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.

Joel Robinson

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.

[smartcode_project:default project_id=95289 project_image_fid=366760]

<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.

[smartcode_project:default project_id=95289 project_image_fid=366769]

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.

[smartcode_project:default project_id=95289 project_image_fid=366762]

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

Luxury apartment buyers have long prioritised design, space and finishes, but increasingly they're placing equal importance on something less tangible: how easily they can live without relying on a car.

At <a>Richmond Square</a>, <a href="https://www.apartments.com.au/developers/fortis">Fortis</a> believes that convenience begins beyond the apartment itself, with the mixed-use precinct earning a near-perfect Walk Score of 99.

The development has been planned around the idea that some of the most valuable amenities aren't contained within a building, they're the restaurants, cafés, parks, transport connections and daily conveniences that can all be reached on foot.

Located just behind Swan Street and Church Street, <a href="https://www.apartments.com.au/new-apartments/richmond-square-1-wiltshire-street-richmond-vic-3121">Richmond Square</a> places residents within one of Melbo​u​rne's most established lifestyle precincts while offering a quieter residential setting removed from the busiest thoroughfares. East Richmond Station is moments away, trams run along both Swan and Church Streets, and the MCG, Melb​​ourne Park, Yarra River trails and the CBD are all within walking distance. At the same time, the precinct itself will introduce a curated mix of dining, retail, hospitality and wellness offerings, creating a destination that extends well beyond its residential buildings.

[smartcode_project:default project_id=13181 project_image_fid=348530]

For Fortis, that combination of location and scale was what made the site unique.

"<a href="https://www.apartments.com.au/developments/richmond-vic-3121">Richmond</a> is one of Melb​o​urne's most established and distinctive inner-city neighbourhoods, with a rare combination of dining, culture, recreation, public transport and proximity to the CBD," the developer said.

"The opportunity at Wiltshire Street was particularly compelling because the site sits slightly removed from the activity of Swan and Church Streets while remaining only moments from everything that makes the area desirable."

Rather than developing a standalone apartment building, Fortis consolidated 15 individual properties to create one of the larger development parcels assembled on Mel​b​ourne's city fringe in recent years. That allowed the team to deliver a genuine mixed-use precinct comprising 107 residences across Wiltshire House and Carmine House, premium office space, hospitality venues, retail, wellness offerings and a future 57-room hotel.

"The scale of the site allowed Fortis to think beyond a standalone apartment building," the developer said.

"Richmond Square could be planned as a complete lifestyle precinct, bringing homes, workplaces, dining, retail, hospitality and wellness together around a series of activated public spaces. The aim was to create a destination that feels connected to Richmond rather than separate from it."

[smartcode_project:default project_id=13181 project_image_fid=348533]

The emphasis on walkability has also resonated with buyers.

Interest has been strongest from established owner-occupiers, particularly downsizers from Richmond and Melb​ourne's inner east who want to remain close to familiar restaurants, workplaces, family and social networks while moving into a more secure, lower-maintenance home. The project is also attracting Mornington Peninsula and interstate buyers seeking a Melb​ourne residence they can lock up and leave between visits.

Many are looking for generous living spaces, room to entertain, quality finishes and confidence in the project team, but location remains one of the biggest deciding factors.

"For many buyers, Richmond Square provides a way to simplify the practical side of home ownership without reducing the quality of their lifestyle," the sales team said.

"Location is also a major driver of interest. Buyers can remain connected to the CBD, major sporting events, the arts centres, local restaurants, cafes and bars and their family while living in a private and secure residence that is easy to lock up and leave for weekends or longer periods away."

[smartcode_project:default project_id=13181 project_image_fid=348549]

The residences themselves have been designed with that buyer in mind. Award-winning architecture practice SJB and interior designers Hecker Guthrie have created spacious two and three-bedroom apartments and penthouses that prioritise generous living areas, natural light, bespoke joinery and private terraces. Above, a rooftop sanctuary by Acre includes landscaped lawns, bookable dining rooms, barbecue facilities, wellness spaces and panoramic views across the CBD, the MCG and Port Phillip Bay.

Fortis believes Richmond Square reflects a broader evolution in apartment living, where the surrounding neighbourhood becomes just as important as the residence itself.

"Richmond Square introduces a different proposition: generously proportioned residences within a genuinely mixed-use, hospitality-led destination," the developer said.

"The project's location and Walk Score of 99 further support a lifestyle where residents can complete many everyday journeys without relying on a car."

Fortis has assembled an experienced team that includes <a href="https://www.apartments.com.au/architects/sjb-architects">SJB</a>, <a href="https://www.apartments.com.au/interior-designers/hecker-guthrie">Hecker Guthrie</a>, <a href="https://www.apartments.com.au/landscape-architect/acre">Acre</a> and builder <a href="https://www.apartments.com.au/builders/hacer-group">Hacer Group</a>, reflecting the developer's commitment to creating projects with enduring design quality and meaningful connections to the communities in which they sit.&nbsp;

Richmond Square is an expression of that philosophy, bringing together homes, workplaces, hospitality and wellness within one of Me​lb​ourne's most walkable neighbourhoods.&nbsp;

Construction is now almost complete, providing purchasers with growing confidence ahead of its expected September 2026 completion.

[smartcode_project_cta:default project_id=13181]

Walk Score of 99 places Richmond Square at the heart of Melbourne's most connected lifestyle

<h3 data-end="19" data-section-id="1dvgwoe" data-start="0">Summary</h3>

<ul data-end="634" data-start="21">
	<li data-end="170" data-section-id="1o77v31" data-start="21">Walker Corporation has lodged plans for a second major residential development in the Maroochydore City Centre, a 29-storey tower known as Celeste.</li>
	<li data-end="327" data-section-id="1lb0y6t" data-start="171">The Plus Studio-designed proposal at Lot 30 Sunshine Coast Parade would deliver 208 apartments, including four four-bedroom sub-penthouses and penthouses.</li>
	<li data-end="487" data-section-id="za720" data-start="328">The application comes as Walker doubles down on Maroochydore following the strong sales campaign at SOL by Walker, where the first tower is nearing sell-out.</li>
	<li data-end="634" data-section-id="5sovec" data-start="488">Walker is a key partner in the transformation of the Maroochydore City Centre, which is expected to ultimately deliver at least 4,000 new homes.</li>
</ul>

Walker Corporation is doubling down on Maroochydore following the successful sales campaign at its first residential project in the emerging CBD.

The national developer has filed plans for <a href="https://www.apartments.com.au/new-apartments/celeste-30-sunshine-coast-parade-maroochydore-qld-4558">Celeste</a>, a new 29-storey apartment tower at Lot 30 Sunshine Coast Parade, just metres from its under-construction SOL by Walker development.

The plans, prepared by Plus Studio, would see 208 apartments delivered across a 100-metre tower on the 2,376 sqm site, which fronts Sunshine Coast Parade, First Avenue and Future Way within the Maroochydore Priority Development Area.

<img alt="Walker" data-entity-type="file" data-entity-uuid="17038209-6fea-4ed2-855d-fd4df65b3d02" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-08-10%20at%2010.24.16%E2%80%AFAM.png?VersionId=iZD.oVXcQn.aLpUytDAW.CWjxP4puWMy" />

The proposed apartment mix comprises 36 one-bedroom apartments, 48 two-bedroom apartments, 72 two-bedroom apartments with an additional multipurpose space, and 48 three-bedroom apartments.

The upper levels would be capped by two four-bedroom sub-penthouses and two four-bedroom penthouses, taking the total apartment count to 208. The preliminary yield study also provides 262 car spaces, 114 resident bicycle spaces and storage for each apartment.

It represents Walker's next major residential move in the new Maroochydore CBD after the success of SOL by Walker, its $220 million two-tower project nearby.

SOL launched to market in early 2025 and has since seen strong demand, particularly from local owner-occupiers. By February this year, Walker said the first SOL tower was nearing sell-out, with a strong waitlist also emerging for its recently released penthouse collection.

Construction is already underway on SOL, with the first tower expected to be completed in late 2027 and the second to follow in early 2028.

[smartcode_project:default project_id=147777 project_image_fid=319846]

<h2 data-end="2518" data-section-id="1b2dyo5" data-start="2459">Celeste to rise 100 metres over Maroochydore City Centre</h2>

Celeste would take a different form to the twin 19-storey buildings at SOL.

Plus Studio has designed a single 100-metre tower above an activated podium, with the architecture responding to the site's prominent position and three street frontages.

The podium would incorporate commercial tenancies and public art, with sweeping façade elements wrapping the street edges. The scalloped concrete podium has been inspired by the patterns created in sand at low tide, while extensive landscaping would continue vertically through the tower.

The ground level plans show three commercial tenancies addressing Sunshine Coast Parade alongside the residential lobby and landscaped public realm. The podium would then accommodate several levels of car parking before the residential tower rises above.

<img alt="Celeste" data-entity-type="file" data-entity-uuid="121f77b1-71c5-46d7-9b36-0a7d474211ca" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-08-10%20at%2010.24.47%E2%80%AFAM.png?VersionId=MGrg9Hb7HgzLN0Lelq_xrXNAruVl77ia" />

Plus Studio said the tower had been designed to maximise views from each apartment, taking in the Maroochy River, Sunshine Coast hinterland, Cotton Tree and Maroochydore Beach and ocean.

Those views have also shaped one of the project's key features, with Walker proposing to put the primary resident amenity on Level 29 rather than lower within the building.

The rooftop would feature a 284.9 sqm pool area with an infinity edge, along with a cold pool, spa, sauna, 93.2 sqm gym, sunset lounge, BBQ and dining areas, pool deck and private dining space. Cabanas and day beds are also shown across the recreation level.

The two penthouses would extend across the upper levels and each feature private terraces and plunge pools.

<h2 data-end="4202" data-section-id="v5f4ix" data-start="4160">Walker's growing Maroochydore footprint</h2>

Celeste further reinforces Walker's commitment to the transformation of Maroochydore City Centre.

Walker is one of the key partners delivering the new CBD alongside Sunshine Coast Council and SunCentral Maroochydore, with the broader 62-hectare Priority Development Area occupying the former Horton Park Golf Course and surrounding land.

The precinct is ultimately expected to accommodate at least 4,000 new homes as Maroochydore evolves into the Sunshine Coast's principal commercial and residential centre.

When SOL secured approval in February 2025, Walker Managing Director and CEO David Gallant described it as the "first of many residential projects" the company planned for the Maroochydore City Centre.

Celeste now provides the clearest indication yet of what comes next.

The site sits immediately within the new CBD, with the design report identifying Sunshine Plaza and surrounding parkland within walking distance and Maroochydore Beach around a five-minute drive away.

For Walker, the timing of the application comes as its first residential bet on the new CBD appears to have been vindicated.

SOL has progressed from planning approval to construction while its first release has approached sell-out, giving Walker confidence to push ahead with another 208 apartments and take its residential pipeline in the Maroochydore City Centre to around 450 dwellings across the two projects.

Celeste remains subject to planning approval, with the architectural material describing the scheme as a preliminary yield study that may change through the assessment process.

Walker doubles down on Maroochydore with 29-storey Celeste apartment tower

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

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?

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The Sunday Age reported recently that there were large numbers of homes for sale in a range of the city’s outer suburbs.
 
On the face of it, this appeared concerning; however, analysis of the local market and the role of those suburbs in housing our growing population shows that it’s not the case.
The fact is that the city has always had growth suburbs with lots of homes for sale. Forty years ago it was suburbs such as Fawkner and today it’s the likes of Doreen.
It is remarkable just how many homes have been built and sold in those locations.
For instance, the ABS has reported that in Derrimut, Point Cook and Werribee 15,875 homes have been sold and moved into over the past decade. When contrasted with the 2,961 reported for sale, this does not sound nearly as much.
And almost the entire suburbs of Doreen and Merdna have been built in that time, with 5,581 homes added. It was reported there were 3,718 homes for sale there. However, as any resident there will tell you, 65 % of homes don’t have For Sale signs on them. Clearly, these numbers include the pipeline of supply to ensure the community’s housing needs can be met in an affordable manner.
The fact that two years ago The Age reported concerns that there were not enough homes for sale and now there are too many, shows nothing more than the usual development cycle in operation.
The development cycle is subject to the same rises and falls that are present in the broader real estate market.
Enzo Raimondo is CEO of the <a href="https://www.reiv.com.au/" target="_blank" rel="nofollow">Real Estate Institute of Victoria</a>.
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enzoraimond-7fvRFHPR52

Doreen and other growth suburbs provide housing for thousands: REIV

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{yoogallery src=[images/stories/2012/07/georgev2cinema]}

The once popular but now vacant and silent three-screen George Cinema on Fitzroy Street in St Kilda has been listed for auction next month with price hopes in excess of $2.75 million.
The cinema was leased and operated by the Melbourne film family the Zeccolas, owners of the arthouse Palace cinema chain, from 1996 to 2010.
It opened with a bang in 1994, showing Quentin Tarantino’s cult classic Pulp Fiction in sold out showings and was successful for a number of years, before falling victim to more competition from the nearby multiplexes such as the 15-screen Cinema Nova in Carlton and 15-screen Jam Factory in South Yarra.
The Zeccolas planned to refurbish the George, but changed their minds and it closed in October 2010, with The Age reporting at the time that sessions were so sparsely attended “that the complex can resemble a ghost town”.
It has been owned by local businessman and cinema-lover Ralph Taranto since 1999, who leased it to the Zeccolas before opening it himself in March last year.
But it closed less than two weeks later.
Sadly, its second closure came just a month before the centenary of the opening of the first, purpose-built cinema in St Kilda, at what is now 145 Fitzroy Street, a few metres from the Aurora.
Perhaps a portent of its failure, Cinema Aurora opened with the Ben Affleck financial crisis piece The Company Men, a film about executives that all lose their jobs. It played the Oscar-winning The Social Network and Black Swan in its last week. Now listed for sale, with also the opportunity to redevelop subject to council approval, the Aurora’s three separate cinemas can seat up to 820 popcorn-eating patrons on a site of 1,142 square metres over two levels and also has a foyer, newly fitted candy bar, two full-fitted projection rooms and recently refurbished toilet facilities.
It is being marketed by Graeme Wilson of Wilson Commercial, alongside colleague Nicole Scrofan.
It comes with a liquor licence for 750 patrons.
Wilson says the cinema has the potential to bring in annual income in excess of $400,000, which would equate to a yield above 14% at a price of $2.75 million.
It was previously leased at $410,000 per annum (plus outgoings and GST) but is now being offered as vacant possession.
The cinema sits within a six storey mixed used building comprising apartments, shops, a restaurant and public car park.
It stands next to local St Kilda landmark the George Hotel, is surrounded by St Kilda apartment dwellers and is well serviced by trams and buses.
Fitzroy Street is a popular night-time destination in Melbourne lined with fashionable cafes, restaurants and bars, which Wilson believes makes the cinema a viable venue.
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lschlesinger-FZcF9M3vE6

St Kilda cinema complex seeking popcorn loving investor or savvy developer with $2.75 million to spare

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Serviced apartments group Quest has agreed to lease all 131 apartments that form the residential component of the Kyren Group's $100 million new mixed-use development currently under construction in the Adelaide CBD. The project, which is now 100% leased, is being marketed by Colliers International director of office leasing Nicholas Shinnick, who describes it as a “substantial mixed-use development, one of the biggest to get underway in the city for at least a decade”.
He says the decision to include a serviced apartment component comes of the back off Adelaide’s high occupancy rates for short-term apartments.
The residential component of the 17 storey project had been marketed as Franklin Street apartments, but failed to attract any buyers.
Kyren Group managing director Theo Samaras blamed this on a soft residential market and an Adelaide City Council unwilling to "incentivise" inner-city living.
Quest is currently on an aggressive expansion drive with <a href="https://www.propertyobserver.com.au/leisure/construction-begins-on-%2425-million-quest-wodonga-serviced-apartment-project-with-seven-more-in-the-pipeline/2012071155532">seven projects to be completed over the next 12 months</a>.
Earlier this month it kicked off construction on a new apartment project in Wodonga on the NSW/Victoria border.
Quest is bullish about the Adelaide CBD market with The Adelaide Advertiser reporting that it is in negotiations with developers for more locations in Adelaide, including sites at the southern end of King William Street and the eastern end of Flinders Street. The 70 Franklin Street project has reached the halfway mark in its construction and is due to be completed in early 2013.
Aside from the serviced apartment component, the project incorporates a 20,000 square metre office space and 700 square metres of retail space.
An adjoining 700 bay car park in Young Street has already been completed.
Three office floors have been pre-committed, including the top two levels which will be taken up by law firm Piper Alderman.
Quest’s Andrew Weisz says Adelaide is fast becoming an “international hub for the corporate sector, so it's imperative that our business follows corporate travellers as they move into the city”.
"This development, along with other major projects in Adelaide, represents a great opportunity for the serviced apartment industry and Quest will continue to respond to corporate demands for quality accommodation," he says.
The Lucid Consulting Engineers and Cheesman Architects-designed building has been awarded a five star NABERS rating.
Samaras says investing in five star buildings is a way to stand out in the marketplace and to attract premium tenants.
“In the future, a five star build is likely to be the normal benchmark. With the right project team, these developments can deliver on the bottom line,” he says.
“70 Franklin Street is also ideally located to benefit directly from access to Victoria Square, Adelaide’s Central Market and Chinatown, all of which are situated only a short walk away; this type of amenity is highly regarded.”
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Quest to operate 131 serviced apartments in Kyren Group’s $100 million Adelaide CBD development

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Rain delays has prompted Australand to reduce its targeted lot sales in its Greenhills Beach residential development in the Sutherland Shire from 170 to 135 for 2012.
And sales at Clyde North, its Melbourne greenfields project, have also slowed, with south east Queensland sales still at historical lows.
But the property group's sales was quite resilient in its $89 million full year net profit after tax representing a six percent boost.

The Greenhills Beach project, two kilometres from Cronulla, has land priced from $690,000 with beach lots priced from $845,000 and lakeside lots priced from $850,000
Despite the lot sales slowdown, Greenhills Beach remains among Australand’s top 10 residential projects and is listed as one of the project contributing to the strong first-half year result from its residential division.
Australand has also downgraded lot sales expectation in it Clyde North project on the outskirts of Melbourne with 140 lots expected to be sold in 2012 financial year compared to previous forecasts of 168.
In relation to both these projects, Rod Fehring, head of residential at Australand, said strong earlier momentum in both these projects had seen the developer release lots to the market earlier, but anticipated stronger sales had not eventuated.
The Clyde project has been impacted by the overall weaker state of the Melbourne market while the Shire project had been impacted by rain delays.
Overall, Australand identified South East Queensland and Melbourne as the two most challenging residential markets as it reported a 12% rise in revenue from its residential businesses to $260 million for the six months to June 30.
Lot sales declined to 489 compared to 605 in the corresponding period last year but contracts on hand increased from 605 and 824.
The average value of lot sizes were higher than the previous period.
The strongest performing residential project were Cockburn Central (WA), Kangaroo Point (Queensland) and Parkville (Victoria) with key contributions from residential land projects in Greenhill Beach (NSW) and Greenvale (Victoria).
The residential division now holds 1,316 contracts in hand as of June 30, an increase of 40 % more than the 951 contracts held at the end of December with Australand expecting 59% of these contracts to be realised in the second half of the year.
Australand managing director Bob Johnston said solid momentum from 2011 had been carried into 2012, but “consumer clearly remained cautious and house prices have eased.
Fehring described the Melbourne market, where Australand has 54% of its projects, as one that has now ticked over into “mild oversupply” although this oversupply is not “uniformly spread” with activity impacted at the lower end of land markets and high-end discretionary markets.
He says sentiment has softened with a weaker employment outlook, while the ending of first-home buyer concessions had also pulled demand forward and is expected to impact on the market in the future.
But he says "earnings resilience" is being supported by the diversity of the projects in its pipeline with its Point Cook project among the top performers
Australand has 11 Victorian projects underway with over 500 contracts in hand, including projects in Carlton and Cranbourne West.
Australand has only a small exposure to the South East Queensland, where 9% of its residential projects are located.
It says activity levels in this market remain at historic lows with interstate migration remaining low though affordability has improved relative to other markets.
Its inner city projects at Kangaroo Point and Hamilton have been among the stronger performers which are attracting enquiries and sales.
Australand has stuck with its forecast of 48 lots sales at Kangaroo Point for the financial year with an average expected price of $980,000
Australand says WA, where it has 14% of its projects, is showing improved fundamentals.
“Perth market fundamentals have improved significantly, listing have normalised with vacancy rates tightening,” says Fehring.
Across the entire residential portfolio, Australand is targeting 15 to 20% rise in earnings before interest and tax for the second half of the year, underpinned by strong contracts that will close in this period.
It also re-affirmed full year distribution guidance of 21.5 cents, but said this was dependent on sentiment not weakening further.
For the half year to June 30, Australian reported a 5% rise in operating profit compared to the same period last year.
Johnston called this a “credible result” given the weak consumer sentiment.
“Trading conditions across the board remain challenging,” he said.
Australand reported statutory profit of $90 million for the half year compared to $85 million in the corresponding previous period.
<img width="400" height="225" src="/images/stories/2012/greenhills.gif" alt="greenhills">
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Sales slow in the Sutherland Shire as Australand identifies several residential weakspots

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Recently, we found a fabulous property for a client wanting to do a granny flat project with Property Bloom.
It was fabulous for two main reasons;
<ul>
<li>It was a large 950 square metre block with extra wide frontage and rear lane access.</li>
<li>It was renovated.</li>
</ul>
Normally, for this development strategy we would look for houses that need a cosmetic renovation. Our definition of a cosmetic reno is internal paint and perhaps external paint (if absolutely necessary, sometimes a good gurney is all that’s needed), new carpet/floor coverings and some repairs, and perhaps a little work to the front garden to increase the street appeal. We’d be looking to spend no more than $10,000. Often once we start our cosmetic reno we find lots of other repairs and upgrades that should or could be done and clients sometimes decided that they really do want a new bathroom or kitchen after seeing the house empty and painted. The older kitchen that looked fine before the fresh paint now looks a little drab. They start saying, “If we do the kitchen, we may as well do the bathroom...” and so the reno budget expands. But where do you draw the line?
As project mangers our job is to keep the emotion out of it and advise our clients on what’s required to achieve a certain rent. It all comes back to the return on investment and we don’t want to overcapitalise.
With our cosmetic renovation we can increase the rent quite dramatically in this town; usually we’d see a jump in rent of around $60-$80.
The real benefit of finding this fully renovated house meant that not only was all the hard work done, but the risk in renovating was also removed. Also, it wasn’t just cosmetically renovated it was fully renovated. It had a new kitchen, new bathroom, had been painted, floating timber floor boards, new carpet, new internal doors, new light fittings and ceiling fans, revived built-in-robes, new blinds, had been rewired and even a new solar powered hot water service had been installed. The cost of the renovation done by the previous owners was well over $40,000.
The big win for us was the price of this property. The median price in this suburb is $246,000. We paid $265,000, so just $19,000 above the median. This property is above average due to the size of the land and its location – close to schools, shops and walking distance to the local club. Un-renovated this house may have sold for around $250,000 in today’s market; the previous owners purchased it years ago so they still made good money. So in reality, for an extra $15,000 we have a fully renovated property and the “unknown” was removed.
The other major benefit was that the house is not occupied and we negotiated access to hold open houses to find a tenant during the settlement period, so the day after settlement our clients will start receiving rent without any down time due to renovations. The expected rental return on this property is $340 per week; on a purchase price of $265,000 this is already a 6.7% gross yield.
Property Bloom will add further value by building a granny flat for around $96,000, which will rent for $280 per week and our end result will be a strong 9% gross yield.
Sometimes the value has already been added to properties. As long as you can purchase at the right price what’s the point of renovating yourself if the numbers stack up? Save yourself the time and pain and move onto your next deal.
Jo Chivers is director of <a href="https://www.propertybloom.com.au/">Property Bloom</a>, which manages property development.
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jochivers-wq5Bp59R5a

To renovate or not to renovate? That is the question.

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Melbourne was the strongest performing capital city detached housing market over the June quarter, recording a 1.6% rise to a median of $531,167, according to figures compiled by Fairfax's Australian Property Monitors (APM).
Dr Andrew Wilson, senior economist at APM, says the Melbourne market is being driven by demand at the lower-end and top-end of the market.
"We've seen a big lift in first home buyers since the announcement of the end of state incentives which has brought demand forward," Wilson told Property Observer.
"In May this year we had the highest numbers of first home buyers since first home buyer incentives were introduced in 2009," he says.
There has also been "solid resilience in the top end leafy suburbs" with prices rising off a low base.
In addition, Wilson says there has been improved affordability and interest rate cuts – though oversold as a driving force – have also been a significant contributor to the recent stronger performance.
Furthermore, auction clearance rates have also pushed up of late.
"It will be interesting to see, when this wave of first home buyers are out of the market, whether the upper end resilience can sustain the market over spring."
"The middle section of the market is always susceptible to the wider Melbourne economy and things like wages growth."
"The Melbourne market is on watch."
Wilson's explanation aside, the APM data is likely to create more confusion for investors and buyers as to the direction of the Melbourne market, with other providers recording different results over the same period of time:
<ul>
<li>RP Data-Rismark recorded a substantial 3.1% drop in Melbourne house prices over the June quarter to a median of $517,500, though it did record a 1.4% gain over the month of June, with Rismark CEO Ben Skilbeck saying the market had “rebounded”. 
</li>
<li>Residex recorded a 1.3% fall in Melbourne house prices over the June quarter to a median of $555,500 and a 0.5% fall over the month of June.</li>
</ul>
<ul>
<li>The Real Estate Institute of Victoria (REIV)’s results could be read as the most bullish, with the institute recording a 2.9% gain to $535,000 over the June quarter, with the metropolitan Melbourne market described as “steady”.</li>
</ul>
Nationally APM reported little change in house and unit prices with house prices up 0.4% to a median of $536,075 and unit prices down 0.8% to a median of $411,810.
Over the 12 month period to June, house prices are down only 1.6% while unit prices are unchanged.
Sydney and Perth house prices hardly moved over the quarter – both up 0.2% to medians of $642,425 and $536,151 respectively.
<img src="/images/stories/2012/stratified-prices1.gif" alt="stratified-prices1" height="181" width="470">
Among capital city unit markets, the trend was down, led by Perth (down 4.5% to a median of $348,960) and Hobart (down 3.9% to a median of $260,393) with Sydney unchanged and a 1.2% fall recorded in Melbourne.
Only two capital cities recorded gains in their median unit prices over the quarter, led by Canberra, recording a 2.5% gain to a median of $421,339 and Adelaide, up 1% to a median of $296,802.
<img src="/images/stories/2012/stratified_prices2.jpg" alt="stratified_prices2" height="193" width="504">
Commenting on the June quarter data, Dr Andrew Wilson, senior economist at APM, says that following a subdued period of buyer activity, “most Australian capital city housing markets appear to have bottomed out in the December quarter 2011, with modest price growth evident over the first two quarters of 2012 in Sydney, Melbourne, Perth, Canberra, Hobart and Darwin."
“Brisbane and Adelaide however are the exceptions, with no clear signs of median house price revivals in those markets,” he says.
“This trend towards modest improvements can be expected to continue in most capital city markets over the second half of 2012, underpinned by the prospects of an active spring selling season signalled by recent improvements in auction clearance rates, recent interest rate cuts and positive ABS home loan data.”
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Melbourne house prices up 1.6% in June quarter to lead 0.4% national gain: Australian Property Monitors 

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The freehold price of the 141 strata apartments at Rydges Mount Panorama hotel has emerged as $8.35 million.
The hotel, which overlooks the Bathurst race track, <a target="_blank" href="https://www.propertyobserver.com.au/leisure/bathursts-citigate-mount-panorama-sold-to-avi-rubinstein-andrew-schwartz-consortium/2012020953315">sold earlier this year to Avi Rubinstein from St Ives in Sydney and Andrew Schwartz from Hawthorn in Melbourne, heading the sydnicate assembled by property investment bank Qualitas.</a>
Rubinstein is a former managing director of FAI Property Services Ltd and has been active for many years in the accommodation industry in Australia and New Zealand.
Andrew Schwartz is the former Babcock &amp; Brown Australian property head.
The four directors of the purchasing company are listed as Rubinstein, Andrew Schwartz, Alan Schwartz from Toorak and the Abacus head, Frank Woolf from Cammeray in Sydney. Andrew, Alan and Alan’s wife, Carole, are all on the board of the private equity Qualitas Property Partners.
The hotel was listed for sale in May last year by the court-appointed receivers The Royal Bank of Scotland subsidiary BOS International (Australia) Ltd, which held the first of three registered mortgages. Babcock &amp; Brown held the third registered mortgage.
The hotel, positioned to give motoring fans a prime view of the famed Bathurst 1000 race in the western NSW city, was developed for more than $50 million but its owner went into receivership in 2007 when it was 90%. The offering included commercial splace plus 135 apartments consisting of 65 studios, 59 x 1 bedroom, 2 x 2 bedroom, 9 x 3 bedroom units; plus a 2 bedroom manager’s residence.
A creditors’ report showed the company owed $30.7 million when it fell into receivership. By August last year that had risen to $49.3 million.
Set on a 1.6 hectare holding the hotel opened in September 2009 and its revenue for 10 month period of July 2010 - April 2011 was $4.2 million, reflecting a steady growth trajectory.
Operating with 118 rooms, the accounts illustrated the hotel achieved an average room rate of $145.74 on average occupancy of 53.3% – both above the regional average.
Occupancy for the local market has operated in the low to mid 50% range for the last 10 years.
Bathurst councillor Ross Thompson told the Western Advocate in November last year that the hotel was available for a “steal”.
The four-star hotel, which features 135 residential apartments over seven levels, has been in receivership since opening its doors to the public in September 2009, “a period marred by the economic downturn,” according to the investment report.
The accommodation was entirely sold out for last year’s Bathurst 1,000.
Rydges has taken over as managers of the resort and is promoting it as the “new Rydges Mount Panorama Bathurst”.
Mirvac Hotels previously managed the hotel as the Citigate Mount Panorama and initially Best Western held the management rights when billed as the most prestigious and largest tourism boon to the Bathurst region by RFMedia who introduced the legendary Peter Brock as the project's ambassador.
"Brock's untimely death saw Best Western exit," according to the then publicist Rae Francis.
It had been listed through CRBE after court appointed receivers.
 
 
 
 
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Mount Panorama, Bathurst hotel sale price comes through as $8.35 million

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Vendors on the Gold Coast are forced to offer average discounts of 10.9% off their original price hopes to secure sales, according to APM's latest "chill chart".
This is down from a peak average discount of 14.5% in August 2011 but considerable above the recent low or 6.9% in April 2010, according to Australian Property Monitors analyst Clinton McNabb. 
<img src="/images/stories/2012/07/apmjuly62.jpg">
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Gold Coast residential property discounting now at 10.9%, a 16-month low: APM 'chill chart'

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This seventh placed cinema in our 20 home cinema countdown is <a target="_blank" href="https://www.verseproperty.com.au/Buying/Search/Detail.aspx?id=VPG215&amp;wlid=8dc7898f-d920-406c-b1e6-5ec7310eb8a2">from South Perth</a>. It comes with overhead lighting like a night sky and cinema-style furnishings. Watching a movie in a room like this is really an immersing experience, in every sense of the word.
The room is dominated by the massive screen and nothing else really jostles for you attention. It opens out into the marble-clad giant dining area. The 513 square metre property, aptly titled La Stupenda, is available from Prakash Dayanandan of Verse Property and has $5.85 million-plus price hopes. The listing assures us that the home is anything but humble.
<img src="/images/stories/2012/07/hometheatre7.jpg" width="470">
To see which home theatres placed eighth click here, ninth click here and tenth here. For the list of theatres in 11th to 20th place click here.
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Wide screen seventh-placed cinema in Property Observer's top 20 home cinemas worthy of Academy recognition

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The Reserve Bank is likely to wait until November to cut interest rates again, according to the Commonwealth Bank’s chief economist Michael Blythe, following today's benign June quarter inflation rate reading.
The CBA had previously forecast a 25 basis point rate cut in August.
Blythe described the CPI June quarter reading of 0.5% as a “touch below market expectations” with the underlying CPI print (0.6%) in line with the market and the Commonwealth Bank’s own forecasts.
“But whatever way you cut up today’s data the bottom line is that underlying inflation at mid-year was travelling at around 2%pa, the bottom end of the RBA’s target band.
ANZ prepared this graph showing how underlying inflation has tracked within the RBA’s targeted inflation band (2% to 3% since 2011):
<img alt="underlying_inflation" src="/images/stories/2012/underlying_inflation.jpg" height="279" width="399">
Blythe says the inflation reading leaves scope for the RBA to cut interest rates “if necessary”.
“That said, there is a pretty clear theme in recent RBA commentary."
“That theme is a lot of policy stimulus that has been applied over the past six months or so and now is the time to see what impact that stimulus is having."
“RBA Governor Stevens, for example, noted in the Q&amp;A session following yesterday’s presentation at the Anika Foundation that “we think the setting’s about right for the circumstances we face”.
“As a result the 25bpt rate cut we had pencilled in for the August RBA board meeting looks unlikely."
“We have pushed that cut back to November. The projected cut reflects the downside risks to the economic outlook that remains."
“Much will depend on how the European story plays out. But lower rates may also prove necessary in an economy adjusting to the end of a terms?of?trade boom and downward correction to export prices,” says Blythe.
Today, on the back of the inflation reading and Glenn Stevens' well-received speech on the economy and housing market, Aussie Home Loans chairman John Symond came out in agreement on the RBA Governor’s position on the state of the Australian housing market.
“Repayments are now at their lowest in years on the back of low interest rates, income growth and lower house prices and loans sizes,” says Symond.
“I particularly endorse the RBA’s optimism and agree that arrears have remained low or have even seen some decline in the last year, while house prices are now somewhere around their 2004 levels. The likelihood of the so-called ‘bubble’ bursting seems low, in my opinion."
“Now really is an opportune time for first home buyers to consider getting in to the market, especially with the chance of further rate drops in the coming months. Both variable and fixed rates look appealing, and with an increase of houses on the market combined with positive economic indicators, it provides a great environment  to invest in your own place rather than pay someone else’ s rent if you can afford it.”
Thinking about refinancing your home loan as economists change the interest rate forecasts?
Sign up for Property Observer’s free webinar: Refinancing and the interest rates riddle taking place on Tuesday 31 July a 12:30pm AEST.
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