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

Joel Robinson

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

<a href="https://www.apartments.com.au/developers/wickton">Wickton</a>’s completed Linacre Rise development in Hampton is giving Bayside downsizers the opportunity to move into a spacious apartment near the beach, with the developer covering stamp duty for a limited time.

The 27-residence development has been designed for buyers who want to simplify their living arrangements without giving up the space, warmth and quality associated with a long-term family home. Most apartments have already been secured by Bayside locals, leaving a select collection of two and three-bedroom residences and penthouses available.

Two-bedroom apartments are priced from $1.275 million, three-bedroom residences from $2.25 million and penthouses from $3.375 million, with the completed homes available to inspect and move into now.

[smartcode_project:default project_id=95289 project_image_fid=366760]

<a href="https://www.apartments.com.au/buildings/linacre-rise-hampton-8-10-linacre-road-hampton-vic-3188">Linacre Rise</a> occupies an elevated position on one of <a href="https://www.apartments.com.au/developments/hampton-vic-3188">Hampton</a>’s quiet, tree-lined streets, around 250 metres from the bay and 500 metres from Hampton’s village centre. Its setting gives residents access to the beach, local cafés, shops and Hampton Train Station while retaining the feel of an established residential neighbourhood.

Architecture and interiors by <a href="https://www.apartments.com.au/architects/ewert-leaf">Ewert Leaf</a> draw on the warmth and permanence of traditional brickwork, with the building integrated into terraced landscaping by <a href="https://www.apartments.com.au/landscape-architect/john-patrick-landscape-architects">John Patrick</a>. Ground-floor apartments are elevated above the street and include private garden courtyards, while several upper-level residences have generous balconies and outlooks toward the bay.

Inside, the residences favour natural materials and generous proportions. Herringbone-pattern European oak flooring, natural stone benchtops, premium joinery and Swiss V-ZUG appliances are among the key inclusions, while integrated storage has been incorporated across kitchens, bathrooms, studies and living areas.

The kitchens have been planned as practical spaces for both everyday use and entertaining, with substantial island benches, detailed cabinetry and adjoining dining and living zones. Full-height wardrobes, plush bedroom carpeting and carefully considered lighting reinforce the residential character Wickton sought to retain for buyers moving from larger homes.

[smartcode_project:default project_id=95289 project_image_fid=366769]

A Linacre Rise purchaser said the completed apartment had delivered the space, outlook and construction quality they had been seeking.

“The unit is very light, has views to die for over the bay, all construction materials and fittings are premium quality, we have secure parking for three cars, EV charging at very competitive rates, the neighbours are friendly and there is just a lovely ambiance about the place,” the purchaser said.

Environmental features include solar panels, shared electric vehicle charging stations, rainwater harvesting for toilet flushing and landscape irrigation, double-glazed windows and water-efficient fixtures and appliances.

[smartcode_project:default project_id=95289 project_image_fid=366762]

The development was built by Balmain &amp; Co, with Wickton managing the broader development process through its in-house team.

For downsizers, the project’s completed status removes much of the uncertainty associated with buying off the plan. Purchasers can inspect the finished apartments, understand their outlook and proportions, and move in without waiting for construction to conclude.

The remaining selection includes north-oriented balconies, corner configurations and penthouses with elevated bay views. The developer-paid stamp duty initiative is available for a limited time, with potential savings of up to $200,000 depending on the residence purchased.

[smartcode_project_cta:default project_id=95289]

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

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

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

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

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

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

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

Prominent New Zealand apartment and hotel operator, <a href="/developers/safari-group">Safari Group</a>, is offering up a prime investment opportunity for Australians to purchase off the plan in one of the world’s most popular ski destinations.

They recently took to market Mountain Oak Queenstown Apartments, in the growing precinct of Remarkables Park in Frankton, near the airport and at the foot of The Remarkables - the mountain range the locals like to call “The Remarks”.&nbsp;

Sydney investors have shown interest in the one, two and three-bedroom apartments that secure high-season occupancy six months over the year, primarily over summer and winter months.

They average 90 per cent occupancy across their portfolio over January, February, March, August, November and December, while shoulder season months of April, July, September and October are still occupied 70 per cent of the time, with the growing appeal of Queenstown becoming not just a hotspot for the snow, but a lifestyle destination.

Even in the low seasons of May and June, occupancy levels reach around 40 per cent.

<img alt="Safari Group’s Mountain Oak Apartments brings new investment potential to Queenstown" data-entity-type="" data-entity-uuid="" src="https://res.cloudinary.com/dz9xllyip/image/fetch/f_auto,c_limit,w_1440,q_auto/https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/field/image/Ext_Cam15_Sunny.jpg?VersionId=SJAROUM_1s.Tr5ciMk4EEj5oAt_Vewmv" />

Safari’s Safari Hotels arm can also manage the holiday letting for an investor, from the listing on holiday accommodation websites such as Airbnb and Booking.com to the cleaning and maintenance of the investment. They’ve been in the short stay management business for 15 years and offer 24/7 support for investors, an important convenience benefit for any overseas investor

Another major drawcard for Australians is that New Zealand doesn’t have a stamp duty policy - so the entry price of NZ$639,000 (AU$586,000), is all that is payable on completion.

<img alt="Safari Group’s Mountain Oak Apartments brings new investment potential to Queenstown" data-entity-type="" data-entity-uuid="" src="https://res.cloudinary.com/dz9xllyip/image/fetch/c_scale,w_580,dpr_2.0,q_auto:good/https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/313_Livingv2_WEB.jpg?VersionId=nV229fM0ZeYpoxOrX372HyGjfwY_LR8c" />

Safari is starting construction of the 141 apartments in Q2 this year, with a two-year build estimated to complete in mid-to-late 2027.<img alt="" data-entity-type="" data-entity-uuid="" height="15" src="https://lh7-rt.googleusercontent.com/docsz/AD_4nXczFpFAb7WuA6f4f9TtKWcqXyNwR8qqtakWv352ERkpqNlP3KwIo8YKxw67jZNHfpjEGIZGv5MQTbnvLZwNt8iu9IVdOrswOjCvBZ4zhSoOOLrpt6etVEZTN1gkBho0r_R72zdHNA?key=yq3daOanqHSb88QFd8jGYKdb" title="Click and drag to move" width="15" />​

The apartments will feature modern amenities and contemporary designs with expansive windows capturing sweeping views of The Remarkables mountain range.&nbsp;

Interiors are equipped with modern finishes, premium appliances, and secure electronic key-locked doors, ensuring a comfortable living experience for residents and guests alike.

With its strategic location near Coronet Peak and Cardrona Alpine Resort, as well as key retail and dining precincts such as Market Street, Five Mile Shopping Centre, and Remarkables Market, Mountain Oak offers a strong proposition for investors seeking high rental yields and capital appreciation in one of New Zealand’s most sought-after locations.&nbsp;

Queenstown’s sustained demand for visitor accommodation and rental properties is underpinned by a shortage of housing options, attracting both local and international buyers.

Safari Group offers low-touch investment proposition in Queenstown’s popular ski fields district

<html><body>
Units in Brisbane and Adelaide spend more time on the market than any other Australian capital city, according to the latest information from RP Data.
Brisbane and Adelaide units spend an average of 93 days on the market, according to data for the week ending February 24. Houses in the Queensland capital don't sell that much quicker with an average of 88 days on the market, while Adelaide houses take 85 days.
By contrast, Sydney and Canberra houses spend the least time on average on the market, at 70 days. Sydney units typically take 59 days to sell, the quickest sale type in the country.
<img height="356" width="470" src="/images/stories/2013/02/rpdatafeb25chart.gif" alt="rpdatafeb25chart">
'Time on market' (TOM) is the average number of days between when a property is first listed for sale and the contract date.
The statistics are calculated across results received by RP Data over the past week and include properties transacted over the past four weeks. The data is based on private treaty sales only and records without a valid sale price have been excluded from the vendor discount analysis.
The analysis also excludes results where there are less than 10 observations.
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Brisbane and Adelaide units spend highest time on market: RP Data

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FKP Property Group has sold its 15-level A-grade commercial office building at 465 Victoria Avenue, Chatswood for $92 million prior to incentive adjustments.
The sale to Hines Global REIT represents a $2.5 million premium to FKP’s 30 June 2012 book value.
<img alt="fkpfeb25one" height="441" width="470" src="/images/stories/2013/02/fkpfeb25one.jpg">
Its reflects a passing yield of 7.79%.
FKP Property Group acquired Vero Tower, as it was then known in August 2007, for $98 million. The purchase price represented a price per square metre of $6,465 and initial passing yield of 7.2%.
The building first sold in 1998 for $78 million and then in 2004 for $86 million.
The A Grade building was purpose-built for insurance group Royal Sun Alliance in 1995.
The building is situated close to Chatswood Interchange, which services about 70,000 commuters per day.
The US property giant Hines last year looked at buying Civic Tower in Sydney’s central business district for about $130 million but it did not proceed.
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FKP sells 465 Victoria Avenue, Chatswood to Hines REIT

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Accepted economic theory suggests that cuts to interest rates stimulate housing markets and the economy, since lower mortgage payments open up the housing market to a larger pool of purchasers. The theory suggests that with more money in their pockets, consumers will either spend or invest. Housing serves two masters — arguably poorly — as an investment (a store of value) and a necessity (shelter).
As the number of commercial exchanges increase, opportunities emerge which drive the economy. Additional staff are hired as new businesses open and existing ones expand, which in turn creates further demand and spending — hopefully within Australia rather than as leakages to imports, travel or internet retail. Business funding costs are lower, which should benefit the whole economy, especially the credit-hungry construction sector, setting in train a strong multiplier, estimated at around 2.8 for NSW — i.e. for every $1 spent in residential construction another $2.80 is generated and spent elsewhere in the economy. Growth begets growth as the economy beats a path to its natural constraints. Or else inflation sets in. Or the RBA put up interest rates. Or there’s an election.
An initial boost to housing affordability occurs, as lower mortgage costs attract a larger pool of potential buyers — raising a paradox in Sydney, as affordability without additional supply is the last thing the city needs. Since housing supply is finite and slow to respond — i.e. increase — in the short term, this reduces the effectiveness of the “cheap money” as purchasers are crowded out of the market and prices are driven up. But, in an appreciating market, project feasibilities “stack up”, encouraging construction and new housing supply is (eventually) delivered. Anyone who has witnessed the glacial progress of a DA through council will note the overlap between the short and the medium term stories, which I hope I’ll be forgiven for.
Sound as this line of thinking may well be, we just haven’t seen the expected result in housing markets (or the economy for that matter) as median prices have generally tracked sideways despite successive RBA rate cuts. Why? Well, the short answer; “it’s the economy…” or more specifically, the rate cuts have mostly quelled vendor discounting, but have done little to exorcise our collective fears and pessimisms. Consumer confidence fits hand in glove with an appreciating housing market.
Put simply, the non-mining part of the economy — i.e. most of the rest of us — has been living in a phantom recession; while the economy in the macro sense has been spared widespread unemployment, some sectors (particularly currency sensitive ones) have contracted, while old economy retail is doing it very hard and confidence is at a low point. Under such a dark and heavy cloud, investors are unwilling to speculate (oops, invest) and their focus is on paying down debt — and specifically, shoring-up equity in the family nest egg by selling-off holiday houses, online discounted shopping, and so forth. Similarly, banks have reigned in risk, drip feeding token portions of the RBA rate cuts to existing borrowers while scrutinising every new loan application and strangling the economy of credit. And this is what is meant by low consumer confidence — a self-fulfilling Mayan prophecy of doom and gloom.
The current economic norm is an emerging cautious conservatism as the weight of funds shifts to wealth preservation mode with an aging population is likely to reiterate this. After the debt-fuelled orgy of the early noughties, borrowers are building buffers into their loans to uphold the one non-malleable constant of Australian investors — you don’t lose the family home. The <a href="https://www.rba.gov.au/publications/fsr/boxes/2012/sep/b.pdf">RBA reports</a> that some 15% of borrowers are ahead in their repayments by two or more years while 40% are ahead. The data indicates that borrowers who are ahead in their payments tend to be older and have higher incomes. This is consistent with where they are up to in their life’s journey — having had more time and/or income to accumulate such buffers and potentially fewer/diminished commitments (e.g. adult children). This is the Baby Boomer generation getting their pre-retirement house in order. Literally. The effects of this are visible in discretionary housing markets as holiday houses and hobby farms were jettisoned.
Returning to the interest rate story, there is a tenuous — at best — correlation between interest rates and house prices. The following chart examines the relationship between the change to interest rates and the change to the nominal median Australian house price — taken as the weighted average of the six capital cities. Quite an abstraction, to be sure, especially when the median house is the one you’ll never buy. Prices naturally fluctuate from month to month because of seasonality and other factors. Median nominal prices are a relatively crude instrument, because they aren't adjusted for inflation, they lump numerous local markets into broad geographical areas, and they don't account for variations in the mix of homes sold, a weakness that can tilt the median up or down. Nonetheless, median prices often are looked to as a broad measurement of housing market trends.
Click to enlarge
<a title="Click to enlarge" href="/images/stories/2013/02/bregozzofeb25chart.gif" rel="shadowbox"><img src="/images/stories/2013/02/bregozzofeb25chartthumb.gif"></a>
For the past 32 years to 2012, the annual change to nominal house prices may be explained by changes to interest rates for some 37.8% of the time. But, the story doesn’t end here, what’s really interesting is that for part of the time the correlation is negative — when rates go down, prices go up and vice versa — while for part, a positive correlation, and for part of the time there is no correlation. And when the data is examined on a quarterly basis, the “relationship” becomes even more tenuous 12% correlation. Further, when comparing of the annual change to interest rates and real house prices the correlation is 20.7%.
<a href="https://www.propertyobserver.com.au/residential/interest-rates-do-little-to-influence-australian-property-prices-catherine-cashmore/2013011358683/Page-1?utm_campaign=newjonathan%2Fjoye&amp;utm_medium=aida&amp;utm_source=po&amp;utm_source=Property+Observer+List&amp;utm_campaign=b0ca95adfb-January_14_201313_8_2013&amp;utm_medium=email" target="_blank">Catherine Cashmore </a> rightly noted the low correlation between property prices and interest rates; surprising to many, but actually the topic of a number of academic papers. What needs to be recalled here is the statistics dictum, that: correlation does not imply causality. While interest rates have some impact on house prices, both are responding to (and participating in) something else—the economic cycle.
I think a more interesting discussion is around how the specifics of locality and population interact with the economic cycle as these are key drivers of price to a local level. So, should interest rates as a measure of the housing markets be thrown out the window? Well, not entirely, for there are (at least) two notable areas where they are still useful — the building cycle and housing affordability. There is a strong connection between rate cuts and the building cycle as interest rates are a short term driver of the construction cycles. And the connection between the cost of money, the supply of housing, prices and rents neatly returns us to the beginning of this article. Thanks for reading. 
Martin Bregozzo is a property economist with <a href="https://www.bis.com.au/" target="_blank">BIS Shrapnel.</a>
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Only a tenuous link between RBA rate cuts and house prices: Martin Bregozzo

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Oops. We referred in last week’s edition to the Australian <a in_rurl="https://i.trkjmp.com/click?v=QVU6MjkxMDg6NzI2OnN0b2NrIG1hcmtldDo3OWMwOWNmYzMxZTY0OGMxODFjYTE4NGNlMDVlODIxNDp6LTEwNjMtMTAzMTczOnd3dy5yd20uY29tLmF1OjIzODQ4OjkwOGVjZmFiMzRkMDU1YmE1NTM1ZDJmNGM3ZWU1ZmI1" href="https://www.rwm.com.au/news/" title="Click to Continue &gt; by Browse to Save" id="_GPLITA_0" target="_blank">stock market</a> being off to a swashbuckling start when it broke the psychological 5000 barrier – what a difference a week makes. Last Thursday, the 'shock market' wiped $30 billion although I am at a loss to understand why this would be termed ‘Super Thursday’? I would think a more appropriate name would be ‘Hedge Thursday’, given it was the hedge funds who were cashing in. Investors who have ventured back into the 'shock market' are only in pursuit of fully franked yields – which are a long-term hold. The benchmark S&amp;P/ASX200 index fell 2.03% to 4995 points. Alas, no fear – by the time you're reading this those ‘psychological’ 5 points will have been found. Problem solved!
That’s enough of the 'shock market' for us, given our property markets are identifying a completely different market response. In years gone by, the share market would boom then the profits were realised and then transferred into the property markets. We have not seen this trend for quite some considerable time, so we very much doubt this will happen in 2013, nor anytime over the next five years. Baby Boomers are focused on their super funds, hence chasing fully franked yields. The entry markets (otherwise known as First <a in_rurl="https://i.trkjmp.com/click?v=QVU6MzM5ODQ6MTk5NTpob21lOjc5YWM1MmVhMDhmODBmOGI5ZjQyM2Q2YzhlNzk5OGI2OnotMTA2My0xMDMxNzM6d3d3LnJ3bS5jb20uYXU6MzQyNzM6ZWFlZTQ3NTJmOGJlYTgzYTcxMTk0ZmNlMWY5ZThiZGE" href="https://www.rwm.com.au/news/" title="Click to Continue &gt; by Browse to Save" id="_GPLITA_2" target="_blank">Home</a> Buyers) have left property markets –<a target="_blank" href="https://www.businessspectator.com.au/bs.nsf/Article/First-home-buyers-fail-to-shine-in-2012-4X9ZA?OpenDocument" title=" rate cuts, incentives fail to lure first home buyers. RP Data reported"> rate cuts, incentives fail to lure first home buyers. RP Data reported</a> figures showed an annual average of 117,686 housing commitments to first home buyers between 2000 and 2012. Housing finance activity by first home buyers (in 2012) was 17% below the average.
So where have they gone? <a target="_blank" href="https://www.propertyobserver.com.au/residential/rental-market-tightens-in-january-to-national-vacancy-rate-of-19-mainly-due-to-seasonality-sqm/2013021959430" title="Rental market tightens in January to national vacancy rate of 1.9% mainly due to seasonality: SQM. ">Rental market tightens in January to national vacancy rate of 1.9% mainly due to seasonality: SQM.</a> The national vacancy rate tightened by 0.4 percentage points from 2.3% to 1.9% over January, with just over 54,000 properties available for rent across the eight capital city markets, compared with 63,000 in December. It should be noted that our total markets are approximately divided into thirds – one third rent, one third own a home without a mortgage and the final third own with a mortgage.
Last week, APM Research released their <a target="_blank" href="https://www.domain.com.au/content/files/Camilla/Domain%20market%20update%20report%20Jan%202013.pdf" title="Housing Market Report">Housing Market Report</a> – Australian capital cities and Gold Coast property market. In a nutshell, “positive signs continue to emerge in 2013 – Australia’s housing markets will build on the improved performances recorded in 2012”. Let me preface that with when the housing market booms it historically takes approximately a decade before we see over – heated markets again. This would then suggest that we won’t see a bull property market in Sydney until 2017.
<a target="_blank" rel="attachment wp-att-7452" href="https://www.rwm.com.au/2013/02/first-home-buyers-going-going-gone/21-02-2013-10-34-18-am/"><img height="167" width="470" src="https://www.rwm.com.au/wp-content/uploads/2013/02/21-02-2013-10-34-18-AM.jpg" alt="21-02-2013 10-34-18 AM"></a>
<h4>SYDNEY</h4>
<ul>
<li>The Sydney market continues to provide positive indications of increasing buyer activity although the prestige markets remain dormant.</li>
<li>Latest ABS data for November 2012 revealed the highest monthly loans approved for non – first home buyers in New South Wales for five years.</li>
<li>By contrast first home buyers in New South Wales have gone missing with the latest ABS loan numbers at the lowest level for 20 years. This result is however no surprise given the surge in demand from first home buyers at the end of 2011 and into 2012 motivated by changes to state government buyer incentive programs.</li>
</ul>
<a target="_blank" rel="attachment wp-att-7453" href="https://www.rwm.com.au/2013/02/first-home-buyers-going-going-gone/12-02-2013-10-40-10-am/"><img height="319" width="470" src="https://www.rwm.com.au/wp-content/uploads/2013/02/12-02-2013-10-40-10-AM.jpg" alt="12-02-2013 10-40-10 AM"></a>
<a target="_blank" rel="attachment wp-att-7454" href="https://www.rwm.com.au/2013/02/first-home-buyers-going-going-gone/12-02-2013-10-26-48-am/"><img height="557" width="470" src="https://www.rwm.com.au/wp-content/uploads/2013/02/12-02-2013-10-26-48-AM.jpg" alt="12-02-2013 10-26-48 AM"></a>
Hallelujah – Mosman houses finally score a century, albeit a month behind 2012 data.
Robert Simeon is a director of <a target="_blank" href="https://www.rwm.com.au/" title="RWM">Richardson  Wrench Mosman and Neutral Bay </a>and has been selling residential real estate in Sydney since 1985. He has also been writing real estate blog <a target="_blank" href="https://www.rwm.com.au/news/" title="Virtual Realty News">Virtual Realty News</a> since 2000. The RWM real estate model has sold in excess of $1 billion in database sales globally.
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robertsimeon-hRNTwJyXkQ

Mosman houses finally score a century albeit a month behind 2012 data: Robert Simeon

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I must have missed when price quotes became a state secret because – barring a few exceptions – they used to be listed on just about every property advertisement for sale.
Anyone in Victoria who has searched though one of the online real estate websites recently will understand what I’m talking about –and judging from Australia’s real estate obsession with property and wealth building it would no doubt be a fair few million.
Putting a price on a real estate, particularly with homes offered as private treaty, is not difficult.
Ideally, an assessment of the property is undertaken by the sales agent – one familiar with market sales in the immediate locality – and in conjunction with the vendor, a price is set that produces a happy balance between both vendor expectation and local comparable sales.
If interest is lagging in the two weeks following, the agent can negotiate with the vendor to reduce the range.
If sales enquiry is healthy – or an offer in excess of the range is achieved and subsequently rejected – the agent has the ability and ethical responsibility (in conjunction with their vendor) to change the quoted range to reflect the heightened level of interest.
For a proportion of agents acting within their “reasonable” duty of service, this still is the norm.
However, now it seems – in Melbourne at least – every second advertisement you click upon, whether auction or private treaty, has “contact agent” in bold letters underneath the subheading “price”.
An enquiry then produces a roundabout of guessing games with somewhat wishy-washy lines totted out, such as “it’s too early to tell”.
In other words, the agent is indicating he has no idea where to place his price quote, because Joe Blogs hasn’t yet walked through and in some occurrence of pure fiction (which I have yet to see with my own eyes) stopped to tell the agent exactly what he’s prepared to offer.
While we all agree in part that a market can only be valued on what a buyer is prepared to pay, this is precisely why sales agents appraise property against recent comparable market sales in the first place.
When combined with good local knowledge, a market appraisal will give the agent a very good indication of buyer demand – at least to the degree of being able to publish a negotiable price range that falls in line with vendor expectation at the outset.
I should pre-empt before going further that a proportion of agents I speak to will give me a realistic idea of vendor expectation upon enquiry – however, after years of complaints within the industry regarding those who still choose to lowball their price ranges or quote using a ‘+’ price that can mean anything from 5-30% – it seems the practice has now moved into the verbal domain, allowing a number of agencies to continue their lines of deceit with no fear of reprimand.
It’s time we valued the ethical side of our sales industry with a little more seriousness than pricing an auction on e-bay. The continual problem with different methods of quoting – or lack thereof – runs to the very base of mistrust most buyers have against the real estate industry as a whole - and it’s a brush that tars us all.
Furthermore, considering the current atmosphere, in which Victoria has been through roughly two years of minimal movement in actual house prices with the market barely shifting week to week (that is, unless you’re following the “daily house price index”, which seems to bump along, offering its own short-term interpretation of price growth). No agent can use the excuse that he’s been caught out by any dramatic shift in market movements or buyer sentiment. Most homes are selling at their comparable appraised value, and they have been doing so for an extended period of time.
It seems silly to point out the obvious, but no buyer likes to play guessing games when it comes to putting a price on an advertised listing – and neither should they have to. Everyone understands real estate is a negotiated asset, however, the verbal game playing that now surrounds the sales industry in Victoria is often laughable – ranging from “we don’t know yet” to “properties in the area are selling in the $400,000 and $500,000 range” – an insulting response at best.
 
<hr class="system-pagebreak">
 
If we were operating in an ideal world, buyers would ignore price quotes altogether and do their own research to establish market value prior to spending hundreds on a pest and building inspections or solicitor fees chasing an unobtainable dream. However, closely comparable sales data is not readily available for buyers.
Computer-generated “estimates”, <a href="https://www.propertyobserver.com.au/industry-news/friday-feb-15-observer-why-you-should-not-rely-on-property-data-reports-patrick-bright/2013021459354" target="_blank">as Patrick Bright pointed out last week </a>– are, more often than not, hopelessly inaccurate.
Suburb reports are equally unhelpful, and while median data will give an indication of the dollars the majority market is spending, it’s no help when evaluating individual property prices.
In Victoria auctions often result in “undeclared” results, and private sales are just that – private. The street name will be listed, but the other relevant and essential data is missing.
Using a buyer advocate who has access to such information combined with the market knowledge to offer an educated opinion is one option – however, unless we’re going to place a rule of law that every single buyer should pay a few thousand for such a service, it’s reasonable to suggest buyers deserve a “hint” of vendor expectation by way of an accurate price quote before wasting time and money chasing a dream.
A handful of agencies dealing with the more volatile luxury end of the market, in which interest is discretionary, understandably choose to sell via expressions of interest. However, the decision to drop the quoted range all together from a large percentage of real estate advertisements seems, in a good number of cases, to have been employed as “self-protection” from accusations of “underquoting” – a feature of which results in the price published bearing no relation whatsoever to the vendor’s reserve.
Vendor expectation can often be inflated.  It’s made worst by the commission based competition that rages between real estate agents and their respective agencies – it unfortunately promotes the need to buy a listing or risk missing out to a competitor who promises more. There then follows a process called vendor education – where high expectations are hopefully modified.
In Victoria, if the vendor does not disclose the reserve on the documentation, quoting below the written estimate of market value on the authority is officially “underquoting”. With no reserve written, the written estimate does not necessarily need to reflect vendor expectation.
It may not be admitted as such, but when agents list a property it is common practice to encourage the vendor to withhold their reserve price. This enables a conservative estimate of value – as either a verbal or published quote range – to glean as much buyer enquiry as possible.
The idea is sold to the vendor via explanation of the “buyer pyramid” – it works a little like step quoting – get the lower priced bidders to build momentum during the auction to fuel those bidding with healthier bank accounts to step in at the end.
Without the lower budget bidders, auctions can pull up short without the usual frenzy that has in our boom eras of growth significantly contributed in pushing prices to unsustainable levels.
Needless to say, by the time the auction occurs any gaping hole between the quote and reserve can be waved off with the excuse that the vendor changed his mind – or ‘upped’ expectation.  Hence why it is so easy to get away with purposefully placing the price range below the level at which you know the vendor will sell – when the price range is verbal, it’s even easier to manipulate the figures.
To suggest that a vendor’s expectations fluctuate to such an extent as to not be represented in the price quote is highly questionable. Having worked as a sales agent in previous years, I can categorically say there was never a time where I didn’t know my vendor’s approximate reserve well enough in advance of the auction to place a reasonable quoted range on a listing from day one.
Furthermore, vendors are not without blame. Assuming the price quote is a estimate based on “recent comparable sales” and the vendor isn’t in the dark when it comes to the price quoted on his or her vendor-paid advertising campaign, why would he or she agree to list the property and quote at a level he or she would not be willing to sell in the first place?
In such instances, I would suggest this is a pretty good example of a lowball quoting – conservative at best, deceitful at worst.
This weekend I’ll be bidding on a property quoted at $430,000-$470,000. I already know from my own research of comparable data it will sell closer to $550,000 – I also know from my conversations with the agent, that over 160 groups have inspected the home and he now has “the low $500,000s covered”. The price quote has not changed throughout the campaign.
It’s time vendors took responsibility for their own paid advertising campaigns and ensured their reserves – or ranges in which they’re prepared to negotiate – are published at the outset. If minds are changed, quotes should be changed, but leaving such a large question mark for buyers who are increasingly growing frustrated at having their time, money, and energy wasted is damaging for all concerned.
Catherine Cashmore is a market analyst with extensive experience in all aspects relating to property acquisition.
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When did agent price quotes become a state secret? Catherine Cashmore

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Sydney has ranked as the sixth most expensive place in the world to rent prime logistics warehouse space with Brisbane ranking eighth and Perth in 10th place. 
The rankings are based on equivalent US dollar per square foot comparisons with Tokyo ranking first (US$21.33 per square foot) just ahead of London (US$20.32 per square foot). 
The average cost per square metre for prime logistics space in Sydney is US$12.59 per square foot, $11.74 per square foot in Brisbane and $11.02 per square foot in Perth. 
Logistics space is generally purpose-built modern warehouse space that has been specifically developed for storage and distribution purposes and often built to meet the specifications of a certain company or industry. 
While they may be unglamorous, featureless buildings on the outskirts of the city, high yields and low vacancy rates among prime assets have made them a popular investment choice. 
This week ASX-listed commercial property group Dexus acquiring a large industrial property in Brisbane’s southwest for $21 million after a sales campaign that generated a higher than expected level of interest. 
The sale of 13,315 square metre industrial facility at 131 Mica Street in Carole Park, negotiated by Simon Beirne and Troy Whalan of Colliers International, following an expressions of interest campaign that eventuated in 11 offers. 
The vendor was Wesfarmers subsidiary J Blackwood &amp; Son Pty Ltd and the property was sold via a sale and leaseback, with Blackwoods taking on a 15-year lease for the facility plus options for a further ten years, assuring Blackwoods of continued access to this excellent location. 
Whalan said that last year was the best year on record for Colliers International in the industrial property market and 2013 is expected to be even better.
<img height="506" width="419" src="/images/stories/2013/feb_22/cbre_industrial.gif" alt="cbre_industrial">
[Correction to this table: The data for Perth should say "$114 psm pa"]
While occupier demand in Sydney remains cautious, the report highlights that a strong preference still exists for good quality, well-placed logistics space. With vacancy levels low for such stock, pre-commitment activity has been prevalent, helping to boost prime rents during the final quarter of 2012.
CBRE regional director of industrial &amp; logistics services, Joshua Charles, says the vacancy rate for existing A-grade faculties in the major Australian markets was the lowest it had been in a decade which was helping to support rental increases.
“Incentives on prime logistics facilities are now back to pre-GFC levels,” Charles says. 
“Many large retailers are re-organising their distribution networks to incorporate 40,000 square metre to 80,000 square metre ‘mother ship’ distributions hubs in each state which is helping drive new construction. In this environment, developable land has become highly sought after by industrial A-REITs, who are looking at opportunities to speculatively building warehouses to get their jump on competitors.” 
Charles forecasts additional – albeit slight – growth in rentals in 2013 and a further increase in speculative construction. 
“The high Australian dollar has increased the need for local warehousing as importers ramp up their buying and, by extension, their need for storage,” he says. 
However, he noted that e-tailing was not having the massive direct effect that many believed. 
“Instead, third party logistics groups are picking these up as additional contracts that require more storage space,” he says.
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lschlesinger-FZcF9M3vE6

Sydney, Brisbane and Perth among top 10 most expensive prime warehouse rental markets: CBRE

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Chinese real estate listings portal Juwai.com has extended its reach into Europe following the signing of a new agreement, which will potentially add thousands of new European property listings to the site.
Under the agreement, more than 200,000 real estate agents in 24 countries will be able to market their properties on Juwai.com, which promotes itself as the largest international property search and information platform for Mandarin-speaking Chinese consumers.
Chinese buyers make up the fastest-growing real estate buyer group in countries in Europe, Asia, the Americas, Africa, the Middle East and the Pacific. They spent US$28.7 billion on residential property around the world in 2011, a figure that is projected to climb to US$114 billion by 2015.
In addition to an affinity for Australian wineries, hotels, residential sites and houses and apartments, Chinese buyers also account for 54% of the total value of purchases in the prime central London area, with average prices of £5 million ($7.4 million).
They also bought more than 30 prestigious Bordeaux vineyards in just two years, and are the biggest foreign buyers in the central Paris, Ile-de-France area, with 16% of the market.
Juwai.com search figures show that European properties were viewed over 882,000 times by Chinese investors in January 2013.
Last year, <a target="_blank" href="/news">Australian real estate group LJ Hooker</a> started advertising its residential and commercial listings on Chinese real estate listings portal Juwai.com following the signing of a partnership agreement between the two organisations.
Around 84% of Juwai.com’s traffic is comprised of high-net-worth Chinese from within China and living in Hong Kong, Taiwan, Macau, Singapore, Malaysia and other countries.
Eric Calosci, chief executive of Previsite, says the partnership with Juwai.com will significantly increase an agent’s chance of selling their property more quickly and at a higher price.
“They will be able to tap a huge market with no learning curve,” he says.
Juwai.com co-founder Simon Henry says the pool of high-net-worth individuals in China will expand at a 20% compound annual growth rate over the next three years.
“One-third of Chinese millionaires have assets overseas.  They have a voracious appetite for overseas property investments.
“Moreover, Chinese consumers continue to flock to Juwai.com from all corners of the world, with more than 32% of all website visitors living outside of China.”
The site has also been adopted by global Chinese communities living in Hong Kong, Taiwan, Macau, Singapore and Malaysia, providing Juwai.com customers with comprehensive exposure within China and across south-east Asia.
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Chinese real estate listings portal Juwai.com expands European property coverage

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Australia's "Jeans Queen", Bettina Liano, has closed all but one of her Australian stores and set her sights on the United States market instead.

Liano's first store in the United States will open in New York at the end of this week as her original store on Chapel Street in Melbourne closes its doors after 24 years.
The designer has closed down her other four Australian stores, leaving only one store remaining in Sydney.
Liano told SmartCompany she wants Bettina Liano to become a global brand with international trends and styles at the core of the collections each season.
"I am just looking for volume in the market, I feel that I outgrew Melbourne in particular and I have been banging the drums for 25 years. I feel like I could do with a new audience and I'm confident that what I do is different enough from everyone else to be able to sell it [in the United States]," she says.
"I want to create a focal point here [in the US], because if you go into a new market and you don't sell anywhere they can't market you and department stores won't buy if you haven't got any marketing."
Liano says she has always been attracted to opening in the United States and to New York in particular.
"It is the fashion capital of the world and because I have always liked America and I've always liked the way they do business here," she says.
"They do retail like nobody else, and also they love denim; denim is an American thing at the end of the day."
Liano says after <a target="_blank" href="https://www.smartcompany.com.au/strategy/049928-bettina-liano-escapes-administration-and-stitches-up-a-new-deal-three-companies-that-have-hung-on-to-their-founders">fighting her way back from voluntary administration</a> the business struggled last year because of a supply delay.
"I experienced chronic delays with my suppliers. I didn't get delivery of a summer season until the first week of January so that just killed me – I don't know how long you can sell a sweater for," she says.
Liano cites the <a target="_blank" href="https://www.smartcompany.com.au/property/054256-international-retailers-keep-sydney-and-melbourne-in-top-10-most-expensive-global-retail-property-markets">expensive rents in Australia</a> as a key reason for closing her stores and says she was paying $25,000 a month in Chapel Street.
"It's sad, but I'm going to come back by the end of the year I'm going to reopen stores. I just want to pay good rent; Melbourne is not worth what they are charging at the moment," she says.
"At the moment in the States it is like repeating how I started in Melbourne, there were empty stores going cheap. In Australia, in the last 12 months, I have been on sale for the last 12 months; it is just so price sensitive."
Liano's New York store will open at 246 Mott Street in NewYork's SoHo district and she plans to open stores in San Francisco, Los Angeles and Miami.
"I saw an opportunity as they've had a recession here, it's small and the rent is really reasonable so I don't have to sell a lot of stock to break even," she says.
Liano is also developing a new Bettina Liano website but says actual bricks-and-mortar stores will always be important for retail.
"Opening a store is like a showroom, it's like a billboard, it gives people a place to go and you can communicate your offer," she says.
"Online is a focus for me but online and the real experience are not comparable. I might have been born in the 60s, [but] I don't care what anyone says, you can't touch the fabric online, you can't smell the candle burning, you can't sit on a chair and be served."
Liano says it has been <a target="_blank" href="https://www.smartcompany.com.au/retail/20110711-melbourne-jeans-label-bettina-liano-collapses">a long road back from the collapse</a> of her business but she is confident about the future for the Bettina Liano brand.
"I lost most of what I worked 25 years for, I lost millions of dollars in equity and I'm trying really hard. I'm not a crook," she says.
"They have a different attitude to that sort of stuff in America, what I have done is going to make me money. I am still here, I am still 100% in business, and I still own the business 100%."
This article originally appeared on <a href="https://www.smartcompany.com.au/index.php" target="_blank" rel="nofollow">SmartCompany</a>.
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Bettina Liano closing Australian stores and selling jeans in the United States

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Mortgage Choice CEO Michael Russell says he is certain state governments are re-assessing their first-home buyer grant schemes following dramatic falls in their share of the mortgage market.
Russell quoted ABS figures showing that from July to December, the proportion of first-home buyers taking out home loans fell from 18.6% to 14.2%.
A year ago (December 2011) their share of the market 20.2%.
Russell told Property Observer this was a "significant deterioration" and an area of "genuine concern.
He says changes to first-home owner grant schemes are not having a "particularly favourable effect".
Last year the Queensland and NSW governments withdrew the $7,000 first-home owner grant and replaced it with a $15,000 grant but only for those who buy or build a new home.
Russell says Mortgage Choice believes that all first-home buyers should be entitled to the first-home buyer grant.
"The notion of not indexing it it does not make sense.
"It needs to be indexed.
"I am sure it is being assessed at the moment, there will need to be action," says Russell.
He added that he does not subscribe to the notion that the grant has an inflationary effect - the theory that the grant pushes up house prices so first-home buyer don't actually get any benefit.
In his presentation to media <a href="/news">following strong interim results</a>, Russell noted that there had also been a declining in those refinancing, despite "incredibly attractive competitive interest rate and removal of exit fees" with the percentage of mortgage holders refinancing falling from 19.3% to 17.7%.
The good news for the market, he said was a rise in the number of homeowners looking to upgrade, with loans from this sector rising from 35 to 38.5% and the return of investors coming with their share of the market rising in both percentage of loans  and value, up from 31.4% to 33%.
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State governments need to look at first-home buyer handouts: Mortgage Choice

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Suite 2.06 in the art deco building at 65 York Street, Sydney has been sold for $815,000. 
Savills Australia sold the Icon House strata office space on behalf of Castle Partners Investment Bank.
“The strata market is popular with owner-occupiers as it allows purchasers to take advantage of the fall in interest rates, whilst offering the ability to own their own accommodation within the CBD without the worry of future rent increases,” Savills agent Ben Adler said.
Located on the corner of Barrack and York Streets, the 12 storey building was among the first art deco office buildings in Australia, Formerly known as James Hardie House, it was designed by Robertson and Marks in association with John Reid and Sons in 1927. It was planned in two parts; the first was completed in 1928-29, and the second in 1934-35 to a design by the same architects. The building was praised for its delicate colouring (external terracotta) and its harmonious design. The building is listed in the RAIA Registry of Significant 20th Century Buildings.
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