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“Minister Chanthivong and his team have shown real leadership in replacing an outdated two-year bond with cover that matches the lifespan of the buildings people are buying into.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

Joel Robinson

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

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

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

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

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

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

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

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

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

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

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

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

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

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

Every First Home Owner Grant for new property by state

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

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

Staff Writer

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

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

alisonwarters@gmail.com

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

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

Ellen Walker

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

When buying an apartment, most people compare the big-ticket items first. Floorplans. Kitchens. Balcony size. Natural light. The view.

But there's one everyday consideration that often doesn't come up until after moving in: how parcels are delivered.

As online shopping has become part of everyday life, parcel deliveries have shifted from an occasional event to a regular occurrence. Australians spent a record $82.6 billion shopping online in 2025, with almost one in every four retail dollars now spent digitally.

For apartment residents, that can present a challenge.

If nobody is home to accept a delivery, parcels may be redirected to a nearby Post Office, left in a building lobby or common area, or require building management to step in. In higher-density buildings, where dozens or even hundreds of residents may receive deliveries each day, parcel management has become an increasingly important part of everyday living.

That can create a range of frustrations. A missed delivery often means making time to collect a parcel elsewhere, while packages left unattended in foyers or mail areas can create clutter and increase the risk of theft. What seems like a minor inconvenience can quickly become a recurring issue for residents who shop online regularly.

It's one of those details that rarely features in a display suite but can have a noticeable impact once residents move in.

As a result, buyers are beginning to look beyond traditional apartment features and consider how a building supports day-to-day convenience, including whether there are secure options for receiving deliveries.

Australia Post's Parcel Lockers provide one solution.

<iframe allow="accelerometer; autoplay; clipboard-write; encrypted-media; gyroscope; picture-in-picture; web-share" allowfullscreen="" frameborder="0" height="315" referrerpolicy="strict-origin-when-cross-origin" src="https://www.youtube.com/embed/CkF2oKmlACg?si=C50sDaoUUn2nuLmq" title="YouTube video player" width="560"></iframe>

Rather than having a parcel delivered directly to an apartment, eligible deliveries can be sent to a nominated Parcel Locker. Once the parcel arrives, residents receive a notification through the AusPost app or SMS and can collect it using a QR code or one-time PIN at a time that suits them.

The Parcel Locker network now includes more than 1,500 locations nationwide, with installations at Post Offices, shopping centres, transport hubs and an increasing number of residential developments. By providing a secure collection point, Parcel Lockers help reduce missed deliveries and avoid parcels being left unattended in common areas.

For developers, parcel infrastructure is becoming another way to improve the resident experience. Rather than relying on concierge staff or leaving parcels in communal spaces, secure collection points help streamline deliveries while preserving the presentation and functionality of shared areas.

For buyers, it's a reminder that the best apartment features aren't always the most obvious.

A generous floorplan or quality finishes might help narrow the shortlist, but the conveniences that simplify everyday life, whether that's EV charging, secure bike storage or reliable parcel delivery, often become the features residents appreciate most once they're living there.

The apartment feature many buyers don't think about, until their first missed delivery

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So, ANZ has gone and done it, raising its standard variable home loan rate independently of the Reserve Bank. It is a significant development in banking, albeit a very small and tentative one.
ANZ had been expected, after the second rate review under its new policy of considering rate movements on the second Friday of every month, to either do nothing or add 10 to 15 basis points to its key home loan rate. Instead it added a modest six basis points to, deliberately one assumes, line its rate up with Westpac, which has had the most expensive standard variable home loan rate of the majors. 
That may help defuse or at least reduce the intensity of criticism that would have been harsher if ANZ had set a new benchmark. The bank could be accused of wimping it, given how noisy it has been about the funding pressures that have been intensifying for the major banks. Tactically, however, it was in an awkward position. This month was one of the handful where the RBA board meeting falls in the second week of the month – in the same week as the ANZ review. Most of the time ANZ would have 10 days to consider the RBA’s decision and probably at least a week to see how its main competitors had responded before it made its own decision. Instead, to the delight of the other majors, with the RBA sitting on its hands, ANZ not only had to make an independent decision but one that could leave it alone and exposed for nearly a month, drawing the ire of the federal treasurer and other bank critics in the meantime. It has tried to make itself as small a target as possible. It shouldn’t have had to. This morning, well before ANZ took its baby step into its brave new world of independent rate-setting, the RBA released its latest statement on monetary policy. In it it makes an unequivocal case for bank rate rises. It says the spreads on bank debt are now "significantly higher than they were in the middle of last year" and that there has been a "step-up in the banks’ overall cost of funding relative to the cash rate." In its more detailed commentary it noted increases in the spreads on term deposits, on wholesale funding and in the cost of the foreign exchange hedging the banks undertake when they borrow offshore – all the banks’ sources of funding have become more expensive relative to its own cash rate. ANZ should have cut and pasted those comments into its own announcement, just in case Wayne Swan et al missed them. The reality is that the spreads on their borrowings, whether term deposits or wholesale funds, have been blowing out and exerting pressure on their margins. The National Australia Bank quarterly update this week showed it had lost about nine basis points of margin relative to the second half of last year. As noted previously, the majors are almost certainly writing new home loans at an initial loss relative to their incremental cost of funds. ANZ and NAB are the two majors that have been growing their home loans books at rates above the overall system growth, with ANZ growing its share at a greater rate than NAB. That would be intensifying the funding pressure. ANZ could therefore have easily made the case for a rate increase of at least 10 basis points or more, although its new policy does give it the flexibility to move the rate, in either direction, regularly at its own discretion and therefore it has the ability to lift it with a series of movements, each small enough not to ignite real fury among its customers and the politicians. Today’s move was a small one for the customers concerned but a major leap for the bank and potential for the system as the banks try to signal and explain to customers that the RBA’s cash rate influences only a part of its funding rather than determining its actual cost relative to benchmark rates.
This article originally appeared on <a href="https://www.businessspectator.com.au/" target="_blank">Business Spectator</a>.
 
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ANZ's cautious pioneering rate hike a significant development

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Westpac announced a 0.10% increase to its standard variable home loan rate to 7.46% this evening. The ANZ lifted its variable interest rates for retail mortgages and small business lending by 0.06% to 7.36% following its independent February rate review mid-afternoon. 
ANZ and Westpac now have the highest variable mortgage rates of the big four. CBA's standard variable rate is 7.31%, and NAB's is 7.22%, as at 7pm Friday February 10.
The ANZ bank blamed the rates it has to pay on deposits and higher wholesale funding costs for increasing the variable rate following the RBA leaving rates unchanged earlier this week. 
ANZ CEO Australia Philip Chronican says the decision - effective February 17 - may leave some people "frustrated and even angry but believe Australia needs safe, well-run commercial banks that aren’t a burden on taxpayers and that can continue to lend".
The ANZ bank has reduced its three-year fixed-rate package mortgage by 0.15%.
The Westpac executive Jason Yetton said increasing interest rates was never an easy decision.
"<a href=""></a>However, our move today reflects the increase in costs of banks raising money.
"<a href=""></a>While we believe that reducing rates in November and December last year was the right thing to do for our customers and the economy, higher deposit costs and higher wholesale funding costs since then make today’s move necessary.
"Over the past four months intense competition for term deposits has increased their cost to us by around 0.30%, while wholesale funding costs have also risen significantly. For example, unsecured five year funding transactions raised overseas by banks to support lending in Australia are currently priced at around 2.30 percentage points over the benchmark bank bill rate. In June last year equivalent raisings were priced at or around 1.50 percentage points over the benchmark."
He added “it’s the money we raise from customer deposits and from wholesale funding that enables us to keep providing lending support to the economy. As the cost of the money we raise increases, at some point, we have to increase the price of the money we lend.
“We have 5 million depositors and they are benefiting as the interest rates we are offering for both online savings accounts and term deposits are among the most competitive we’ve ever offered and reflect our strong commitment to our Australian customers while lessening our reliance on overseas wholesale funding markets.”
Customers with an average mortgage of $250,000 will see their repayments increase by approximately $16 per month (principal and interest loan).The change in Westpac’s standardvariable home loan rate will become effective on 20 February 2012. It follows a 0.50% ($66 per month for a $250,000 mortgage) reduction in the variable home loan rate through cuts in Novemberand December last year.
In its February Monetary Policy Statement released earlier today, the RBA acknowledged the higher funding cost environment while noting “a general improvement in sentiment over the past month or so” in Europe.
“Over the past month, conditions have improved, with [debt] issuance picking up markedly, but spreads on bank debt are significantly higher than they were in the middle of last year.
“Indeed, some large corporates are now able to raise funds in the capital markets more cheaply than banks with a higher credit rating. These global developments have had an effect in Australia, where there has been a step-up in the banks’ overall cost of funding relative to the cash rate,” said the RBA.
Bill Evans, chief economist at Westpac, says the objective of the RBA statement is to emphasise that "without a significant deterioration in global financial conditions policy should remain unchanged".
"When you assess the various pieces of the Bank's description of the domestic economy – weak employment; rising unemployment rate; subdued retail spending; soft housing market; below trend growth outside mining; scaling back of public investment; building construction subdued; inflation to remain around the mid-point of the target range; policy at neutral, not stimulatory – we see a fairly clear case for policy to move into the stimulatory zone immediately.
"Of course our forecasts as contrasted with the Bank's forecasts clearly suggest that the qualitative descriptions provided in this statement are understating the need for a policy response," Evans says.
The CBA's Michael Workman came to a similar conclusion saying the EU’s debt problems "are still the major downside risk for growth and the major trigger for another RBA rate cut".
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Westpac joins ANZ in raising interest rates

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Bank of Queensland (BOQ) has kept the pressure on the major banks to think carefully before pushing up interest rates with a promise to keep its rates on hold.
Yesterday afternoon, in a clever strategic move a day before <a target="_blank" href="/news">ANZ and Westpac made its announcements to raise its rates</a>, BOQ managing director and CEO Stuart Grimshaw said: “We would like to reassure customers that we are holding our standard variable interest rate steady, regardless of competitors’ movements, until the next RBA meeting.”
“We understand many home owners and small business owners are concerned about out of cycle interest rates and want to take this opportunity to reassure our customers that we won’t be increasing our standard variable interest rates at this stage,” he said.
Despite their comparatively tiny size, the major banks will have taken note that some of their second-tier rivals having been picking up more business of late. BOQ grew its mortgage book by 23.5% over 2011 and Bendigo &amp; Adelaide Bank by 14.5% according to APRA figures, while ANZ managed just 6.5% albeit with mortgage book eight times larger. 
Speaking on the ABC’s Inside Business program, Grimshaw told Alan Kohler the big four were under quite a bit of funding pressure.
“As you've been reading yourself and talking about, Europe is the one that we don't know what's going to happen. And if the Europeans don't - I think if they don't come transparently clean and put together a program, a resolution, then I think we will have some hiccoughs in the debt markets which will have ramification down here, particularly for the majors,” Grimshaw said.
The major banks have been dialling up the rhetoric about increased costs of funds over the past few weeks backed by the Australian Bankers’ Association, which put out a statement explaining “how bank funding works and why banks are under funding cost pressures”.
It was widely assumed that if the RBA had cut rates earlier this week, the major banks would not have passed on the full amount.
RateCity CEO Damian Smith says it will be a risky move by lenders to increase their interest rates on home loans, especially at a time when mortgage growth is so low and with more customers able to switch lenders without penalty. 
Smith said if 1% of big four customers – about 20,000 home loans – were to switch to a second-tier lender that would cancel out the extra $228 million per year the banks would make by raising variable interest rates by as little as 10 basis points.
 
 
 
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Bank of Queensland challenges big four banks with promise to hold rates

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The Victorian sheriff had a duty to “obtain a fair and reasonable price,” the Supreme Court was told in the trial surrounding the $1,000 sale of a Braybrook house.
Lawyers for the retailer Zhiping Zhou told the court that Zhou was “vulnerable to the sheriff properly exercising his duty under law.”
“He was exceptionally vulnerable to the price accepted by the sheriff,” barrister Paul Hayes said during the second day of the hearing. The court case continues into the third day on Monday February 13.
The Melbourne man <a target="_blank" href="https://www.propertyobserver.com.au/auctions/melbourne-vendor-goes-to-court-over-%241000-no-reserve-sheriff-s-auction-of-his-braybrook-home/2012020953319">is fighting to reverse the sheriff’s extraordinary $1,000 sale last year of his six-bedroom Braybrook home.</a>
Lawyers for the buyer said their client had no case to answer with regard to acting unconscionably.
<img src="/images/stories/sheriff.png">
Lawyers for Zhou highlighted submissions in the buyer Ronald Kousal’s affidavit that he would search the Government Gazette every Thursday looking for properties coming up for auction. A week before the auction he would contact the sheriff’s office to find out if the auction was going ahead and following a review of the assets, land and any encumbrances set a budget for purchase.
Zhiping Zhou's house was repossessed by the sheriff. It still remains in Zhou’s registered name, according to a title search, although there are warrants of claim registered on title.
There was $465,000 owing on the property.
The Victoria Supreme Court heard the imposing two-storey brick house had an estimated value of $630,000 but was sold at the Swanston Street, Carlton sheriff's room at 2.30 pm December 16, 2010 in a without reserve auction.
Kousal bought the Wirraway Avenue home for $1,000, apparently beating off a $200 bidder. Its been suggested the costs without actually gaining occupancy and title had already surpassed $119,000 in legal fees, stamp duty and costs. Anthony Strahan, for the sheriff, had argued the Sheriff's Act made the office ''immune'' from being held responsible for the outcome of such an auction, and the buyer must be protected. 
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Sheriff selling $630,000 Braybrook house for $1,000 had duty to obtain fair price, court told

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The Ten Network is seeking applications from hopeless husband renovators for its new lifestyle series, which offers to help home owners in desperate need of renovating.
But unlike the unwieldy, expensive 2011 reality series The Renovators, the next crop of willing participants must own their own homes and make a financial contribution to the renovation they oversee.
Ten <a target="_blank" href="https://ten.com.au/competitions-homemakeovercallout.htm">promises</a> to provide the "design expertise, manpower and materials" to turn a do-it-yourself dud or a house seeking inspiration into a "triumph".
Television industry sources suggest the announcement casts doubt as to whether there will be a second season of The Renovators.
Ten had originally revealed that The Renovators would return in 2012, <a target="_blank" href="https://www.propertyobserver.com.au/renovating/the-renovators-will-not-return-in-same-format-and-possibly-not-at-all-lachlan-murdoch/2011102752103">but it has been vague about the show's precise future</a>.
"Obviously there's been a lot of discussion back and forth on The Renovators, and we obviously have a new chief executive on board who is actively involved and just terrific and wanting to be involved in building brands and content," Ten's chief programming officer David Mott said in an interview with David Know at TV Tonight.
“There’s no decision on Renovators at this point in time,” Mott said.
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Channel Ten giving property reality shows a makeover with new DIY offering starring hopeless husbands

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Hobart’s Mercury Building, with its distinctive white Art Deco façade and the home of Tasmania’s state newspaper, has been listed for sale with offers expected in excess of $6 million.
<img src="/images/stories/mercury.jpg">
Built in the 1930s the building, along with heritage-listed Ingle Hall, sits on 3,800 square metres, a third of CBD block at 89-93 Macquarie Street.
It has been listed for sale, with the campaign handled by Scott Newton and Ian Reed from Knight Frank Tasmania. They expect interest to come from local, interstate and international developers.
The Mercury Building was constructed in the 1930s and is easily recognised due to its use of striking Art Deco architecture.
The building is located on the intersection of Macquarie and Argyle streets and has five office floors.
The Mercury has occupied the site since the 1880s. Ingle Hall was constructed in 1814 as a residence and has Colonial Georgian-era architecture. It now houses a newspaper museum and rented offices. The buildings provide an approximate net lettable area of 7,700 square metres over five levels.
The Mercury, now part of News Limited, was established on Macquarie Street in 1854 by founder John Davies. It has 45,000 weekday subscribers, a drop of 4.2% compared with a year ago.
Davies Brothers Pty Ltd chief executive Rex Gardner told The Mercury developers were keen to turn the building into residential, commercial or car parking space.
However, the Art Deco facade will remain untouched.
"We know who is already interested but we expect more interested parties to come forward," Gardiner says.
The Mercury is moving in August 2012 to new headquarters at Salamanca Square, which is being developed into something similar to Melbourne's Federation Square.
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Hobart’s Art Deco Mercury building listed for sale

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Will they or won’t they? They did. Today ANZ lifted its lending rates even though the RBA has left its underlying benchmark rate, known as its “target cash rate”, unchanged. 
Roughly 60% of all bank funding comes from retail deposits, which price off the RBA’s cash rate. This pricing is almost 1:1 when it comes to at-call deposits, and a little less than 1:1 as it relates to term deposits (I will explain why in a second). 
The great thing about retail deposits, which are the major banks’ primary source of funding, is that mums and dads don't charge the banks a “credit” or “risk premium” like more sophisticated wholesale investors do. This risk premium refers to the extra return required by investors in recognition of the very small chance that a bank could go belly-up. Critically, this low probability risk of failure changes every day. 
About 30% of the banks’ funding comes from local and offshore “wholesale” or institutional investors (with the rest originated from shareholders that take equity risk). 
The price of wholesale funding has three key components, and one is the underlying “benchmark”, or “swap”, rate over the same term that the bank secures the funding (or loan). So if CBA is issuing a three-year loan to an institutional investor, the underlying benchmark rate will be three year interest rates. These rates are basically the market’s best guess as to the average cash rate over the next three years. 
This is exactly why the RBA’s former head of domestic markets, John Broadbent, recently “scoffed at statements by ANZ Australia boss Philip Chronican that the overnight cash rate influenced only about 20% of funding costs. “That’s fundamentally bollocks,” Broadbent said, according to the Australian Financial Review. Broadbent continued, “Banks’ funding costs are not entirely determined by the [RBA’s] cash rate, but the major determinant is either the present level of the cash rate or expected changes in the cash rate.” Very true. 
There are nevertheless two other factors at play. These are the abovementioned credit or risk premiums that investors add on top of their expectation of the RBA’s future cash rate. Both relate to bank risk. One is a proxy for generic bank risk, and the second is issuer (or bank) specific (or, more particular, the risk the bank defaults on its obligations). 
All you really need to understand is that CBA pays a premium interest rate above the underlying benchmark rate, which is set to compensate investors in CBA loans for the risk of CBA defaulting. 
As an example, when CBA issued its $3.5 billion covered bond to Australian wholesale investors in January, it paid 1.75% per annum over the standard benchmark rate. Since that time, wholesale bank funding costs have fallen, and the same covered bond only costs about 1.35% per annum over the benchmark rate. That represents a significant 0.4 percentage point decline in bank funding costs. 
Of course, you can have an increase in the banks’ risk premiums combined with a decline in the underlying benchmark rate that actually reduces overall funding costs. We saw this occur in 2011 with long-term interest rates in Australia hitting record lows while the banks’ risk premiums were rising.
The real question for both the major banks and the public is whether the banks should “eat” or absorb any funding cost increases, or whether they should have the ability to force mums and dads (and their corporate customers) to absorb them. 
In an <a href="https://www.propertyobserver.com.au/finance/our-banks-are-too-big-to-fail-too-few-to-be-competitive-mark-bouris-and-christopher-joye/2012020853307" target="_blank">op-ed this week</a>, Mark Bouris and I noted that there was a curious puzzle that characterised Australia’s highly concentrated banking system. Specifically:
“In all properly functioning financial markets there is an inexorable trade-off between risk and return. The higher the risks you take, the higher the returns you generate. But in Australia this maxim has been turned on its head: in Australia, the supposedly lowest risks banks with the highest credit ratings — the majors — are somehow able to yield the highest shareholder returns. In contrast, the smallest banks, with the lowest credit ratings, produce much lower returns on equity. This complete reversal of the inverse relation between risk and return is the purest possible illustration that taxpayer subsidies are being used for the benefit of the banking oligarchy to the detriment of meritocratic democracy.” 
Contrary to a lot of incorrect media commentary, it would be easy for the major banks to say, You know what, we will absorb any funding cost increases and simply deliver our shareholders lower returns given that we are now government guaranteed, and thus carry far lower risks. In risk-adjusted terms, their shareholders would be just as well off as they were before the GFC. 
In this context, the SMH’s Jessica Irvine points out today that the major banks’ returns on equity are way beyond what similar ASX-listed utilities yield their shareholders. So this begs the question: why are the major banks different? 
After complaining so loudly about higher funding costs and ignoring the alternative option that they merely deliver shareholders lower returns commensurate with their risks, ANZ would have looked a little silly today if it had not hiked its lending rates somewhat. The ensuing question is then what the rest of the oligopoly does. The best answer I have seen thus far is in <a href="https://christopherjoye.blogspot.com.au/2012/02/does-this-video-tell-us-what-other" target="_blank">this video skit of two major bank CEOs</a> discussing their response to the ANZ’s decision. 
The truth is that the major banks have no competitors because of their unique too-big-to-fail status. Since they have credit ratings that are lifted higher than their smaller rivals on the basis they – and not their peers – will be beneficiaries of taxpayer bailouts, they can raise money more cheaply than any other lender in Australia. That is, the majors have a fundamental comparative advantage – a materially lower cost of funds – that is effectively impossible to compete with. Only government policy can remedy that.
Christopher Joye is a leading financial economist and a director of Rismark International and Yellow Brick Road Funds Management. The above article is not investment advice.
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Banks could absorb increased funding costs without hurting shareholders: Christopher Joye

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The safety cordon around the 1960s office block at 447 Collins Street remains in place as owner Industry Superannuation Property Trust’s engineers undertake safety assessments and remove loose panels, and tenants in the building are yet to find out what they will receive for lost income.
The Godfrey &amp; Spowers-designed building was cordoned off last week after a two-metre-by-one-metre marble panel became dislodged and plummeted into the courtyard – a popular lunchspot for nearby office workers. No one was injured.
<img style="float: left; margin: 5px;" src="/images/stories/collinsst3.jpg">
The panel, one of a reported 1,200 that coat the building, likely fell due to a combination of age and weather, according to a Melbourne City Council spokesperson.
“The panels are fixed to the building using a combination of mechanical fixings to support the load and an adhesive to keep the panel in position.”
“It appears that over time the adhesive has permitted sufficient movement so as to allow the panel to move beyond the safe limit of the mechanical support.”
ISPT chief executive Daryl Browning says the weather could have affected the adhesive.
“Just as windows can break, adhesions or fixings can be affected by weather, extreme weather. There could be some breakdown in the metal or the adhesive. It unfortunately does happen.”
“The reality is there are not that many failures. In my working career there have been a few buildings ... that have had facade issues.”
Since 2006 ISPT has had approval to build a Buchan Group-designed 11-storey office block and a two-storey restaurant on the site. The permit was extended in September and is due to expire in December 2015. However, the building was recommended for heritage protection in July 2011 by Melbourne City Council.
ISPT has contested the decision, arguing “the condition of the existing building means it is not feasible to retain the existing building in its current form”, according to a December Melbourne City Council document.
The inclusion in a heritage overlay would affect future approvals if the owners were to allow the current approval for plans to lapse.
There are currently no specific regulations requiring owners to periodically maintain facades, however ISPT did undertake inspections in 2011, according to the council spokesman.
“The owner had engaged a contractor to do some facade inspections late last year. The extent of these inspections is unclear, and it is understood that there was no cause for concern at that time.”
<img src="/images/stories/collinsst5.jpg">
The safety cordon extends approximately 30 metres from the north (Collins Street) side of the building; however on the western (William Street) side the cordon is only the width of the pavement, although the council says the panel fell several metres from the building.
<img src="/images/stories/collinsst4.jpg">
“The panel hit the balustrade on the level below and was then propelled away from the facade. It appears the main impact area was a few metres from the face of the building,” says the council spokesman.
<img style="float: left; margin: 5px;" src="/images/stories/collinsst6.jpg">
“The areas that have been barricaded are similar to those that would be protected by a gantry if the building was under construction.”
The cordon has forced many ground-floor retail businesses to close. The owner of one business says the building’s owners have been unwilling to discuss compensation for lost business.
“We've been waiting for three or four days and we've still heard nothing. I think there’ll be a meeting [on Friday].” says one business owner.
“There will certainly be a discussion... They obviously have had to close and there’ll be income that they’ve forgone. And that will all be considered,” Browning says.
Managing agent Knight Frank was recently offering space for lease in the building but the lease sign at the front was taken down mid-week.
ISPT is one of the largest property funds in Australia, managing $7 billion of investments. In Melbourne it owns 500 Bourke Street, Casselden Place, 114 William Street, Melbourne GPO, 474 St Kilda Road and 50 Lonsdale Street.
ISPT bought 447 Collins Street for $81 million from AXA in November 2004.
On February 10 ISPT met with business owners , who say compensation matters have been discussed. The meeting was 11 days after the January 31 incident.
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Tenants yet to get compensation guidance after emergency closure of Collins Street office building

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Developer Stockland will continue to sell its commercial and industrial assets and use the proceeds to reinvest in higher-yielding and less volatile retail assets, says Stockland CEO Matthew Quinn.
Retail assets have generated returns of 10% for Stockland, while industrial assets have generated 8.3% and office assets 7% returns.
According to Stockland, retail assets consume less non-recoverable maintenance capital, require less incentives to lease and have lower volatility.
<img src="/images/stories/stocklandfeb10.gif">
Quinn says office and industrial sale proceeds are being reinvested in the redevelopment of existing retail centres.



However, there is time lag of two to three years from asset sale to centre opening, meaning the greater return won’t be reflected in earnings until 2014.

 
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Stockland continues to focus on higher-yielding retail commercial property

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56/12 Wylde Street, Potts Point, NSW, 2011
<img src="/images/stories/wyldest.jpg">
This one-bedroom apartment with harbour views has the potential to rent for $585 per week, according to <a target="_blank" href="https://www.raywhite.com/nsw/potts-point/723973/">Ray White Elizabeth Bay</a> agents Nick Harrington and Mike Cotton-Stapleton, who are marketing the property. The 54-square-metre apartment on the fourth floor includes a balcony and an internal laundry.
Cotton-Stapleton and Harrington provide details of comparable sales, including the apartment at 16/4 Macleay Street, Potts Point, which sold for $500,000 in December 2011, and the apartment at 8/108 Victoria Street, Potts Point, which sold for $540,000 in September 2011. If the Wylde Street property sells for $500,000 and is rented out for $585 per week, that would secure an investor a gross rental yield of 6.1%, higher than the indicative gross rental yield for Potts Point units of 5.3%, according to RP Data. The gross rental yield does not consider the costs of maintaining the property, including council rates and other fees such as water bills and managing agent fees. The strata levies for this property are $823 per quarter, the water levies are $144 per quarter and the coucnil rates are $188 per quarter.
The median price for Potts Point units went up 10.5% in the past year, according to RP Data. 
The property is open for inspection on Saturday, February 11 at 11am and will go to auction on Thursday, February 16 at 6.30pm. 
For more information about yields and prices in Potts Points, see the <a target="_blank" href="/news">RP Data suburb page</a>.
For another investment prospect open for inspection this weekend, see page 2.
 


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22 Lubrano Street, Brighton East, VIC, 3187
<img src="/images/stories/lubrano1.jpg"> 
This 1920s California bungalow on 666 square metres is currently leased until June 2012 at $481 per week. The three-bedroom house includes high ceilings and polished timber floorboards and is within walking distance of the Hawthorn Road tram and Gardenvale Primary School.
Century 21 agent Michael Egan <a target="_blank" href="https://www.century21.com.au/c21/propertySearch/brochure.cfm?grplstno=VIC619037&amp;listing=residential&amp;buyrent=buy&amp;sbrb=BrightonEast&amp;State=ViC&amp;pcde=3187">is marketing the property </a>with price hopes of $920,000 plus, which would secure an investor a gross rental yield of 2.7%, below the indicative gross rental yield of 3.3% for Brighton East houses, according to RP Data. The gross rental yield does not consider the costs of maintaining the property, including council rates and other fees such as water bills and managing agent fees. 
The median price for Brighton East houses fell by 9.3% in the past year, according to RP Data. 
The property will be open for inspection on Saturday, February 11 at 1.45pm and will go to auction on Saturday, March 3 at 11am. 
For more about prices and yields in Brighton East, see the <a target="_blank" href="/news">RP Data suburb page</a>.
 
 
 
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