One of Brisbane's last major riverfront redevelopment opportunities has taken a significant step forward, with Lendlease selected as the Queensland Government's preferred development partner for the former Visy site in South Brisbane.

The seven-hectare industrial site, positioned between South Bank and West End and 1.3 kilometres from the Brisbane CBD, will be transformed into a mixed-use precinct expected to deliver more than 4,000 new homes alongside extensive public open space and riverfront parkland.

The project is one of the largest urban renewal opportunities currently planned in Brisbane and is expected to play a key role in accommodating the city's growing population ahead of the 2032 Olympic and Paralympic Games.

Plans for the precinct include a network of riverfront promenades and boardwalks, new public plazas, parkland, amphitheatre-style gathering spaces and shared pedestrian and cycling links designed to reconnect the long-isolated site with the Brisbane River.

The Queensland Government is targeting delivery of the first homes and key public spaces before the 2032 Games, allowing the precinct to begin contributing new housing and public amenity well before the broader masterplan is complete.

The redevelopment is also expected to support more than 3,000 jobs across planning, construction and ongoing operations.

For Lendlease, the appointment adds another major urban regeneration project to its Queensland portfolio. The developer has operated in the state for more than 70 years and has delivered a number of large-scale mixed-use precincts in partnership with government.

Lendlease Development CEO Claire Johnston said the project represented one of Brisbane's most significant redevelopment opportunities.

"The transformation of the former Visy site represents a rare opportunity to reimagine one of Brisbane's most significant riverfront locations, deliver thousands of much-needed homes, and create long-term legacy," Johnston said.

"In partnership with the Queensland Government, we have the opportunity to create a new riverside destination that will help shape Brisbane's growth and how people experience the city for decades to come.

"This is exactly the type of large-scale, city-shaping development that will provide lasting benefits for Queensland, bringing together housing, jobs and world-class public spaces."

Deputy Premier and Minister for State Development, Infrastructure and Planning Jarrod Bleijie said the riverfront transformation would deliver a thriving new community precinct.

“The Crisafulli Government is delivering this golden opportunity to unlock a riverfront jewel for all Queenslanders,” Deputy Premier Bleijie said.

“This is a once-in-a-generation moment to reshape a significant slice of Brisbane and deliver lasting benefits – thousands of new homes, and public spaces for all Queenslanders to enjoy well beyond the 2032 Olympic and Paralympic Games – unlike Labor’s plan which would have delivered zero benefits and zero new homes.

“Queensland is well and truly open for business and through partnership with the private sector, we are accelerating delivery while ensuring strong housing, community and economic outcomes."

Early works on the precinct are expected to commence in April 2027.

Joel Robinson

Lendlease selected to deliver transformative South Brisbane riverfront precinct

Eddy Haddad's <a href="https://www.apartments.com.au/developers/level-33">Level 33</a> is levelling up its approved Wollongong development, as the coastal city south of Sydney continues to prove popular in the high-density development space.

Level 33, a longtime developer in the Wollongong area, has gone through the NSW Government's Housing Delivery Authority to upsize its approved two-tower development on the corner of Crown Street and Gladstone Avenue, just 100 metres from Wollongong Station.

The developer currently has approval for 252 apartments across two buildings rising to 19 storeys. It is now seeking approval for 33 and 38-storey towers that would deliver 467 apartments, including 67 affordable homes.

Designed by <a href="https://www.apartments.com.au/architects/bka-architecture">BKA Architecture</a>, the development would comprise apartments above a three-level podium with around 1,100 sqm of retail space, along with basement parking for 448 vehicles.

According to the Urban Design Report by BKA, the proposal has the capacity to "reinforce the precinct's identity by strengthening links between health, education, and transport services, while also contributing to Wollongong's ongoing evolution as a key regional centre."

Wollongong is somewhat in vogue. Between Level 33 and Urban Property Group, the two developers have several thousand apartments planned across the city.

Level 33 is currently delivering Easterly Wollongong, one of its most boutique projects to date with just 21 high-end apartments, as well as Atchison &amp; Kenny, a 329-apartment development due for completion later this year.

The developer plans to redevelop the 13,088 sqm WIN Grand megasite into <a href="https://www.apartments.com.au/new-apartments/crown-square-216-238-keira-street-wollongong-nsw-2500">Crown Square</a>, a new $500 million precinct with nearly 600 apartments. It also has more than 900 apartments planned for the former Bunnings Warehouse site at the intersection of Gipps and Flinders streets.

Urban Property Group is also playing a major role in the city's transformation. Its five-tower Keira Place precinct will deliver more than 800 homes, and it has recently lodged plans for a further 300 apartments near Wollongong Station.

First look: Level 33 upsizes Wollongong apartment towers

Just a week after filing plans for the final stage of its major Keira Place masterplan, <a href="https://www.apartments.com.au/developers/urban-property-group">Urban Property Group</a> has unveiled another significant housing proposal in Wollongong, this time targeting a prominent site opposite North Wollongong Station.

The developer has lodged a State Significant Development Application for a 38-storey mixed-use tower at <a href="https://www.apartments.com.au/new-apartments/4-4a-flinders-street-north-wollongong-nsw-2500">4-4A Flinders Street</a>, around one kilometre north of the <a href="https://www.apartments.com.au/new-apartments/keira-place-wollongong-120-122-smith-street-wollongong-nsw-2500">Keira Place precinct</a> currently taking shape on the edge of the CBD.

<img alt="First look: Urban Property Group plans 38-storey North Wollongong tower as Keira Place expansion gathers pace" data-entity-type="file" data-entity-uuid="2b6428f1-6405-4038-8476-897de440e90d" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/flinders%20podium.png?VersionId=QLqEvK0OuCEwRC47oHNftrw2B1YqaHF8" />

Designed by Studio.SC, the proposal comprises a 38-storey mixed-use development containing 303 apartments, including 45 affordable housing units, alongside 174 co-living residences. The scheme also includes ground-floor retail space, extensive landscaping and public domain improvements.

Studio.SC noted in the proposal it "outlines a vision for a landmark transit-oriented mixed-use development centred around North Wollongong Station, designed to support the city’s future growth while responding to the NSW Government’s housing and planning reforms."

The architecture firm said the proposal responds to the opportunities and constraints shaping future growth within the 400-metre catchment of the station and represents "a coordinated and future-focused approach to urban intensification, contributing to the long-term evolution of North Wollongong as a connected, walkable and high-density station precinct."

The site occupies a strategic corner bounded by Flinders Street, Station Street, Stafford Street and the Princes Highway, directly opposite North Wollongong Station.

<img alt="First look: Urban Property Group plans 38-storey North Wollongong tower as Keira Place expansion gathers pace" data-entity-type="file" data-entity-uuid="7863adad-1f71-4022-b850-f44b252738fd" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/flinders%20podium%20a.png?VersionId=WsU7av0g8_8R2tGHWxgHeFSlhu7yeY1V" />

The proposal follows Urban Property Group's recent submission for the second and final stage of Keira Place, which would deliver a further three buildings comprising 657 homes opposite Beaton Park. It builds on the first stage, which features 150 apartments across two towers and recently commenced construction.

Urban Property Group CEO Patrick Elias said breaking ground on the first stage marked a significant milestone for Wollongong and reflected the developer's long-term commitment to regional cities.

"Today's groundbreaking is about turning approvals into homes and moving quickly to deliver much-needed housing in Wollongong's city centre," Elias said.

"Keira Place will provide a diverse mix of homes close to jobs, transport and services, while setting a high benchmark for quality, durability and consumer protection."

Read more:&nbsp;<a href="https://www.apartments.com.au/news/nsw/urban-property-group-unveils-trio-of-towers-for-next-stage-of-new-wollongong-precinct-keira-place">Urban Property Group unveils trio of towers for next stage of new Wollongong precinct, Keira Place</a>

First look: Urban Property Group plans next major Wollongong tower

<a href="https://www.apartments.com.au/developers/arada">Arada Australia</a> has wasted little time expanding its ambitions in Campsie, lodging plans for a second major project in the rapidly transforming town centre just months after unveiling its three-tower One Campsie proposal on Beamish Street.

The UAE-backed developer has now taken aim at one of the suburb’s most strategically positioned sites, filing a State Significant Development Application for a <a href="https://www.apartments.com.au/new-apartments/10-north-parade-campsie-nsw-2194">33-storey mixed-use tower</a> at 10 London Street and 43 North Parade, directly opposite the future Campsie Metro Station. The proposal is currently on public exhibition and represents another significant vote of confidence in Campsie's emergence as one of Sydney’s key transit-oriented growth centres.

Designed by <a href="https://www.apartments.com.au/architects/woods-bagot">Woods Bagot</a>, the development would deliver 156 apartments above a podium containing retail and commercial space, creating a new residential and commercial gateway to the town centre. The scheme also includes a four-level above-ground parking podium and a dedicated residential amenity floor featuring wellness and recreation facilities. At least 10 per cent of the apartments would be allocated as affordable housing for a period of 10 years.

The proposal occupies a 1,631 sqm site bounded by London Street, North Parade and Dispensary Lane, immediately adjoining the future Metro station precinct and just metres from Beamish Street’s retail and dining strip. According to the Urban Design Report, the project seeks to deliver "a great place that prioritises human-scaled experience and provides spatial improvements to the area."

<img alt="First look: Arada doubles down in Campsie with 33-storey Metro-front tower plans" data-entity-type="file" data-entity-uuid="175a8324-015b-4856-abe3-ce6f23199fa7" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/podium%20campsie.png?VersionId=742UGwXFhFBX4GEl6wX4PYIWREAgn6il" />

Woods Bagot describes the tower as a key marker within Campsie's next phase of growth.

"Located directly opposite the new Campsie Metro Station on North Parade, 10 London Street is a thoughtfully composed 33-storey mixed-use tower that contributes to the ongoing transformation of the town centre," the Architectural Design Report states. The report says the project is intended to provide "high-quality homes within a vibrant, connected urban environment, while helping define Campsie's future skyline."

A strong emphasis has been placed on the public realm. The ground floor incorporates over 500 sqm of retail space and active frontages along both London Street and North Parade, while the podium is wrapped by extensive landscaped planting intended to soften the building's scale and strengthen the pedestrian experience. The development would also widen surrounding footpaths and improve connections between the Metro station and the broader town centre.

Above the podium, residents would have access to more than 1,400 sqm of communal amenities, including a pool, gym and landscaped recreation spaces. A distinctive green-wall treatment extending across four podium levels forms a major architectural feature, helping differentiate the project within the emerging high-density precinct.

The tower's design is closely tied to the broader Campsie Town Centre Master Plan and the arrival of Sydney Metro. The Urban Design Report notes the proposal "directly supports the Campsie Town Centre Master Plan by delivering new homes in a location explicitly identified for growth, improved accessibility, and high-quality urban renewal." It adds that the project contributes to the master plan's vision for a strengthened town centre supported by thousands of new homes around the future Metro station.

<img alt="First look: Arada doubles down in Campsie with 33-storey Metro-front tower plans" data-entity-type="file" data-entity-uuid="bfd17654-253e-489a-bade-6278d63db412" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/base%20campsie.png?VersionId=3roJPMQGs36dazpkhvpvbDDP73Ld.Ica" />

The application follows Arada Australia's recently lodged One Campsie project at 124–142 Beamish Street and 16–18 Ninth Avenue, where the developer is seeking approval for 346 apartments across three towers rising 24, 32 and 39 storeys. Together, the two proposals would cement Arada Australia as one of the most influential developers shaping Campsie's future urban form.

Read more:&nbsp;<a href="https://www.apartments.com.au/news/nsw/first-look-arada-files-for-trio-of-apartment-towers-in-campsie-town-centre">First Look: Arada Australia files for trio of apartment towers in Campsie town centre</a>

Arada Australia entered the Australian market in 2024 and has rapidly assembled a significant development pipeline across Sydney. Alongside its Campsie holdings, the developer is soon to launch <a href="https://www.apartments.com.au/new-apartments/wattle-green-2-fishburn-crescent-castle-hill-nsw-2154">Wattle Green</a> in Castle Hill, and has expanded its local operations following its acquisition of construction firm Roberts &amp; Co.

Located around 14 kilometres south-west of the Sydney CBD, the site sits at the centre of one of Sydney's fastest-changing middle-ring precincts. The Metro conversion of Campsie Station, combined with Canterbury-Bankstown Council's master planning framework, is driving significant residential intensification around Beamish Street and North Parade, with thousands of new homes expected over coming decades.

First look: Arada Australia doubles down in Campsie with 33-storey Metro-front tower plans

For the first time in a long time, Australia's inflation story is starting to look more like a landing than a fight.

The latest Consumer Price Index figures from the Australian Bureau of Statistics showed annual inflation eased to four per cent in May, down from 4.2 per cent in April. On the surface, that might not seem like a major move. Inflation remains above the Reserve Bank's target range and some categories continue to record stubborn price growth.

But the significance of this result lies less in where inflation sits today and more in what it means for where interest rates are likely heading next.

The biggest takeaway is that inflation continues to move in the right direction.

Markets had been bracing for another sticky result after a period where progress appeared to stall. Instead, headline inflation came in softer than expected, helped by falling fuel prices and easing transport costs. Annual transport inflation halved from 6.6 per cent in April to 3.3 per cent in May, while automotive fuel prices fell 11.9 per cent during the month following lower oil prices and the impact of reduced fuel excise measures.

While petrol prices don't solve Australia's affordability challenges, they are one of the most visible and immediate costs for consumers. Falling fuel costs feed through the economy quickly, helping ease pressure on household budgets and business operating expenses.

The ABS data also showed headline inflation is now sitting at its lowest annual level in several months, reinforcing the broader trend that price growth is gradually moderating.

That trend is important because it aligns with what many economists and lenders have been saying for the last month.

Prior to this week's inflation data, ANZ, NAB and Commonwealth Bank had all shifted their forecasts, now believing the Reserve Bank had likely reached the peak of the interest rate cycle. Following the May inflation release, ANZ reaffirmed that view.

In its latest economic update, ANZ said it expects quarterly trimmed mean inflation to come in at 3.7 per cent for the June quarter, slightly below the Reserve Bank's forecast of 3.8 per cent. Importantly, the bank said that outcome, when combined with slowing economic activity, "supports our view that the cash rate has peaked".

The Reserve Bank has spent the better part of three years attempting to bring inflation under control through higher interest rates. If Australia's major banks are correct and rates have now peaked, the conversation shifts from how much higher rates could go to when they might begin coming down.

Westpac's caution comes from underlying inflation. The trimmed mean, the measure most closely watched by the Reserve Bank, increased from 3.4 per cent to 3.6 per cent annually. Housing inflation remains elevated at 6.5 per cent, reflecting ongoing increases in rents, electricity costs and new dwelling construction.

Electricity prices remain particularly problematic, rising 21.1 per cent over the past year following the removal of government rebates.

Housing construction costs are also showing signs of renewed pressure. ANZ noted new dwelling costs rose 0.9 per cent in May and are now running at an annualised pace of 8.6 per cent over the past three months. Builders continue to face higher labour, fuel and material costs, a reminder that inflationary pressures have not completely disappeared.

Housing affordability has deteriorated largely because of higher interest rates rather than higher property prices alone. Even modest reductions in mortgage rates would improve borrowing capacity, increase buyer confidence and reduce repayment pressure on existing homeowners.

While August is far from a certainty, the latest inflation result has strengthened the view that the next move in rates is more likely to be down than up. For borrowers, buyers and the development sector, that alone represents a significant shift from the conversation that dominated much of the past two years.

The inflation result the property market was waiting for

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?

<html><body>
A prime commercial landholding in Camberwell has sold to a local buyer for $10,050,000 at auction.
The 1,965 sqm block at <a href="https://www.commercialrealestate.com.au/property/398-410-burke-road-camberwell-vic-3124-2015782263" target="_blank">398-410 Burke Road</a> comprises six adjoining retail and commercial freehold buildings in the South Camberwell Retail Village.
The Bakers Wife bakery, the restaurant Squires Loft, Kinban Building Consultants, Dealing in Design and Rod Lord Restorations are just some of the tenants.
Savills Australia agents Jesse Radisich, Nick Peden, and Benson Zhou secured the sale at a tight 1.65% yield and a land rate of $5,120 per sqm within one week following the close of expressions of interest. 
They had strong interest from offshore and local buyers.
Radisich said numerous international and local buyers were attracted to the site’s significant existing rental income, prime location, development potential, and the scarcity of the offering in terms of scale. 
“398-410 Burke Road lends itself to a host of possible outcomes,” Radisich said. 
“In a very positive sign of strength in the market, a cashed up local buyer was able to outbid strong off-shore and other local interest, with an incredibly short settlement period of just 23 days.” 
“The property is located in a Commercial 1 Zone, and the current owner was very deliberate in not putting in place any long-term leases at the property which would restrict short-term development potential. 
"This of course makes the site ideal for a prime mixed-use development in the near future.”  
Nick Peden said it is rare for a site of this scale to be offered to the market within a prime retail strip. 
 
 
</body></html>

jrobinson-rf4aSBido9

Prime Camberwell commercial block sells for over $10 million

<html><body>
GUEST OBSERVATION 
Worldwide, buildings are responsible for 19% of greenhouse gas emissions and our cities are responsible for up to 70%. 
So, designing buildings that produce fewer greenhouse gas emissions is vital to help limit global warming and the threats it poses. But we also need to ensure buildings are designed and constructed to cope with our changing climate conditions to bolster their longevity.
This means the construction sector has a significant role to play in mitigating and adapting to climate change. 
The urgency of rapidly reducing greenhouse gas emissions was highlighted in the bleak prognosis from the recent Intergovernmental Panel on Climate Change (IPCC) <a href="http://www.ipcc.ch/report/sr15/">special report</a>.
The IPCC report, released earlier this year, states that “limiting global warming to 1.5C would require rapid, far reaching and unprecedented changes in all aspects of society”.
This includes changes in the way cities currently function, including land use, energy, industry, buildings, and transport.
<a href="https://www.sciencedirect.com/science/article/pii/S0360132318302191">Our research</a> identifies several barriers inhibiting the construction industry’s response to adapting to climate change. 
The current regulatory framework is a key hurdle that many stakeholders within the Australian construction industry raised in our interviews. The <a href="https://www.abcb.gov.au/ncc-online/NCC">National Construction Code</a> doesn’t explicitly address climate change. 
Updating the regulations is an opportunity to set new benchmarks for the industry. The National Construction Code and its associated standards need to be reviewed and strengthened to ensure climate change adaptation and mitigation are addressed.
In the absence of any updated regulations, another barrier is the lack of client demand for buildings to be designed and constructed to address climate change. This sits alongside the perceived additional cost of building and including these mitigation and adaption measures.
Yet many people we interviewed say better regulation to address climate change would be beneficial. This would create a ‘level playing field’ for the industry and encourage innovation in the sector.
Significant climate change impacts will happen within the lifecycle of buildings that are being constructed now. So it’s important to design for these changes today. 
For example, considerations need to be made now to ensure gutters and drains are built to a size that can cope with bigger rainfall events, and to ensure that our homes stay cooler for longer during increasingly hot summers.
Unless we rapidly reduce our greenhouse gas emissions, we will all face significant and catastrophic impacts including increasing drought periods, a spike in the number of extreme heat days, increasing rainfall intensity, and a rising number of extreme events like floods, cyclones, and bushfires. 
These changes will influence the way our economy and society function.
To limit warming to 1.5 degrees (above pre-industrial levels) by 2100, and to limit climate change impacts, we need to reduce our global greenhouse gas emissions, fast – to 50% by 2030 and net zero emissions by 2050. 
As the IPCC’s special report says, achieving this goal will require a rapid transformation of our urban infrastructure systems including transport, the layout of our cities, and the design and construction of buildings. 
If we construct buildings that are unable to withstand future weather conditions, we’ll need more electricity to heat and cool our homes and work places.
But where we build will also be important; the further out, the more likely we’ll see more transportation-related greenhouse gas emissions, like travel modes for work and leisure. We will need to facilitate city growth on sites that aren’t vulnerable to future risks such as sea level rise. 
In addition, risk to operational capacity and building obsolescence will become key considerations for owners and occupiers alike, requiring forward planning and construction of buildings to withstand and cope with future challenges. 
Australia is going through a significant period of population growth. This translates to a large volume of construction, like dwellings and associated urban infrastructure, which is underway in many parts of the country.
It’s critical the construction code is updated to ensure that new buildings going up now address the changes we know are occurring and will continue to escalate in the future. 
Ignoring future climate change in construction is likely to end with many buildings and infrastructure projects becoming redundant, expensive to run or maintain, or even uninhabitable. This creates a plethora of problems for current and future generations.
Our research found all disciplines involved in creating a built environment have a role to play in addressing climate change – architects, urban designers, planners, engineers, builders and constructors are all integral to making a change.
Understanding how these sectors integrate and influence each other, and how they operate within policy and regulatory frameworks, is crucial to reduce greenhouse gas emissions and so limit the harsh consequences of irreversible climate change.
The research was conducted by Dr Anna Hurlimann, Professor Valerie Francis, Dr Georgia Warren-Myers and Dr Geoff Browne from the University of Melbourne’s Faculty of Architecture Building and Planning. It was funded by The Multiplex Research Program Award.
</body></html>

j.ballantyne1990-6AQqhLzZaK

We need to modify how we build cities for a changing climate

<html><body>
EXPERT OBSERVER
The Australian economy grew by a disappointing 0.4% in the September quarter for annual growth of 1.7%.
Of most concern is that this represents the fifth consecutive quarter where private final demand, which declined by 0.3% in September, either contracted or was flat.
Within private final demand the most surprising undershoot was household consumption, which expanded by only 0.1%. Over the last year household consumption has grown by only 1.2%, compared to a trend pace of around 2.8%.
This soft outcome for households is despite a 2.5% lift in household disposable income in the quarter, driven by a solid lift in labour income growth (1.1%); a 6.8% fall in tax paid and a 2.5% fall in interest paid (all these measures are nominal). Consequently there was a substantial lift in the savings ratio from 2.7% in the June quarter to 4.8%.This is convincing evidence that uncertain households chose to “save” the tax and interest rate cuts, and then some.
The contraction in the dwelling construction cycle continued into the September quarter. New dwelling construction contracted by 2.8% to be down by 11.0% over the year. With businesses facing flat demand it is not surprising that new equipment investment fell by 4.5% in the quarter (-2.2% for the year) with overall business investment down 2.0% for the quarter (-1.7% for the year).
Growth continued to be boosted by public demand (+1.7% for the quarter and 5.2% for the year).
The Federal Government and the Reserve Bank will be disappointed with this result. A lift in annual output growth from 1.6% to 1.7% is hardly a “gentle turning point” when private final demand contracted by 0.3% following a 0.1% contraction in the June quarter.
Despite a solid boost to incomes, the cautious consumer has chosen to lift its savings rate and hold spending effectively flat. The lift in savings is over and above the policy stimulus - suggesting heightened risk aversion.
RBA rate cuts have had some impact with house prices lifting nationally by 2.3% (including 3.5% in Sydney and Melbourne) in the September quarter. This turnaround has clearly failed to boost spending in the quarter although any wealth effect is likely to have substantial lags, probably in the order of 12 months.
That consumer caution, along with an uncertain global outlook, has constrained business investment while the contraction in the residential construction cycle continues to unfold.
It seems likely that the Reserve Bank will need to lower its optimistic growth forecast for 2020 of 2.8% given it is underpinned by a lift in consumer spending growth to 2.4% (compared to the current 1.2%) and a 6.2% lift in business investment.
Westpac has long held the view that the RBA’s 2020 growth forecasts were overly optimistic. Our forecast for growth in 2020 has been 2.4% following a 2.3% increase in 2019.
The main areas of difference with the RBA have been around the outlook for business investment growth (2.8% compared to 6.2% for the RBA) and dwelling construction (-6.0% compared to -2.6% for the RBA).
Our forecasts for consumer spending were largely aligned (2.3% compared to 2.4% for the RBA).
Following the lower than expected growth in the September quarter and the associated evidence that the household sector is gripped in a sustained period of caution and risk aversion (average quarterly growth in consumption of 0.28% since the September quarter 2018) we have lowered our forecast annualised growth pace for consumer spending in the first half of 2020 from 2.3% to 1.6%.
That lowers our forecast for growth in consumer spending for 2020 from 2.3% to 1.8%.
Along with some other more modest downward adjustments to business investment (2.8% to 2.2% and dwelling construction (-6% to -7.1%) we have lowered our GDP growth forecast for 2020 from 2.4% to 2.1%.
As discussed, that compares with the Reserve Bank’s forecast in November of 2.8%. Accordingly we expect that the RBA, while unlikely to follow Westpac’s forecast exactly, will revise down its 2020 growth forecast from 2.8% to 2.5%. A revision in growth from trend to below trend would represent an appropriate opportunity to deliver on the next rate cut from 0.75% to 0.5%.
That growth revision (from trend to below trend) will be released following its Board meeting on February 4 and, together with an associated boost in the forecast unemployment rate (currently flat lining at 5.2% to end 2020) will make the decision to further cut the overnight cash rate to 0.50%, at that February meeting, a reasonable response.
We expect that cut will be eventually followed by a further cut in June to 0.25%, a little after the Commonwealth Budget which will be released on May 12.
Westpac has argued strongly that the Commonwealth government should bring forward the personal income tax cuts which have been legislated to begin from July 2022. Such a policy initiative would boost the consumer spending profile through the second half of 2020 and in 2021.
A key issue here will be whether the Commonwealth government believes that the bring forward can be accommodated while still delivering on the election commitment of fiscal surpluses from 2019/20.
Current Budget forecasts point to surpluses of $7bn (2019/20); $11bn (2020/21); $17.8bn (2021/2022); and $9.2bn (2022/23).
The approach would be to bring forward the $14bn in tax cuts in two suggested stages of $7bn in 2020/2021 and 2021/22. That would allow surpluses in 2020/21 and 2021/22 of $4bn and $3.8bn respectively – tight but nevertheless surpluses.
In that regard the Government’s Mid-Year Economic and Financial Outlook (MYEFO), which is scheduled to print before December 20, will be very important.
As with our expectation that the RBA will be revising down its growth forecasts in February the government may be forced to do the same in the MYEFO. Of most interest will be the impact on the fiscal outlook of a likely downward revision in the forecast for the growth rate in the Wage Price Index (currently 2.75% through 2019/2020 and 3.25% in 2020/2021). Note that the RBA is forecasting 2.3% in 2020 and 2021.
GDP growth is forecast at 2.75% ( 2019/20) and 2.75% (2020/21) compared with Westpac’s forecasts of 2.0% and 2.2% respectively.
On the other hand, the Government has forecast the iron price at USD 55 per tonne by end March 2020 – currently USD 89 per tonne and clearly a significant underestimate. The revised fiscal outlook will be important for gauging whether the government assesses that there will be sufficient fiscal scope to accommodate the bring forward of the personal income tax cuts.
Even with a bring forward of the tax cuts, we assess that the economic environment (particularly around our forecast 5.6% unemployment rate through most of 2020) will be sufficiently threatening for the RBA to see the need for a second rate cut in June 2020 to the “effective lower bound” of 0.25%.
From that point, in an environment where we expect the US Federal Reserve to be cutting rates – putting downward pressure on global rates – the RBA will need to adopt a QE style policy to contain any unwelcome boost to the AUD as well as put further downward pressure on the risk free rate. That policy is likely to take the form of a regular monthly purchase program of $2-3bn comprised of Commonwealth government bonds and probably, selected semi government securities. The program is likely to be open ended, contingent on the economic and inflation outlook.
Evidence from offshore, as set out in the Bank of International Settlements study (CGFS Papers No. 63) point to “overall, the effects have been estimated as positive for both output and inflation, but these assessments are subject to a high degree of uncertainty.”
Channels recognised in the studies refer to reductions in the risk free rate; impacts on bank lending (as reserves of the banks are increased); currency effects; and spill overs to other private sector rates.
Such a modest purchase program could be extended well into 2021 by which time we expect the economic outlook will have shown steady improvement.
BILL EVANS is the Chief Economist for Westpac
</body></html>

bevans-rYk9SxEa4r

RBA and Government likely to lower forecasts following GDP report: Bill Evans

<html><body><div class="page" title="Page 1">
<div class="section">
<div class="layoutArea">
<div class="column">
There were 2,837 homes taken to auction across the combined capital cities last week, returning a preliminary auction clearance rate of 74.5 per cent.
<div class="page" title="Page 1">
<div class="section">
<div class="layoutArea">
<div class="column">
The second busiest auction week of the year returned a preliminary clearance rate of 74.5 per cent across the capital cities
</div>
</div>
</div>
</div>
The previous week had been the busiest auction week of the year, with 3,206 auctions were held and the final clearance rate of 73.6 per cent. 
Over the same week in December 2018, auction volumes were lower with 2,631 homes going under the hammer across the combined capital cities, returning a final auction clearance rate of just 41 per cent.
"Auction markets have been tested on higher volumes over the past few weeks, with the highest number of auctions held so far this year," Tim Lawless at CoreLogic said.
"Despite higher supply levels, clearance rates have held above 70% across the largest markets, demonstrating the market has some depth and sellers remain in a strong position."
Sydney had the highest success rate with the top sale being $6.5 million in Nortbridge (pictured top).
<div class="page" title="Page 1">
<div class="section">
<div class="layoutArea">
<div class="column">
There were 936 auctions held in Sydney this week, returning a preliminary clearance rate of 78 percent.
<img src="https://res.cloudinary.com/dz9xllyip/image/fetch/c_scale,w_580,q_auto:good/https://s3-ap-southeast-2.amazonaws.com/po.images/2019/12/9/Cap%20Cities%20Corelogic%20Dec%209.jpg" alt="">
 
It was down on the 1,221 auctions held over the previous week when the final auction clearance rate was 78 percent.
One year ago, 870 auctions were held and the clearance rate came in at 41 per cent.
The <a href="https://www.propertyobserver.com.au/https://northbridge-castlecrag.randw.com.au/residential-for-sale/0000422273" target="_blank">3 Woonona Rd, Northbridge top sale</a> was a five bedroom contemporary home overlooking the Northbridge Golf Club and Middle Harbour.
It sold for $1.2 million above the reservenwith bidding from two of the five registered parties.
Every Sydney sub-region with at least ten sales returned a clearance rate higher than 60 percent, with ten sub-regions returning a clearance rate over 70 percent, and  five regions reporting a clearance rate over 80 percent. 
The city and inner best’ region had the highest preliminary clearance rate, at 86 percent across 60 results, followed by Blacktown at 85 percent across 28 results and North Sydney-Hornsby returning a preliminary clearance rate of 85 percent from 100 results.  
Baulkham Hills and Hawkesbury returned the lowest preliminary clearance rate of any sub-region with more than 10 results at 64.3% from 28 results.
<div class="page" title="Page 1">
<div class="section">
<div class="layoutArea">
<div class="column">
In Melbourne, a preliminary auction clearance rate of 75 per cent was recorded across 1,491 auctions this week, while last week there were 1,533 auctions returning a final clearance rate of 74 per cent. One year ago, the clearance rate was just 43 per cent across 1,283 auctions.
A $4.52 million sale at <a href="https://www.propertyobserver.com.au/https://www.jelliscraig.com.au/property-details-29-Ryeburne-Avenue-Hawthorn-East-3123/853797" target="_blank">29 Ryeburne Avenue, Hawthorn East</a> (below) was Melbourne's top sale through Jellis Craig.
<img src="https://res.cloudinary.com/dz9xllyip/image/fetch/c_scale,w_580,q_auto:good/https://s3-ap-southeast-2.amazonaws.com/po.images/2019/12/9/29%20Ryeburne%20Avenue%20Hawthorn%20East%20Vic%203123%20.jpg" alt="">
Killara, a five bedroom home had last sold at $2.75 million in 2012.
It's price guidance had been $4 million to $4.4 million.
Two empty shell apartments in St Kilda’s former Gatwick hotel, not renovated as part of the 2018 season of Nine’s reality renovation TV show The Block, were sold post auction as one package.
<a href="https://theagency.com.au/21515/g01-34-fitzroy-street-st-kilda" target="_blank">The empty ground floor units</a> (below) listed through The Agency fetched $1,710,000 in post-auction negotiations, Domain reported.
<img src="https://res.cloudinary.com/dz9xllyip/image/fetch/c_scale,w_580,q_auto:good/https://s3-ap-southeast-2.amazonaws.com/po.images/2019/12/9/Gatwick%20Apartment.jpg" alt="">
Melbourne has the nation's cheapest sale when $172,000 was paid for <a href="https://fletchers.net.au/25388/104-224-226-burwood-highway-burwood" target="_blank">104/224-226 Burwood Hwy, Burwood</a> opposite Deakin University.
The one bedroom unit was currently rented at $330 p/w, according to Fletchers, who had given $150,000 to $165,000 price guidance.
Its asking rent five years ago was $310,000.
Across the smaller auction markets, Canberra saw a 74 percent success rate.
Adelaide had the highest volume of auctions with 146 homes going under the hammer, returning a preliminary clearance rate of 61.8 per cent.
Brisbane saw one of its strongest success rate this spring at 64 percent.
</div>
<div class="column">
Kedron saw a record price paid when Ray White sold <a href="https://www.raywhite.com/qld/kedron/2212567/?lang=en" target="_blank">47 Thirteenth Avenue</a> for $1,720,000, beating the previous record by around $50,000.
After over 150 groups through during the opens the new five bedroom home sold to a couple from Sydney. 
The building blok cost $749,000 earlier this year.
<table style="width: 605px;" border="0" cellspacing="0" cellpadding="5"><tbody>
<tr id="x_rpMostExpensive_trMostExpensiveRow_0">
<td id="x_rpMostExpensive_tdMostExpensiveCity_0" align="left">Sydney</td>
<td id="x_rpMostExpensive_tdMostExpensiveLocation_0" colspan="2">3 Woonona Rd, Northbridge NSW 2063, 5 br House, R&amp;W Northbridge</td>
<td id="x_rpMostExpensive_tdMostExpensiveSold_0">$6,500,000</td>
</tr>
<tr id="x_rpMostExpensive_trMostExpensiveRow_1">
<td id="x_rpMostExpensive_tdMostExpensiveCity_1" align="left">Melbourne</td>
<td id="x_rpMostExpensive_tdMostExpensiveLocation_1" colspan="2">29 Ryeburne Av, Hawthorn East VIC 3123, 4 br House, Jellis Craig Projects | Barenya Court, Kew</td>
<td id="x_rpMostExpensive_tdMostExpensiveSold_1">$4,520,000</td>
</tr>
<tr id="x_rpMostExpensive_trMostExpensiveRow_2">
<td id="x_rpMostExpensive_tdMostExpensiveCity_2" align="left">Adelaide</td>
<td id="x_rpMostExpensive_tdMostExpensiveLocation_2" colspan="2">4 McLaughlan Av, North Brighton SA 5048, 4 br House, HAR Tagni</td>
<td id="x_rpMostExpensive_tdMostExpensiveSold_2">$1,185,000</td>
</tr>
<tr id="x_rpMostExpensive_trMostExpensiveRow_3">
<td id="x_rpMostExpensive_tdMostExpensiveCity_3" align="left">Brisbane</td>
<td id="x_rpMostExpensive_tdMostExpensiveLocation_3" colspan="2">49 Riverview Pl, Yeronga QLD 4104, 5 br House, Dixon Family Estate Agents</td>
<td id="x_rpMostExpensive_tdMostExpensiveSold_3">$1,855,000</td>
</tr>
<tr id="x_rpMostExpensive_trMostExpensiveRow_4">
<td id="x_rpMostExpensive_tdMostExpensiveCity_4" align="left">Canberra</td>
<td id="x_rpMostExpensive_tdMostExpensiveLocation_4" colspan="2">43 Bainton Cr, Melba ACT 2615, 5 br House, Peter Blackshaw Real Estate Belconn</td>
<td id="x_rpMostExpensive_tdMostExpensiveSold_4">$1,475,000</td>
</tr>
<tr>
<td colspan="2">
Most affordable
</td>
<td colspan="2"> </td>
</tr>
<tr id="x_rpMostAffordable_trMostAffordableRow_0">
<td id="x_rpMostAffordable_tdMostAffordableCity_0" align="left">Sydney</td>
<td id="x_rpMostAffordable_tdMostAffordableLocation_0" colspan="2">3/46 McCourt St, Wiley Park NSW 2195, 1 br Unit, Prof Punchbowl</td>
<td id="x_rpMostAffordable_tdMostAffordableSold_0">$273,100</td>
</tr>
<tr id="x_rpMostAffordable_trMostAffordableRow_1">
<td id="x_rpMostAffordable_tdMostAffordableCity_1" align="left">Melbourne</td>
<td id="x_rpMostAffordable_tdMostAffordableLocation_1" colspan="2">104/224-226 Burwood Hwy, Burwood VIC 3125, 1 br Unit, Fletchers Waverley</td>
<td id="x_rpMostAffordable_tdMostAffordableSold_1">$172,000</td>
</tr>
<tr id="x_rpMostAffordable_trMostAffordableRow_2">
<td id="x_rpMostAffordable_tdMostAffordableCity_2" align="left">Adelaide</td>
<td id="x_rpMostAffordable_tdMostAffordableLocation_2" colspan="2">99 Victoria Rd, Birkenhead SA 5015, 3 br House, RW Norwood</td>
<td id="x_rpMostAffordable_tdMostAffordableSold_2">$230,000</td>
</tr>
<tr id="x_rpMostAffordable_trMostAffordableRow_3">
<td id="x_rpMostAffordable_tdMostAffordableCity_3" align="left">Brisbane</td>
<td id="x_rpMostAffordable_tdMostAffordableLocation_3" colspan="2">3/36 Soudan St, Toowong QLD 4066, 2 br Unit, Professionals - Toowong</td>
<td id="x_rpMostAffordable_tdMostAffordableSold_3">$425,500</td>
</tr>
<tr id="x_rpMostAffordable_trMostAffordableRow_4">
<td id="x_rpMostAffordable_tdMostAffordableCity_4" align="left">Canberra</td>
<td id="x_rpMostAffordable_tdMostAffordableLocation_4" colspan="2">38 Tregellas Cr, Banks ACT 2906, 4 br House, McIntyre Property</td>
<td id="x_rpMostAffordable_tdMostAffordableSold_4">$515,000</td>
</tr>
</tbody></table>
Source Domain
</div>
</div>
</div>
</div>
</div>
</div>
</div>
</div>
</div>
</div>
</div>
</div></body></html>

Second busiest auction week saw 70% plus success rate

<html><body>
RBA liaison believes it can see through the downturn in construction to the other side.
Below Scutty reports on the latest AiG construction index gauge:
<img src="https://1.bp.blogspot.com/-XgQZzrxcIIM/XenLm_8jMII/AAAAAAAAzOk/ysAVnkMDPoMCnM41cdRqrZxiiHZVAFM9QCNcBGAsYHQ/s640/AIG1.jpg" width="640" height="136" data-original-height="142" data-original-width="663">
Apartments (37), engineering (33.3) and commercial (43.7) all came in with very contractionary readings. 
<img src="https://1.bp.blogspot.com/-l136Sd1V4sw/XenLm0vwVNI/AAAAAAAAzOo/L8SgToObOWQzHb4nrfOYEQtYB-oLGwlpACNcBGAsYHQ/s640/AIG2.jpg" width="640" height="204" data-original-height="513" data-original-width="1600">
Perhaps house building is due to lift soon, but otherwise, it's another stinker.
PETE WARGENT is the co-founder of AllenWargent property buyers (London, Sydney) and a best-selling author and <a href="https://petewargent.blogspot.com/" target="_blank">blogger</a>. 
</body></html>

pwargent-M4siyDbqQY

Construction continues crashing: Pete Wargent

<html><body>
EXPERT OBSERVER
Retail turnover missed expectations of a 0.3 per cent increase in October, instead recording a decline (although the result rounded to 0.0 per cent, after an increase of just 0.2 per cent in September). 
<img src="https://1.bp.blogspot.com/-fRlgDvETnfo/XejDNMrF7SI/AAAAAAAAzM4/WdfpBKe6ADcoogB09uIFwHT1xSL6eyW7wCNcBGAsYHQ/s640/RT1.jpg" width="640" height="352" data-original-height="815" data-original-width="1481">
The annual turnover increase continued to decline to a 2-year low of just 2.1 per cent.
<img src="https://1.bp.blogspot.com/-owUayf-hqCY/XejDMgYWAiI/AAAAAAAAzMw/yePFAgvBZn4gsu6pVNgHFLv0eGDSuVrBQCNcBGAsYHQ/s640/RT2.jpg" width="640" height="374" data-original-height="811" data-original-width="1386">
The monthly decline was driven by clothing and footwear (-0.8 per cent), department stores (-0.8 per cent), and household goods (-0.2 per cent). 
<img src="https://1.bp.blogspot.com/-poYDqyXkXWk/XejDMwanRrI/AAAAAAAAzM0/s0QdBarf6ecabeAK-Cpx53yWn3DnvjE0ACNcBGAsYHQ/s640/RT3.jpg" width="640" height="360" data-original-height="791" data-original-width="1403">
At the state level there were monthly declines in New South Wales and Victoria, as well as in South Australia, perhaps in line with the asymmetric wealth effect thesis. 
<img src="https://1.bp.blogspot.com/-I7RSCOh_YSg/XejDNa4522I/AAAAAAAAzM8/fFi9dFRtJOAW0QML8-TaElQCA8I2PLCvACNcBGAsYHQ/s640/RT4.jpg" width="640" height="360" data-original-height="785" data-original-width="1394">
For excellent analysis of online retail sales from data king James Foster, see here:
'Meanwhile, online retail spending lifted by a healthy 8.5% in October to $1.930bn according to the ABS's estimates to be up by 13.9% over the year. 
At 6.5% of total retail turnover, the online segment seems poised to rise to a record high next month on the back of Black Friday sales promotions.'
Overall, though, this was frankly another terrible result, with the only potential (if dubious) 'silver lining' argument being that some savings were being held back for Black Friday and Xmas shopping. 
Occam's Razor, but...
This calendar year began with the RBA still talking of the next move in interest rates being up, despite years of below-target inflation.
The experiment could have worked, but now that the central bank forecasts are being shredded the baying mob is growing increasingly restless.
Recent national accounts figures showed a healthy rise in government spending, but private demand sinking into the abyss. 
PETE WARGENT is the co-founder of AllenWargent property buyers (London, Sydney) and a best-selling author and <a href="https://petewargent.blogspot.com/" target="_blank">blogger</a>. 
</body></html>

Retail turnover declines are woeful: Pete Wargent

<html><body>
EXPERT OBSERVER
Australian Q3 GDP was this week’s key data. It again highlighted the weak state of Australia’s economy and the need for additional policy support.
Ahead of GDP’s release, partial data for public demand pointed to a potential upside surprise to the market’s 0.5% expectation. Instead,  GDP actually surprised to the downside, rising just 0.4%, 1.7%yr. Why? Principally because household consumption grew by only 0.1%, 1.2%yr in Q3 – the weakest result since the GFC. Household consumption therefore declined in per capita terms, both in the quarter and over the year. It is important to note that this is despite the mid-year rate cuts, the Government’s tax cuts, and a 1.1% rise in nominal labour income in Q3 alone. Even with a partial offset from weak non-labour income associated with the drought and spill-overs from the dwelling construction downturn, household disposable income rose 2.5% in the quarter. Witnessed to by the savings rate jumping from 2.7% to 4.8%, households cautiously saved their rate and tax windfalls as well as a significant proportion of recent income gains. The flat October retail sales result highlights this weakness in spending continued into Q4 in the lead-up to November’s ‘Black Friday’ sales.   
The very weak gain for consumption in Q3 was unable to offset declines in business and residential investment. As a result, private demand registered a fifth consecutive quarter of flat or declining activity. Notably the decline in residential construction was not only due to falling new dwelling construction (-11%yr), but also weaker renovation activity (-7.1%yr). The latest dwelling approvals data suggests the trend decline in both components of residential construction will continue into 2020.
The above outcomes are clearly inconsistent with the RBA’s “gentle turning point’ thesis and their hope that rising property prices “should” support stronger consumption and residential construction in time – as expressed in this week’s December RBA meeting statement. Indeed, as per retail sales and GDP, the states that have seen the strongest house price gains, NSW and Vic, have seen some of the weakest consumption outcomes, particularly on a per capita basis. The RBA chose to emphasise “long and variable lags” of the effect of recent policy stimulus, but should economic softness persist as we anticipate, they will need to take further action.
Therefore, come 2020, we expect the RBA will again ease monetary policy, through cash rate cuts in February and June to 0.25%, and by subsequently commencing quantitative easing in the second half. We see this monetary easing as complimentary to the bringing forward of the 2022/23 tax cuts to 2020/21 and 2021/22. This is a policy change we have called for in recent months but which is yet to gain the support of the Government.
Across the Tasman, the RBNZ delivered an announcement on bank capital requirements. The final outcome was broadly in line with expectations. New Zealand's banks will be required to hold substantially more capital over the coming years but importantly have been given seven years to implement changes rather than the originally tabled five and are now allowed up to 2.5% of Tier 1 capital to be in the form of preference shares. Our New Zealand Economics team have provided a bulletin covering the economic impact of the new requirements.
Offshore, markets have been in flux this week. The initial shock came as President Trump showed no urgency towards a phase 1 deal with China, commenting that he would be quite happy to hold off on a deal until after the November 2020 election. However, markets were soon appeased by media coverage of unnamed sources downplaying Trump’s remarks, and instead citing that trade talks were progressing despite “harsh headline rhetoric”.
While the market has calmed down, we remain somewhat more circumspect that all will be well going forward. President Trump’s indifference to a deal together with his signing of legislation supporting protests in Hong Kong last week, the US House of Representatives passing a bill against China’s treatment of the Uyghurs this week, and President Trump’s additional threat to impose tariffs on some French goods in retaliation against the nation’s digital services tax, highlights that geopolitical tensions will remain in 2020. This is in stark contrast to the market’s current view that a phase 1 deal with China will be completed before December 15’s planned tariffs take effect, and that this will (hopefully) herald a wind-down of all trade-related tensions. 
Finally to this week’s international data. China’s official PMI’s were a clear positive. Notably in November, the headline factory survey returned to growth for the first time in seven months, and new orders rose to an expansionary reading. Momentum in the services sector also improved from an already-expansionary October reading. Overall, these results highlight China is making progress digesting the negative shock imposed on them, and that GDP growth will soon stabilise.
US data has, in contrast, been on the soft side this week. The market was most concerned by the unexpected deterioration in the manufacturing ISM. Of particular note in the detail is that new orders signalled a sharper contraction in activity ahead, and that the employment index was consistent with further job shedding. ADP payrolls subsequently came in well below expectations (67k versus a 135k expectation), though this result was offset by an improvement in the forward indicators of the non-manufacturing ISM, including a lift in its employment index.
We believe that US employment growth will slow further in 2020, impacting consumption and resulting in below-trend GDP growth. Amid persistent global uncertainty, these are circumstances that will require the FOMC to ease. We continue to anticipate three cuts, in March, June and September.
ELLIOT CLARKE is a senior economist at Westpac 
SIMON MURRAY is an economist at Westpac
</body></html>

Australia's economy languishes: Elliot Clarke & Simon Murray

<html><body>
With the populations of Australia’s major cities exploding, a shift to apartment living was always going to be essential to prevent urban sprawl from becoming unmanageable. Traditionally Australians have been resistant to apartment lifestyles, but that’s changing as apartment buildings become more advanced, and the infrastructure around them – shopping and recreational facilities – makes such lifestyles ever-more convenient and appealing.
From the end of 2000 to now, there have been more than <a href="https://www.propertyobserver.com.au/https://www.abc.net.au/news/2019-08-18/how-bad-could-the-apartment-building-crisis-be-in-your-state/11413122" target="_blank">667,000 apartment buildings</a>, flats, or units built across the nation. This figure has been led by NSW (259,000), Victoria (174,000), and Queensland (143,000). There are issues with the environment around apartment buildings in Australia, with 97% of buildings between 2003 and 2018 featuring at least one defect, but this has not stopped the cranes coming in, and the skyline filling with increasingly-tall buildings.
<h2 dir="ltr">Within Australia’s Capital Cities</h2>
In fact, the appetite for apartments is almost too much, with oversupply now becoming a problem in some areas. Sydney’s notoriously-expensive housing market is leading to more people looking for rental apartments than ever, but heavy investment in apartment building (with over 30,000 new multi-unit dwellings in the last year alone) is making it difficult to fill all available property – in 2019, rental prices <a href="https://www.smh.com.au/national/nsw/apartment-oversupply-puts-squeeze-on-rents-20190705-p524cp" target="_blank">dropped as much as $100 per week</a> in an effort by landlords to find tenants. Furthermore, Sydney has such a strong pipeline of additional units and apartments ahead of it that this trend is not likely to reverse soon.
Melbourne’s property market, on the other hand, is being propped up by the growth in apartment buildings. In those areas of Melbourne where the median prices of property have risen over the last 12 months, a full<a href="/expert-insights/buying">79% of those are apartment markets</a>. With Melbourne having gone through a post-boom downturn, this reversal being driven by apartments shows a shift it living expectations and demand in the city.
In Australia’s smaller cities, such as Adelaide, apartment living is also a growing trend, albeit at a slower rate to the more traditional single-unit property market. Interestingly, new apartments in Adelaide average <a href="https://www.stratadata.com.au/strata-services/adelaide/" target="_blank">the highest area across all capital cities at 152.3m²</a>. Through 2020 unit values are expected to increase by 1.1 per cent, while house values will increase by 5.1 per cent. The smaller capital cities have not had the kind of property booms that the major capitals have, however, price inflation for single dwelling houses has not priced them out of reach to the same extent, however, so this is less an indication of a weak demand for apartments as it is an indication that markets such as Adelaide will trend in the same direction as the major cities in the years ahead, as the market catches up.
<h2 dir="ltr">Threats To Australian Apartments</h2>
The biggest issue that the Australian property market faces, with regards to apartments, is the issue of the defects. Extreme cases, such as that of the Olympic Park Opal Tower, which<a href="https://www.theguardian.com/australia-news/2018/dec/25/sydney-olympic-park-opal-tower-evacuation-51-units-deemed-unsafe">led to the eviction of residents</a> after 51 units were deemed unsafe, are the ones to make the news, but as mentioned earlier, almost all apartments built in Australia have defects.
Across Queensland, NSW and Victoria, the five most common examples of defects were:
1)  Internal water leaks (42 per cent)
2)  Cracking to internal or external structures (42 per cent)
3)  Water penetration from outside (40 per cent)
4)  Guttering faults (25 per cent)
5)  Defective roof coverings (23 per cent)
These issues can have a dampening effect on the enthusiasm that people have for buying apartments, particularly under the knowledge of how frequent the problem is.
While this is an issue that needs to be solved – and Australian state governments are <a href="https://www.customerservice.nsw.gov.au/our-stories/draft-building-legislation-targets-concerns-about-apartment-buildings" target="_blank">looking to tackle the problem with legislation</a> – the benefits of apartment living for the modern Australian are too significant for the overall interest in apartments to change course. In addition to the convenience, with apartments generally located within easy reach of public transport and CBD areas, there are a host of other benefits to apartment living that make it a sound lifestyle choice for an increasing number of Australians. Living in an apartment requires less maintenance on the part of the owner or tenant. Much of the maintenance work falls under the responsibility of the body corporate, which can be both a significant time and money saver.
<h2 dir="ltr">The Benefits of Apartment Living</h2>
Apartments increasingly have common areas for residents which enhance the value of the space. Swimming pools, communal barbeques, gyms and security systems are all common amenities that have the added benefit that they help to foster a sense of community throughout the building. Finally, the costs of heating, cooling, water and electricity can all be mitigated to an extent in the way that billing for these utilities is handled for multi-tenant buildings.
The signs are that the market for apartments is going to be a challenging one for investors in Australia for some time to come. Defects and the over-production of space is putting downward pressure on prices. At the same time, however, there is a decided shift away from the traditional “Australian dream” in which a family will own a house. The convenience and lifestyle “value-adds” of apartment living have kickstarted an irreversible trend across the entire country.
</body></html>

Understanding the apartment landscape in Australia

<html><body>
The insurance giant Australian Unity has partnered with venture capital firm Taronga Ventures to promote growth within the real estate sector through an innovation program called RealTechX.
Australian Unity joins core real estate partners Dexus, LendLease, ISPT and PGIM who will collaborate with emerging real estate technology companies in a bid to help Australia’s $182 billion real estate sector prepare for the next phase of industry evolution. 
RealTechX is a program aimed at emerging technology businesses in the real estate and wider built environment sector to achieve “rapid and sustained growth.”
It seeks to connect a network of business, education and government leaders across the real estate sector.
Mark Pratt, Australian Unity’s executive general manager of property, said collaboration and strong relationships were key to Australian Unity’s track record of delivering for investors through real estate investments.  
“We are pleased to be involved with RealTechX, not only to ensure Australian Unity is on the forefront of upcoming real estate technology, but to help mentor the next generation in the industry and provide new and innovative solutions in the property sector. 
“At Australian Unity, we see private capital as critical to funding social infrastructure and other assets that deliver the services our communities need while providing investors with consistent returns.
“Over the last 20 years, Australian Unity's property team has created opportunities for both large institutions and retail investors to access the development of vital social infrastructure services as part of a diversified property investment portfolio,” Pratt said.  
Jonathan Hannam, managing partner of Taronga Ventures, said Australian Unity’s track record in social infrastructure investments sees it well placed to support RealTechX. 
“We are delighted to have Australian Unity as a partner in RealTechX. With its diverse portfolio and focus on alternative asset classes, we will have a broader ecosystem that will allow us to invest in a more diverse group of emerging businesses – across aged care to medical and hospitals.
RealTechX’s first cohort of 10 market-ready technology businesses will be announced in December.
 
</body></html>

Australian Unity partners with Taronga Ventures on real tech growth program, RealTechX

<html><body>
A one bedroom Surfers Paradise, Queensland apartment has been sold for $440,000.
The one bedroom one bathroom property was listed most recently with an asking price of $485,000.
Andrew Turner of PRD Nationwide held the listing.
Situated at <a href="https://www.realestate.com.au/property-apartment-qld-surfers+paradise-130694270" target="_blank">16/1 The Esplanade</a>, the unit is positioned right on the beach with sweeping views.
Set on 79 sqm, the abode is located on the 6th floor and comes with a parking space.
The North facing apartment was last traded for $127,000 in 1998.
Built in 1973, this unit has been listed three times since its 1998 purchase.
All three times it was listed with an asking price of $575,000. 
It was first listed in 2011, then for just under a year from late 2011 to late 2012. The last time it was listed was for two months starting December 2013.
<a href="https://www.propertyobserver.com.au/subscribe" target="_blank"><img src="https://res.cloudinary.com/dz9xllyip/image/fetch/c_scale,w_580,q_auto:good/https://s3-ap-southeast-2.amazonaws.com/po.images/2019/1/Subscriber%20strip%20ad.jpg" alt=""></a>
The median price for a home in <a href="/developments/surfers-paradise-qld-4217">Surfers Paradise</a> is $1.15 million, according to CoreLogic, which calculate its annual change in median price over the past 10 years as -0.4%.
</body></html>

Latest Expert Insights

The inflation result the property market was waiting for

Guides

Editor's Picks

Guides

Developments

New apartments

New townhouses

News

Latest Expert Insights

The inflation result the property market was waiting for

Guides

Editor's Picks

Receive the latest news stories to your inbox

Guides

Developments

New apartments

New townhouses

News