes they have bought, unless of course you want them to “learn” on your job. Yes to a good buyer advocate. But hold on, what about all those advocate fees? A good advocate can cost 1% – the market is moving more than that each month – bought two months ago and you are in front even after the professional fee. Plus, please do not think that many of your real competitors (other buyers in your price range) are not getting professional help. 
</li>
<li>
Consider a plan that works. Many people's plan revolves around a fear of paying too much. Too much last year is 15% below what you may have to pay now. 
</li>
<li>
Arm yourself with knowledge. Understand that you are not just embarrassing yourself when you bid without knowledge at auction, but you are also leaving yourself open to buying poorly. Being back on the market reselling your home in the near future is seven times more expensive (fees, stamp duty, reselling costs, interest) than the professional fee you may pay to buy well in the first place – and what about the emotional turmoil. 
</li>
<li>
You don’t trust the selling agent – in fact you know he stretches the truth, yet you use him to bid to buy your dream home because he is ‘free’. Do you think the selling agent from another company, will be helping your selling agent, help you buy well. Are you really thinking this through?</li>
</ol>
You have three to four more weekends of good stock before February.
Self interest in above comments – yes, no doubt. Self interest for us and self interest for you. That’s very different from a selling agent – self interest for them and their selling client, no self interest for you the buyer.
Mal writes weekly auction reports, advice and in-depth market analysis on <a href="https://www.jamesbuyeradvocates.com.au/" target="_blank">James' website</a>.
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maljames-vHwm28JUAa

Your buying strategies need to be in sync with the current market

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GUEST OBSERVATION
DIY property management seems simple – and it can be – until something goes wrong.
The reality is that not everyone has the skills, time and temperament to successfully manage their own investment, particularly one of this size and scale.
With 20 year's experience in landlord insurance, I can tell you that tenancies being self-managed by investors go pear-shaped more often than assets that are managed by a professional – they are subject to more claims.
Why? Tenants with a poor record deliberately target private landlords who don’t have access to industry databases recording people who have defaulted in the past.
Also, private landlords can be slower to see the danger signs of a tenancy that’s turning sour and may fail to nip problems in the bud.
Some are too understanding for their own good, letting unpaid rent add up and being slow to initiate eviction proceedings.
It’s not always the tenant’s fault – sometimes landlords also prompt anger by failing to live up to their obligations when it comes to repairs.
Still not convinced of the value of professional property management? Ask yourself these questions before going DIY:
<ol>
<li>Do I understand tenancy legislation? </li>
<li>Am I organised and a great record-keeper? </li>
<li>Do I know going rates in the market, and have the confidence to negotiate regular rent increases? </li>
<li>Do I have access to quality, reliable trades people? </li>
<li>Am I available to supervise trades people at short notice, if required? </li>
<li>Do I feel comfortable with the tenant having my phone number, and effectively being on call to them 24 hours a day? </li>
<li>How will I verify that tenants are who they claim to be? </li>
<li>How will I find out if tenants have previously been evicted or have a poor history? </li>
<li>Do I know the warning signs for a clandestine drug laboratory or marijuana grow house? </li>
<li>Am I organised and assertive enough to chase up late rent immediately? </li>
<li>What am I going to do to manage the tenancy if I go overseas or on holiday? </li>
<li>Could I bring myself to evict a family, or a person who has fallen on hard times? </li>
<li>Do I have the time, expertise and confidence to go to a tribunal and publicly argue my case, if necessary? </li>
<li>Will my landlord insurer cover me if I self-manage – and, if so, will the premium rise as a result? </li>
<li>How much will I save, after tax, by managing my property myself? </li>
<li>Is my time worth more, or better spent, on other priorities, once the potential stress is taken into account?</li>
</ol>
Sharon Fox-Slater is general manager of <a href="https://www.rentcover.com.au/" target="_blank">RentCover </a>landlord insurance, which insures more than 120,000 tenancies around Australia, and is a division of EBM Insurance Brokers.
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sfoxslater-oVy9VUHSz9

Should you go it alone in property management? 16 questions to ask yourself first

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Recently an enterprising young university student posed a direct question to Apartments.com.au:

<blockquote>
Your opinion on whether or not the Minister of Planning should have the power to approve projects over certain thresholds. For instance any building over 25,000sqm of gross floor area?

Should this legislation in the planning scheme be changed or reviewed considering the amount of development within this threshold is now more common than perhaps when the legislation was created? Also should local councils and other parties such as the Mayor of Melbourne or different lobbying groups from the public such as Save Our Suburbs be entitled to some input?
<cite>Adam Steel</cite>
</blockquote>

In light of the events of recent weeks this has become quite topical. I'm not going to talk on behalf of Apartments.com.au, but rather as an individual who's observed Melbourne's development scene for well over a decade and has gleaned more of an industry/developer perspective since Apartments.com.au's inception.

I'll also preface this piece by saying that once upon a time I masqueraded as an Economics student and certain habits die hard, hence my point of view on certain topics will no doubt be wildly different to other readers.

<h2>On the 25,000sqm threshold</h2>

There's always been a dichotomy between City of Melbourne (CoM) and the State Government on this issue - and there should be. CoM are naturally concerned about planning on a micro level as that is their charge but I've always perceived the State Government (irrespective of which party has been in power) to view development on a macro scale.

Whereas CoM focus far more on the intimacy of a project and what it means to City of Melbourne and its immediate residents/users, the State Planning Minister should factor in a variety of other concerns in addition to the worthiness of a given planning application. We live in a competitive world and yes domestic and foreign investment matters; if for instance CoM took a much sterner line with planning application approvals, would the construction and associated services employment sector be so buoyant?

External factors theoretically shouldn't apply to the merits of a planning application but in certain cases they are relevant, and that's the bigger picture that's swept away with talk of reverting control of planning applications back to CoM of other municipalities.

To scrap the 25,000sqm threshold and cede powers to City of Melbourne would be akin to stymieing the inner city's population growth and placing that burden elsewhere - an elsewhere which already excludes huge areas of inner Melbourne thanks to the new residential zones implemented during 2014. Consequently do we send residents to the urban fringes to exist without living or simply say we're full, go away. The latter on many levels is harmful to the economy.

It is to a degree a simple supply and demand equation in which Melbourne and surrounding areas such as Fishermans Bend, Docklands and Southbank must carry the burden of population growth - a point which I've heard countless times from planners and architects recently. To quote a hapless man we are beyond the rubicon - the new residential zones equates to inner Melbourne committing itself irrevocably to a higher density formula of living.

For City of Melbourne and the Lord Major to seek to repeal the 25,000sqm threshold is a self serving position, but highly likely to the Government of the day dismissing the notion out of hand.

<h2>A case in point</h2>

In response to the City of Melbourne 2014 State Election Questionnaire, Leader of the Victorian Greens Greg Barber responded with the following

<blockquote>
Question 1: Will you remove the 25,000 sqm threshold where the Minister for Planning becomes the Responsible Authority for planning applications, returning Responsible Authority status to the City of Melbourne?

YES. Under the old parties, planning ministers have been given successively greater powers to ride roughshod over local governments and community groups. These fast and loose laws have let Matthew Guy approve poorly planned developments with no consultation. The role of assessing planning applications should sit with Council as it does in other municipalities.
</blockquote>

Did I miss something here? No consultation? That is a flawed comment on a number levels and is typical of the politicisation of the planning process. I get the distinct impression if the Greens had their way every person and their dog would be sought for comment on any given planning application - economic realities dictate this is bad for generating and/or maintaining investment.

Assume for one moment it came to be that CoM regained power for approval over all planning applications. Almost instantly investment and growth would be hamstrung as fewer developments would be approved. An assumption yes but even the perception of a less that workable planning system means certain developers will neglect the market in favour of other cities etc. - that is fact.

<figure><a class="colorbox colorbox-insert-image" href="https://res.cloudinary.com/dz9xllyip/image/fetch/q_auto:good/https://s3-ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/pictures/article-images/image4_1.jpg" rel="gallery-all" title="Depending upon what you read, this could be the impression you get"><img alt="" class="image-article-full-width-580px" height="420" src="/sites/urbanmelbourne.info/files/styles/article_full_width_580px/public/pictures/article-images/image4_1.jpg?itok=WW5lYezZ" title="Depending upon what you read, this could be the impression you get" width="580"></a>

<figcaption>Depending upon what you read, this could be the impression you get</figcaption></figure><h2>A change in legislation?</h2>

Quite simply, no! I find the criticism of Matthew Guy in recent times excessively hard to swallow, particularly with The Age and their incessant use of Michael Buxton as a means of attacking the incumbent Planning Minister. Quite simply Matthew Guy has presided over an unparalleled period of inner-city growth in Melbourne's history.

To suggest it is his fault for approving more towers as if he were solely responsible for initiating the increased number of planning applications beyond 25,000sqm is farcical. Those increased applications are a function of the free market in which local or overseas developers make their own assessments and proceed with projects as they see fit.

Stripping away any political overtones the ultimate question is this: would this even be an issue if Melbourne maintained its previous level of planning applications rather than the heightened current number? Most people would answer no so therefore if it was in fact an issue previously why wasn't it brought up in preceding years?

<h2>Giving the little person their say</h2>

Well the heading is an oversimplification somewhat. Local councils (where applicable) and the Lord Major (regarding CoM) do have the means to address a planning application if it's the responsibility of the State. In the case of the latter this is done more so by City of Melbourne's planning officers which provide reports to State planning body DTPLI/Planning Minister via CoM's Future Melbourne (Planning) Committee.

As for lobby groups such as Save Our Suburbs or Fishermans Bend Network having a say on specific planning applications; more times than not that is an exercise in futility! These groups are far better served being given an official voice in shaping the development parameters for an urban renewal area or suburban activity centre prior to its commencement.

In this way they can shape an area from its outset with requests for certain infrastructure or community space or education requirements. Fishermans Bend Urban Renewal Area would have benefited greatly from its inception by having community groups lay out their vision early days rather than question every planning application thereafter as being too tall or some such.

<figure><a class="colorbox colorbox-insert-image" href="https://res.cloudinary.com/dz9xllyip/image/fetch/q_auto:good/https://s3-ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/pictures/article-images/710c_05_edit.png" rel="gallery-all" title="Upsizing doesn't necessarily mean approval. Image courtesy Laurence Dragomir"><img alt="" class="image-article-full-width-580px" height="272" src="/sites/urbanmelbourne.info/files/styles/article_full_width_580px/public/pictures/article-images/710c_05_edit.png?itok=iPywBe0K" title="Upsizing doesn't necessarily mean approval. Image courtesy Laurence Dragomir" width="580"></a>

<figcaption>Upsizing beyond 25,000sqm doesn't necessarily mean approval. Image courtesy Laurence Dragomir</figcaption></figure><h2>The system works</h2>

To put the topic in the most basic of terms, the current system is not perfect but it does work exceedingly well. Recent big ticket planning application refusals such as <a href="/developments/docklands-vic-3008">710 Collins Street</a> (rendered above) and <a href="/buildings/avant-60-abeckett-street-melbourne">54-64 A'Beckett Street</a> demonstrates we are not in a state of planning carte blanche. The key to this argument is to have as much relevant information on hand as possible in order to make a considered opinion.

To that end my opinion is simply that, I'd like to hear yours...

You can read co-editor Alastair Taylor's <a href="/expert-insights/buying/25-000sqm-threshold-yes-it-is-time-to-review-it">view on the same topic</a>.
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silvermb

State Ministers and the 25,000sqm threshold: is it time for a review?

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While the national median house price was up by 1.2% for the September quarter, it was largely due to Sydney's price growth, according to Australian Property Monitors PriceFinder data.
Domain Group senior economist Andrew Wilson said the national result, the lowest since March 2013, was bolstered by Sydney's performance.
House prices were down in Brisbane, Adelaide, Perth, Canberra and Hobart (click to open in new window).
<a href="/images/2014/10/23/apm-oct-23-one.jpg" target="_blank"><img src="/images/2014/10/23/apm-oct-23-one.jpg" alt=""></a>
<a href="/images/2014/10/23/apm-oct-23-two.jpg" target="_blank"><img src="/images/2014/10/23/apm-oct-23-two.jpg" alt=""></a>
Source: Australian Property Monitors.
"Surprisingly, the Brisbane house price stalled over the September quarter with the median down by 1.3% which is the first negative quarterly result for more than two years," Wilson said. Brisbane's median house price now sits at $473,924.
"Adelaide and Hobart also reversed recent trends of house price growth, recording their first falls in a year."
Perth's median house price decreased by 1.5% in the quarter to $604,882.
"Subdued prices growth in Perth was no real surprise as that market has consistently reported waning buyer activity over the past year," said Wilson.
Canberra's dropped by 1.7%, from $583,473 to $573,326.
The results were mixed for the three cities where house prices increased for the quarter: Melbourne, Sydney and Darwin. While Darwin's house prices were up by 2.9%, Melbourne saw softer growth of just 1%, the weakest growth result recorded by APM Pricefinder for two years.
<a href="/images/2014/10/23/apm-oct-23-three.jpg" target="_blank"><img src="/images/2014/10/23/apm-oct-23-three.jpg" alt=""></a>
Source: Australian Property Monitors.
"Price growth in Melbourne is clearly trending downwards with declining market energy also confirmed recently by falling auction clearance rates and home loans," explained Wilson.
"An underperforming local economy is increasingly providing an impediment to housing market activity and unemployment is tracking at 12-year highs."
Sydney's median house price increased by 3.8% for the quarter to $843,994. The September quarter price is up 16.6% on a yearly basis.
"Although house prices in Sydney are not accelerating at the exceptional levels recorded last year, the growth rate has been consistent over 2014.
"The Sydney market will continue to lead the pack, however, the clock is now ticking for that market as further signs of moderation are emerging," he said.
"The still solid local economy is a key factor behind Sydney's price growth, however, recent signs of continuing moderation in the market are emerging as affordability barriers and low incomes growth constrain buyer activity," Wilson noted.
"Auction clearance rates have fallen and ABS home loan data indicates that although activity remains solid to strong, growth rates are diminishing - particularly from investors who nonetheless remain significant contributors to market activity."
Unit prices fell in every capital city but Sydney and Adelaide, where a 1.6% price increase and a 0.3% rise were recorded respectively.
"Without a sustained revival in economic activity, housing markets will continue to soften, ending the debate about macro-prudential tools or changes to property taxation policy designed to offset local and foreign investor activity," said Wilson.
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jrichardson-uRX5hFdKfN

Sydney strength drags along slowing house prices: APM

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The Real Estate Institute of New South Wales (REINSW) is urging the New South Wales state government to reconsider land taxes on Sydney's Oxford Street.
According to REINSW president Malcolm Gunning, businesses on the retail and hospitality strip are struggling after a clearway was put into place.
"In recent years there has been a significant decline in this important commercial area," said Gunning.
"Sydney and Woollahra Councils are pouring money into revitalising the strip. It is now time for the state government to recognise the problems.
"REINSW is going to ask the Valuer General to take a look at disproportionate land taxes, which need to be reduced in order to revitalise Oxford Street," he said.
"Land taxes haven't fallen like the rents have because they are based on raw land value and building potential and do not take into account the heritage conditions associated with Oxford Street."
Gunning asserts that some tenants pay land tax which is 50% of the value of their rent.
The REINSW also claims traffic pollution has increased since the clearway was implemented.
"It is essential that Oxford Street rises again," said Gunning.
Photo courtesy of J Bar/<a class="mw-mmv-license cc-license" href="https://creativecommons.org/licenses/by-sa/3.0/" target="_blank">CC BY-SA 3.0</a>.
 
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REINSW calls for land tax cuts on Oxford Street

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Industrial property has been on a high growth trajectory, with many investors beefing up the industrial aspect of their commercial property portfolio, according to Colliers International’s research director Mark Courtney.
Courtney explains that the increasing scale of distribution centres and warehouse facilities, combined with strengthening returns in industrial property is pleasing for investors holding the assets.
"Major industrial markets have experienced consistently strong levels of investment at around $2.6 billion for industrial investment sales, above $5 million per annum in recent years," said Courtney.
However, is this growth trend expected to continue?
Currently, from an investment perspective, industrial property is a clear leader among commercial property, according to June quarter 2014 Investment Property Databank statistics.
Total returns have strengthened since December 2012, with an 11.7% increase in industrial total returns, compared to 11% result achieved in retail and the 9.6% return for office properties.
There was a 12.1% result in the June quarter, the highest quarterly increase since March quarter 2008, according to Colliers International's Industrial Second Half 2014 report. This high returning environment is what Colliers believes to be the primary factor driving industrial acquisitions from all types of buyers.
<img src="/images/2014/10/22/chart%20oct%2022%20two.jpg" alt="">
“The strength of these returns suggests a positive trend going into 2015,” the report notes.
Here’s Colliers’ state by state rundown of the industrial markets:
Sydney
<ul>
<li>Real Estate Investment Trusts (REITs) have been prominent in the second half of 2014. 
</li>
<li>Scarcity of stock has led to intense competition among institutional investors for prime assets. 
</li>
<li>Domestic buyers dominate investment activity. 
</li>
<li>Strong sales volumes in 2014 year to date. 
</li>
<li>Private groups strongly buying industrial land and assets over the period. 
</li>
<li>Sydney South had the greatest transactional volume by value (residential highest and best use draw card may have been a contributing factor).</li>
</ul>
Melbourne
<ul>
<li>City fringe industrial market is becoming more tightly held (due to residential rezoning and the closure of Holden and Toyota facilities). 
</li>
<li>Northern market investment sentiment is buoyant for industrial property, mainly for prime and secondary investments. 
</li>
<li>North institutional appetite is still strong.</li>
</ul>
Brisbane
<ul>
<li>Institutions have maintained their interest in the market. 
</li>
<li>Fife Capital and 360 Capital Industrial Fund strengthened their holdings, buying in the south-west. 
</li>
<li>Blackstone, Australia TradeCoast and the Industrial REIT  made investments in south Brisbane.</li>
</ul>
Adelaide
<ul>
<li>Institutional investors active, including Cromwell, Charther Hall and 360 Capital buying over the past two years. 
</li>
<li>Total sales value boosted by Goodman's sale of Coles distribution centre in Burton (at $153 million to Charterhall, this was the largest industrial transaction ever seen in Adelaide)</li>
</ul>
Perth
<ul>
<li>Demand coming from wide buyer spectrum. 
</li>
<li>Private investors, in particular, are prominent.</li>
</ul>
<img src="/images/2014/10/22/chart%20oct%2022%20one.jpg" alt="">
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jduke-EHk3XBmHkn

Will industrial property continue to perform?

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An industrial unit is the Brisbane suburb of Nundah has changed hands for $2.47 million.
The 2,355 square metre building at 2 Jenner Street, which is 8 kilometres north of Brisbane, has a 1,503 square metre warehouse plus a 785 square metre open plan office zone.
The property is fully leased to a rag trader with a rental return of $25,000 a year, reflecting a yield of 8.6%.
Dan Costello of Ray White Industrial Milton handled the sale.
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andreadixon-oif3j7eKne

Nundah industrial unit sells at 8.6% yield

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The commercial component of a new three level building development at 69 Canterbury Road in Canterbury has been sold.
Gray Johnson agent Scott Ashby secured $485,000 for the ground floor 74 square metre space inclusive of two car spaces.
The buyer is a medical consulting group who intend to use the property for their own occupation. 
The development has two luxury apartments on each of the two upper levels. 
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