Kew has long been regarded as one of Melbourne's premier residential suburbs. It's a location defined by its grand period homes, leafy streets and some of the city's most prestigious schools, yet it has often sat just outside the spotlight cast on neighbouring Hawthorn and Camberwell.

Increasingly, however, buyers are recognising that Kew offers much of what draws people to those suburbs, with a quieter residential setting, exceptional amenity and long-term owner-occupier appeal.

Within a few minutes' walk, residents can access Kew Junction, one of Melbourne's most established village centres. Cafés, bakeries, restaurants, supermarkets, boutique retailers and everyday services are all on the doorstep, with local favourites including Centonove, Adeney Milk Bar Cafe, and Frank &amp; Harri creating the type of walkable lifestyle that has become increasingly difficult to find in Melbourne's inner east. Beyond the immediate neighbourhood, Glenferrie Road's renowned shopping and dining precinct in Hawthorn and the retail, dining and entertainment offerings of Camberwell Junction are both just a short drive or tram ride away.

The suburb is equally well connected. Tram routes 48 and 109 provide direct access to the CBD, while High Street and Cotham Road connect residents to the wider inner east.&nbsp;Nearby access to the Eastern Freeway also places the Yarra Valley, Mornington Peninsula and Melbourne Airport within easy reach, adding another layer of convenience for weekend travel.&nbsp;It's a rare combination of connectivity and tranquillity, where quiet residential streets sit just moments from some of Melbourne's most established shopping and lifestyle precincts.

For families, Kew remains one of Melbourne's most tightly held addresses. Carey Baptist Grammar School, Xavier College, Methodist Ladies' College, Trinity Grammar, Ruyton Girls' School and Genazzano FCJ College are all nearby, while the Yarra River parklands, walking trails and sporting clubs provide another layer of lifestyle appeal.

It's within this established pocket that developer Ricdanic is delivering <a href="https://www.apartments.com.au/new-apartments/wimba-ave-kew-9-11-wimba-avenue-kew-vic-3101">Wimba Ave</a>, a boutique collection of just 13 residences across two buildings named after its location on the tree-lined Wimba Avenue,&nbsp;within one of Kew's most prestigious pockets where homes have been known to sell up to and above $8 million.

[smartcode_project:default project_id=140755 project_image_fid=354809]

The residences prioritise the space that buyers are increasingly searching for but struggling to find in established suburbs. Living areas extend beyond five metres in width, ceiling heights range from three to five metres, and apartments open onto private gardens averaging around 125 sqm. Selected residences also feature balconies of approximately 60 sqm, while premium inclusions include Miele appliances, double-glazed windows, EV readiness, fully electric systems and a 7.2 NatHERS energy rating.

Architect Chris Idle says opportunities to deliver homes of this scale within established suburbs have become increasingly uncommon.

"There are very few opportunities to do these kinds of developments in leafy, established suburbs," he says. "To get this level of amenity, natural light, and architectural freedom in such a setting is extremely rare."

[smartcode_project:default project_id=140755 project_image_fid=366267]

The architecture draws on Kew's established character through the use of handmade Krause bricks, while landscaping by John Patrick introduces 23 plant species, including nine native varieties, creating an environment which focuses just as much on nature as it does the building.

Construction on Wimba Ave is well underway by renowned high-end builder Sinjen, with completion expected in late 2027. Prices start from $2.22 million.

[smartcode_project_cta:default project_id=140755]

Joel Robinson

The enduring appeal of Kew's tree-lined streets and village lifestyle

"For me, it's the location." That was the first thing Chris pointed to when reflecting on why he and his wife Marita decided to purchase at Candela Ivanhoe, the under-construction new apartment development by Salter Brothers in the heart of the north-eastern M​elb​ourne​ suburb. ​

"We've lived here before… everything is here," Chris said.

"Our doctor is around the corner, there's dentists, pilates, everything we need, restaurants, fast food places, two train stations, Ivanhoe and Darebin, both in walking distance. You don't need anything else."

<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/X8K0Bozug7A?si=Puwc6vx_ZO0qQZF8" title="YouTube video player" width="560"></iframe>

Just 10 kilometres from Melbo​urn​e's CBD, Ivanhoe combines direct city connectivity with the amenity of an established village community. Residents have access to highly regarded schools, expansive parklands, public transport, and a thriving retail and hospitality precinct centred around Upper Heidelberg Road, all within a neighbourhood that has retained its leafy character despite its proximity to the city.

<a href="https://www.apartments.com.au/new-apartments/candela-ivanhoe-40-upper-heidelberg-road-ivanhoe-vic-3079">Candela Ivanhoe</a> sits within the heart of this established landscape, positioned just moments from Ivanhoe Village and within walking distance of many of the suburb's most sought-after amenities.

[smartcode_project:default project_id=342 project_image_fid=364553]

From Candela, residents can access cafés, grocers, wine bars, restaurants and essential services on foot, while Ivanhoe Station and Darebin Station provide direct connectivity across Mel​bour​ne. The development is also surrounded by some of the suburb's best-known lifestyle destinations, including Pinkie, Laurent, Enni, Docasa and Woodfire Pizza e Cucina, alongside Ivanhoe Plaza, Woolworths, pharmacies and specialty retailers.

Green space is another defining feature of the suburb. Darebin Parklands, Ivanhoe Park, Nellie Ibbot Park and the Yarra River trail network provide extensive opportunities for recreation, while Ivanhoe Golf Course and Ivanhoe Tennis Club continue to underpin the area's long-established lifestyle appeal.

The suburb's education offering further strengthens demand. Ivanhoe Grammar School, Ivanhoe Girls' Grammar School, Mary Immaculate Primary School and Ivanhoe Primary School have helped establish the area as one of Melbou​​rne's most sought-after schooling precincts, attracting families and downsizers alike who want to remain connected to the area.

[smartcode_project:default project_id=342 project_image_fid=357510]

While location was the priority for Marita and Chris, the project itself also needed to meet their expectations.

"Whilst location was paramount, I was also looking at design of the environment and Candela ticked every box," Marita said.

"We're just thrilled with our choice."

[smartcode_project:default project_id=342 project_image_fid=336455]

Developed by <a href="https://www.apartments.com.au/developers/salter-brothers">Salter Brothers</a>, Candela Ivanhoe has been designed to complement its village setting, with an emphasis on generous floorplans, natural light and practical everyday living.

Residents will have access to a range of shared amenities, including a communal rooftop garden and dedicated residential lounge, complemented by a ground-floor café and lifestyle wellbeing centre, helping foster the sense of community already emerging among future owners.

That approach has resonated strongly with the market. More than 90 per cent of purchasers at Candela Ivanhoe are owner-occupiers, with buyers ranging from downsizers and second-home buyers to young families and first home buyers, creating a genuinely multi-generational community of grandparents, parents and children. It reflects a broader shift across Melbo​​urne's apartment market, where buyers are increasingly prioritising neighbourhood quality, lifestyle amenity and long-term liveability.

Currently under construction by Ironside, Candela Ivanhoe comprises 58 apartments. Candela Ivanhoe is scheduled for completion in the coming months, and residents can move in from September. One to four bedroom residences, prices from $649,000 and limited opportunities remaining.

[smartcode_project_cta:default project_id=342]

Location and lifestyle drive demand at Candela Ivanhoe

As apartment buyers increasingly look beyond the four walls of their residence, the quality and depth of shared amenity has become a defining factor in how developments are designed and experienced, particularly in the high-rise, new apartment development space.

In Southbank, where high-density living continues to evolve, developers are placing greater emphasis on creating environments that support wellbeing, connection, and convenience as part of everyday life.

That approach sits at the heart of <a href="https://www.apartments.com.au/new-apartments/aura-at-melbourne-square-7-hoff-boulevard-southbank-vic-3006">AURA</a>, the latest residential tower in <a href="https://www.apartments.com.au/developers/osk-property">OSK Property</a>’s $3.5 billion Melbourne Square precinct. Rising 67 storeys above Hoff Boulevard, the 673-apartment development has been conceived around what OSK describes as a “vertical wellness ecosystem”, a layered collection of amenities that extends throughout the building rather than being confined to a single podium level.

[smartcode_project:default project_id=151921 project_image_fid=370263]

The amenity offering begins on the seventh level within the AURA Club, a dedicated resident hub focused on health, relaxation, and daily convenience. Here, residents will have access to an indoor swimming pool, cold plunge, spa, sauna, and steam room, alongside a fully equipped gym, reformer Pilates studio, and yoga room.

The wellness facilities are complemented by a range of spaces that acknowledge the changing ways people live and work. Work-from-home lounges and co-working areas sit alongside a library, music room, games room, cinema facilities, and open-air terrace spaces, providing residents with flexible environments that can adapt throughout the day.

[smartcode_project:default project_id=151921 project_image_fid=367468]

Beyond the internal amenity, AURA introduces a series of Japanese-inspired gardens that form a quieter counterpoint to the tower’s social spaces.

Landscaped retreats feature curated outdoor dining, tranquil courtyard seating, fire pit, and a tea house pavilion. Rather than functioning as simple recreational areas, the gardens have been designed as places for reflection and informal gathering, drawing on principles of balance, nature, and calm that underpin the project's broader design philosophy.

[smartcode_project:default project_id=151921 project_image_fid=367810]

The social amenity continues to evolve as residents move higher through the building. Levels 49 and 50 house the Meridian Club, where a lounge bar, conservatory spaces, and private dining rooms take advantage of elevated city views. At the summit of the tower, the exclusive Cumulus Club spans Levels 66 and 67, offering additional lounges, private dining, and meditation and treatment rooms positioned above Melbourne’s skyline.

For OSK Property, the extensive amenity offering reflects a broader focus on wellbeing as a core component of apartment living rather than an added feature.

“Aura stands tall as an exemplar of holistic wellness – its focus on social, physical and mental health culminate in a building that is calming, restorative and relaxing, where residents will have their own sanctuary within the well-connected and sought-after Southbank,” says OSK Property CEO Chong Boon Woon.

[smartcode_project:default project_id=151921 project_image_fid=367796]

AURA’s amenity strategy extends beyond the tower itself through its integration with the wider Melbourne Square precinct.

Residents will have direct access to Kennedy Park, Southbank’s 3,745 sqm landscaped public park, alongside a full-line Woolworths supermarket, childcare centre, hospitality venues, and approximately 1,600 sqm of additional retail planned within AURA’s lower levels. Together, these elements create a highly connected residential environment where daily needs, recreation, and wellness are woven into the fabric of the community.

[smartcode_project:default project_id=151921 project_image_fid=370253]

As Melbourne’s apartment market continues to mature, developments are increasingly judged by the lifestyle they provide beyond individual residences.

Through its combination of wellness facilities, landscaped retreats, social clubs, and precinct-wide amenity, AURA represents a shift toward a more comprehensive model of vertical living, one where shared spaces play as significant a role as the homes themselves.

[smartcode_project_cta:default project_id=151921]

AURA elevates amenity living at Melbourne Square

Builder-developer Scion is the latest to target Sydney's booming Hills Showground Metro precinct, filing plans for more than 100 apartments within walking distance of the station.

Scion has lodged a concurrent rezoning and State Significant Development Application for <a href="https://www.apartments.com.au/new-apartments/27-33-middleton-avenue-castle-hill-nsw-2154">27–33 Middleton Avenue</a>, where it plans to replace four existing homes with an 11 and 14-storey mixed-use development comprising 109 apartments, six affordable housing dwellings, and a ground-floor café.

Designed by BHK Architects, the proposal includes three levels of basement parking with 174 spaces, more than 1,200 sqm of communal open space, and extensive landscaping across the 3,791 sqm site.

The development has been designed as two buildings connected by a recessed wintergarden spine, with the 14-storey building positioned to the south and the 11-storey building to the north.

<img alt="Scion" data-entity-type="file" data-entity-uuid="64dc359d-736b-43b8-87a8-70a8285cab47" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-06-25%20at%208.47.01%E2%80%AFPM.png?VersionId=PXh.m8id_aevBPHEckPf88wQ2RQThPos" />

The apartment mix has been weighted towards owner-occupiers, with 13 one-bedroom apartments, 55 two-bedroom residences, 31 three-bedroom apartments, six three-bedroom lofts, and four four-bedroom homes. Six apartments will be dedicated as affordable housing in line with the NSW Housing SEPP.

According to the Architectural Design Report by BKH, the proposal seeks to create "a place-responsive architecture" inspired by the natural landscape surrounding Cattai Creek, while strengthening the public domain through landscaping, active frontages and a neighbourhood café.

Atlas Urban, in its Urban Design Report, says the proposal takes a different approach to increasing density around Hills Showground Station by favouring a more slender, vertically articulated built form over a conventional mid-rise outcome. The report argues this allows for greater deep soil planting, improved solar access and a better public domain outcome, while still delivering additional housing close to rapid public transport.

The site sits around 500 metres from Hills Showground Metro Station, within a precinct earmarked for significant residential intensification following the opening of the Sydney Metro Northwest line. Planning documents accompanying the application note that Greater Sydney's population has grown by more than one million people since planning for the precinct first began, reinforcing the need to accelerate housing delivery around existing transport infrastructure.

Scion is expanding its development pipeline which also includes <a href="https://www.apartments.com.au/new-apartments/chatham-west-ryde-2-6-chatham-road-west-ryde-nsw-2114">Chatham in West Ryde</a>, 62 apartments which are approaching completion. They also have a State Significant Development Application with the NSW Government's Housing Delivery Authority for <a href="https://www.apartments.com.au/new-apartments/96-anzac-avenue-west-ryde-nsw-2114">145 apartments on Anzac Avenue</a>, also in West Ryde.

First look: Scion plots Castle Hill apartment development near Hills Showground Metro Station

<a href="https://www.apartments.com.au/developers/urban-property-group">Urban Property Group</a>&nbsp;has unveiled its scaled-back plans for a pair of towers rising up to 49 storeys directly opposite Bella Vista Metro Station.

The builder-developer will deliver 674 apartments and a new mixed-use hub at the gateway to the station precinct.

The State Significant Development Application has been lodged under the Housing Delivery Authority pathway for the 6,979 sqm site at <a href="https://www.apartments.com.au/new-apartments/9-11-mawson-avenue-bella-vista-nsw-2153">9-11 Mawson Avenue</a>, with the apartments sitting above a mixed-use podium. Initial plans were for closer to 900 apartments across two 40-storey towers.

Located around 30 metres from the Bella Vista Metro Station entrance, the development is intended to act as a catalyst for the long-planned Bella Vista Station Precinct, transforming a vacant site into a transit-oriented residential and commercial destination.

Planning documents describe the project as delivering "a high-density mixed use destination that combines housing, retail and community-serving uses in a highly accessible setting."

<img alt="First look: Urban Property Group plans 674-apartment Bella Vista towers opposite Metro station" data-entity-type="file" data-entity-uuid="21c08216-589e-490d-ad08-2d88b6fa62d9" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/bella%20vista%20podium.png?VersionId=3TnwjjQCNwTsmyQRaWnFrLTSAF0CJeka" />

Designed by <a href="https://www.apartments.com.au/architects/turner-studio">Turner</a>, with landscape architecture by <a href="https://www.apartments.com.au/landscape-architect/arcadia-landscape-architecture">Arcadia</a>, the project comprises 674 apartments, including 102 affordable housing dwellings representing 15 per cent of the residential floor space. The housing mix spans studios, one, two and three-bedroom apartments, alongside a collection of townhouse-style residences integrated into the podium levels. The development also includes specialist disability accommodation and an elevated provision of adaptable and liveable housing.

The mixed-use podium has been designed to create an active urban centre around the Metro station, incorporating a 1,423 sqm supermarket, a 3,029 sqm gym, specialty retail spaces, a 100-place childcare centre and a publicly accessible "city room" community space. A secondary laneway, active frontages and landscaped public areas are intended to improve pedestrian connectivity through the site and strengthen links between the station precinct and surrounding neighbourhood.

In the project's design report, Turner said the proposal responds to Bella Vista's emerging role as a higher-density centre within Sydney's north-west growth corridor.

"The project transforms a strategically located site into a high-density mixed use destination that combines housing, retail and community-serving uses in a highly accessible setting," the report states.

"Active frontages, a publicly accessible city room, a secondary laneway and a mix of uses including a local supermarket, child care centre and gym create a more complete and socially useful urban environment for residents, workers and the wider community."

<img alt="First look: Urban Property Group plans 674-apartment Bella Vista towers opposite Metro station" data-entity-type="file" data-entity-uuid="0fde6220-82de-4f6a-9b63-d0fd8157acc9" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/bella%20vista%20da.png?VersionId=7hEmuSutH8plTd_RqqdmPu055F6qe554" />

Urban Property Group has been one of the busiest developers across Greater Sydney this year.

The developer is progressing around 1,000 apartments across <a href="https://www.apartments.com.au/news/nsw/first-look-urban-property-group-plans-next-major-wollongong-tower">two projects in Wollongong</a>, with several thousand more homes in the pipeline across Newcastle, Castle Hill, Little Bay and Penrith.

First look: Urban Property Group plans 674-apartment Bella Vista towers opposite Metro station

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

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

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

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

Every First Home Owner Grant for new property by state

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

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

Staff Writer

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

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

alisonwarters@gmail.com

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

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

Ellen Walker

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

For 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

<html><body>
Veriu CEO Zed Sanjana has announced that the first Veriu-branded Melbourne property will open adjacent to the city’s iconic Queen Victoria Market.
The new-build hotel is slated to open in late 2022 as part of Melbourne-based developer PDG Corporation’s major renewal of the Queen Victoria Market.
Along with the hotel, the project includes the City of Melbourne’s largest community hub – facilities such as childcare, family services and an underground car-park, complemented by retail and a limited number of residences.
The new retail space will benefit from 140 years of on-site trading history, integrating market legacy with modern laneways that provide new entry points to one of Melbourne’s most well-travelled precincts.  
The Queen Victoria Market hotel is the second new hotel announcement since former Quest CEO Sanjana became CEO of the Veriu Group in September 2018. 
Veriu also revealing word of a new 95-key neighbourhood hotel in Collingwood this week, with more details to follow in the coming months.  
The brand’s push into the Melbourne market began in 2018 with the purchase of the Punthill Apartment Group.
Since this acquisition, Veriu have announced two new Punthill-branded properties; Ivanhoe in partnership with Cayden, and Alphington in partnership with Alpha Partners. 
 <img src="https://www.urban.com.au/images/2019/5/1/Back%20Lane.jpeg" alt="">
Back in its home state of New South Wales, Veriu will open a 144-key apartment hotel in Green Square this July.
This property is a joint venture with Charter Hall.  
Veriu is set to divest its Sydney Central property, one of four Sydney properties.
The sale will be handled by Colliers, and the new owners will have the opportunity to lease the hotel back to Veriu on a long-term basis.  
”Veriu’s sale of Veriu Central will enable us to free up capital to invest in our national expansion plans for both Punthill and Veriu over the course of the next five years," Sanjana said.
"It will also enable Veriu to focus on delivering its two development sites at 323 George St Sydney and 822 George St, Chippendale.”
Veriu has a further two hotel sites in addition to Collingwood and Queen Victoria Market in the Melbourne pipeline with a further five to six locations within inner suburban areas.
The group plan to add 500-plus keys to the Victorian market over the next five years within unique neighbourhood locations like Carlton, Prahran, Richmond, Windsor, South Yarra, South Melbourne as well as CBD Melbourne.  
Nationally, there are a further 10 sites in the pipeline across Sydney, Perth and Adelaide. 
“We are currently targeting to open between 20-30 hotels under the Veriu brand over the next 10 years with a focus on interesting neighbourhoods that meet our brands criteria” says Sanjana.  
Veriu’s current Sydney portfolio includes Veriu Broadway, currently ranked third in Sydney on TripAdvisor, and Camperdown that is ranked in the top 20 hotels in Sydney. 
</body></html>

j.ballantyne1990-6AQqhLzZaK

Veriu announce new Queen Victoria Market Hotel

<html><body>
Our base case remains that national capital city property prices will have a top to bottom fall of 15% out to a bottom in 2020 of which they have so far done nearly 10% and that for previous boom time cities of Sydney and Melbourne the top to bottom decline will be around 25% (of which they have so far done nearly 15% and 11% respectively). 
The negatives weighing on the property market remain significant and include tight credit (which will get another boost from mid-year with the start-up of Comprehensive Credit Reporting which will see banks crack down on borrowers with multiple undeclared loans), the ongoing switch from interest only to principle and interest loans, record unit supply still to hit particularly in Sydney and Melbourne, an 80% collapse in foreign demand, fears that negative gearing and capital gains tax arrangements will be made less favourable if there is a change of government and falling prices feeding on themselves with FOMO (the fear of missing out) becoming FONGO (the fear of not getting out).
Taken together these are continuing to drive a perfect storm for the Sydney and Melbourne property markets because they saw the strongest gains into 2017 and had become more speculative with a greater involvement by investors. 
<a href="https://www.propertyobserver.com.au/images/2019/5/1/shane%20oliver%201%20.png" target="_blank">Click here</a> to enlarge: 
<img src="https://www.urban.com.au/images/2019/5/1/shane%20oliver%201%20.png" alt="">
 
Source: CoreLogic, AMP Capital
The slowing in the pace of home price falls (from -1.3% in December to -1.2% in January to -0.9% in February to -0.7% in March to 0.5% in April for the capital cities), along with a bounce in housing finance in February and a pick-up in auction clearance rates from their lows late last year are positive signs and at least suggest that we are not seeing any of the panic/forced selling that some had feared would occur. 
However, the bounce in auction clearance rates looks to be largely seasonal and they remain historically weak, the nearly five year decline in Perth and Darwin property prices has seen several phases where price declines slowed then accelerated again and the start-up of Comprehensive Credit Reporting means that the tightening in lending standards could still have another leg to go, less favourable negative gearing and capital gains tax arrangements if there is an ALP victory could see renewed pressure on property prices next year and property prices outside of Sydney and Melbourne have been proving to be a bit weaker than we expected.
Implications for interest rates
Ongoing home price falls will depress consumer spending as the wealth effect has now become negative and homeowners are less inclined to allow their savings rate to decline further to compensate for weak wages growth. It’s also a negative for banks and is consistent with our view that the RBA will cut the cash rate to 1% by year end.
With growth slowing and inflation coming in weaker than expected, rate cuts are likely to come earlier than our previous expectation for cuts in August and November, with the first cut probably coming next week (although we admit that a May rate cut is a close call given its in the midst on an election campaign).
<a href="https://www.propertyobserver.com.au/images/2019/5/1/shane%20oliver%202.png" target="_blank">Click here</a> to enlarge: 
<img src="https://www.urban.com.au/images/2019/5/1/shane%20oliver%202.png" alt="">
Source: CoreLogic, AMP Capital
What will stop the property price falls?
It’s a while off yet but we expect a combination of RBA rate cuts flowing to lower mortgage rates, improved affordability thanks to lower prices, continuing strong population growth, the prospect of slowing new supply and possibly some form of Government support (like a new round of Federal First Home owner grants and/or a reduction in APRA’s minimum 7% mortgage serviceability test for new home loans) to help prices stabilise sometime around next year.
An earlier rate cut in May could bring forward the bottom in house prices as in the last two cycles they bottomed around four months after the first cut, although it is worth noting stronger supply conditions, tighter lending standards, higher debt to income ratios and depressed investor confidence will likely constrain the response of house prices to interest rate changes this time around.
 
Key points: 
<ul type="disc">
<li>Although the rate of decline has slowed further, Australian capital city dwelling prices fell another 0.5% in April according to CoreLogic. This marks 19 months of consecutive price declines since prices peaked in September 2017. This has left prices down 8.4% from a year ago and they have now fallen 9.7% from their September 2017 high which is worse than their GFC decline of 7.6%.</li>
<li>Sydney dwelling prices fell another 0.7% and they have now fallen 14.5% from their July 2017 high, which is their worst fall since the early 1980s recession. Melbourne prices fell another 0.6% and are down 10.9% from their November 2017 high, which is their worst fall in the period since 1980. Perth prices fell another 0.4% and are now down 18.4% from their 2014 high and Darwin prices fell another 1.2% and are down 28.3% from their 2014 high. Prices also fell in Brisbane (-0.4% in April and down 1.9% for their recent high) and Adelaide (-0.1% in April and down 0.7% from their recent high) and even Hobart is now falling with a decline of 0.9%. Canberra was the only capital city to see a gain (+0.4%). </li>
<li>While Sydney and Melbourne have seen the steepest falls since 2017 (because they had the biggest boom between 2012 and 2017), other cities are pretty soft too with Perth and Darwin having been falling for five years now and Brisbane and Adelaide are proving weaker than we had expected despite not having had the prior boom that Sydney and Melbourne and, much earlier, Perth and Darwin had.   </li>
</ul>
SHANE OLIVER is the Head of Investment Strategy and Chief Economist at AMP Capital
</body></html>

soliver-smf6LQXgW9

Australian house prices down again in April with still more to go: Shane Oliver 

<html><body>
The Veriu Central Hotel in Sydney's Surry Hills has been listed for sale, just a year after it was officially launched.
The landmark building on the corner of Wentworth Avenue and Elizabeth Street was previously known as Wentworth House.
Two years ago it was announced that Veriu, who have a long lease at <a href="https://www.realcommercial.com.au/property-hotel+leisure-nsw-sydney-503177538" target="_blank">75 Wentworth Avenue,</a> would spend $15 million converting the iconic building into a 112 room hotel.
<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/2019/5/1/Veriu2.jpg" alt="">
The are four other retail shops housed within the building that are currently being leased.
They include the cafe Basket Brothers and the popular modern Australian restaurant Nel.
Nel, named after owner and chef Nelly Robinson, won Time Out Sydney's People's Choice Best Restaurant in 2015.
<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/2019/5/1/Veriu3.jpg" alt="">
Accessible from the refurbished lobby is the Drawing Room, Veriu's modern interpretation of a 1920s Drawing Room, as well as Harry's Dumpling House and Harry's Singapore Chilli Crab.
Colliers International agents Joseph Lin, Karen Wales and Gus Moors advise that the current owner has explored the possibility of expanding the building given it sits well below the permissable planning guidelines in relation to floor space ratios and building heights.
“The opportunity to secure such well-located properties is incredibly rare, and when coupled with the security of the leases and potential development upside, Sydney has not witnessed such a quality investment opportunity for a long time,” Moors said. 
The current owner had looked at two different developments which had the potential to add between 42 and 93 extra rooms above the current building.
Last month Veriu co-founders Alex Thorpe and Rhys Williams <a href="/expert-insights/investing/veriu-founders-list-surry-hills-boarding-house-park-side">listed Park Side</a>, the boarding house on the fringe of Redfern and Surry Hills.
Veriu, launched in early 2017, also have hotels in Broadway and Green Square. They have 42 properties, including 20 stand-alone hotels spread across Sydney, Brisbane and Melbourne.
Marketing agent Karen Wales said Sydney was a very tightly held hotel ownership market, with only two CBD hotels transacting in 2018 and only 10 CBD properties selling below $100 million over the past five years.  
“The Sydney City accommodation market now comprises approximately 23,553 accommodation rooms and, given the record high occupancy levels, has greater capacity to absorb new rooms,” she said.
“While there are new rooms coming into the Sydney City hotel market, the pace of openings is considerably slower than in other Australian state capitals."
 
<a href="https://www.realcommercial.com.au/property-hotel+leisure-nsw-sydney-503177538"> </a>
<h2 class="PrimaryDetails_headline_W569Z"> </h2>
</body></html>

jrobinson-rf4aSBido9

Wentworth House, home of Veriu Central Hotel, listed for sale

<html><body>
An inner-city warehouse at South Yarra in Melbourne’s inner east, which had a $3.3 million asking price after its recent auction, has been sold for $2.75 million.
Located directly opposite the Como Centre and Vogue Plaza, the 56 River Street property, comprises a single level, 235 square metre brick building on a 324 square metre site zoned Activity Centre 1.
The 56 River St property is a 250 square metre building on 371 square metres, with two frontages and on-site parking.
It has street and laneway access as well as on-site parking.
According to marketing agents, Teska Carson’s Luke Bisset and Matthew Feld, the property offered an owner-occupier opportunity and/or office conversion or development opportunity.
"The purpose of Activity Centre zoning is to encourage a mixture of uses and the intensive development of the activity centre as a focus for business, shopping, working, housing, leisure, transport and community facilities, and to deliver a diversity of housing at higher densities to make optimum use of the facilities and services," the agents said during its marketing.
The property will be sold subject to a short term lease at $50,000 per annum net. 
The warehouse last sold for $3.75 million through Teska Carson in 2016 to an intending owner-occupier reflecting $10,135 a square metre.
At the time the premises had a short-term tenant returning $44,950 a year.
It had sold at $82,000 in 1977.
It has been offered by the Williams family from South Yarra.
The family is headed by Lyn Williams, who has managed the estate of the artist Fred Williams, and is executive director of Maraquita Pty Ltd, the family company.
 
</body></html>

jonathanchancellor-7SQnKwU6yx

Big loss taken on South Yarra warehouse

<html><body>
SPONSORED POST
The Melbourne CBD recorded the greatest yield compression throughout the past three years across CBD office markets globally, as reported by Savills latest Impacts report. 
In Impacts, Savills global thought-leadership programme, Savills explores the link between office yields and borrowing, and concludes that the relationship has become more tenuous as investors’ profiles have changed and fewer investments have been predicated on finance from bank borrowing. 
According to Savills, a rise in interest rates in any domain (which is looking increasingly improbable) is unlikely to result in a corresponding rise in prime office yields so they are likely to remain stable or continue to fall in many markets. 
Looking at the level of yield compression across key CBD markets globally, Melbourne led the charge, with prime yields falling 174 basis point since 2015, followed by Beijing (-132 basis points) and Berlin (-120 basis points). 
Savills Australia’s CEO, Paul Craig, said that while Australian cities were still off the 3.0 percent mark hit by other CBD markets worldwide, “It would be prudent to assume that yields Down Under will fall in a similar trend in the next five years”. 
“This is even more so the case given the Melbourne CBD’s status as a regional gateway city and the Sydney CBD’s status as a global gateway city,” he said.
CBD prime office market yields are now sub-3.0 percent in Hong Kong (2.43 percent), Frankfurt (2.9 percent), Tokyo (2.9 percent) and Berlin (2.9 percent), in a reflection of the new benchmarks being set globally. Savills report forecasts that the Paris (3.0 percent) and Amsterdam (3.5 percent) prime CBD office markets could see market yields harden to under 3.0 percent by the end of 2019.
“Throughout the past three years, we have seen growing investor demand from both foreign and domestic investors drive yields down to record low levels,” Savills Australia’s Director for <a href="https://www.savills.com.au/services-and-sectors/sales-and-investment/capital-transactions.aspx" target="_blank">Capital Transactions</a> in Victoria, James Girvan, said.
“Investors are drawn to the Victorian capital, not only because of strong demand drivers and nation-leading economic indicators.
“The risk-adjusted return for Melbourne CBD remains among the highest recorded across all office markets globally (according to latest available data from the MSCI IPD).”
Positively, as a result of record low interest rates, and thus record low long-term bond yields, the yield premium throughout the 10-year bond rate remained elevated at 305 basis points, according to Savills data in March 2019.
“We are seeing more and more investors, both domestically and internationally, recognise the investment potential in Australia, which will likely drive yields further down, particularly with interest rates likely to remain low in the short to medium term,” Savills Australia’s Director for <a href="https://www.savills.com.au/research/australian-research.aspx" target="_blank">Research &amp; Consultancy</a>, Shrabastee Mallik, said.
“We are not only seeing our peers abandoning tightening monetary policies globally, but domestically, there is also a growing consensus that the RBA will likely bring the cash rate down further this year. 
“We are seeing swap markets pricing interest-rate cuts for the remainder of 2019, which will add more downward pressure on 10-year bond rates, keeping the yield premium elevated and in favour of commercial property.
“Based on global data, yields in Australia remain elevated, compared to comparable investment destinations, providing the impetus for foreign investors to invest in Australian office markets. 
“In the past six months, we have seen increasing foreign investor activity in recovering markets like Perth and Brisbane, as they look to capitalise on relatively higher yields.”
Savills Australia’s Director for <a href="https://www.savills.com.au/services-and-sectors/sales-and-investment/capital-transactions.aspx" target="_blank">Capital Transactions</a> in Western Australia, Nick Charlton, said the prime yield differential between Sydney and Perth was at historical highs, with an approximate 170-basis-point spread encouraging international investors to look more closely at counter-cyclical investment opportunities in the Perth CBD office market.
“Investors are confident the spreads are too wide and set to narrow in the short to medium term,” he said.
“Interest in the CBD office market has been further heightened by the prospect of net effective rental growth in prime office buildings forecast to be at 9.0 per cent per annum between now and 2021, with the lack of new stock and tightening vacancy rates, which are now at sub-5.0 percent.”
Mr Charlton went on to say that Perth was “a distinctly two-tiered market”, with the premium and upper A-grade segment behaving very differently to the lower-quality A and B Grade stock, which were seeing persistently high vacancy rates. 
“Investors see this is where the opportunity lies, finding functional, well-designed and well-located buildings that can be re-purposed to capitalise on the lack of new supply and the forecast net effective rental growth,” he said.
Click here <a href="https://www.propertyobserver.com.au/images/2019/5/1/Savills-yields.jpg" target="_blank">to enlarge</a>.
<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/2019/5/1/Savills-yields.jpg" alt="">
Mat Oakley, Head of Commercial Research for UK and Europe at Savills, says: “While the link between real estate yields and base rates has become less strong, it is by no means broken. Investors who look across a multitude of asset classes, particularly those searching for long-term secure income, will reach a point where the yield on sovereign bonds becomes attractive enough to prompt them to choose them above real estate. For the foreseeable future, however, prime offices in the world’s global cities will remain attractive, with competition fierce for the best assets.”
Simon Smith, Head of Asia Research at Savills, comments: “With the threat of a US-China trade war easing and the Fed signalling that it is unlikely to raise rates at the time of writing, we have seen a resurgence in demand for prime offices in Asia-Pac after activity weakened in the latter half of 2018. 2019 is therefore unlikely to see any movement outwards in yields.” 
Savills is a leading global real estate service provider offering the full spectrum of services from strategic advice to managing assets and projects and transacting deals. To learn more about Savills, visit <a href="http://www.savills.com.au/" target="_blank">savills.com.au</a>.
</body></html>

Melbourne leads CBD markets globally in yield compressions for past three years: Savills

<html><body>
An overview of ANZ's home loan portfolio from their half year results investor pack published today shows a big fall its in its investor portfolio along with a big drop in interest-only loan borrowers.
Just 18 percent of their portfolio is IO compared with 26 percent this time last year and 36 percent in 2017.
The number of investor loans has dropped over the two years from 34 percent to 31 percent.
Click here <a href="https://www.propertyobserver.com.au/images/2019/5/1/ANZ-Home-Loan-Portfolio.jpg" target="_blank">to enlarge</a>.
<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/2019/5/1/ANZ-Home-Loan-Portfolio.jpg" alt="">
At $269 billion lent, its entire loan book has 1 million accounts, down on the 1,018,000 this time last year.
Some 82 pecent of loans are variable.
Click here <a href="https://www.propertyobserver.com.au/images/2019/5/1/ANZ-Australi-Division-Portfolio.jpg" target="_blank">to enlarge.</a>
<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/2019/5/1/ANZ-Australi-Division-Portfolio.jpg" alt="">
There is an average 55 percent LVR compared with an originating 67 percent LVR. 
The average loan size has kept up to $269,000, up from $266,000 this time last year.
ANZ says it has 15.1 percent market share.
Around 52 percent of loans are broker originated.
ANZ Banking Group met expectations against a difficult operating environment with 2 per cent rise in cash profit to $3.564 billion.
 
</body></html>

jchancellor-FAypfDUnLy

ANZ's home loan portfolio shows big drop in interest-only borrowers

<html><body>
For the first time in eight months, Hobart saw its house prices decline, according to CoreLogic's Home Value Index for April.
It was a sharp turn as well.
The Tasmanian capital's house prices dropped -1.2 percent over the month of April, the biggest decline across all capitals.
The dwelling value decline was offset by the performance of the apartment market, which saw a 0.3 percent increase.
Hobart's last house price decline was over August last year when they saw a modest -0.2% decline.
Dwelling values across the eight capitals combined dropped a further 0.5% to be down -7.2% over the last 12 months and -7.9% lower since peaking in September 2017.
The biggest loser was Darwin, whose -1.2% decline in dwelling values was driven by houses which dropped -2.3% over April.
Canberra was the only capital with dwelling values up in April.
Click here <a href="https://www.propertyobserver.com.au/images/2019/5/1/CL-April.jpg" target="_blank">to enlarge</a>.
<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/2019/5/1/CL-April.jpg" alt="">
It was a softer April for Melbourne, who saw their house prices decline -0.7%.
The housing market had taken a sharper downturn that Sydney and had seen declines over more than 1% for the last five months before April. Over the last six months, Melbourne's houses have dropped xxx%, compared to Sydney's xx%.
Sydney performed worse than Melbourne across its housing and unit markets over the month.
Sydney houses declined a further -0.8%.
Click here <a href="https://www.propertyobserver.com.au/images/2019/5/1/CL-April1-Full.jpg" target="_blank">to enlarge</a>.
<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/2019/5/1/CL-April1-Full.jpg" alt="">
Sydney's median house price is now $880,396, around $200,000 down from its $1.079 million median peak in August 2017 before prices started declining. Melbourne's median house price sits at $712,920, $120,000 down from its $832,735 peak in January 2018.
CoreLogic's head of research Tim Lawless says the decline in housing market conditions is easing.
<div class="page" title="Page 1">
<div class="section">
<div class="layoutArea">
<div class="column">
“The improvement in the rate of decline is attributable to an easing in the market downturn across Sydney and Melbourne where values were previously falling much faster.
Click here <a href="https://www.propertyobserver.com.au/images/2019/5/1/Peaking.jpg" target="_blank">to enlarge</a>.
<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/2019/5/1/Peaking.jpg" alt="">
"In December last year, Sydney dwelling values were down -1.8%, with the pace of month-on-month falls progressively moderating back to -0.7% in April. Similarly, Melbourne values were down -1.5% in December, with the rate of decline improving to -0.6% in April." 
"Other property market insights supporting a subtle improvement in housing market conditions include a rise in mortgage related valuations activity (as indicated by CoreLogic platform data), an improvement in ABS household finance data for February, and the fact that auction clearance rates are holding around the mid-50% range across the major auction markets.
“While none of these indicators could be described as strong, the current trend in the data implies that housing market conditions may have moved through the worst of the downturn.” 
 
</div>
</div>
</div>
</div>
</body></html>

Hobart leads the nation's continued house price decline in April: CoreLogic

<html><body>
GUEST OBSERVATION
Globally, road crashes <a href="https://www.un.org/press/en/2013/sgsm15005.doc.htm" target="_blank">kill 1.3 million people a year</a> and injure nearly 50 million more. Autonomous vehicles (AVs) have been identified as a potential solution to this issue if they can learn to identify and avoid situations leading to crashes.
Unlike human drivers, these vehicles won’t get tired, drive drunk, look at their phone, or speed. What’s more, AVs will reduce congestion and pollution, increase access to public transport, be cheaper, improve mobility for people with disabilities, and make transport fun again. Right?
Well, <a href="https://infrastructure.gov.au/transport/automatedvehicles/files/automated-vehicles-brochure.pdf" target="_blank">that’s what the brochure says</a>.
Rightly or wrongly, <a href="https://www.bloomberg.com/news/articles/2018-08-01/autonomous-car-tech-investment-skyrockets-on-softbank-deals" target="_blank">billions of dollars</a> are being poured into autonomous vehicle research and development to pursue this autopia. However, barely any resource or thought is being given to the question of how humans will ultimately respond to the AV fleet. In a city full of autonomous cars, how might our behaviour and use of city streets change?
In one scenario, people could act on the knowledge that these vehicles will stop any time someone chooses to step in front of them, bringing traffic to a halt.
Humans (and animals) will adapt
O⁠n⁠e⁠ ⁠o⁠f⁠ ⁠h⁠u⁠m⁠a⁠n⁠s'⁠ ⁠g⁠r⁠e⁠a⁠t⁠ ⁠s⁠t⁠r⁠e⁠n⁠g⁠t⁠h⁠s⁠⁠ is our⁠ ⁠a⁠d⁠a⁠p⁠t⁠a⁠bility⁠. We quickly ⁠⁠l⁠e⁠a⁠r⁠n⁠ ⁠t⁠o⁠ ⁠m⁠a⁠n⁠i⁠p⁠u⁠l⁠a⁠t⁠e⁠ ⁠a⁠n⁠d⁠ ⁠e⁠x⁠p⁠l⁠o⁠i⁠t⁠ ⁠o⁠u⁠r⁠ ⁠e⁠n⁠v⁠i⁠r⁠o⁠n⁠m⁠e⁠n⁠t⁠.⁠ A future road environment saturated with autonomous vehicles will be no different.
⁠F⁠o⁠r ⁠e⁠x⁠a⁠m⁠p⁠l⁠e⁠, think about why you don’t walk out in front of traffic or drive through stop signs. Because other cars could injure or hurt you, right?⁠ ⁠
But autonomous vehicles promise something new. They are being designed to “<a href="https://www.youtube.com/watch?v=iRIn4-5TmUM" target="_blank">act flawlessly</a>”.
There are two elements to this: the first is not making mistakes, and the second is compensating for the occasional errors and misjudgements that fallible humans make. Autonomous vehicles promise alignment with Asimov’s First Law of Robotics: "A robot may not injure a human."
Now imagine crossing a road or highway in a city saturated by autonomous cars where the threat of being run over disappears. You⁠ ⁠<a href="https://www.newscientist.com/article/dn24076-birds-are-aware-of-speed-limits-on-roads/" target="_blank">(⁠o⁠r⁠ ⁠a⁠n⁠y⁠ ⁠o⁠t⁠h⁠e⁠r⁠ ⁠mildly i⁠n⁠t⁠e⁠l⁠l⁠i⁠g⁠e⁠n⁠t⁠ ⁠a⁠n⁠i⁠m⁠a⁠l⁠)</a>⁠ might quickly learn that ⁠⁠oncoming traffic <a href="https://www.google.com/url?sa=t&amp;rct=j&amp;q=&amp;esrc=s&amp;source=web&amp;cd=2&amp;cad=rja&amp;uact=8&amp;ved=2ahUKEwjWi__RncXhAhXoiVQKHV8DCZIQwqsBMAF6BAgHEAc&amp;url=https%3A%2F%2Fwww.youtube.com%2Fwatch%3Fv%3DpjQt2lEZIXg&amp;usg=AOvVaw2Sfosz-BND_3X573Ne7IEM" target="_blank">poses no threat at all</a>. Replicated thousands of times across a dense inner city, this could produce gridlock among safety-conscious autonomous vehicles, but virtual freedom of movement for humans – maybe even heralding a return to pedestrian rights of yesteryear.
<a href="https://images.theconversation.com/files/268560/original/file-20190410-2924-pg0xju.jpg?ixlib=rb-1.1.0&amp;q=45&amp;auto=format&amp;w=1000&amp;fit=clip"><img src="https://images.theconversation.com/files/268560/original/file-20190410-2924-pg0xju.jpg?ixlib=rb-1.1.0&amp;q=45&amp;auto=format&amp;w=754&amp;fit=clip" alt=""></a>
Could an autonomous vehicle future return the streets to humans, as seen here in early 20th-century Melbourne outside Flinders Street Station? University of Melbourne Architecture, Building &amp; Planning Glass Slides Collection
A simple example of how this might happen comes from game theory. Take two scenarios at an intersection where pedestrians and vehicles negotiate priority to cross first. Each receives known “pay-offs” for behaviour in the context of the other’s action. The higher the comparative pay-off for either party, the more likely the action.
In the left-hand scenario below, the <a href="https://en.wikipedia.org/wiki/Nash_equilibrium" target="_blank">Nash equilibrium</a> (the optimum combined action of both parties) exists in the lower left quadrant where the pedestrian has a small incentive to “stay” to avoid being injured by the manually driven car, and the driver has a strong incentive to “go”.
However, in the scenario on the right, the autonomous vehicles has a desire to act flawlessly and pose no threat to the pedestrian at all. While this might be great for safety, the pedestrian can now adopt a strategy of “go” at all times, forcing the AV to stay put.
<a href="https://images.theconversation.com/files/268555/original/file-20190410-2931-gru7no.png?ixlib=rb-1.1.0&amp;q=45&amp;auto=format&amp;w=1000&amp;fit=clip"><img src="https://images.theconversation.com/files/268555/original/file-20190410-2931-gru7no.png?ixlib=rb-1.1.0&amp;q=45&amp;auto=format&amp;w=754&amp;fit=clip" alt=""></a>
A simple ‘normal game’ comparison of pedestrians versus manually operated and autonomous cars negotiating intersections. Author provided
Can this potential problem be overcome?
One solution might be to ⁠p⁠r⁠o⁠g⁠r⁠a⁠m⁠ ⁠⁠a⁠l⁠g⁠o⁠r⁠i⁠t⁠h⁠m⁠s⁠ into vehicles ⁠t⁠h⁠a⁠t⁠ make them ⁠o⁠c⁠c⁠a⁠s⁠i⁠o⁠n⁠a⁠l⁠l⁠y⁠,⁠ ⁠p⁠u⁠r⁠p⁠o⁠s⁠e⁠f⁠u⁠l⁠l⁠y⁠,⁠ ⁠r⁠u⁠n into⁠ ⁠people, animals or other <a href="https://www.theverge.com/2019/4/22/18511527/elon-musk-tesla-aggressive-autopilot-mode-fender-bender" target="_blank">vehicles</a>⁠⁠. Although this would maintain a level of fear and caution in the population, l⁠e⁠g⁠a⁠l⁠l⁠y⁠ ⁠a⁠n⁠d⁠ ⁠m⁠o⁠r⁠a⁠l⁠l⁠y⁠⁠ ⁠it is hard to see how this would be ⁠a⁠c⁠c⁠e⁠p⁠t⁠a⁠b⁠l⁠e⁠.
Another option could be infrastructure separating autonomous vehicles from vulnerable road users, such as pedestrians and cyclists. But the cost and reduction in amenity this would create would be enormous. Further, this type of solution <a href="https://www.towardszero.vic.gov.au/news/articles/flexible-barriers-how-they-work-and-the-cheese-cutter-myth" target="_blank">could be applied now</a>, negating much of the need for AV software and technology development in the first place.
A final, duplicitous idea is to simply turn off the safety systems that cause so-called “erratic vehicle behaviour” (i.e., slowing down to avoid hitting people). This is reported to have occurred when a <a href="https://www.ntsb.gov/investigations/AccidentReports/Reports/HWY18MH010-prelim.pdf" target="_blank">self-driving Uber struck and killed a pedestrian in Arizona last year</a>. However, if this is the solution, you then have to ask, “What is the transport problem autonomous vehicles are actually trying to solve?”
It won’t happen overnight
In the scenarios above most of the fleet are autonomous vehicles, and humans adapt to their consistently safe behaviour. However, the <a href="https://www.wired.com/story/future-of-transportation-self-driving-cars-reality-check/" target="_blank">complete transition</a> to autonomous vehicles <a href="http://www.infrastructurevictoria.com.au/AVadvice" target="_blank">will not occur overnight</a> and might create new crash situations that are, so far, poorly understood.
For example, we are developing simulations of interactions between vulnerable road users and a mixed fleet of autonomous vehicles and human-driven cars. These models show how inconsistencies between the behaviour of manual and autonomous vehicle types could even lead to <a href="https://www.propertyobserver.com.au/https://twitter.com/Agent_Jase/status/1116179718967939072" target="_blank">more crashes during the transition</a>.
The future for AVs under threat
As AV technology rolls on, and the marketing hype surrounding them continues to draw attention <a href="https://techcrunch.com/2019/03/12/ubers-self-driving-car-unit-was-burning-20-million-a-month/">and burn up investment dollars</a>, it should be remembered that humans and animals are still going to behave how we always have by continually adapting and exploiting weaknesses in our environment.
Part of the promise of autonomous vehicles is their proposed safety through deference to human life. But, if the point of transport systems is to enable efficient movement of people and goods for the benefit of society, this strength of AVs might prove to be their ultimate weakness as a viable mass transport mode.<img src="https://counter.theconversation.com/content/114504/count.gif?distributor=republish-lightbox-basic" alt="The Conversation" width="1" height="1" style="border: none !important; box-shadow: none !important; margin: 0 !important; max-height: 1px !important; max-width: 1px !important; min-height: 1px !important; min-width: 1px !important; opacity: 0 !important; outline: none !important; padding: 0 !important; text-shadow: none !important;">
Jason Thompson, Senior Research Fellow, Transport, Health and Urban Design (THUD) Research Hub, University of Melbourne
Gemma Read, Senior Research Fellow in Human Factors &amp; Sociotechnical Systems, University of the Sunshine Coast
This article is republished from <a href="http://theconversation.com" target="_blank">The Conversation</a> under a Creative Commons license. Read the <a href="https://theconversation.com/nothing-to-fear-how-humans-and-other-intelligent-animals-might-ruin-the-autonomous-vehicle-utopia-114504" target="_blank">original article</a>.
</body></html>

How humans (and other intelligent animals) might ruin the autonomous vehicle utopia

<html><body>
Melbourne developer Welsh Group has purchased an additional site in the Victorian suburb of Armstrong Creek.
The site at 500-540 Surf Coast Highway completes the Welsh Group ownership of over 40 hectares of landholdings at the mixed-use Armstrong Creek Town Centre.
Construction of the site, which has now received planning approval, is due to commence in the coming weeks.
Stage 1 of the development comprises of a Coles supermarket along with supporting specialty retail.
<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/2019/5/31/IN1.jpg" alt="">
Andrew Welsh, Managing Director of Welsh Group, said Stage 1 of the Town Centre is scheduled to open in 2020.
“Stage 1 will initially service approximately 58,000 people, and provide in excess of 1,100 ongoing jobs, with the suburb set to rapidly increase to over 110,000 residents by 2036,” Welsh said.
“The Welsh Group has a strong investment within the Geelong region through its residential homes division, Welsh Homes.
“The Armstrong Creek Town Centre will be the first major commercial project in this region delivered by Welsh Group, and will include a range of retail, leisure and entertainment, residential and community facilities; bringing an array of services and employment opportunities to the growing community.”
Colliers International has been appointed as exclusive leasing agents with Mike Crittenden and Adam Lester set to manage the leasing campaign.
“The initial off market campaign in securing the anchors, has already generated significant local and national retail interest for the soon to be launched specialty tenancies,” Crittenden said.
</body></html>

Welsh Group buys another site at Armstrong Creek with construction set to commence

<html><body>
Construction is now underway on La Trobe University’s $100 million student accommodation project at its Melbourne campus in Bundoora.
It is the largest investment for a single project in the university’s history.
The project is part of a $5 billion plan to transform its Bundoora campus into a University City of the Future.
JCB Architects have designed the sustainable and environmentally-conscious spaces, with construction by Multiplex.
Providing an additional 624 beds, the accommodation will be delivered in two new buildings that will utilise mass timber construction to be the largest project of its kind in Victoria.
The accommodation will comprise a range of apartments and common amenities spaces, as well as landscaping connecting the two buildings.
<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/2019/4/26/18-040_La%20Trobe_6%20-%20Photo.jpg" alt="">
La Trobe’s Vice-Chancellor Professor John Dewar said the project will greatly enhance the experience of students living on campus.
“Our exceptional new accommodation will enable more of our students to live on campus, close to where they are studying,” Dewar said.
Graham Burrows, Director at JCB Architects, said the company was thrilled to be part of such an exciting and creative project.
“The design of the new buildings is very much inspired by the extraordinary landscape in which they sit,” Burrows said.
“As the largest mass timber project in Victoria, the buildings will not only offer huge environmental benefits, but they will also provide calm and beautiful spaces in and around which both resident students and the wider La Trobe community can interact.”
Multiplex Regional Director Ross Snowball said this is an innovative and ambitious project which Multiplex is also pleased to be part of.
“We are particularly passionate about emerging design technologies which respond to environmental and sustainability needs, and we love working with universities – so this project perfectly marries the two and I’m really looking forward to seeing the outcome next year,” Snowball said.
Dewar said the accommodation development project would be a major boost to the local economy, with construction supporting more than 500 direct and indirect jobs.
</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