<a href="https://www.apartments.com.au/new-apartments/smith-by-valli-collingwood-224-228-smith-street-collingwood-vic-3066">Smith Collingwood</a> is a new boutique apartment development bringing a refined, design-led approach to one of Melbourne’s most established inner-city neighbourhoods.

Designed by <a href="https://www.apartments.com.au/architects/pandolfini-architects">Pandolfini Architects</a> with interiors by <a href="https://www.apartments.com.au/interior-designers/lisa-buxton-interiors">Lisa Buxton</a>, Smith by Valli sits on iconic Smith Street and comprises just 22 residences tailored toward owner-occupiers seeking a more considered style of apartment living.

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The design of Smith focuses on a north-facing orientation across all residences, a relatively uncommon feature in dense inner-Melbourne settings. Each apartment has been planned to maximise natural light and outlook, alongside a material palette defined by warm tones, custom joinery, and a full suite of Gaggenau appliances.

The development comprises a mix of one, two, and three-bedroom apartments, with pricing currently ranging from just under $1 million to around $4.85 million for the premium penthouse-level residences, reflecting growing demand for luxury owner-occupier product in Melbourne’s inner urban market.

Residents will also have access to a private rooftop garden designed as an elevated retreat above the city, &nbsp;featuring curated landscaping, veggie boxes, intimate seating areas and spaces for relaxed gatherings. Sustainability has also been integrated into the project through a 7-star energy rating and two secure bicycle facilities for every residence.

[smartcode_project:default project_id=140747 project_image_fid=367529]

Smith by Valli sits in the heart of one of Melbourne’s most established retail and hospitality strips, within walking distance of venues such as Falco Bakery, Carnation Canteen and Alimentari, alongside parks and everyday services. With a Walk Score of 99, the location reinforces the project’s positioning toward buyers prioritising walkability and access over car dependency.

With only a limited number of residences, Smith reflects growing demand for smaller, highly curated apartment developments that prioritise design quality, liveability, and connection to neighbourhood character.

[smartcode_project_cta:default project_id=140747]

Joel Robinson

Smith by Valli delivers design-led apartments to Melbourne’s inner north

<a href="https://www.urban.com.au/developers/far-east-consortium">Far East Consortium</a>’s 640 Bourke Street stands as a testament to&nbsp;<a href="https://www.urban.com.au/developments/melbourne-vic-3000">Melbourne</a>’s ability to bridge its storied past with a bold vision for the future.&nbsp;

Rising above the heritage-listed Eliza Tinsley building, the development reflects a broader shift toward adaptive reuse in the city, where historical assets are retained and reinterpreted as part of new residential development.

Designed by <a href="https://www.urban.com.au/architects/rothelowman">Rothelowman</a>, <a href="https://www.apartments.com.au/new-apartments/640-bourke-street-melbourne-640-bourke-street-melbourne-vic-3000">640 Bourke Street</a> incorporates the Eliza Tinsley building as its foundation, housing a grand gallery and lobby space that serve as both a functional and symbolic centrepiece. The heritage façade informs the tower’s design, creating a connection between Melbourne’s past and its contemporary skyline.

"It's a significant asset and wants to be celebrated and experienced by all residents every single time they go in and out of the building," Rothelowman Principal Stuart Marsland said.

[smartcode_project:default project_id=509 project_image_fid=365684]

Above this historic base, the 68-storey tower will deliver just over 600 residences, a notable reduction from earlier schemes, reflecting a deliberate move toward larger-format apartments and a stronger owner-occupier focus.

Unlike traditional CBD developments that prioritised investor stock, 640 Bourke Street has been repositioned to respond to changing buyer expectations.

"The discussion was all around making 640 Bourke Street the best residence to live in, to be much more focused on the people in the building rather than people looking at the building," Marsland explained.&nbsp;

This shift is evident in the development’s interiors, which emphasise practical luxury with spacious layouts, high ceilings, and floor-to-ceiling windows framing sweeping views of Melbourne and Port Phillip Bay.&nbsp;

“What it's meant for 640 Bourke is we've actually reduced the number of apartments. We've increased the overall size of the apartments. We don't have any studios in here, and what that does for a project is it elevates it," Lauren Sheldon, Far East Consortium’s Director of Sales and Marketing, said.&nbsp;

[smartcode_project:default project_id=509 project_image_fid=365687]

Rothelowman Associate Jun Chang added, "We were given the opportunity to be more generous. The apartments became bigger and squarer than any other apartments which had been designed in the CBD before that."&nbsp;

Amenities spanning more than 3,000 sqm across multiple levels further reinforce this focus on resident experience. These include a pool, gym, co-working areas, and a range of hospitality-inspired spaces such as a whisky lounge, library, and private dining rooms, many drawing reference from traditional bathhouses and Melbourne’s laneway culture.

"We wanted to make both the pool and the gym area to be absolutely destinational, and when you traverse across to these spaces, there is a gentle familiarity to the beautiful notions of the hammams and the Roman baths, a gentle nod to history," Chang noted.

At street level, the project contributes to the ongoing transformation of the western CBD, with upgrades to Langs Lane and the introduction of retail, hospitality, and gallery spaces designed to activate the precinct and strengthen its connection to the surrounding city fabric.

[smartcode_project:default project_id=509 project_image_fid=365689]

The location places residents within walking distance of Southern Cross Station, Flagstaff Gardens, Queen Victoria Market, and the Docklands waterfront, positioning the development within a rapidly evolving inner-city neighbourhood.

"We believe it's the best site left in the city of Melbourne," Craig Williams, Executive Director at Far East Consortium, said.&nbsp;

640 Bourke Street is Far East Consortium’s 14th building in Melbourne’s western CBD.

"A very elegant designed building. It's going to be a Melbourne statement for many, many years to come."

One-bedroom apartments are priced from around $640,000, with 640 Bourke Street targeting completion in 2029.

Renders shown are Artist's Impressions correct as of May 2026.

[smartcode_project_cta:default project_id=509]

Heritage-led design anchors Far East Consortium’s 640 Bourke St, Melbourne

<a href="https://www.apartments.com.au/developers/mayd-group">MAYD Group</a> has set a new residential price record in Queensland with the $30 million sale of the penthouse at its <a href="https://www.apartments.com.au/new-apartments/one-burleigh-88-the-esplanade-burleigh-heads-qld-4220">ONE Burleigh</a> development in Burleigh Heads.

The sale equates to around $37,500 per sqm.

The two-level, 800 sqm penthouse, featuring five bedrooms, five bathrooms, five car spaces, and a private infinity pool overlooking the Pacific Ocean, was acquired by a Gold Coast-based entrepreneur, highlighting continued demand for ultra-premium beachfront product.

Selling agent Freddie Tehle of PRD Burleigh Heads said the result reflects tightening supply of high-quality, large-format apartments in Burleigh.

“There’s very limited opportunity to secure this level of scale and absolute beachfront position in <a href="https://www.apartments.com.au/developments/burleigh-heads-qld-4220">Burleigh Heads</a>,” Tehle said.

“Buyers are increasingly seeking apartments that genuinely replace a standalone home, and this penthouse delivers that with its size, privacy, and direct ocean frontage.”

[smartcode_project:default project_id=146358 project_image_fid=323057]

The sale comes as construction progresses on ONE Burleigh, a boutique development of 17 full-floor residences at 88 The Esplanade, scheduled for completion in early 2027.

Developed by MAYD Group and designed by <a href="https://www.apartments.com.au/architects/mas-architecture-studio">MAS Architecture</a> with interiors by <a href="https://www.apartments.com.au/interior-designers/sici-design">Sici Design</a>, the project has been positioned as a collection of house-sized beachfront apartments, each occupying an entire floor with around 381 sqm of internal and external living space.

When construction commenced, MAYD director Todd Mould pointed to the long-term resilience of premium coastal real estate as a key driver behind the project.

“Real estate, particularly at the premium end, remains one of the most resilient and proven long-term investment avenues,” Mould said.

“Our ambition is that anyone who buys a MAYD-built product can genuinely feel the care, craftsmanship and commitment we bring to every detail.”

[smartcode_project:default project_id=146358 project_image_fid=323055]

Each residence has been configured with four bedrooms, multiple living zones, a private office, and expansive ocean-facing terraces. Interiors draw on a restrained material palette, including travertine stone, timber joinery, and integrated premium appliances.

Interior designer Sici Design said the approach was to reflect the project’s coastal setting through both materiality and spatial planning.

“ONE Burleigh is our vision of luxury living, designed to bring the essence of Burleigh Heads' vibrant coastal beauty into an unparalleled residential experience.”

Residents will have access to a suite of wellness-focused amenities, including pools, sauna facilities, and dedicated relaxation spaces, reflecting a broader shift toward lifestyle-driven apartment design on the Gold Coast.

[smartcode_project:default project_id=146358 project_image_fid=323052]

The project occupies a southern Esplanade site with uninterrupted beachfront frontage, an increasingly rare offering in Burleigh Heads, free from the Norfolk Pines that line much of the coastline and often limit direct ocean outlook.

Mould said the design intent was to balance that outlook with a sense of retreat.

“Living at ONE Burleigh is about how your day naturally unfolds, morning light across the ocean, coffee on the balcony, and being in Burleigh but elevated above the noise.”

The result further reinforces Burleigh Heads’ emergence as one of the Gold Coast’s most tightly held and supply-constrained beachfront markets, where boutique, owner-occupier-focused developments are increasingly setting new price benchmarks.

[smartcode_project_cta:default project_id=146358]

MAYD Group sets Queensland record with $30 million penthouse sale at ONE Burleigh in Burleigh Heads

Apartment developers in the Gold Coast are finding new, creative ways to differentiate themselves from competing projects, as new supply starts to flow through up and down the Coast.

Developer BIG Projects brought in the renowned Sydney-based design studio YSG Studio to craft the interiors for The Frederick, BIG Projects' new Mermaid Beach project and YSG Studio's first move into the multi-residential development space.

[smartcode_project:default project_id=110588 project_image_fid=5346]

It was a strategic move for BIG Projects to bring in a Sydney eye to the development.

“Our role is to give our design partners the space and freedom to explore,” says Matt Barrett, Director of BIG Projects.

“We wanted YSG Studio to capture the essence of Nobby’s, to design a building that embraces life, light and connection, while creating a genuine sense of place.”

There are only 39 apartments in The Frederick, including a striking beach house, just 100 metres from the booming Nobby Beach precinct.&nbsp;

[smartcode_project:default project_id=110588 project_image_fid=5347]

Yasmine Ghoniem, Director of YSG Studio, says their vision&nbsp;for The Frederick "reinvents coastal living."

“Nobby’s has such an iconic energy, it’s one of those rare pockets of the Gold Coast where the community, the beach, and the streets all feel connected,” Ghoniem says.

"Responding to the neighbouring coastline, soothing curves add a relaxing regional overlay, while unique detailing really sets it apart. It’s a place that feels lived in from the moment you step inside.”

A standout feature of The Frederick is its rooftop terrace, an uncommon inclusion for a boutique, low-rise building, where amenity is typically concentrated at ground level.

[smartcode_project:default project_id=110588 project_image_fid=5360]

Positioned to capture panoramic views from the hinterland to the ocean, the rooftop has been designed as a series of intimate zones. It includes a pool, sauna, sun decks, workspaces and dedicated entertaining areas.

“The rooftop was conceived as a collection of spaces where residents can unwind and connect, an extension of the Nobby’s lifestyle,” Barrett says.

Architecture for the project was led by Plus Studio, with landscape design by LDG Landscape Architecture.

SRQ Projects Director Nick Clydsdale, who is handling sales at The Frederick, says the majority of enquiry is coming from South East QLD and Victorian buyers who have been actively searching between Broadbeach and Mermaid Beach for some time.

"They’ve reviewed a number of projects, however this one has stood out for its unique detailing and compelling design,"&nbsp;Clydsdale says.

Site demolition is slated for this month, with construction commencing soon after. BIG Projects is targeting a late 2027 completion.

[smartcode_project_cta:default project_id=110588]

Sydney’s YSG Studio makes Gold Coast multi-residential debut with BIG Projects at The Frederick

Melbourne-based property developer ALTA Property has this week achieved planning approval for the adaptive re-use of a former commercial tower into a $200 million, 169-apartment project at 10 Queens Road, one of the last developable sites along the Albert Park Lake-fronting boulevard.&nbsp;

Set within one of Melbourne’s most sought-after precincts and designed by <a href="https://www.apartments.com.au/architects/fraser-partners-0">Fraser and Partners</a>, the illustrious building will offer unparalleled views across Albert Park Lake, Port Phillip Bay and Melbourne CBD.&nbsp;

The mix of 1, 2 and 3-bedroom residences will be complemented by a ground-floor amenity featuring private dining, a lounge bar, gym and wellness spaces, co-working, outdoor communal gardens, and retail.&nbsp;

The 17-storey building is a masterclass in adaptive re-use, with the existing commercial building’s façade, shell and internal structure to be retained, before high-end residences are built from the ground up in a newly built Albert Park facing addition to the building.&nbsp;

Sitting atop the building will be two 320+sqm penthouses with private rooftop terraces, which are expected to be priced between $9 - $11 million.&nbsp;

<img alt="ALTA Property achieves permit approval for $200 million Queens Road tower" data-entity-type="file" data-entity-uuid="aa11211b-5581-43f9-940c-fc84d30a0e61" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/C_04.png?VersionId=Yhf5p_1EgGDu_zOIMFgvA8Ug8j3sTFQs" />

Architecturally, the building will feature a curved, geometric façade that celebrates and elevates the existing structure, with warm, muted tones which were selected to extend the materiality of the existing building rather than contrast it.&nbsp;

Interiors will bring together three metre high ceilings with waffle concrete in some spaces, natural timber, granite and Australian materials, culminating in crafted, generous and considered spaces that are defined by authenticity.&nbsp;

The adaptive re-use means that the Queens Road project will be a sustainability led, high-quality finished product, with a 62% saving in carbon emissions by re-using the existing structure rather than knocking it down and rebuilding.&nbsp;

ALTA Property was launched by Nigel Givoni in 2023, bringing over 25 years of experience in multi level residential delivery.&nbsp;

Melbourne’s property market growth is currently led by apartments. According to RPM VIC Apartments &amp; Townhomes Market Report (April 2026), units are outpacing houses, especially in the middle ring suburbs where median prices hit $757,500 – a four-year high that represents 2.9 percent growth quarter-on-quarter.&nbsp;

<img alt="ALTA Property achieves permit approval for $200 million Queens Road tower" data-entity-type="file" data-entity-uuid="647e13d7-b4bc-433a-9bc9-fe3c3dd4f2ec" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/V_06.png?VersionId=ou4NUCWUgA3NAy.6CQJlEdKX50j3dOk6" />

For ALTA Property Founder Nigel Givoni, this performance speaks to the confidence he has in the Melbourne market.&nbsp;

“Queens Road represents a rare opportunity to continue to shape our presence in the Melbourne market.,"&nbsp;Givoni says.

"With a considered project team and a premier site along one of the city’s most sought-after boulevards, we look forward to contributing to the fabric of this established address.

“Other Australian markets are getting a lot of attention, but I believe the depth of value in Melbourne is being overlooked. The fundamentals are strong, population growth is steady and, based on our preliminary conversations with a leading builder, construction costs are beginning to normalise, creating further opportunity."

Givoni says the project is a&nbsp;highly considered example of adaptive re-use, delivering quality, high-end residences, premium hotel-inspired amenities and an architecturally striking façade, all achieved without the need to remove the existing structure.

"We are really looking forward to the market’s response,” he said.&nbsp;

ALTA Property to deliver $200 million Queens Road apartment tower

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

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The Law Institute of Victoria (LIV) has sold its long-term CBD headquarters at 470 Bourke Street Melbourne for more than $30 million.
The final sale price and purchaser details was not revealed, however, selling agents Colliers International confirmed the result comfortably exceeded the Law Institute’s reserve price.
The nine-storey 470 Bourke Street office building has a net lettable area of 3,339 square metres. The underlying land area is 916 square metres with dual street frontages to Bourke Street and Little Bourke Street with direct access to the prestigious Melbourne legal precinct.
LIV chief executive officer Nerida Wallace said: “Our building has served the Law Institute and the community well for almost 40 years. We’re excited to be moving to modern accommodation within the legal precinct so we can better support our members, the legal profession and the community.”
The property was offered by international expressions of interest by Colliers International Melbourne city sales team Oliver Hay, Matt Stagg, Daniel Wolman and David Sia. The purchaser was represented by Rob Harrington of Fitzroys.
The LIV sold the property subject to a six-month leaseback to provide sufficient time to relocate to another building within the legal precinct.
Hay said the campaign generated more than 130 buyer enquires and multiple bids from a range of owner-occupiers, investors and developers. 
The strong buyer response was due to the property’s prime location in Bourke Street and limited supply of significant freehold offerings during the first quarter of 2018, Hay said.
Stagg added the strong Melbourne CBD office leasing market and low interest rate environment had fuelled purchaser demand for commercial investments in the Melbourne CBD from local and international investors.
The Law Institute of Victoria was advised on the sale by Charter Keck Cramer and Russell Kennedy Lawyers. The LIV is examining several leasing opportunities and is being advised by Charter Keck Cramer in the process.
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j.ballantyne1990-6AQqhLzZaK

Law Institute of Victoria sell Bourke Street headquarters

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The home of ASX-listed Austin Engineering in Perth’s Kewdale Industrial Precinct has come to market with expectations of $14 million to $15 million.
The 3.2-hectare site with 6,622 square metres of office/workshop space at 100 Chisholm Crescent is undergoing extensive upgrades to modernise the facility.
Savills Australia’s James Condon has been appointed to sell the property in conjunction with Knight Frank’s Jarrad Grierson via a four-week campaign.
With Austin Engineering signing a new eight-year lease for the premises, Condon said investors were likely to compete for the opportunity to own the refurbished asset.
“With more than $1 million in annual rental income and fixed rental increases, 100 Chisholm Crescent will be very well received by the Perth investor market,” he said.
The tenant has been in the area for more than 20 years and has just committed to an extension to the lease of their second site nearby at 2 Draper Place, Kewdale, for another five years, which they have occupied for more than 10 years.
Condon said Austin Engineering’s signing of the two new leases showed commitment to the ongoing evolution of the Kewdale Industrial Precinct.
Chisholm Crescent is within close proximity of the Kewdale intermodal facility and the Perth International Airport, about 12 kilometres from the CBD. 
The high-quality office/workshop has a heavy-duty support structure to cater for a variety of gantry cranes, including two 25-tonne, three 16-tonne and one 10-tonne crane. 
The facility also includes an ancillary workshop of 890 square metres.
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Austin Engineering’s Kewdale facility up for grabs

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A Melbourne investor has paid $1.82 million for a warehouse in a sought after precinct of Richmond on Melbourne’s CBD fringe.
Teska Carson’s Tom Maule and Matthew Feld said the property drew four bidders driving the price to achieve a land rate of $6570 a square metre.
Located at 79 Murphy Street, the property comprises a single level, 240 square metre, double-fronted, brick warehouse, with RSD access and two off-street car spaces.
The 277 square metre site, which includes 7.9 metres frontage to both Murphy and Blazey streets, is zoned Industrial 1.
"Richmond has become a very much sought after address for those looking for a location within easy reach of the CBD, at competitive rentals, with both parking and public and private transport access, and within close proximity of Richmond’s popular restaurant and fashion precincts," Maule said. 
The vendor was a private investor.
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Richmond warehouse fetches $1.82 million

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The Melbourne industrial market performed strongly in 2017, according to the recent report by valuers, Herron Todd White (HTW).
With interest rates remaining low and a relatively stable economy, new industrial developments are continuing to come onto the market, it noted.
"This can be seen in growth corridor areas where there is an abundance of vacant land prime for development, including suburbs such as Clyde and Pakenham in the south-east, Carrum Downs in the south, Truganina and Derrimut in the west and Epping in the north," the report said. 
"The need for small scale industrial units continues to grow, especially for tradies and retirees looking for extra space solutions to store their associated tools or lifestyle equipment."
HTW expect to see increased demand for large scale warehousing and distribution facilities, particularly in the western suburbs where the proximity to the western suburbs to the West Gate Freeway, Princes Freeway and Western Ring Road is a major draw card for transport, logistics and distribution.
It noted there have been a number of new major projects throughout Melbourne, including the Woolworths Distribution Centre in Dandenong South, the Merrifield Business Park in Mickleham and the Bund Business Park in Port Melbourne, which are all due for completion in 2018.
Throughout 2017 there was extensive investment in infrastructure with major road widening projects for the City Link Tullamarine Freeway, Western Distributor Project and the Monash Freeway. Industrial areas in the vicinity of these transportation routes are anticipated to have continued demand.
Rental levels are expected to remain reasonably stable for the first quarter of 2018. Prime face rental rates in Melbourne’s industrial outer areas have generally ranged between $70 and $90 per square metre of building area per annum net plus GST, with secondary rates around $50 to $70 per square metre of building area per annum net plus GST.
Tenant demand has remained relatively strong over the previous 12 months however we remain cautious of oversupply given the large amount of industrial development occurring, especially in the south, south-east and west.
Incentives are expected to remain reasonably high with larger scale new developments achieving a range of 15% to 35%, HTW noted.
Yields have been under increasing downward pressure for prime grade industrial development with yields for secondary development generally steady.
"This has been underpinned by the current low interest rate environment and investors hunting quality investments and there being limited properties for sale," the March report noted.
Vacancy rates are continuing to decrease in comparison with 2016 as tenant demand is increasing to match the supply on offer.
Demand has remained consistent this year in the northern suburb of Epping following the relocation of Melbourne’s fruit and vegetable market to Cooper Street in late 2015. This area has seen an influx of speculative development for both standard of office and warehouse accommodation and cold storage facilities.
Areas to avoid are markets with over supply, vacant older style properties without any development up side and industrial properties with high rental rates yet short WALEs.
Areas of continued demand include the Melbourne Airport precinct, west of the Essendon Football Club Training Facility in Tullamarine. Demand for larger warehouses, distribution centres and other transport and logistics facilities is expected to continue to grow in the south-east, where developers are listening to and meeting tenant and occupier requirements. Green eld land available throughout suburbs such as Keysborough, Dandenong South, Lynbrook and Cranbourne West are expected to be sought at strong levels, with rates breaking the $400 per square metre of land area barrier (for sites under 4,000 square metres).
In addition to the above, further opportunities foreseen in the market are those properties with solid cash flows underpinned with medium term redevelopment potential. 
A new factory in Epping Central Industrial Precinct has been sold for $1.27 million (pictured below).
<a href="https://www.realcommercial.com.au/property-industrial+warehouse-vic-epping-502692170" target="_blank">Located minutes from the Epping Fruit &amp; Vegetable market, Western Ring Road, Hume Highway &amp; Cragieburn bypass</a>, the total building area of the property is 827 square metres (732 square metre floor plus 95 square office), and the total land area is 1200 square metres.
It also includes 13 car bays.
<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/2018/3/8/epping%20.jpg" alt="">
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Strong demand for small scale Melbourne industrial units: HTW

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Coral Sea Resort, one of the tourist destinations at Airlie Beach, has been listed for sale.
CBRE Hotels have been appointed to market the four-star resort on behalf of Sydney-based owner Darrol Norman. 
The 25 Ocean View Avenue holding comprises 60 large guest suites, with a total inventory of 73 keys in the resort letting pool, conference and function facilities, tour desk, gazebo, private jetty, and the Clipper Restaurant and Lounge.
CBRE Queensland Director Paul Fraser said the asset has been held by the same owner for over 20 years.
"The family has now decided to divest their prized asset to focus on retirement," Fraser said.
"This is a quality hotel which presents exceptionally well, having been maintained with constant capital expenditure.
"The resort has an unrivalled location, positioned on a 7,521 square metre ocean front site between the CBD and Abell Point Marina and offering spectacular views over the Coral Sea coastline.
"It is arguably the best site in the Airlie Beach region," Fraser added.
Offers for the Coral Sea Resort close April 12.
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Coral Sea Resort at Airlie Beach listed for sale

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A main road site located at 1297-1299 Sydney Road, Fawkner to international doughnut giant Krispy Kreme.
The 1,823 square metre site has just been completed.
John Star of CVA leased the property.
It will be home to their second drive-through concept store after successfully opening in Bulleen in January this year.
The existing buildings were demolished to make way for the purpose-built 250 square metre store which features open plan seating area, storage, offices and amenities and customer parking.
Krispy Kreme have leased the site on a 10-year lease term plus options for $115,000.00 per annum equating to a building rate of $460 per square metre.
Located adjacent to the Gowrie Train Station and close to Jukes Road the property is situated less than 1.2 kilometres from the Metropolitan Ring Road and its associated arterials. 
<img src="https://www.urban.com.au/images/2018/4/3/DSCN4559.JPG" alt="">
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Krispy Kreme lease Fawkner drive-through location

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GUEST OBSERVER
A proposal to increase regulation for unlisted property products could result in fewer products being available to retail investors.
Treasury’s proposed product design and distribution obligations combined with new product intervention powers would lead to consolidation among retail providers of unlisted property funds, and fewer choices for retail investors. 
An increase in compliance, uncertainty and costs would make it harder for boutique and mid-market fund providers. Retail investors will likely miss out as more issuers decide to go wholesale only. 
Many in the small-to-mid-market will find the retail compliance demands too onerous and too costly. 
This could lead to consolidation in the retail market with fewer products available, which won’t benefit the average investor.
The proposed legislation, which could be enacted during 2018, shifts more risk to product providers. Key stumbling blocks include the need for product issuers to identify the ‘appropriate target market’ for their products. 
Legislating this requirement places more risk on the issuer and arguably shifts responsibility from the financial adviser to the product issuer. 
Unlisted property funds will need to spend more on compliance, legal advice, and possibly consumer testing to satisfy these requirements. Those funds which do go ahead will be under pressure to pass these increased compliance costs on to investors.
Investors must be protected but investors also benefit from product innovation, much of which comes via boutique providers. There is a balancing act between appropriate compliance measures and the freedom to bring new and innovative products to market. 
ASIC already has the tools available to protect unlisted property investors. There is strong demand among retail investors for unlisted property vehicles and we need to ensure industry can continue to bring appropriate, high performing products to this market.
Paul Healy is CEO of <a href="http://www.propertyfunds.org.au/" target="_blank">Property Funds Association</a>, an industry body for the $125 billion Australian unlisted wholesale and retail property funds sector. 
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Increased regulation of unlisted funds will impact investors: Paul Healy

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Price growth in the outer ring suburbs of Melbourne has been extraordinary in the past 12 months.
Most suburbs in local government areas (LGAs) like Wyndham, Hume, Whittlesea and Casey have recorded double-digit growth in the median house prices. Many have grown more than 20% and some have topped 30%.
The big price rises have come on the back on massive demand for homes from buyers of all sorts chasing affordability, against a background a strong Victorian economy and continuing high population growth. 
The strength of the growth in the outer-ring areas of Melbourne provides further evidence that proximity to the CBD is not an essential factor for buyers seeking capital growth.
Proximity to employment is a core factor but the reality is that most people work in suburban jobs nodes, not in the CBD (that’s true in all capital cities, including Melbourne).
In the City of Casey in the far south-east of the Melbourne metropolitan area, eight suburbs have each recorded over 330 house sales in the past 12 months. 
They include Narre Warren, Clyde North and Cranbourne North, which have each recorded more than 450 house sales, and Berwick where over 700 houses have been sold in the past year. 
Every suburb in the Casey LGA has had double-digit growth in median house prices. Cranbourne, Hallam, Cranbourne East, Hampton Park and Narre Warren have all had median price growth above 20%.
It’s been a similar scenario in the Whittlesea LGA in the far north of the Melbourne metro area. Four suburbs have had over 400 house sales each in the past year and five more have each sold between 225 and 300 houses. 
All the suburbs of Whittlesea have had double-digit growth in their median house prices, including four (Epping, Lalor, Mernda and South Morang) which have grown 20-25% and one (Thomastown) which has risen 33%.
The pattern is similar in the neighbouring Hume LGA. Broadmeadows, Greenvale, Meadow Heights and Roxburgh Park have each sold between 200 and 350 houses, while Craigieburn had made over 500 house sales. 
All the Hume suburbs have had double-digit growth in their median house prices, including six suburbs which have grown more than 20%. They include Jacana (up 26%), Gladstone Park (up 24%) and Broadmeadows (up 29%).
Most of the suburbs of the Melton LGA in the far north-west have each sold over 200 houses in the past year, led by Melton West (335) and Caroline Springs (343).
Every suburb has recorded at least 12% growth in median house prices, while Melton and Melton South are both up 27%.
But, in terms of turnover, the star market is Wyndham City in the south-west heading towards Geelong. 
The sales turnover is prolific in Hoppers Crossing (682 house sales), Wyndham Vale (436), Tarneit (684), Werribee (791) and in particular Point Cook (953).
All of the five suburbs mentioned have grown their median house prices at least 13% in the past year, led by Hoppers Crossing (up 21%) and Werribee (up 22%).
The important lesson is that downmarket, outer-ring areas do record strong price growth and that affordability is a prime driver of activity and prices. That’s especially so in places where the infrastructure is good.
Terry Ryder is the founder of hotspotting.com.au
<a href="https://mailto:ryder@hotspotting.com.au">ryder@hotspotting.com.au</a>
twitter.com/hotspotting
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terryryder-YECXbqmri2

CBD proximity not essential growth factor as outer-rings soar

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<div>The Department of Home Affairs released its latest pivot tables on temporary visas holders in Australia (with thanks to Henry Sherrell for highlighting). </div>
<div> </div>
<div>While the December quarter numbers tend to swing sharply higher due to fireworks on the harbour and all that jazz - to well above 2.2 million last year - the September figures make for interesting reading. </div>
<div> </div>
<div>The stock data shows that temporary visa holders in Australia rose to 2.07 million by September 2017, well up from 1.96 million a year earlier and some 23 per cent higher than as at September 2012. </div>
<div> </div>
<div>That represents an extra 382,000 temporary visa holders in Australia from 5 years ago. </div>
<div> </div>
<div>There's no doubting the source of the boom, being the 50 per cent boost in student visas over the past half decade to well over ½ million. </div>
<div> </div>
<div>Click here <a href="https://2.bp.blogspot.com/-SWsd7w8yNy4/Wrmq7fiXsKI/AAAAAAAApH0/Fj9Q0NmYo1UUSiUELINFooJFiPxQBx3BQCLcBGAs/s640/Visas.jpg" target="_blank">to enlarge.</a>
</div>
<div><img src="https://2.bp.blogspot.com/-SWsd7w8yNy4/Wrmq7fiXsKI/AAAAAAAApH0/Fj9Q0NmYo1UUSiUELINFooJFiPxQBx3BQCLcBGAs/s640/Visas.jpg" width="640" height="380" data-original-height="818" data-original-width="1371"></div>
<div>Also of interest to note: the number of bridging visas is now rising fast, implying a surge in the demand for permanent residency (PR) visa places from temporary visa holders.  </div>
<div> </div>
<div>These trends help to explain why the population of the largest capital cities has effectively been growing much more quickly than implied by the issuance of PR visas alone. </div>
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pwargent-M4siyDbqQY

Student visa boom still underway: Pete Wargent

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EXPERT OBSERVATION
Economic and Financial market perspectives
<ul>
<li>Cash payouts: Since mid-February, ASX 200 companies have paid out around $3.3 billion in dividends to shareholders. But dividend payouts really start to ramp up from today. Overall, around $22 billion will be paid to shareholders over coming weeks.</li>
<li>Dividends still in vogue: The majority of companies reporting half-year earnings results (87%) chose to pay a dividend and 91.5% of these companies lifted or maintained dividends.</li>
<li>Injection into the economy: Dividends totalling $18 billion will be paid out by listed companies to their shareholders in the next four weeks.</li>
</ul>
What does it all mean?
Dividends remain in vogue. But as has been apparent for the last few reporting periods, companies are seeking better balance between paying out dividends and investing in their businesses. The world has seemingly become a smaller place with companies across the globe competing with one another for the affection of consumers. Businesses need to invest in the brands, their businesses and their futures. That was certainly the response by Coca Cola Amatil which plans to spend $40 million in promoting brands Coke, Mount Franklin and Pump. The aim is to lift sales, profits (earnings per share) and ultimately support the share price and dividends.
Of the ASX 200 companies reporting for the six months to December, around 87% of firms elected to pay a dividend, up from the long-term average of 86%, but down from the record level of 92% in the 2015/16 full-year results.
There is certainly plenty of cash available to firms. Of the 135 companies reporting half-year results, a record 94% reported a profit. Aggregate cash holdings rose by 6% over the year to $87 billion. Adding in the 32 companies reporting full-year earnings, cash stood at a record $115 billion.
Over the period from February to May, over $22 billion will be paid to shareholders as dividends. A year ago dividend payouts were also around $22 billion, while in the full-year earnings season in August 2017, dividend payouts totalled around $26 billion. So shareholders continue to be well rewarded.
Some shareholders will receive the dividends as cash and others will employ the proceeds through dividend reinvestment schemes. While the majority of the funds will be paid to domestic investors, other funds will go offshore to foreign investors. And while some of the dividends are paid to ordinary investors, other payments are paid to superannuation funds, thus with more limited short-term consequences for the economy.
While dividends flow at this time every year, the dollars potentially could lift spending. However, April tends to be a good month for the Australian sharemarket and part of the reason is that investors are keen to put their dollars to work in listed companies.
The Profit Reporting Season
Regular readers would be aware that each six months CommSec undertakes a detailed review of the profit reporting season – the time when companies report half-year or annual results for the period to June or December. (A far smaller proportion of companies have a different reporting period, such as March or September). 
To recap, the recent earnings season – for companies largely reporting half-year results to December 2017 – can be described as solid, not spectacular. Effectively, companies seem to be laying the groundwork for the future.
A record share of companies reported a profit. But aggregate statutory earnings were down 1.5% on a year ago. A smaller percentage of companies issued a dividend, expenses outpaced sales and cash earnings were up only modestly on a year ago.
Some of the themes of the season:
<ul>
<li>Department stores remain under pressure but less so Specialty Retailers.</li>
<li>TV and Radio Broadcasters have benefitted as advertisers drift away from social media.</li>
<li>There were more reports of companies being able to lift margins.</li>
<li>Agricultural and export-focussed consumer good companies benefitted from strong demand in Asia.</li>
<li>Companies dependent on home construction and development have benefitted from strong activity levels in south-east Australia.</li>
<li>Technology and Telecom companies have struggled.</li>
<li>Transport and Infrastructure companies have out-performed.</li>
</ul>
Of all companies reporting half-year earnings, 57% reported a lift in profit and 43% a decline (long-term average 61.4%). Of those 94% of companies reporting a profit, 56% lifted profits and 44% reported a decline.
Of all the half-year reporting companies, 87% issued a dividend and 13% didn’t. Of those reporting a dividend, 74.5% lifted the dividend, 8.5% cut and 17% left dividends unchanged.
Of all companies reporting half-year earnings, 58% lifted cash holdings over the year and 42% cut cash levels. Cash holdings of both full-year and half-year reporting companies stood at $115 billion at December 31.
The Dividend Timeline
IRESS provides data on the dividends declared by companies, the number of shares on issue and the pay date of the dividends. So it is possible to derive a dividend timeline. The ASX 200 companies were assessed.
As always there are complications to the analysis such as where the shareholders are based, whether dividend reinvestment plans operate, special dividend payments and currency translation effects for foreign investors. But the aim is to get a broad idea of the timing and magnitude of dividend payouts.
CommSec estimates that around $22 billion will be paid to shareholders from mid-February to early May 2018. The key period for dividend payments is the three-week period beginning March 26 and ending April 13. Over that three-week period, $16.6 billion will be paid out as dividends by listed companies: in the week ending March 30, dividends totalling $10 billion will be paid; in the week ending April 6, $4.1 billion will be paid out as dividends; in the week ending April 13 dividend payments totalling $2.5 billion will be made.
The importance of dividends
If you indexed the All Ordinaries index and the All Ordinaries Accumulation index at January 2004 it would show share prices (All Ords) up 84% while total returns have risen by around 339%. The differential (dividend growth) has especially widened from the low point for shares after the GFC in February 2009.
So dividends have taken on greater importance.
There are a few reasons for this. Investors have been more cautious about buying shares, despite the fact that Australian companies have been making money and strengthening balance sheets. So share prices have not fully captured the stronger fundamentals.
The economy has also continued to mature and the “potential” growth rate has eased from around 3.5% to 2.75%. Many of Australia’s biggest companies operate in mature industries. So while companies continue to generate good returns, growth options are more limited. Add in the fact that inflation has also slowed from around 2.5% to just below 2%.
In recent years Australian companies have also had to compete with heady property markets to secure the affection of investors. With share prices seemingly constrained by a range of influences, that puts more onus on companies to offer attractive dividends or to support share prices with buybacks.
Until recently there has been some reluctance by companies to plough back cash into the business. And expansion, renewal, replacement or efficiency measures have boosted the funds that can be made available as dividends.
What are the implications for investors?
Investors have the usual choice over the next few weeks. Those investors who still elect to receive dividend payments direct to their accounts can choose to spend the extra proceeds, save the proceeds (leave it in the bank) or use the funds in combination with other savings and reinvest into shares or other investments.
For companies, retailers and financial firms, the dividends flowing through to shareholders clearly represent opportunities. The Reserve Bank will also monitor the trends in the next few weeks: stronger confidence and an inflow of funds represent a potential spending boost.
Of the major bourses across the globe, Australia is the largest payer of dividends. In part this reflects the maturity of Australia’s industry sectors. It also reflects the stability of the companies that dominate the ASX20 and ASX50 indexes. And it also reflects the on-going growth of the Australian economy and corporate profitability.
Over the past couple of years many companies took the “safe option” of paying out dividends and buying back shares – in other words, keeping shareholders happy. But many companies are now opting for greater balance.
Adequate cash must be maintained to pay out dividends. But cash levels as well as modest borrowings are important for reinvestment in the business and applied to new opportunities – entering new markets or engaging in mergers and acquisitions.
Aussie companies have been successful in recent years in trimming costs and improving efficiencies. But the path to higher profits and retained earnings is also growth of revenues. And that objective is more difficult in a globalized world, affected by disruption and technology-driven innovation.
Shareholders increasingly realize that it is important to select companies with good potential for solid, sustainable growth in total returns – share price plus dividends. And that means paying attention to all aspects of the business.
Craig James is chief economist at CommSec.
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