High-profile apartment defect cases have changed the way many NSW buyers approach purchasing, putting greater scrutiny on building quality, strata records and the parties behind a development before a contract is signed.

The industry buyers are assessing today, however, is also different from the one in which cases such as Opal Tower and Mascot Towers emerged.

NSW has introduced a series of regulatory measures aimed at strengthening oversight of apartment construction, including Building Commission NSW, the Residential Apartment Buildings Act 2020 and the Strata Building Bond and Inspections Scheme. Under the latter, developers are required to lodge a bond, with independent inspections forming part of the process for identifying defects in new strata developments.

Those changes provide another layer of protection, but they haven't removed the importance of buyer due diligence.

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For purchasers considering an apartment, that means looking beyond the residence itself. Building and strata history, strata reports, the track record of the builder and developer, the condition of common property and any known or planned expenditure by the owners corporation can all form part of assessing a building before purchase.

Whether the development is already complete can also materially change what can be assessed.

An off-the-plan purchaser is necessarily buying before the finished product exists. A completed apartment, by comparison, can be walked through before contracts are signed, allowing the purchaser to see the finishes, common areas and broader building as they have actually been delivered rather than relying solely on plans and renders.

It also removes exposure to some of the uncertainties that exist between an off-the-plan purchase and completion, including construction delays, cost pressures and builder insolvency during the delivery period.

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<a href="https://www.apartments.com.au/project-marketer/equitifund-group">Projects by Equitifund</a> National Sales Director Ben Hamblett said that greater focus on tangible evidence is increasingly evident among apartment purchasers.

“The biggest shift we're seeing is buyers wanting proof, not promises,” Hamblett said.

“That's exactly why we deal in completed stock - you can inspect the building before you commit - and why we've backed every purchase with a cash bond against special levies.”

At <a href="https://www.apartments.com.au/buildings/the-lennox-parramatta-12-phillip-street-parramatta-nsw-2150">The Lennox</a> in Parramatta, that emphasis on a completed, inspectable product is already in place.

The 413-apartment, 46-level tower at 12 Phillip Street is being marketed by Projects by Equitifund, allowing prospective purchasers to inspect the residences, common areas and resident facilities before committing.

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The Lennox also introduces another layer to the due-diligence conversation through Strata Surety.

The vendor-funded arrangement provides purchasers with a cash-backed bond held in their own solicitor's trust account from settlement. According to Equitifund, the bond covers any special levy raised during the applicable cover period and is provided at no cost to the purchaser.

Special levies can create an unexpected cost for apartment owners where an owners corporation needs funding beyond its existing strata contributions. Under NSW strata law, a special levy requires approval by owners at a general meeting.

Equitifund Executive Chairman Greg Huxley said Strata Surety was designed to provide something more concrete than reassurance about that potential exposure.

“Buyers have every right to ask hard questions about strata risk - the industry has given them plenty of reasons to,” Huxley said.

“Our answer isn't a reassurance, it's a bond. Strata Surety puts real money behind that confidence, held by the buyer's own solicitor, not by us.”

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For The Lennox, its completed status also means purchasers can assess not only the apartment itself, but a building that has already been occupied and operating for several years.

Completed in 2021, the $300 million development, designed by <a href="https://www.apartments.com.au/architects/marchese-partners">Marchese Partners</a>, comprises one, two, three and four-bedroom apartments, with open-plan living areas extending to private balconies. Interiors incorporate engineered timber flooring, stone benchtops and integrated appliances, while many upper-level residences have views across the river and surrounding district.

Its established amenity can similarly be inspected in operation. Resident facilities include the Watermark precinct with a 20-metre pool, outdoor terrace, barbecue areas, gym, fitness studio and conference room, while ground-floor retail addresses the river walk and surrounding public space.

The Lennox is also home to the Southern Hemisphere's first fully robotic residential car park, which has now operated for several years. Its nine-level basement combines three conventional parking levels with six automated levels, accommodating 327 vehicles using technology from German firm Lödige Industries.

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The riverfront address puts The Lennox close to much of central <a href="https://www.apartments.com.au/developments/parramatta-nsw-2150">Parramatta</a>'s existing infrastructure, including Parramatta Station, Westfield Parramatta, Parramatta Park, and the Church Street dining precinct.

The remaining apartments form part of a limited release secured by Equitifund, following the sale of the majority of residences before and shortly after completion.

The regulatory environment around NSW apartment construction has changed considerably since the defect cases that reshaped public discussion around the sector. For purchasers, however, regulation is only one part of the equation. The ability to investigate a building's history, review its strata position and, where possible, inspect what has actually been delivered remains central to making an informed apartment purchase.

At The Lennox, its completed status provides that opportunity before contracts are signed, while Strata Surety adds a financial backstop against special levies beyond the protections already provided under NSW strata law.

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Joel Robinson

Buying with confidence: What NSW apartment buyers should check beyond the defect headlines

Too often, heritage buildings become the podium for a contemporary tower. At <a href="https://www.apartments.com.au/new-apartments/623-collins-607-623-collins-street-melbourne-vic-3000">623 Collins</a>, <a>Sterling Global</a> challenged its design team to reverse that process.

The brief to <a href="https://www.apartments.com.au/architects/plus-studio">Plus Studio</a> was deliberately simple: "Don't design around the heritage. Design from it." It became the philosophy behind a project that draws inspiration not only from two landmark heritage buildings, but from Collins Street itself, a street layered with architectural history and civic significance.

That philosophy has shaped one of <a href="https://www.apartments.com.au/developments/melbourne-vic-3000">Melbourne</a> CBD's most considered residential projects, where the 1924 State Savings Bank and neighbouring Batman's Hill Hotel have become the architectural foundation for 623 Collins rather than remnants preserved beneath a new development.

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Rather than approaching the site as a blank canvas, <a href="https://www.apartments.com.au/developers/sterling-global">Sterling Global</a> saw the existing buildings as the beginning of the story.

"Sites like this rarely become available," the developer said.

"623 Collins wasn't simply an opportunity to develop a prominent CBD site. It was an opportunity to restore and reimagine one of Melbourne's important heritage landmarks while contributing to the continued evolution of Collins Street. For us, the existing buildings weren't constraints. They were the beginning of the story."

Instead of mimicking the ornate heritage architecture, Plus Studio studied the proportions, rhythm and craftsmanship of the original buildings before translating those characteristics into a contemporary 42-storey tower.

[smartcode_project:default project_id=145324 project_image_fid=372748]

"The brief challenged us to create a contemporary landmark that respected Melbourne's architectural history without becoming nostalgic," Plus Studio said.

"Rather than mimicking heritage, we sought to understand its proportions, rhythm and material language before translating those qualities into a distinctly contemporary architectural expression."

The practice says the State Savings Bank and Batman's Hill Hotel became the project's primary source of inspiration, allowing the heritage buildings and contemporary architecture to exist "in conversation rather than contrast." Generous planted terraces further soften the transition between old and new, creating elevated green spaces while reinforcing the dialogue between the restored podium and the contemporary tower.

That dialogue continues throughout the interiors, where Melbourne designer Fiona Lynch developed a material palette inspired by the idea of alchemy, balancing contrasting materials that reference both the Neo-Grec detailing of the original bank and contemporary urban living. The result is a series of spaces that feel timeless rather than trend-driven.

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The project will deliver 316 residences across four collections, Heirloom, Signature, Reserve and the Penthouse Collection, with each responding differently to its position within the building, from the restored heritage podium through to the upper levels of the tower. The Heirloom Residences retain defining heritage elements including original heritage windows, generous proportions and high ceilings, while the tower introduces contemporary homes with expansive layouts and elevated views.

Amenities have likewise been designed to support long-term city living rather than short-stay convenience. Residents will have access to concierge services, wellness facilities including a pool, cold plunge, sauna, steam room and gym, alongside private lounges, entertaining spaces and dedicated resident clubs.

Sterling Global says that approach is resonating with buyers seeking permanence rather than novelty.

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According to the sales team, purchasers are looking for enduring architecture, generous floorplans, heritage character and long-term value, with many commenting that 623 Collins "doesn't feel like another apartment development" because of the way the architecture has been curated around the site's history.

Situated on the prominent corner of Collins and Spencer streets, the project occupies one of Melbourne's most recognisable gateway sites, marking the western entrance to the city's best-known street. For Sterling Global, it also reflects a broader shift in city-making.

"Rather than maximising development yield, the project embraces adaptive reuse as a design philosophy, allowing heritage to inform architecture, interiors and the overall resident experience," the developer said.

"The result is a building that feels uniquely connected to Melbourne."

[smartcode_project_cta:default project_id=145324]

How Sterling Global designed 623 Collins from Melbourne's history

Avant Townhomes is adding to Ivanhoe’s family-sized housing options with <a href="https://www.apartments.com.au/new-townhouses/three-82-ivanhoe-382-upper-heidelberg-road-ivanhoe-vic-3079">Three 82</a>, a collection of just 16 four-bedroom townhomes on Upper Heidelberg Road.

The <a href="https://www.apartments.com.au/developers/intrapac-property">Intrapac Property</a> townhome division has taken a contemporary approach to the traditional family home, pairing larger floorplans with the lower-maintenance format of a townhouse.

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Designed by <a href="https://www.apartments.com.au/architects/arcadia-studio">Arcadia</a>, with landscaping by Landsite, the homes feature generous open-plan living and dining areas that connect directly to outdoor spaces, with layouts also designed to maximise natural light and privacy.

Natural stone is used throughout the interiors, including in kitchens that pair stone surfaces with bespoke cabinetry, considered storage and SMEG appliances.

The four-bedroom layouts include built-in wardrobes and a main bedroom with its own ensuite, while family bathrooms service the additional bedrooms. Each home also includes a lock-up double garage and intercom entry.

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Energy efficiency has been incorporated into the design through solar panels, double glazing and reverse-cycle heating and cooling, with the homes targeting 7-star energy ratings.

Rather than incorporating extensive communal facilities, Three 82 has been conceived around private residential amenity, with the 16-home scale keeping the focus on individual homes and their own indoor and outdoor spaces.

The development is located at 382 Upper Heidelberg Road, around one kilometre from Ivanhoe Village's cafés and retail and a short drive from Eaglemont Station and Ivanhoe Station.

[smartcode_project:default project_id=152069 project_image_fid=374393]

Several of Ivanhoe's established schools are also nearby, including Ivanhoe Girls' Grammar and Ivanhoe Grammar School. The address also provides access to the suburb's parklands and the wider Yarra River corridor.

<a href="https://www.apartments.com.au/project-marketer/nelson-alexander">Nelson Alexander</a> has been appointed to handle sales.

Construction is underway and progressing well, with Three 82 currently tracking toward completion in Q2 2027.

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Three 82 brings boutique four-bedroom townhome collection to Ivanhoe

Builder-developer&nbsp;<a href="https://www.apartments.com.au/developers/graya">Graya</a> has secured a prime Newstead site from fellow developer Fraser, subsequently lodging plans for The Silo, a major mixed-use residential project in Newstead designed around a new public laneway linking the James Street precinct with the wider Gasworks and Newstead neighbourhood.

Proposed for the corner of Chester and Morse streets, the <a href="https://www.apartments.com.au/architects/bureauproberts">Bureau^Proberts</a>-designed project places its strongest emphasis at ground level, where retail, landscaping and a new cobblestone pedestrian connection would open the site to the surrounding neighbourhood. The design team describes The Silo as “more than a residential building”, positioning the development as an extension of Newstead’s public realm rather than a standalone apartment tower.

“A new cobblestone laneway and landscaped connection between James Street and Gasworks unlock a missing pedestrian link, improving walkability and stitching together two of Brisbane’s significant urban destinations,” Bureau Proberts said in its Urban Design Report.

<img alt="First look: Graya plans The Silo as new pedestrian link between James Street and Gasworks" data-entity-type="file" data-entity-uuid="0ea1b06a-75f5-40a5-b2c5-33c97bc86052" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/silo%20bldg.png?VersionId=KmjsAtNePu57_B31EM_DJ5T6KPJHtcmo" />

The Silo is planned as a mixed-use development incorporating apartments alongside a bar and centre activities including food and drink outlets, indoor sport and recreation, office and retail uses.

Architecturally, Bureau Proberts has conceived the building as a collection of vertically expressed, stepping forms rather than a single uniform tower. The composition rises from an articulated podium before being broken by a triple-height landscaped recreation level, with the upper section becoming more compact before terminating in a landscaped rooftop garden.

The project's name and architectural language draw directly from Newstead's industrial history. Patterned off-form concrete is proposed as the principal façade material, complemented by slender metal rod balustrades and extensive planting. The cylindrical and vertically ribbed elements give the building its silo-like expression, while curved balconies and planted edges introduce a softer subtropical layer.

“The Silo reinterprets its robust forms, scale and materiality through a contemporary subtropical architectural expression, creating a building that acknowledges its industrial legacy, while responding to the way the precinct is occupied today,” Bureau^Proberts said.

The recreation level is one of the defining breaks in the tower. Plans include a lap pool, mature subtropical planting and shared resident facilities within an elevated communal garden. Landscaping continues through the podium and onto the rooftop, where a further garden forms what the architects describe as a “subtropical crown” to the building.

<img alt="First look: Graya plans The Silo as new pedestrian link between James Street and Gasworks" data-entity-type="file" data-entity-uuid="f8451036-35a4-49a9-8d88-2ef4438eba3d" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Silo%20Lane.png?VersionId=h8N31_rYmCEqoNrpt4kbYVQhJGZn60LH" />

At street level, the development has been designed to establish a more permeable block. Retail and hospitality tenancies address the public realm, while landscaped pedestrian spaces lead into the new laneway connection. Renders in the design report show the proposed “Silo Lane” as a substantial opening through the podium, framed by cylindrical concrete forms with cascading planting above.

The Silo continues Graya's move into larger apartment developments after building its reputation across high-end residential projects in Brisbane and the Gold Coast.

Graya buys Frasers Newstead site, plans The Silo between James Street and Gasworks precincts

<a href="https://www.apartments.com.au/developers/wickton">Wickton</a>’s completed Linacre Rise development in Hampton is giving Bayside downsizers the opportunity to move into a spacious apartment near the beach, with the developer covering stamp duty for a limited time.

The 27-residence development has been designed for buyers who want to simplify their living arrangements without giving up the space, warmth and quality associated with a long-term family home. Most apartments have already been secured by Bayside locals, leaving a select collection of two and three-bedroom residences and penthouses available.

Two-bedroom apartments are priced from $1.275 million, three-bedroom residences from $2.25 million and penthouses from $3.375 million, with the completed homes available to inspect and move into now.

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<a href="https://www.apartments.com.au/buildings/linacre-rise-hampton-8-10-linacre-road-hampton-vic-3188">Linacre Rise</a> occupies an elevated position on one of <a href="https://www.apartments.com.au/developments/hampton-vic-3188">Hampton</a>’s quiet, tree-lined streets, around 250 metres from the bay and 500 metres from Hampton’s village centre. Its setting gives residents access to the beach, local cafés, shops and Hampton Train Station while retaining the feel of an established residential neighbourhood.

Architecture and interiors by <a href="https://www.apartments.com.au/architects/ewert-leaf">Ewert Leaf</a> draw on the warmth and permanence of traditional brickwork, with the building integrated into terraced landscaping by <a href="https://www.apartments.com.au/landscape-architect/john-patrick-landscape-architects">John Patrick</a>. Ground-floor apartments are elevated above the street and include private garden courtyards, while several upper-level residences have generous balconies and outlooks toward the bay.

Inside, the residences favour natural materials and generous proportions. Herringbone-pattern European oak flooring, natural stone benchtops, premium joinery and Swiss V-ZUG appliances are among the key inclusions, while integrated storage has been incorporated across kitchens, bathrooms, studies and living areas.

The kitchens have been planned as practical spaces for both everyday use and entertaining, with substantial island benches, detailed cabinetry and adjoining dining and living zones. Full-height wardrobes, plush bedroom carpeting and carefully considered lighting reinforce the residential character Wickton sought to retain for buyers moving from larger homes.

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A Linacre Rise purchaser said the completed apartment had delivered the space, outlook and construction quality they had been seeking.

“The unit is very light, has views to die for over the bay, all construction materials and fittings are premium quality, we have secure parking for three cars, EV charging at very competitive rates, the neighbours are friendly and there is just a lovely ambiance about the place,” the purchaser said.

Environmental features include solar panels, shared electric vehicle charging stations, rainwater harvesting for toilet flushing and landscape irrigation, double-glazed windows and water-efficient fixtures and appliances.

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The development was built by Balmain &amp; Co, with Wickton managing the broader development process through its in-house team.

For downsizers, the project’s completed status removes much of the uncertainty associated with buying off the plan. Purchasers can inspect the finished apartments, understand their outlook and proportions, and move in without waiting for construction to conclude.

The remaining selection includes north-oriented balconies, corner configurations and penthouses with elevated bay views. The developer-paid stamp duty initiative is available for a limited time, with potential savings of up to $200,000 depending on the residence purchased.

[smartcode_project_cta:default project_id=95289]

Limited-time stamp duty offer at completed Linacre Rise apartments in Hampton

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?

For most Australians, buying an apartment is one of the biggest financial decisions they'll ever make

The location, floorplan and price are often the first considerations, but in recent years another question has become increasingly important: who is actually delivering the project?

A series of high-profile builder collapses, construction delays and defect concerns have fundamentally changed how many Victorians approach buying off the plan. The collapse of Porter Davis in 2023, which reportedly left around 1,700 homes unfinished, became one of the most visible examples of the risks that can emerge when a construction company fails. <a href="https://www.equifax.com.au/sites/default/files/lpassets/pdf/Final-Business-Market-Pulse-June-Sector-Deep-Dive-Report-2.pdf">Similar challenges across the broader construction sector</a> have left buyers asking more questions before signing a contract.

As Victoria continues encouraging higher-density housing to address supply shortages, transparency is becoming just as important as location or price.

One tool increasingly entering the conversation is the <a href="https://icirt.com/">Independent Construction Industry Rating Tool (iCIRT)</a>, an independent assessment framework designed to help buyers better understand the developer or builder behind a project. Originally developed by Equifax in consultation with government and industry as part of NSW's Construct NSW reforms, the system has since expanded nationally.

<h2 data-end="1519" data-section-id="7nmx3" data-start="1492">What is an iCIRT rating?</h2>

Most Australians are familiar with independent ratings in everyday life.

We compare ANCAP safety ratings before buying a car. We look at Health Star Ratings in supermarkets. Banks rely on credit assessments when lending money.

Until recently, however, there has been very little independent information available to help apartment buyers assess the business responsible for delivering a residential project.

That gap is what iCIRT was designed to address.

Builders, developers and other construction professionals with an iCIRT rating have demonstrated high-trust characteristics through an independent, evidence-based assessment across six criteria: Character, Capability, Conduct, Capacity, Capital and Counterparties. This involves a rigorous review of financial health, past project track record, and ethical conduct. Crucially, an iCIRT rating could help provide property buyers with confidence that they are working with a professional who has demonstrated the capability, capacity, and willingness to return and rectify issues.

Importantly, iCIRT is not a recommendation to purchase a particular property, nor is it a traditional credit rating. It is an independent assessment framework designed to provide objective information about a construction business using a <a href="https://icirt.com/sites/default/files/2025-08/iCIRT-Methodology-Issue1-May-2021.pdf">published methodology</a>.

The system has been widely adopted in New South Wales, where more than one-third of medium and large residential builders and developers now hold an iCIRT rating, representing over two-thirds of the state's residential building market by value as of 2025/26.

<h2 data-end="3126" data-section-id="h6ohtj" data-start="3084">Why buyers are doing more due diligence</h2>

For many buyers, particularly those purchasing off the plan, the biggest risk isn't whether they'll like the kitchen finishes.

It's whether the project will be delivered on time, to the expected quality, and by a company capable of completing the development.

<a href="https://icirt.com/sites/default/files/2026-07/iCIRT%202025%20Consumer%20Survey%20Report%20v05.pdf">Consumer research commissioned by iCIRT</a> found more than half of respondents believed current protections do not adequately safeguard buyers from builder insolvencies or defective projects. Other research found 88 per cent of prospective buyers would seek independent ratings or due diligence before purchasing, while 90 per cent said trust in construction professionals is essential.

That doesn't mean buyers should rely on a single rating alone.

Independent legal advice, understanding the contract, and seeking financial advice all remain important parts of the due diligence process.

However, an independent assessment can provide another source of information alongside those traditional checks.

<h2 data-end="4138" data-section-id="pquzxc" data-start="4094">Trust is becoming a competitive advantage</h2>

The conversation isn't only changing for buyers.

Developers are also recognising that trust has become an increasingly important part of the sales process.

Five years ago, purchasers typically asked about floorplans, finishes and settlement dates.

Today, sales teams are increasingly being asked about the developer's experience, financial stability, previous projects and construction partners.

For companies with strong governance and established delivery records, an independent iCIRT rating provides another way to demonstrate those credentials before buyers even visit a display suite.

According to Equifax, the assessment can also help businesses drive sales and <a href="https://icirt.com/resources-for-business/icirt-rating-helps-scion-secure-high-value-projects">secure high-value projects</a>, as well as identify operational improvements and <a href="https://icirt.com/resources-for-business/mirvac-reinforces-brand-trust-and-quality-independent-icirt-rating">attract top talent</a>.

<h2 data-end="4962" data-section-id="1j54ng5" data-start="4912">Beyond buyers: lenders are paying attention too</h2>

The influence of independent construction ratings is also extending beyond consumers.

According to Stamford Capital's Real Estate Debt Capital Markets Survey, an increasing number of lenders now incorporate iCIRT ratings into their due diligence processes when assessing residential development finance applications.

The survey found lender adoption has continued to rise, with many respondents saying independent assessments provide additional insight into governance, counterparties and delivery capability beyond traditional financial analysis. Some lenders also reported declining funding applications where businesses had poor or no ratings.

As construction costs remain elevated and access to development finance becomes more selective, demonstrating credibility is becoming increasingly valuable.

<h2 data-end="5801" data-section-id="1qazuxs" data-start="5772">What it means for Victoria</h2>

Victoria's apartment market is entering a new phase.

The state is seeking to accelerate higher-density housing while simultaneously introducing reforms aimed at improving confidence in residential construction.

For buyers, that means there are more tools available than ever before to research the businesses behind a project.

For developers, it signals that transparency is becoming another point of differentiation in an increasingly competitive market.

Buyers are asking more questions than ever before and increasingly expecting independent information, not just marketing material, before making one of the biggest financial commitments of their lives.

Find out how to get iCIRT rated <a href="https://www.icirt.com/sites/default/files/2025-08/iCIRT-Infographic-Assessment-Process-Final.pdf">here</a>.

<hr data-end="6469" data-start="6466" />
The information contained in this article is general in nature and does not constitute personal, financial, legal or tax advice. It does not take into account your personal objectives, financial situation or needs. Therefore, you should consider whether the information is appropriate to your circumstances before acting on it and, where appropriate, seek independent professional advice.

This article contains links to third-party websites. These links are provided for convenience only. Equifax Australia does not control and is not responsible for the content, accuracy or privacy practices of external sites.

Copyright © 2026 Equifax Australia Information Services and Solutions Pty Ltd. All rights reserved.

Buying off-the-plan in Melbourne? How independent iCIRT ratings are set to change Victorian property

<html><body>
Piccolo’s Upper House apartment complex has secured the sale of 70% of the 110 apartments only 10 weeks after marketing began.
<img src="/images/stories/2012/10/upperhouse6.jpg">
“This is a project that inspires confidence and buyers have responded to the quality offering without delay,” says Tim Storey, Colliers International managing director of residential.
<img src="/images/stories/2012/10/upperhouse.jpg">
The Piccolo Development group initially reported in late October that it had secured the sale of half of the 110 apartments.
<img src="/images/stories/2012/11/upperhousedrawing.png">
Piccolo Development has engaged Hamilton Marino Builders to construct the complex from early 2013.
<img src="/images/stories/2012/10/upperhouse2.jpg">
The Upper House façade was designed by Jackson Clements Burrows Architects.
<img src="/images/stories/2012/10/upperhouse4.jpg">
“Piccolo are dedicated to creating landmark properties that are timeless, unique and inspiring,” says Piccolo Development director Michael Piccolo.
Upper House is located at 516-520 Swanston Street, <a target="_blank" href="/news">Carlton</a>, and comprises two distinctive components, The Cloud and The Podium.
<img src="/images/stories/2012/10/upperhouse5.jpg">
The Cloud apartments float above The Podium apartments.
The Podium offers 60 one-bedroom apartments and 30 two-bedroom apartments.
<img src="/images/stories/2012/10/upperhouse3.jpg">
Apartments in The Podium start from $380,000.
The Cloud offers 20 two-bedroom apartments starting from $700,000.
Due for completion in 2014, Upper House apartments are being sold by Melissa Hall from Colliers International.
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Piccolo’s Upper House Carlton apartment complex secures 70% sellout after 10 weeks

<html><body>
Australand and Citta Property Group have sold 17 apartments so far at The Green Parkville, the final phase of the landmark residential development at the original Parkville Gardens.
The Green Parkville offering was officially launched in late September.
<img src="/images/stories/2012/11/thegreen3.jpg">
Located four kilometres from Melbourne CBD, The Green <a href="/news">Parkville </a>apartment precinct sits directly opposite the village oval.
The development site was a former psychiatric hospital that later became the athlete’s village for the 2006 Commonwealth Games.
The latest off-the-plan offering is 57 one-, two- and three-bedroom apartments.
<img src="/images/stories/2012/11/thegreen2.jpg">
SJB Architects focused on three main forms including the cube in its five-storey apartment building.
One-bedroom apartments start from $355,000, two-bedrooms from $455,000 and three-bedroom from $645,000.
Each residence has a car park space and bike storage.
<img src="/images/stories/2012/11/thegreen1.jpg">
The Park Club community facilities are exclusive to residents with a 25-metre indoor lap pool, gymnasium, function and theatre room.
The Parkville Gardens project was marketed as a modern housing development with the aim of being an integrated, social inclusive community.
The 20-hectare development included the retention and refurbishment of 11 heritage buildings and the capacity for approximately 1,000 dwellings.
The Green Parkville precinct  already has 155 detached homes, 14 townhouses and 68 apartments.
Set on Cade Way, Parkville, the Green Parkville has an estimated completion date of July 2014.
</body></html>

The Green Parkville almost a third sold since September launch

<html><body>
Crucial tax factors to consider include the need to keep excellent tax record; to ensure as much interest as possible is deductible; to check whether your method of ownership is tax-effective; and to revisit your negative gearing strategies.
Paul Banister, director of taxation services for accountants Grant Thornton in Brisbane, says the first half of a new financial year is a great time for tax planning. By thinking about tax planning early, you have plenty of time to take any necessary action.
Banister names accurate record-keeping as a fundamental priority for property investors. Good records will help maximise your opportunities for tax deductions and make certain that non-deductible capital expenses are added to the property’s “cost base” to reduce capital gains tax (CGT) upon the property’s eventual sale.
As part of their tax-planning, Banister suggests that landlords prepare a checklist of allowable deductions.
“Basically, this checklist [compiled as early as possible in a financial year] will help give you the discipline of writing everything down,” he says.
Property management firms typically provide their investor clients with an endof-year financial summary, setting out the costs incurred in relation to a property – including for regular maintenance. Banister says that if your property manager hasn’t prepared such a summary in the past, make sure you receive one in future.
An essential part of good tax recordkeeping involves having an accurate and up-to-date depreciation report from a quantity surveyor. Banister says investors should obtain a depreciation report upon buying a property or at least before they lodge their first tax return after its purchase.
It is worthwhile checking whether you are holding your investment properties in the most tax-effective way. If not, the next question is whether it is financially feasible to do something about it.
As Banister explains, many investors choose to hold a property in the name of the spouse with the lower marginal tax rate in order to pay the least tax on rental income and capital gains.
But the most suitable form of ownership from a tax viewpoint will depend on personal circumstances. For example, high marginal taxpayers receive the biggest tax benefits from negative gearing.
When making recommendations about how a property should be held, tax advisers consider such issues as how long a property is likely to remain negatively geared and how long the property will be owned.


<hr class="system-pagebreak">
Property owners who are thinking about changing ownership of a property from one spouse to another have much to take into account. Expect to pay stamp duty and property transfer costs, and possibly CGT on the transaction, warns Banister. Further, the transaction should make sense from an investment perspective.
Banister says it is a matter of “running the maths” to calculate whether stamp duty, transfer costs and CGT exceed the potential future tax-savings of changing ownership.
He suspects that in many cases, it would not be worthwhile to switch owners. As part of your tax check-up on your investment property, you should ensure that your line-of-credit or investment loan to finance the property is being used in both a tax-effective and cost-effective way.
“One of the biggest nightmares in tax compliance is where investors attempt to claim deductions for interest on a line-of-credit or a loan with redraw facility where payments [into the account] have been made and then redrawn for personal purposes,” says Banister.
“Just think of how it can play out over the whole term of a financing facility if borrowers just drop money in and take it out again for personal purposes. A proportion of the loan is not deductible; the challenge is working out which proportion. It is very labour intensive to pull apart each of the transactions.”
 
For more questions to ask as to how your residential property portfolio is performing, <a target="_blank" href="http://propertyobserver.com.au/ebooks/free-ebook-how-is-your-residential-property-portfolio-performing">download our free eBook.</a>
To find out <a target="_blank" href="/news">where residential property should sit within your portfolio, sign up for our free webinar on Thursday, November 29 at 12.30.</a>
</body></html>

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Is my tax planning in excellent shape? Countdown 2 to wealth-creation webinar

<html><body>
The Reserve Bank’s latest cutting of the official cash rate is focusing the attention of property investors on how much they are paying in interest on their investment loans. Indeed, the latest cut and the varying responses of the lenders should prompt investors to make sure their loans are highly competitive.
First, you should understand exactly how much you are paying on your existing loan in interest rates and fees.
Upon request, your lender must provide you with a fact sheet setting out how much you are paying on your loan in dollar and interest rate terms. The fact sheet covers the total amount payable over the life of the loan (given the current variable rate), amount payable each month and ongoing fees. (See a sample loan fact sheet on ASIC’s consumer website, <a href="https://www.moneysmart.gov.au/" target="_blank">MoneySmart</a>.)
Armed with the fact sheet on your loan, you can then compare competing loans.
Mitchell Watson, a senior analyst with interest rate researcher Canstar, suggests that borrowers prepare a short list of what appear to be the most competitive loans.
Interest-rate researchers such as Canstar and  InfoChoice publish detailed tables of mortgage rates online.
Don’t just compare advertised rates but also the so-called comparison rates which incorporate the impact of up-front and ongoing charges (not all costs must be published), based on a 25-year, $150,000 loan.
Watson says the next step for property investors is to work out exactly how much they would pay in dollar terms each month and over the expected life of their borrowing for each of the competing loans on their short list. He points out that the mortgage calculators of the major banks provide a means for borrowers to compare the dollar cost of different loans from different providers. ASIC’s MoneySmart website also has a “mortgage switching calculator”.
 
<hr class="system-pagebreak">
 
Of course, many investors rely heavily on mortgage brokers to hunt them down the best deals. Nevertheless, smart investors make sure they are as informed as possible about what is happening with interest rates.
If you are contemplating switching loans, carefully calculate the possible costs involved with this. Although the government has barred mortgage exit fees on loans written from July last year, lenders can still charge loan discharge and administration fees. With fixed-rate loans, break fees are payable and can vary significantly depending on how early the loan is being terminated and the size of the loan.
Watson also suggests borrowers check whether an application fee is payable on any new loan being considered. He suspects most lenders would be willing to waive their application fee to win your business.
Perhaps Watson’s most valuable piece of advice is that you should try to negotiate a lower rate with your existing lender. But first do your research of competing rates so you can strongly negotiate. 
“Existing lenders will look to retain your business because it is a lot cheaper for them to keep an existing customer than to attract a new customer,” says Watson.
Watson stresses that few borrowers pay the standard variable rate on their property loans. “The standard variable rate tends to be a benchmark rate which other products are discounted off.”
Craig Morgan, managing director of mortgage provider Independent Mortgage Planners, agrees with Watson that the starting point for getting a better deal is to try to negotiate with your existing lender. “If you don’t ask, you don’t get.”
He says borrowers should inform their existing lenders that they have researched competing rates and are thinking of taking their business elsewhere.
Morgan stresses that borrowers comparing competing loans should work out exactly what they are likely to pay in dollars given the size of their loan and the length of time the loan will be held.
Comparison interest rates can be misleading, he explains. This is mainly because the loan that an individual borrower is seeking may be much bigger and the likely time that the loan is likely to remain in place may be much shorter than the theoretical information used to calculate comparison rates. (As mentioned, comparison rates are based on 25-year, $150,000 loans.)
For more questions to ask as to how your residential property portfolio is performing, <a href="http://propertyobserver.com.au/ebooks/free-ebook-how-is-your-residential-property-portfolio-performing" target="_blank">download our free eBook.</a>
To find out <a href="/news">where residential property should sit within your portfolio, sign up for our free webinar on Thursday, November 29 at 12.30.</a>
</body></html>

Are my financing arrangements as competitive as possible? Countdown 1 to Property Observer wealth-creation strategy webinar

<html><body>
Bellamack, the Darwin semi-rural Palmerston district suburb, tops the latest list of 32 regional localities in South Australia, Northern Territory, Western Australia and Tasmania with the highest rental yields for houses, according to information provided by RP Data.
The Property Observer list covers all states and territories outside the big three, <a target="_blank" href="https://www.propertyobserver.com.au/landlords/east-coast-australia-s-top-40-highest-rental-yield-suburbs-from-moranbah-to-tregear/2012112057965">NSW, Victoria and Queensland</a>.
Western Australia localities top the list, with 14 suburbs with high rental yields.
Tasmania is second with 11 high rental yield suburbs.
South Australia comes in third place with five localities.
Northern Territory has two localties, but tops the list with yields above 14%.
There are none from the Australian Capital Territory. 
<table align="left" cellpadding="0" cellspacing="0" border="1" style="width: 470px;"><tbody>
<tr>
<td width="150" valign="top">
SUBURB
</td>
<td width="150" valign="top">
POSTCODE
</td>
<td width="150" valign="top">
MEDIAN PRICE
</td>
<td width="150" valign="top">
GROSS RENTAL YIELD
</td>
</tr>
<tr>
<td width="150" valign="top">
<a target="_blank" href="/news">Bellamack</a>
</td>
<td width="150" valign="top">
0832
</td>
<td width="150" valign="top">
$223,000
</td>
<td width="150" valign="top">
15.3%
</td>
</tr>
<tr>
<td width="150" valign="top">
<a target="_blank" href="/news">Johnston</a>
</td>
<td width="150" valign="top">
0832
</td>
<td width="150" valign="top">
$240,000
</td>
<td width="150" valign="top">
14.1%
</td>
</tr>
<tr>
<td width="150" valign="top">
<a target="_blank" href="/news">Kambalda West</a>
</td>
<td width="150" valign="top">
6442
</td>
<td width="150" valign="top">
$130,000
</td>
<td width="150" valign="top">
12%
</td>
</tr>
<tr>
<td width="150" valign="top">
<a target="_blank" href="/news">Bulgarra</a>
</td>
<td width="150" valign="top">
6714
</td>
<td width="150" valign="top">
$675,000
</td>
<td width="150" valign="top">
10.8%
</td>
</tr>
<tr>
<td width="150" valign="top">
<a target="_blank" href="/news">Pegs Creek</a>
</td>
<td width="150" valign="top">
6714
</td>
<td width="150" valign="top">
$730,000
</td>
<td width="150" valign="top">
10.7%
</td>
</tr>
<tr>
<td width="150" valign="top">
<a target="_blank" href="/news">South Hedland</a>
</td>
<td width="150" valign="top">
6722
</td>
<td width="150" valign="top">
$850,000
</td>
<td width="150" valign="top">
10.7%
</td>
</tr>
<tr>
<td width="150" valign="top">
<a target="_blank" href="/news">Zeehan</a>
</td>
<td width="150" valign="top">
7469
</td>
<td width="150" valign="top">
$73,000
</td>
<td width="150" valign="top">
10.7%
</td>
</tr>
<tr>
<td width="150" valign="top">
<a target="_blank" href="/news">Port Hedland</a>
</td>
<td width="150" valign="top">
6721
</td>
<td width="150" valign="top">
$1,150,000
</td>
<td width="150" valign="top">
9.9%
</td>
</tr>
<tr>
<td width="150" valign="top">
<a target="_blank" href="/news">Queenstown</a>
</td>
<td width="150" valign="top">
7467
</td>
<td width="150" valign="top">
$74,500
</td>
<td width="150" valign="top">
9.8%
</td>
</tr>
<tr>
<td width="150" valign="top">
<a target="_blank" href="/news">Millars Well</a>
</td>
<td width="150" valign="top">
6714
</td>
<td width="150" valign="top">
$827,500
</td>
<td width="150" valign="top">
9.4%
</td>
</tr>
<tr>
<td width="150" valign="top">
<a target="_blank" href="/news">Baynton</a>
</td>
<td width="150" valign="top">
6714
</td>
<td width="150" valign="top">
$997,000
</td>
<td width="150" valign="top">
9.3%
</td>
</tr>
<tr>
<td width="150" valign="top">
<a target="_blank" href="/news">Dampier</a>
</td>
<td width="150" valign="top">
6713
</td>
<td width="150" valign="top">
$880,000
</td>
<td width="150" valign="top">
9.3%
</td>
</tr>
<tr>
<td width="150" valign="top">
<a target="_blank" href="/news">Derby</a>
</td>
<td width="150" valign="top">
6728
</td>
<td width="150" valign="top">
$532,500
</td>
<td width="150" valign="top">
9.3%
</td>
</tr>
<tr>
<td width="150" valign="top">
<a target="_blank" href="/news">Nickol</a>
</td>
<td width="150" valign="top">
6714
</td>
<td width="150" valign="top">
$990,000
</td>
<td width="150" valign="top">
9.2%
</td>
</tr>
<tr>
<td width="150" valign="top">
<a target="_blank" href="/news">Merredin</a>
</td>
<td width="150" valign="top">
6415
</td>
<td width="150" valign="top">
$185,000
</td>
<td width="150" valign="top">
9%
</td>
</tr>
<tr>
<td width="150" valign="top">
<a target="_blank" href="/news">Campbelltown</a>
</td>
<td width="150" valign="top">
7210
</td>
<td width="150" valign="top">
$152,000
</td>
<td width="150" valign="top">
8.6%
</td>
</tr>
<tr>
<td width="150" valign="top">
<a target="_blank" href="/news">Risdon Vale</a>
</td>
<td width="150" valign="top">
7016
</td>
<td width="150" valign="top">
$167,750
</td>
<td width="150" valign="top">
8.1%
</td>
</tr>
<tr>
<td width="150" valign="top">
<a target="_blank" href="/news">Peterborough</a>
</td>
<td width="150" valign="top">
5422
</td>
<td width="150" valign="top">
$88,000
</td>
<td width="150" valign="top">
8%
</td>
</tr>
<tr>
<td width="150" valign="top">
<a target="_blank" href="/news">Bridgewater</a>
</td>
<td width="150" valign="top">
7030
</td>
<td width="150" valign="top">
$165,000
</td>
<td width="150" valign="top">
7.7%
</td>
</tr>
<tr>
<td width="150" valign="top">
<a target="_blank" href="/news">Piccadilly</a>
</td>
<td width="150" valign="top">
6430
</td>
<td width="150" valign="top">
$302,500
</td>
<td width="150" valign="top">
7.6%
</td>
</tr>
<tr>
<td width="150" valign="top">
<a target="_blank" href="/news">Waverley</a>
</td>
<td width="150" valign="top">
7250
</td>
<td width="150" valign="top">
$157,000
</td>
<td width="150" valign="top">
7.6%
</td>
</tr>
<tr>
<td width="150" valign="top">
<a target="_blank" href="/news">Quorn</a>
</td>
<td width="150" valign="top">
5433
</td>
<td width="150" valign="top">
$143,000
</td>
<td width="150" valign="top">
7.6%
</td>
</tr>
<tr>
<td width="150" valign="top">
<a target="_blank" href="/news">Chigwell</a>
</td>
<td width="150" valign="top">
7011
</td>
<td width="150" valign="top">
$194,000
</td>
<td width="150" valign="top">
7.5%
</td>
</tr>
<tr>
<td width="150" valign="top">
<a target="_blank" href="/news">Clarendon Vale</a>
</td>
<td width="150" valign="top">
7019
</td>
<td width="150" valign="top">
$150,000
</td>
<td width="150" valign="top">
7.5%
</td>
</tr>
<tr>
<td width="150" valign="top">
<a target="_blank" href="/news">Port Augusta</a>
</td>
<td width="150" valign="top">
5700
</td>
<td width="150" valign="top">
$171,250
</td>
<td width="150" valign="top">
7.3%
</td>
</tr>
<tr>
<td width="150" valign="top">
<a target="_blank" href="/news">Katanning</a>
</td>
<td width="150" valign="top">
6317
</td>
<td width="150" valign="top">
$172,500
</td>
<td width="150" valign="top">
7.2%
</td>
</tr>
<tr>
<td width="150" valign="top">
<a target="_blank" href="/news">George Town</a>
</td>
<td width="150" valign="top">
7253
</td>
<td width="150" valign="top">
$145,000
</td>
<td width="150" valign="top">
7.2%
</td>
</tr>
<tr>
<td width="150" valign="top">
<a target="_blank" href="/news">New Norfolk</a>
</td>
<td width="150" valign="top">
7140
</td>
<td width="150" valign="top">
$180,000
</td>
<td width="150" valign="top">
7.2%
</td>
</tr>
<tr>
<td width="150" valign="top">
<a target="_blank" href="/news">Port Pirie West</a>
</td>
<td width="150" valign="top">
5540
</td>
<td width="150" valign="top">
$130,000
</td>
<td width="150" valign="top">
7.2%
</td>
</tr>
<tr>
<td width="150" valign="top">
<a target="_blank" href="/news">Tailem Bend</a>
</td>
<td width="150" valign="top">
5260
</td>
<td width="150" valign="top">
$145,000
</td>
<td width="150" valign="top">
7.2%
</td>
</tr>
<tr>
<td width="150" valign="top">
<a target="_blank" href="/news">Lamington</a>
</td>
<td width="150" valign="top">
6430
</td>
<td width="150" valign="top">
$345,000
</td>
<td width="150" valign="top">
7.1%
</td>
</tr>
<tr>
<td width="150" valign="top">
<a target="_blank" href="/news">Railton</a>
</td>
<td width="150" valign="top">
7305
</td>
<td width="150" valign="top">
$164,000
</td>
<td width="150" valign="top">
7%
</td>
</tr>
</tbody></table>
</body></html>

The 32 regional rental yield locations that top 7%

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Small investors have the opportunity to acquire a prime retail spot on tightly held Swanston Street, with a small shop on the ground floor of the iconic Manchester Unity Building listed for December 6 auction.
The vendors were swayed to offer the property to the market after a 5.6% yield was  achieved next door when Shop 2, 220 Collins Street sold earlier this year for $9,250,000 with sale negotiated by CBRE’s Josh Rutman, Mark Wizel and Max Cookes.
The<a target="_blank" href="https://www.realcommercial.com.au/property-retail-vic-melbourne-500494095"> 97 Swanston Street</a> retail space is currently tenanted by foreign exchange business Travel Money Oz, owned by ASX-listed Flight Centre, on a new seven-year lease.
The premises currently brings in net annual income of $122,494 per annum.
The shop stands on one of the busiest retail strips in the Melbourne CBD and on the high premium western side of the street between Collins Street and Bourke Street mall.
It is next door to the premises of a <a target="_blank" href="https://www.propertyobserver.com.au/retail/private-investor-snaps-up-collins-street-telstra-store-premises-for-%249.25-million-ahead-of-auction/2012032854057">Telstra corner shop at 220 Collins Street, </a>which sold to a private investor prior to auction for $9.25 million on a yield of 5.6% at the end of March.
The marketing campaign for 97 Swanston Street is also being led by CBRE.
“Anything sub-$4 million in the CBD is pretty unique,” Rutman tells Property Observer.
He says there are a number of other factors that are drawing in potential bidders.
These include that it is leased to an ASX-listed tenant on a brand-new lease bringing in $122,000 per year, with the tenant agreeing to 5% annual rent increases every anniversary of the lease.
“This means it has the potential become a positively geared asset quite quickly,” says Rutman.
The property is being sold by a group of private investors.
“It’s one of the tightly held retail strips in the CBD. I have spoken to four or five owners who have owned shops on Swanston Street for 20 to 30 years,” he says.
According to the Melbourne City Council Research Department, over 15 million pedestrians walk past the property annually, which equates to almost 50,000 per day.
“We expect the location of the property to provide continual growth over the next decade, which we believe will help drive significant interest from local, national and international investors.” says Wizel.
It is due to be offered for sale by public on-site auction at 12.30pm on December 6.
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lschlesinger-FZcF9M3vE6

Swanston Street retail premises listed for auction 

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Fund manager the Trilogy Capital Group has relisted the global headquarters of travel guide publisher Lonely Planet in Footscray following an unsuccessful six month sales campaign last year.
Lonely Planet, which is owned by the BBC, has leased the distinctive red-brick campus office building since 2000 and has another four years to go on its current lease.
The four-level building comprises a total lettable area of approximately 7,374 square metres, with ground-floor parking for 86 cars and a small warehouse distribution centre on-site.
<img src="/images/stories/2012/11/lp.jpg">
The lease agreement includes annual rental increases of 3.5%, with Lonely Planet paying a current net passing rental of $1.64 million per annum.
The property at<a target="_blank" href="https://www.realcommercial.com.au/property-offices-vic-footscray-5835771"> 90 Maribynong Road </a>is the sole asset that makes up Trilogy’s Melbourne campus office syndicate, a five-year fixed-term investment fund, which returned 9.82% in the 12 months to March.
Trilogy acquired the building for $14.4 million in mid-2005 and will be hoping for around $16.4 million, representing a yield of around 10%.
It was listed for sale from April to October last year with a slightly higher asking price of $17 million but failed to sell.
Trilogy head of property assets David Hogan says the fund decided to put it back on the market due to the improved market conditions compared with a year ago.
The property is being marketed by Colliers International agents Peter Bremner and Jeremy Gruzewski.
Gruzewski says the building had been refurbished to meet Lonely Planet’s requirements and has been maintained to an incredibly high standard.
“Externally, the building has an appealing brick period-style façade, however it is the unique, lofty internal open plan office accommodation that really sets this building apart from every other office building in the metropolitan office market,” he said.
“In addition, the top floor boasts stunning views back towards the Melbourne CBD skyline.”
Gruzewski says the property represented a rare opportunity for an astute investor to purchase a high yielding, fully leased commercial property less than 5km from the Melbourne CBD in a rapidly growing and thriving suburb.
“Footscray is transforming itself into a vibrant activity centre,” he said.
The three upper floors incorporate an open plan office space as well as a rooftop staff room/canteen, gymnasium and entertainment/recreation area.
Having shrunk its staff numbers by around 70 in 2011 (15% of its workforce), Lonely Planet is seeking to sub-lease up to 1,500 square metres of the first floor of the building, with the space being marketed by Richard Norman and Matthew Collins of Jones Lang LaSalle at around $200 per square metre.
The property is for sale by expressions of interest, closing Thursday December 6 at 4pm.
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Lonely Planet Melbourne headquarters relisted with $16.4 million hopes

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New York-based Australian investment banker Mark Steinert has being tipped as the person to replace Matthew Quinn as managing director and CEO of developer Stockland.
Steinert, global head of product development at UBS Global Asset Management, held talks with Stockland chairman Graham Bradley last week, according to a report in the The Australian.
His first role at UBS was as global head real estate research, a position he held for eight years.
A spokesperson for Stockland told Property Observer it had not yet made a decision about who would replace Quinn and that the search for a replacement is ongoing.
Quinn announced his decision to retire after 12 years in the role in July and is due to step down in February.
Steinert is a new name in the mix of potential candidates.
Previous names touted as possible replacements for Quinn include Australand managing director Bob Johnston, Westfield chief financial officer Peter Allen, Rod Leaver, CEO of Lend Lease Asia, former St George Bank CEO Paul Fegan, David Southon, co-founder and joint managing director of Charter Hall, veteran Macquarie banker Matthew Banks and the only internal candidate, John Schroder, current chief executive of commercial property at Stockland.
Bradley has said recently that Stockland would consider a candidate from the financial services sector as was the case with fellow listed property group GPT, which recently appointed Michael Cameron, former group chief financial officer of the Commonwealth Bank, as its managing director and CEO.
As part of his address to the Stockland AGM on October 17 Bradley said the search for a new managing director was “progressing well”.
“Following Matthew’s decision, we appointed a board sub-committee to progress the internal and external search process, and appointed a leading international executive search firm to review both local and offshore candidates.
Bradley said a suitable candidate would be an “outstanding individual capable of providing strategic leadership in an increasingly complex investment, market and regulatory environment, coupled with all the skills you would expect to find in terms of operational management, people management, business judgement and stakeholder relations appropriate to a top 50 listed company”.
No deadline has been set for making the appointment with Bradley saying at the AGM an announcement was expected “in due course”.
An announcement is expected before the end of the year.
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Expat Aussie investment banker tipped as next Stockland boss

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One of the most common mistakes a property investor can make is to believe that all residential property investments will behave in the same way.  Many people who favour direct property as an investment do so based on a misconception that it is easier to understand than other investment classes, and that strong returns are all but assured.  However, the property market is incredibly complex, and a failure to appreciate the different submarkets at play can lead to very different investment outcomes.
The following tale of three two-bedroom apartments illustrates how investments belonging to different sub-markets have fared in recent years.  The apartments have sold and resold over the past seven years, which is an important time frame that comprises the 2007 share market boom, the global financial crisis, the property boom of 2009-10 and the subsequent property market adjustment of the last couple of years.
 
Apartment 1 
<a href="https://www.realestate.com.au/property-apartment-vic-docklands-111987091" target="_blank">1506/100 Harbour Esp Docklands </a>
<img src="/images/stories/2012/11/fp1.jpg">
Purchased: November 2006 for $460,000
Sold: November 2012 for $460,000
Annual compounding growth rate: 0%
Why?
One of the great marketing tools bandied about the market is to imply that strong population growth in an area is an indicator of future capital growth.  But people who think that population growth is in isolation a key indicator of demand are missing a very important reality.  Strong population growth in an area is a better indicator of a change in supply.  If there is strong population growth there must be a lot of available property for people to move into.
A strong increase of housing supply in an area can drive down prices to a level that entices buyers.  The take-up of excess supply can be qualified as demand for affordable housing.  As long as an area has the capacity for significant increases in supply, any evidence of capital growth in the area will trigger further housing releases, which in turn will water down value growth.
<a href="/news">Docklands </a>still has an issue with oversupply. Since 2001 its population has been growing by almost 22%. This growth rate is off a very low base of 700 in 2001.  However,  the Docklands population has still been growing by 6.5% over the last five years. This is well above the 1.5% annual population growth of Victoria.
Over the years the Docklands precinct has generally been a poor performer for investors. Many people suggest it must turn the corner soon and that the next 10 years will be much better than the last 10. However consider this, according to the 2011 census one in five Docklands properties is unoccupied.
Apartment 2 
<a target="_blank" href="https://www.realestate.com.au/property-apartment-vic-hawthorn-111057247">109/92 Kinkora Road Hawthorn Vic 3122 </a>
<img src="/images/stories/2012/11/fp2.jpg">
Purchased: June 2005 for $445,000
Under offer: November 2012 for $470,000 
Annual compounding growth rate: 0.86%
Why?
Developers continually fight an uphill battle as they struggle to match rising labour and material costs to produce a product that they can sell and make a profit. The most effective way they can do this it to cram as many apartments they possibly can onto each block of land. To do this they usually compromise the size of each apartment, and the first casualty is the kitchen, as it gets squeezed into the lounge room. Most people would prefer a separate, or at least a properly defined, kitchen area.
Often, developers price their new developments based on the costs to build plus a profit and risk margin.  The traditional method of valuation, where comparable sales are relied on to establish pricing, will only be employed if the subsequent value estimate is higher than the cost method.  Developers can often achieve their pricing through the offer of incentives such as stamp duty savings, rental guarantees, high levels of claimable depreciation, as well as taking advantage of foreign investors.  Such incentives are not available for subsequent purchasers of the property.
When the investor bought this <a target="_blank" href="/news">Hawthorn </a>property he or she could have purchased an apartment for less and made more money!
 
<hr class="system-pagebreak">
 
Apartment 3           
<a target="_blank" href="https://www.realestate.com.au/property-apartment-vic-armadale-111773615"> 2/4 Avondale Road, Armadale</a>
<img src="/images/stories/2012/11/fp31.jpg">
Purchased: June 2006 for $348,000
Sold: May 2009 for $543,000
Annual compounding growth rate since last sale: 16.48%
Resold: Oct 2012 for $642,500
Annual compounding growth rate since last sale: 5.05%
Why?
<a target="_blank" href="/news">Armadale</a>’s population has been growing by just over 0.5% per annum over the last 10 years, only one-third of the Victorian population growth rate. The low level of population growth does not reflect a lack of demand to live in there, as Armadale is a highly desirable location. Population growth is held back because of the lack of supply due to unfavourable town planning laws for developers and scarce development opportunities. This lack of supply puts upward pressure on prices.
Further, the apartment was built more than 40 years ago when labour was much cheaper and developers could make a profit by building fewer apartments in any one development.  They did not have to sacrifice floor space, and as a result the property is more desirable and in strong demand. When it was purchased there was no developer premium paid, as it was sold at auction and market forces determined the price.
Xavier Perronnet is a director of <a target="_blank" href="https://www.ipropertyplan.com.au/">iProperty Plan</a>, which provides independent analysis and tailored advice to investors and home buyers.
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xPerronnet-8mfxFYHVTQ

Why some properties gain value while some stagnate: A tale of three apartments

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Lend Lease has unveiled two harbourfront apartments in its Barangaroo south precinct.
Lend Lease's Barangaroo South managing director Andrew Wilson lodged the plans yesterday with the NSW government for the initial 159 apartments with the hope the first residents will move in mid-2015.
With every apartment having water views, around $20,000 a square metre is set to be the starting price of the 47 one-bedroom apartments, which will range from about $1 million.
The 100 two- bedroom units will be priced from $2 million. There will be just the 12 three-bedroom apartments.
Barangaroo South will eventually have about 700 apartments, and planning of apartments in the northern part is in flux <a target="_blank" href="https://www.propertyobserver.com.au/news/paul-keating-suggests-barangaroo-s-new-hotel-casino-be-built-over-the-harbour/2012102457427">as the Crown casino hotel plans get resolved</a>.
The apartments are the work of Richard Francis-Jones of FJMT and Andrew Andersons of PTW.
<img src="/images/stories/2012/11/barang2.jpg">
The 10-storey building designed by Francis-Jones (pictured above) includes a striking cloud-shaped design for the apartments and balconies at the north of the 82 apartment building overlooking the new public square and harbour cove.
“Our building was inspired by the character of Sydney Harbour, for example, the expressive, organic form of the northern apartments celebrates and defines the adjacent public square and is reminiscent of the free-forms of clouds and waves that complement our sandstone harbour headlands,” Francis-Jones says. 
The 77-apartment, eight-storey building designed by Andrew Andersons (pictured below) includes substantial rooftop gardens and green plantings.
<img src="/images/stories/2012/11/barang1.jpg">
“The human scale of the building, together with its green roof, solar collectors and dynamic facades create an aesthetic of informality and sustainability. The style is site-specific to create a strong ‘sense of place’,” Andersons says.
"Both buildings draw inspiration from the wharves, which originally jutted out into East Darling Harbour and Walsh Bay,” Wilson says.
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