<p data-end="587" data-start="368">Queensland builder-developer MAYD has revealed the first look at its major North Kirra beachfront development, lodging amended plans that reduce the number of apartments and increase the proportion of larger residences.</p>

<p data-end="778" data-start="589">The project is planned across a substantial 4,742 sqm amalgamated site spanning seven lots at <a href="https://www.apartments.com.au/new-apartments/2-6-pacific-parade-bilinga-qld-4225">2-6 Pacific Parade</a> and 27-33 Golden Four Drive in Bilin​ga, directly opposite Nor​th Kirra Beach.</p>

<p data-end="907" data-start="780"><a href="https://www.apartments.com.au/developers/mayd-group">MAYD</a> secured the site for $32.5 million in 2025, in what was one of the Gold Coast's largest property transactions of the year.</p>

<p data-end="1052" data-start="909">The development will be delivered across two stages, with the first stage carrying an estimated gross realisation value of around $360 million.</p>

<p data-end="1311" data-start="1054">The latest amendments seek to reduce the overall apartment count and shift the project further toward the owner-occupier market, with larger residences designed for buyers wanting considerably more space than traditionally offered in a beachfront apartment.</p>

<p data-end="1451" data-start="1313">The residential mix will include townhomes, oversized two-bedroom apartments, substantial three-bedroom residences and four-bedroom homes.</p>

<p data-end="1676" data-start="1453">MAYD has appointed Cera Stribley to lead the architecture and interiors, with the Melbourne-based design practice drawing on the beachfront setting through a series of ocean-facing terraces and heavily landscaped balconies.</p>

<p data-end="1908" data-start="1678">Strong horizontal forms and curved balconies will define the exterior, with subtropical landscaping integrated throughout the building to soften the built form and increase the connection between the residences and the beachfront.</p>

<p data-end="2142" data-start="1910">The project will also include an extensive collection of resident wellness and lifestyle facilities, continuing the broader shift across the Gold Coast's luxury apartment market toward larger homes supported by resort-style amenity.</p>

<p data-end="2142" data-start="1910"><img alt="MAYD" data-entity-type="file" data-entity-uuid="d1bcbb05-e659-4b47-8bd4-1e595315e2ad" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-08-27%20at%202.05.03%E2%80%AFPM.png?VersionId=jj0XEud1X1DuLt7_KyElhjMdZGOXmLHP" /></p>

<p data-end="2308" data-start="2144">MAYD Founder Todd Mould said North Kirra was increasingly appealing to buyers attracted to the more established, lower-density character of the southern Gold Coast.</p>

<p data-end="2648" data-start="2310">"North Kirra presents one of the most compelling luxury residential opportunities currently emerging in Australia, combining absolute beachfront with the character and authenticity that buyers are increasingly seeking, and the same sense of tight-knit community that defined Burleigh and Currumbin perhaps 10 or 15 years ago," Mould said.</p>

<p data-end="2797" data-start="2650">"With Gold Coast Airport on its doorstep, it also offers a level of accessibility that broadens its appeal across almost every market demographic."</p>

<p data-end="2938" data-start="2799">The project comes as the southern Gold Coast continues to attract an increasing share of high-end apartment development and buyer activity.</p>

<p data-end="3216" data-start="2940">Kirra in particular has emerged as one of the region's more tightly held beachfront markets, with its relatively low-density character, established surf and hospitality scene and proximity to Gold Coast Airport differentiating it from the higher-density markets further north.</p>

<p data-end="3325" data-start="3218">Mould said those characteristics had informed the approach MAYD and Cera Stribley had taken to the project.</p>

<p data-end="3442" data-start="3327">"We've worked closely with Cera Stribley to create a vision that is deeply connected to its surroundings," he said.</p>

<p data-end="3662" data-start="3444">"Inspired by the coastline itself, the architecture has been shaped around space, privacy and resort-style living, creating a collection of homes that reflects the next generation of luxury on the southern Gold Coast."</p>

<p data-end="3818" data-start="3664">MOTIV Managing Director Carly Cottam, who has been appointed to market the project, said buyer attention had continued to move south along the Gold Coast.</p>

<p data-end="4076" data-start="3820">"Purchasers who may once have defaulted to Broadbeach, Main Beach or Surfers Paradise are increasingly recognising the value of a genuine beachfront location that offers lower density, strong amenity and a more established sense of community," Cottam said.</p>

<p data-end="4375" data-start="4078">"Kirra has a powerful combination of growing demand and genuine scarcity. Beachfront supply is inherently constrained, the area remains relatively low density, and buyers are increasingly placing a premium on locations that feel established, uncrowded and authentic rather than heavily developed."</p>

<p data-end="4503" data-start="4377">Cottam said the proximity to Gold Coast Airport was also proving increasingly important for interstate and second-home buyers.</p>

<p data-end="4741" data-start="4505">"Being minutes from Gold Coast Airport makes it particularly compelling for interstate buyers, frequent travellers and second-home purchasers who can access an authentic coastal lifestyle almost immediately after stepping off a flight."</p>

<p data-end="4910" data-start="4743">The acquisition takes MAYD's active development portfolio to more than $500 million, with the North Kirra project representing one of its largest undertakings to date.</p>

<p data-end="4951" data-start="4912">MAYD is targeting an early 2027 launch.</p>


Joel Robinson

First look at MAYD's North Kirra mixed-use precinct

<main data-perf-region="main">
<p data-end="600" data-start="394">Castle Hill, the longtime hub of the Hills District, has been one of the major beneficiaries of Sydney's Metro expansion, with improved connectivity helping drive continued population growth, development and buyer demand across the Hills District.</p>

<p data-end="733" data-start="602">But despite that growth, the suburb has seen relatively few major new apartment projects brought to market over the past 18 months.</p>

<p data-end="970" data-start="735">Hills District developer Reve Group is looking to fill that gap with <a href="https://www.apartments.com.au/new-apartments/nova-r-ve-castle-hill-2-garthowen-crescent-castle-hill-nsw-2154">Nova Rêve</a>, a major new mixed-use precinct on the corner of Garthowen Crescent and Old Castle Hill Road, a short walk from Castle Hill Metro Station and Castle Towers.</p>

<p data-end="970" data-start="735">[smartcode_project:default project_id=152737 project_image_fid=377679]</p>

<p data-end="1159" data-start="972">The project will comprise three residential towers alongside a hotel, restaurants, cafes and a skybar, more than 1,600 sqm of ground-floor retail and almost an acre of landscaped gardens.</p>

<p data-end="1357" data-start="1161">It represents the largest project undertaken by Reve Group, the development arm of the Kassis family, which has been building across the Hills District for more than 30 years through Kassis Homes.</p>

<p data-end="3400" data-start="3216">[smartcode_project:default project_id=152737 project_image_fid=377675]</p>

<p data-end="3400" data-start="3216">Nova Rêve also represents a significant step up from the family's first apartment development, Grand Rêve, which was delivered nearby on Garthowen Crescent.</p>

<p data-end="1664" data-start="1517">Grand Rêve introduced larger, house-like apartment layouts and premium inclusions including Wolf and Sub-Zero appliances to the Castle Hill market.</p>

<p data-end="1826" data-start="1666">Nova Rêve takes that approach to a precinct scale, combining the residential component with hospitality, retail and substantial public and resident landscaping.</p>

<p data-end="1826" data-start="1666">[smartcode_project:default project_id=152737 project_image_fid=377685]</p>

<p data-end="2045" data-start="1828">Reve Group Managing Director Sam Kassis said the project reflected the family's three decades of building in the Hills, which has evolved from trophy homes on quarter-acre blocks to larger-scale apartment development.</p>

<p data-end="2269" data-start="2047">"Grand Rêve was our first apartment project here and it showed us what this pocket of Castle Hill could be. Nova Rêve is the refinement of that idea: not just apartments, but a place the whole suburb can use," Kassis said.</p>

<p data-end="2430" data-start="2271">A key part of that approach is the hotel, which has been designed to operate as an amenity for the wider Castle Hill community rather than solely hotel guests.</p>

<p data-end="2606" data-start="2432">It will include restaurants, cafes, skybars and all-day dining, alongside conference and event facilities catering to business functions, community groups and private events.</p>

<p data-end="2724" data-start="2608">At ground level, more than 1,600 sqm of shops and cafes will open onto the surrounding streets and landscaped areas.</p>

<p data-end="2892" data-start="2726">Almost an acre of gardens designed by Land and Form Studios will run through the precinct, incorporating pathways, seating, barbecue areas and children's play spaces.</p>

<p data-end="2892" data-start="2726">[smartcode_project:default project_id=152737 project_image_fid=377680]</p>

<p data-end="3004" data-start="2894">Reve Group's Romio Georges said creating an active ground plane had been central to the planning of Nova Rêve.</p>

<p data-end="3214" data-start="3006">"There are gardens with pathways, barbecues, seating and play areas, shops and cafes opening onto the street, and a hotel with restaurants and a skybar that anyone in Castle Hill can walk into," Georges said.</p>

<p data-end="3400" data-start="3216">The project's elevated position on one of Sydney's highest ridgelines will also provide apartments with outlooks toward the Sydney skyline, surrounding parkland and the Blue Mountains.</p>

<p data-end="3400" data-start="3216">More than 80 per cent of the apartments will occupy corner positions, with Turner responsible for both the architecture and interiors.</p>

<p data-end="3670" data-start="3538">&nbsp;</p>

<p data-end="3670" data-start="3538">[smartcode_project_cta:default project_id=152737]</p>

<h3 data-end="3697" data-section-id="q3n5ak" data-start="3672">&nbsp;</h3>
</main>


Nova Rêve arrives as Reve Group bets on Castle Hill's next growth phase

<p>A collection of just 25 large-format apartments and penthouses overlooking Goodwin Park is entering the Coolangatta market, with <a href="https://www.apartments.com.au/new-apartments/marea-residences-coolangatta-27-27a-dixon-street-coolangatta-qld-4225">Maréa Residences</a> combining a low-density, residential-only approach with uninterrupted park and Pacific Ocean outlooks.</p>

<p>Located at 27 Dixon Street, Maréa comprises three and four-bedroom residences alongside a limited number of dual-level penthouses, with the project positioned between Goodwin Park and <a href="https://www.apartments.com.au/developments/coolangatta-qld-4225">Coolangatta</a>’s coastal precinct.</p>

<p>Construction has commenced, with completion currently estimated for late 2027. Three-bedroom residences are priced from $1.8 million.</p>

<p>[smartcode_project:default project_id=150999 project_image_fid=374005]</p>

<p>The project has been designed around its northern outlook across the park, with the building’s architecture, landscaping and material palette intended to establish a connection with the neighbouring green space. The residences have been configured to maximise natural light and views across Goodwin Park towards the ocean.</p>

<p>Inside, the material palette incorporates timber, stone and brushed brass, complemented by curved detailing and ambient lighting. Kitchens and bathrooms carry the same natural material approach, while residences also include basement parking, storage and lift access.</p>

<p>Maréa’s penthouses are arranged over two levels and include private pools, adding another layer to the project’s focus on larger-format apartment living. Across the development, residences are configured with three or four bedrooms rather than the broader mix of smaller apartment types commonly found in larger projects.</p>

<p>[smartcode_project:default project_id=150999 project_image_fid=374010]</p>

<p>Resident amenity is concentrated at rooftop level, where landscaped entertaining terraces and pools take advantage of elevated views across Coolangatta and the Pacific Ocean.</p>

<p>The project has so far been particularly well received by local owner-occupiers and downsizers, according to Urban Activation Property Sales and Marketing Director Matt George, with the residential-only format, construction quality and northern park outlook among the features resonating with purchasers.</p>

<p>“The uninterrupted northern aspect overlooking Goodwin Park has been a key point of difference, with buyers attracted to the sense of serenity and open space the park provides, while still enjoying easy access to the ocean and being within walking distance of the lifestyle and amenities Coolangatta has to offer,” George said.</p>

<p>[smartcode_project:default project_id=150999 project_image_fid=374002]</p>

<p>“The combination of high-quality construction, a residential-only building, park outlook and proximity to the beach has resonated strongly with the local downsizer market.”</p>

<p>The Dixon Street address is within walking distance of Coolangatta Beach and the broader southern Gold Coast coastline, including the surf breaks at Snapper Rocks and Kirra. Coolangatta’s cafés, restaurants and retail are nearby, while Gold Coast Airport is also within close proximity.</p>

<p>[smartcode_project_cta:default project_id=150999]</p>


Maréa Residences brings parkside apartments to Coolangatta

<p data-end="535" data-start="324">Melbourne developer PDG has secured Victorian Government approval for its $1.5 billion Southbank development <a href="https://www.apartments.com.au/new-apartments/the-one-1-queens-bridge-street-southbank-vic-3006">The One</a>, clearing the way for the long-dormant riverfront site opposite Crown to finally be developed.</p>

<p data-end="717" data-start="537">The Minister for Planning has approved the project at 1-29 Queens Bridge Street, with the Department of Transport and Planning issuing the planning permit following its assessment.</p>

<p data-end="918" data-start="719">The approval will allow PDG to develop the prominent 5,059 sqm site with a major mixed-use tower comprising premium apartments, including branded residences, a luxury hotel and boutique office space.</p>

<p data-end="1131" data-start="920">PDG acquired the site in late 2024, with its position directly opposite Crown's main entrance and near Melbourne's Arts Precinct making it one of Southbank's most significant remaining development opportunities.</p>

<p data-end="1131" data-start="920"><img alt="PDG" data-entity-type="file" data-entity-uuid="3933013e-6332-4386-b9be-089df05caf17" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-08-27%20at%209.29.22%E2%80%AFAM.png?VersionId=sITIgBqDL0N3VNSMwWEmF5UA.uvcsRyu" /></p>

<p data-end="1318" data-start="1133">Designed by COX in collaboration with ODO and PDG, the tower's architecture draws on the movement of the Yarra River, with six vertical pleats running the height of the sculpted facade.</p>

<p data-end="1433" data-start="1320">The project will also see the heritage-listed Queens Bridge Hotel restored and incorporated into the development&nbsp;with new hospitality and public uses, including a rooftop venue.</p>

<p data-end="1658" data-start="1591">A significant component of The One will be its residential amenity.</p>

<p data-end="1864" data-start="1660">More than 5,000 sqm of resident facilities will be delivered across a single level, making it one of the largest consolidated residential amenity offerings proposed in an Australian apartment development.</p>

<p data-end="2011" data-start="1866">The planning approval also incorporates a major upgrade of Queensbridge Square, which PDG will deliver in partnership with the City of Melbourne.</p>

<p data-end="2011" data-start="1866"><img alt="PDG" data-entity-type="file" data-entity-uuid="73167fcd-1031-4b6f-a408-a064cfe45ed1" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-08-27%20at%209.29.17%E2%80%AFAM.png?VersionId=Pf1AEWxw6SNmBqR0zQW5lyEze.MtxgFp" /></p>

<p data-end="2191" data-start="2013">The existing square will be revitalised as a new civic and pedestrian space along the Yarra River, strengthening the connection between the project, Southbank and the riverfront.</p>

<p data-end="2365" data-start="2193">PDG Founder and Managing Director Vince Giuliano said the approval represented a major milestone for a site which has remained largely underutilised for more than 15 years.</p>

<p data-end="2473" data-start="2367">“This is the most significant Planning Permit approval Melbourne has seen in recent years,” Giuliano said.</p>

<p data-end="2775" data-start="2475">“For more than 15 years, this site has remained underutilised. This approval enables us to deliver a project that will contribute meaningfully to the revitalisation of Southbank, restore and reactivate an important heritage building, and create a new civic and hospitality destination for Melbourne.”</p>

<p data-end="2943" data-start="2777">The latest approval follows an earlier planning permit issued by the City of Melbourne covering demolition works across part of the site at 9-29 Queens Bridge Street. Those demolition and early works are already underway.</p>

<p data-end="3145" data-start="3001">PDG has also started generating early interest in the residential component from owner-occupiers ahead of a planned public launch in early 2027.</p>


PDG secures approval for $1.5bn Southbank apartment development, The One

<p>Local developer Harridan is seeking to turn its Woolloongabba apartment project into the first stage of a broader transformation of Burke Street, using a new 16-storey mixed-use building to establish a greener pedestrian connection toward the rapidly evolving Boggo Road transport and knowledge precinct.</p>

<p>The South East Queensland developer has filed plans for 154 apartments on the <a href="https://www.apartments.com.au/new-apartments/4-burke-street-woolloongabba-qld-4102">southern side of Burke Street</a>, where its proposal has been designed alongside a wider vision by LatStudios for the street.</p>

<p>That vision positions the southern side of Burke Street for buildings of 15 storeys and above, while envisaging lower-rise development of up to five storeys on the northern side to transition into Woolloongabba's existing character housing. It also proposes wider pedestrian verges, deep planting, new street trees and upgrades to the pedestrian approach to Boggo Road Station.</p>

<p>The Harridan development itself has been designed by Brisbane-based Arqus Design and will comprise 154 apartments across 16 storeys. The mix is weighted heavily toward two-bedroom apartments, with 121 proposed alongside 10 one-bedroom and 23 three-bedroom residences. There will typically be around 14 units per floor.</p>

<p>A lower-ground car park and three podium levels will accommodate 156 resident parking spaces, along with visitor and commercial parking. There will also be 154 resident bicycle spaces and 40 visitor bicycle parks.</p>

<p>&nbsp;</p>

<p>Harridan is a family-owned developer and part of the Holmwood Highgate Group, with more than three decades of development activity across South East Queensland. Its portfolio spans residential, commercial and industrial property, with current residential projects including Riverbank on Byron in Bulimba, Esperance Residences in Carina and The Precinct at Kinross Road in Thornlands.</p>

<p>Wooloongabba has been popular for apartment developers, particularly since the announcement of the 2032 Summer Olympics games in Brisbane.</p>

<p>While there have been a lot of development applications, it has failed to materialize into real supply.&nbsp;</p>

<p>Sarazin has been the major player in the area. They are under construction at Murcia Residences, on the fringe of East Brisbane and Woolloongabba. They have just launched <a href="https://www.apartments.com.au/new-apartments/the-stanley-residences-woolloongabba-8-trafalgar-street-woolloongabba-qld-4102">The Stanley Residences</a>, in Woolloongabba on Trafalagar Street. They also have Nuage coming soon on the nearby <a href="https://www.apartments.com.au/new-apartments/nuage-woolloongabba-14-wellington-road-woolloongabba-qld-4102">Wellington Road</a>.</p>


First look: Harridan plans Burke Street transformation beside Boggo Road transport hub

<p>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.</p>

<p>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;</p>

<p>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.</p>

<p>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.</p>

<p>Even in the low seasons of May and June, occupancy levels reach around 40 per cent.</p>

<p><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" /></p>

<p>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</p>

<p>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.</p>

<p><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" /></p>

<p>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.<span><span><span><span><span><span><span><span><span><span><span><span><span><span><span><span><span><span><span><span><span><span><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" /></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span><span><span><span><span><span><span>​</span></span></span></span></span></span></p>

<p>The apartments will feature modern amenities and contemporary designs with expansive windows capturing sweeping views of The Remarkables mountain range.&nbsp;</p>

<p>Interiors are equipped with modern finishes, premium appliances, and secure electronic key-locked doors, ensuring a comfortable living experience for residents and guests alike.</p>

<p>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;</p>

<p>Queenstown’s sustained demand for visitor accommodation and rental properties is underpinned by a shortage of housing options, attracting both local and international buyers.</p>


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

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<div><span>The latest regional quarterly figures from the Australian Financial Security Authority (ASFA) provided the most compelling evidence yet of rising financial stress levels. </span></div>
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<div><span>Although the number of Part IV and Part XI bankruptcies was higher in the March quarter than in the preceding three months to December, year on year there was a modest decline. </span></div>
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<div><span>Western Australia has seen a clear uptrend since the June quarter of 2014 as the resources downturn continues to bite.</span></div>
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<div><span>Looking at new personal insolvency activity, however, there was a clear rise in the number of debtors both on a quarterly and on an annual basis. </span></div>
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<span>Here too the figures for Western Australia reveal clear signs of financial stress, but in fact there was a strong increase in the number of debtors right across the board in the first quarter of the calendar year.</span><br><span><br></span><span>Below the figures for personal insolvencies are smoothed on a rolling annual basis to strip out seasonality. </span>
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<strong><span style="text-decoration: underline;"><span>Sydney stress emerges</span></span></strong><br><span><br></span><span>The number of debtors entering personal insolvency in Greater Sydney increased by a non-trivial 11 per cent in the March quarter.</span><br><span><br></span><span>Drilling into the statistical areas it is clear that many of Sydney's lower socio-demographic suburbs and LGAs are driving the increase, with elevated levels of activity in Penrith, Campbelltown, Bankstown, and Blacktown, and a secondary tier of stress emerging in Fairfield and Liverpool. </span>
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<span>There is also a growing heat spot of financial stress focused on the Central Coast, with rising debtor activity reported in Gosford and Wyong. </span><br><span><br>As explicitly predicted in our Long &amp; Short Reports, the <span>region with the highest proportion of new debtors in the adult population was St Marys, for the apparent reasons explained in the report. </span></span><br><div><span> </span></div>
<div><span>Across regional New South Wales, there was also a small flash of debtor activity in Newcastle during the March 2017 quarter, which will warrant careful monitoring. </span></div>
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<div><strong><span style="text-decoration: underline;"><span>Stress on the urban fringe</span></span></strong></div>
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<span>Similarly in Queensland the greatest contributor to the rising number of personal insolvencies was the outer urban region of Ipswich, including Springfield, while there was also a higher number of new debtors reported in the Logan region, where unemployment rates are elevated.</span><br><span><br></span><span>Scanning out across regional Queensland the regions with the highest number of new debtors in the March quarter included Townsville and Rockhampton. </span><br><span><br></span><span>Meanwhile in Greater Melbourne the greatest number of insolvencies was also seen in outer suburban hubs such as Wyndham, Whittlesea-Wallan, and Frankston. </span><br><span><br></span><span>With both full time employment growth and wages growth so weak, the rise in the number of insolvencies looks set to continue. </span>
</div>
<div><span><strong> </strong></span></div>
<div>For ongoing timely analysis of mortgage arrears and personal insolvency activity, please see our detailed monthly subscription reports. </div>
<div><span> </span></div>
<div><strong><span style="text-decoration: underline;"><span>Rising population</span></span></strong></div>
<div><span> </span></div>
<div><span>It should be noted that with Australia's population swelling by well over 1 million people every three years or so, it is more or less assured that the absolute number of personal insolvencies will rise over time. </span></div>
<div><span> </span></div>
<div><span>Adjusting the number of personal insolvencies for the size of the incumbent population and we can expect to see Queensland and Western Australia rising to the top of the pile, being the states most comprehensively impacted by the winding down of resources construction (and in Queensland's case, severe flooding). </span></div>
<p><a href="https://www.propertyobserver.com.au/images/2017/05/26/p3.jpg" target="_blank">Click to enlarge</a></p>
<div class="separator"><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/2017/05/26/p3.jpg" alt=""></div>
<div class="separator"> </div>
<div>Note that there is a series break in activity in the Australian Capital Territory (ACT), since before 2005 personal insolvencies were reported by state of lodgement rather than state of residence. </div>
<p><strong><span style="text-decoration: underline;"><span>The wrap</span></span></strong></p>
<div><span>Overall, the ASFA figures provide compelling evidence of a rising trend in the number of people in financial difficulty. </span></div>
<div><span> </span></div>
<div><span>The regions showing the greatest levels of financial stress fit closely with what has been previously highlighted in our detailed market reports. </span></div>
<div><span> </span></div>
<div><span>In the absence of further monetary policy easing, a further rise in insolvencies appears inevitable. </span></div>
<div><span> </span></div>
<div>
<p><em>PETE WARGENT is the co-founder of <a href="https://allenwargent.com/" target="_blank" rel="nofollow">AllenWargent</a> property buyers (London, Sydney) and a best-selling author and <a href="https://petewargent.blogspot.com/" target="_blank" rel="nofollow">blogger</a>.</em></p>
<p><em>His latest book is <a href="https://www.bigskypublishing.com.au/Books/General-Interest/Four-Green-Houses--and-a-Red-Hotel/1015/productview.aspx" target="_blank" rel="nofollow">Four Green Houses and a Red Hotel</a>.</em></p>
</div>
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pwargent-M4siyDbqQY

Sydney property concerns emerge in rising financial stress: Pete Wargent

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<div>Total construction work done declined by 0.7 percent in seasonally adjusted terms to $46.4 billion over the first quarter of the calendar year to be 7.2 percent lower over the year to March 2017. </div>
<div> </div>
<div>After weaker trade and retail figures, all of the signs appear to be pointing to a weak result for GDP growth in the first quarter. </div>
<p><a href="https://www.propertyobserver.com.au/images/2017/05/26/A1.jpg" target="_blank">Click to enlarge</a></p>
<div class="separator"><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/2017/05/26/A1.jpg" alt=""></div>
<p> </p>
<div>First, here's the good news: having peaked all the way back in 2012, engineering construction activity is now rising again. </div>
<div> </div>
<div>There were still moderate ongoing declines in Western Australia and the Northern Territory as resources construction activity continues to wind down, but the rates of these declines is now tapering off.</div>
<div> </div>
<div>And indeed, at the national level engineering construction activity is rising again, partly driven by infrastructure projects in the three most populous states. </div>
<p><a href="https://www.propertyobserver.com.au/images/2017/05/26/A2.jpg" target="_blank">Click to enlarge</a></p>
<div class="separator"><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/2017/05/26/A2.jpg" alt=""></div>
<p> </p>
<div><strong><span style="text-decoration: underline;">Dodgy weather...or peak resi?</span></strong></div>
<div> </div>
<div>Residential building work done dropped by 4.7 per cent in the quarter, which was the worst quarterly result for the sector since the introduction of the Goods and Sales Tax (GST) more than a decade and a half ago. </div>
<div> </div>
<div>Building activity slowed across new house building, apartments, and major renovations, suggesting that at least part of the reason for the decline was Cyclone Debbie towards the end of the quarter, while Sydney also had some shocking weather during the period. </div>
<p><a href="https://www.propertyobserver.com.au/images/2017/05/26/A3.jpg" target="_blank">Click to enlarge</a></p>
<p><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/2017/05/26/A3.jpg" alt=""></p>
<p> </p>
<div>And looking at the building work done figures by state confirms as much, with a very sharp 10 per cent quarterly drop in Queensland, and a somewhat lesser 4 per cent decline in New South Wales. </div>
<div> </div>
<div>In Victoria building activity powered to a new record high in chain volume measures terms, with the industry going like the clappers in Melbourne and operating at close to full capacity. </div>
<p><a href="https://www.propertyobserver.com.au/images/2017/05/26/A4.jpg" target="_blank">Click to enlarge</a></p>
<div class="separator"><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/2017/05/26/A4.jpg" alt=""></div>
<p> </p>
<div>New detached house construction has been broadly flat since the end of 2014, with the growth in residential construction since that time driven by record activity levels in the apartments sector.</div>
<div> </div>
<div>Here too there was a sharp weather-related 22 per cent fall in Queensland, plus a relatively small decline in New South Wales.<br><br>But there was also a slowdown in evidence in Western Australia, South Australia, the Northern Territory, and Canberra. </div>
<div> </div>
<div>On this evidence, then, it's possible that the peak for apartment construction activity might have passed, although there is of course still a huge pipeline of work to be completed.  <br><br>
</div>
<div>Click to enlarge</div>
<div><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/2017/05/26/A5.jpg" alt=""></div>
<p><br><strong><span style="text-decoration: underline;">The wrap</span></strong></p>
<div> </div>
<div>Firstly, growth in the economy in the first quarter is going to be weak, and perhaps very weak. </div>
<div> </div>
<div>On the positive side there is light at the end of the tunnel for the resources states, as engineering construction activity finally looks to be bottoming out, after years of contraction. </div>
<div> </div>
<div>Strip out the impact of Cyclone Debbie and heavy rain in Sydney and the apparently sharp drop in residential construction in the first quarter of the year may prove to be less than dramatic. </div>
<div> </div>
<div>However, it's hard to escape the conclusion that building activity in the residential sector is about to fade away as the record pipeline of apartments is delivered to the market. </div>
<div> </div>
<div>It might reasonably be expected that dwelling starts fall by about a quarter over the next couple of years. </div>
<div> </div>
<div>Given the huge level of employment in the construction industry, this could prove to be a very significant drag on the economy going forward. </div>
<p> </p>
<p><em>PETE WARGENT is the co-founder of <a href="https://allenwargent.com/" target="_blank" rel="nofollow">AllenWargent</a> property buyers (London, Sydney) and a best-selling author and <a href="https://petewargent.blogspot.com/" target="_blank" rel="nofollow">blogger</a>.</em></p>
<p><em>His latest book is <a href="https://www.bigskypublishing.com.au/Books/General-Interest/Four-Green-Houses--and-a-Red-Hotel/1015/productview.aspx" target="_blank" rel="nofollow">Four Green Houses and a Red Hotel</a>.</em></p>
<p><em> </em></p>
<div> </div>
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Mining cliff over, what next for the residential market? Pete Wargent

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<p>A new $120 million luxury boutique hotel to be built in Sydney CBD’s Castlereagh Street has been announced.</p>
<p>AccorHotels has teamed up with real estate developer Shanghai United with an official signing ceremony for the project held on Wednesday 24 May.</p>
<p>The $380 million mixed-use 36-storey tower on the corner block of 110-118 Bathurst and 203 Castlereagh Streets will include a 121 room hotel on levels one to nine with 131 residential apartments above on levels 10-34.</p>
<p>The MGallery by Sofitel hotel is designed by the award-winning Candelapas &amp; Associates architects.</p>
<p>Apartments will interweave the existing 1870s heritage-listed Porter House Hotel adjacent to the tower.</p>
<p>It will feature four levels of additional facilities, including lobby, pool and fitness centre, two restaurants, a fourth floor bar with roving art gallery, meeting and private dining facilities and a business centre.</p>
<p><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/2017/05/25/The%20Porter%20House%20MGallery%20By%20Sofitel%20render%20guestroom%20-%20low%20res.jpg" alt=""></p>
<p> “We are thrilled to develop a new strategic partnership with Shanghai United on this landmark development for Sydney’s CBD,” said AccorHotels’ chief operating officer for the Pacific region, Simon McGrath.</p>
<p>“The Sydney hotel sector is the strongest in Australia with consistent occupancy levels in the mid-high 80% range and average rates growing sharply.</p>
<p>“This new MGallery by Sofitel hotel will stand to greatly benefit from the tourism and infrastructure boom we are currently seeing with projects such as the International Convention Centre and light rail development.</p>
<p>“A new boutique hotel such as this will provide both business and leisure travellers with a new luxury boutique experience in Sydney, whether they visit for conferences, events, cultural or sporting events.”</p>
<p>Xu Yangdong, Shanghai United’s CEO, said it marks a new area of luxury hotel and apartments in the Sydney CBD area.</p>
<p>“WithsService contents delivered by the MGallery by Sofitel, Shanghai United will provide residents and guests an extraordinary array of amenities to enjoy,” said Xu.</p>
<p>Construction on The Porter House Hotel, MGallery by Sofitel will commence in early 2018 with completion expected in December 2020.</p>
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j.ballantyne1990-6AQqhLzZaK

New luxury hotel set for Sydney CBD

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<p>According to the latest housing finance data release for March 2017 there was $33.2 billion in finance commitments over the month. </p>
<p>The monthly value of commitments increased by 0.9 percent to be 5.3 percent higher year-on-year. </p>
<p>While the value of commitments to investors has slowed over recent months, owner occupier demand lifted slightly in March 2017.</p>
<p><a href="https://www.propertyobserver.com.au/images/2017/05/24/chart-1-2.jpg" target="_blank">Click to enlarge</a></p>
<p><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/2017/05/24/chart-1-2.jpg" alt=""></p>
<p>The data shows that in March 2017, the $33.2 billion in housing finance commitments comprised of $20.2 billion to owner occupiers and $13.0 billion to investors. </p>
<p>The value of owner occupier commitments increased by 0.9 percent over the month to be at its highest level since June 2016. </p>
<p>Investor demand also rose over the month, up 0.8 percent however, it remains well below levels from a few months ago. </p>
<p>Looking at recent monthly data it suggests that demand from owner occupiers has been reasonably steady while the level of demand from investors has eased. </p>
<p>Keep in mind that this data pre-dates the most recent policy announcement from APRA; over the coming months there are likely to be a number of headwinds for investors in the form of: higher mortgage rates, reduced availability of interest-only lending and changes to depreciation benefits for plant and equipment on investment property for new purchases. </p>
<p>Given this we would expect that investor demand is likely to fall further over the coming months.</p>
<p><a href="https://www.propertyobserver.com.au/images/2017/05/24/chart-2-2.jpg" target="_blank">Click to enlarge</a></p>
<p><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/2017/05/24/chart-2-2.jpg" alt=""></p>
<p>Owner occupier demand continues to be fueled by purchases of established housing stock while refinance activity continues to fade. </p>
<p>The $20.2 billion in housing finance commitments to owner occupiers consisted of $1.8 billion for construction of dwellings, $1.1 billion for purchase of new dwellings, $6.1 billion for refinancing of established dwellings and $11.1 billion for purchase of other established dwellings. </p>
<p>The value of lending for construction and purchase of new dwellings has remained at fairly consistent levels over the past year and a half. </p>
<p>The value of refinancing has been trending lower since it peaked in December 2015 and it is now at its lowest level since July 2015. </p>
<p>At the same time, demand for purchases of established dwellings is trending higher and is at its highest level since September 2015.</p>
<p><a href="https://www.propertyobserver.com.au/images/2017/05/24/chart-3-2.jpg" target="_blank">Click to enlarge</a></p>
<p><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/2017/05/24/chart-3-2.jpg" alt=""></p>
<p>Mortgage demand from investors overwhelmingly comes from investors buying established housing rather than new housing. </p>
<p>The $13.0 billion worth of commitments in March 2017 consisted of $1.1 billion from construction of dwellings and $11.9 billion from established housing. </p>
<p>The $1.1 billion in commitments for construction was 6.1 percent higher over the month while the $11.9 billion for established housing is 0.3 percent higher over the month. </p>
<p>The value of lending for investors for established housing is now down -4.6 percent from its most recent peak two months ago and -12.5 percent lower than its historic peak in April 2015.</p>
<p><a href="https://www.propertyobserver.com.au/images/2017/05/24/chart-4-2.jpg" target="_blank">Click to enlarge</a></p>
<p><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/2017/05/24/chart-4-2.jpg" alt=""></p>
<p>Comparing established housing to new housing continues to show that the bulk of housing demand is coming from established housing stock. </p>
<p>Over the month, 85 percent of mortgage demand (excluding refinances) was for established housing stock ($23.0 billion) with the remaining 15 percent ($4.0 billion) for new housing stock.</p>
<p>The data is pointing to ongoing weaker demand from the investor segment of the market and refinances from owner occupiers slowing while demand from owner occupiers for established housing stock is trending higher. </p>
<p>With the lending environment continuing to change, particularly for investors, we would expect that demand from investors will continue to wane. </p>
<p>Higher interest rates, the rationing of the availability of interest-only lending and reduced negative gearing benefits is likely to weigh on investor demand over the coming months.</p>
<p><em>Cameron Kusher is research analyst for CoreLogic. You can contact him <a href="https://blog.corelogic.com.au/about/">here</a>.</em></p>
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ckusher-ujnxiKuFQs

Investor mortgage demand continues to wane: Cameron Kusher

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<p>Childcare centres in Melbourne are hot property with five off the plan centres up for sale through Savills.</p>
<p>The five centres are being offered as a portfolio or individually, through expressions of interest closing June 15 with promises of stamp duty cost savings before July 1.</p>
<p>The listings come soon after five fully leased Melbourne childcare centres sold earlier this year for more than $44 million – an average of $8.8 million each — setting new national benchmarks for the sale of individual centres, according to Savills. </p>
<p>All the centres are tenanted with long-term leases and options for further extension. Construction is expected to be complete soon.</p>
<p>The five are: </p>
<p>The 19-21 Point Cook Road, Altona Meadows centre is leased to ASX-listed Think Child Care.</p>
<p>The net rental is $403,000 per annum and the tenant is on a new 20-year lease with a further two options of 10 years each.</p>
<p> The 808-814 Heatherton Road, Springvale centre is leased to Sparrow Early Learning and the tenant is on a new 20-year lease with three five-year options.</p>
<p>The net rental is $244,000.</p>
<p><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/2017/05/25/SavillsChildcare2.jpg" alt=""></p>
<p> </p>
<p>The third centre at 1-7 Selandra Blvd, Clyde North is leased to Sparrow Early Learning, which is on a 20-year lease with three five-year options for extensions.</p>
<p>The net rental is $325,000 p.a.</p>
<p>The centre at 345-351 Hogans Road, Tarneit is tenanted to Kool Kids Child Care. The tenant is on a 20-year lease with two 10-year options.</p>
<p>The net rental is $360,000 p.a.</p>
<p>The last one at 1028 Wellington Road, Rowville is leased to Greenwood Early Education.</p>
<p>The net rental is $390,000 and the lease is for 15 years with three further options of 5 years.</p>
<p>The listing agents are Julian Heatherich, Clinton Baxtor and Benson Zhou of Savills.</p>
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prateek24-ezbwHMbNAk

Five Melbourne childcare centres for sale off the plan through Savills

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<p>The Kyneton property market has returned steady price growth for both house and vacant land leading up to the final quarter of 2016, whilst still presenting itself as a more affordable market, PRDnationwide has found.</p>
<p>The median house price is currently held at $495,000 and $235,000 for vacant land, representing an annual price change of 5.4 percent and 15.2 percent respectively.</p>
<p>Over the same period of time, the median house price in the surrounding Shire of Macedon Ranges grew by 12.2 percent to $575,000 and vacant land median price grew by 14.3 percent to $240,000.</p>
<p><a href="https://www.propertyobserver.com.au/images/2017/04/19/Kyneton.png" target="_blank">CLICK TO EXPAND</a></p>
<p><img src="https://www.urban.com.au/images/2017/04/19/Kyneton.png" width="700" height="425"></p>
<p>The average amount of days to sell in Kyneton has improved since the beginning of 2016 and at the end of the final quarter sits at 70 days for houses. The average time spent on the market for rental properties are currently 40 days for houses and 39 day for units. <br><br>Positively, investors in the Kyneton market are benefiting from higher house and rental returns than properties in Melbourne, with returns of 3.8 percent and 5.9 percent, respectively. Median rents in Kyneton have remained stable for house and units over the past twelve months, currently at $368 and $290 per week respectively. <br><br>The vacancy rate is recorded at a low 1.6 percent which continues to demonstrate the high demand for rental property in the area, especially when compared to Melbourne (2.0 percent). The Kyneton Structure Plan introduced in June 2013 estimated that the Kyneton township will grow by an additional 2,900 residents by 2036.</p>
<p>A two bedroom unit (below) at <a href="https://www.realestate.com.au/sold/property-townhouse-vic-kyneton-124062590" target="_blank">110 Piper Street </a>sold for $439,000 in May 2017.</p>
<p><img src="https://www.urban.com.au/images/2017/05/12/rsz_piper.png" alt=""></p>
<p>Kyneton can expect approximately $16.7M worth of new development projects commencing in late 2015, through to the end of 2017.</p>
<p>Of these new developments, residential projects accounted for the majority, with an estimated value of $15.5M. </p>
<p>This is followed by industrial projects valued at $1,000,000 and infrastructure which accounted for $200,000 worth of development. A main residential project in 2017 is the Simpson Street Residential Development. The project is estimated at $14.5M and plans to construct 69 dwellings. The project is due to commence in November, with anticipated completion in 2019.</p>
<p><span id="docs-internal-guid-caceba18-fabf-4661-c62b-38a8d7922944">A four bedroom home (below) at <a href="https://www.realestate.com.au/sold/property-house-vic-kyneton-125152382" target="_blank">121 Lauriston Reservoir Road</a> sold for $1.065 million in May 2017. </span></p>
<p><img src="https://www.urban.com.au/images/2017/05/12/rsz_kynetonhouse.png" width="700" height="425"></p>
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Kyneton property market returns steady growth: PRDnationwide

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<p>The flow-on effect of a commodity price slump a few years back saw property prices crash in most of Australia’s mining towns, according to CoreLogic’s latest Property Pulse.</p>
<p>Cameron Kusher, CoreLogic head of research, said prices and rents slumped by as much as 60 percent in certain markets, adding there’s some good news on the horizon, with many of mining towns seeing sales volumes lift where there are signs that the rate of decline in house prices are starting to slow.</p>
<p>“History shows that mining booms don’t last forever and it would be difficult to find anyone that could suggest the house prices in many of these towns were sustainable during the boom," he said.</p>
<p>"At the time, prices were being driven higher by a temporary influx of residents on high incomes and therefore, creating greater housing demand at a time in which supply which was largely irresponsive which drove prices to record high levels.</p>
<p>"As the demand subsided supply was beginning to increase which led to substantial falls in both prices and sales.”</p>
<p>Gladstone – 578 sales over the past year at a median price of $323,875. Sales volumes are 68 percent lower than their July 2007 peak and median prices are 32 percent lower than their September 2012 peak.</p>
<p><a href="https://www.propertyobserver.com.au/images/2017/05/18/Screen%20Shot%202017-05-18%20at%2010.57.00%20am.jpg" target="_blank">Click to enlarge</a></p>
<p><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/2017/05/18/Screen%20Shot%202017-05-18%20at%2010.57.00%20am.jpg" alt=""></p>
<p>Mackay – 1,216 sales over the past year at a median price of $335,000. Sales volumes are 63 eprcent lower than their April 2004 peak and median prices are 23 percent lower than their June 2013 peak.</p>
<p><a href="https://www.propertyobserver.com.au/images/2017/05/18/Screen%20Shot%202017-05-18%20at%2010.57.10%20am.jpg" target="_blank">Click to enlarge</a></p>
<p><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/2017/05/18/Screen%20Shot%202017-05-18%20at%2010.57.10%20am.jpg" alt=""></p>
<p>Isaac - 198 sales over the past year at a median price of $140,000. Sales volumes are 70 percent lower than their March 2012 peak and median prices are 77 percent lower than their November 2012 peak.</p>
<p><a href="https://www.propertyobserver.com.au/images/2017/05/18/Screen%20Shot%202017-05-18%20at%2010.57.19%20am.jpg" target="_blank">Click to enlarge</a></p>
<p><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/2017/05/18/Screen%20Shot%202017-05-18%20at%2010.57.19%20am.jpg" alt=""></p>
<p>Port Hedland - 204 sales over the past year at a median price of $300,000. Sales volumes are 49 percent lower than their July 2006 peak and median prices are 67 percent lower than their June 2013 peak.</p>
<p><a href="https://www.propertyobserver.com.au/images/2017/05/18/Screen%20Shot%202017-05-18%20at%2010.57.34%20am.jpg" target="_blank">Click to enlarge</a></p>
<p><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/2017/05/18/Screen%20Shot%202017-05-18%20at%2010.57.34%20am.jpg" alt=""></p>
<p>Karratha - 289 sales over the past year at a median price of $285,000. Sales volumes are 44 percent lower than their March 2005 peak and median prices are 65 percent lower than their October 2010 peak.</p>
<p><a href="https://www.propertyobserver.com.au/images/2017/05/18/Screen%20Shot%202017-05-18%20at%2010.57.46%20am.jpg" target="_blank">Click to enlarge</a></p>
<p><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/2017/05/18/Screen%20Shot%202017-05-18%20at%2010.57.46%20am.jpg" alt=""></p>
<p>Roxby Downs - 31 sales over the past year at a median price of $225,000. Sales volumes are 83 percent lower than their December 2003 peak and median prices are 55 percent lower than their October 2013 peak.</p>
<p><a href="https://www.propertyobserver.com.au/images/2017/05/18/Screen%20Shot%202017-05-18%20at%2010.57.57%20am.jpg" target="_blank">Click to enlarge</a></p>
<p><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/2017/05/18/Screen%20Shot%202017-05-18%20at%2010.57.57%20am.jpg" alt=""></p>
<p>Cameron Kusher said while each of these markets has recorded a significant fall in sales and selling prices over recent years, more recently each market has started to see sales rise.</p>
<p>“While this result is unlikely to represent demand substantial enough to drive prices higher, it may be enough to slow or stop the declines in prices in the short to longer term.</p>
<p>"It’s also important to remember that it’s not as if there is no demand for housing in these towns, it’s just substantially lower than it was during the mining boom.</p>
<p>"Anyone looking to purchase now is securing a property at a substantial discount from previous highs however, these towns also continue to achieve some of the best rental returns based on current pricing and rents.”</p>
<p>"While I expect very little prospects for capital growth over the coming years, investors looking for a passive income may be becoming more attracted to these markets which could explain the recent uptick in sales."</p>
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Gladstone still down 32 percent, but buyer demand moves off the floor in mining regions: Cameron Kusher

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<p>Target Australia is moving its national headquarters to Williams Landing, a master planned development by Cedar Woods in western Melbourne. </p>
<p>Target has signed a 10-year agreement for lease with Cedar Woods for a 12,600 sqm office building over eight levels. The building will cater to 850 employees. </p>
<p>The building will be constructed by Hacer Group for $37 million plus GST, with work expected to begin next month and completion expected by the end of 2018. </p>
<p>Developed by Cedar Woods, Williams Landing is located at the gateway to the Melbourne western corridor. The development is designated as a Priority Development Zone by the Victorian government. </p>
<p>Located adjacent to the Williams Landing train station, it is an easy commute from the Melbourne CBD, Geelong and the western suburbs.</p>
<p>Cedar Woods chief operating officer Nathan Blackburne said Target’s move to Williams Landing represented a stimulus to Melbourne’s growing western corridor. </p>
<p>“Target’s move to Williams Landing signifies the increasing breadth and depth of economic activity occurring in Melbourne’s western growth corridor and reinforces Williams Landing’s appeal as an attractive and growing commercial centre,” Blackburne said. </p>
<p>Williams Landing has the potential to accommodate more than 13,000 jobs by 2031, according to an analysis by economists MacroPlan Dimasi. </p>
<p>“From a business perspective, the town centre has many great attributes. It is adjacent to the new train station and freeway interchange; it is affordable compared to city options; and it is set in a town centre environment with shopping, café and restaurants,” said Blackburne. </p>
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jonathanchancellor-7SQnKwU6yx

Target relocating headquarters to western Melbourne’s Williams Landing

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<p>The eastern suburbs have continued to define the meaning of a hot, hot, hot property market, according to Herron Todd White’s recent report.</p>
<p>The property valuation firm says that although the east has been hot across the board.</p>
<p>It considers the $2 million to $3 million price bracket for houses and $1 million to $1.5 million price bracket for units to be the strongest price points in the current market.</p>
<p>Paddington has been a stand out suburb for houses with a 2016 median price of $2.125 million which is up 21.4% from 2015 (source: PriceFinder).</p>
<p>Paddington is a highly regarded suburb close to Sydney’s CBD and comprises mainly period style terrace homes.</p>
<p>"The high performing Paddington market has recently been driven by high quality renovations of terrace style housing which is popular with the owner-occupier market, mainly professional couples and small families.</p>
<p>An example of such a property is <a href="https://www.realestate.com.au/sold/property-house-nsw-paddington-124757578" target="_blank">2 Olive Street</a>, Paddington (above) which sold in March 2017 for $2.46 million.</p>
<p>"This property is a typical Paddington terrace comprising 3-bedroom and 1-bathroom accommodation with no car accommodation and is situated on 101 square metres of land," the report stated.</p>
<p>The home at 2 Olive Street is classified as being architect-redesigned and features a high quality renovation, exactly what the market demands, resulting in a very strong sale price.</p>
<p>"With Paddington being such a highly desirable location and having a limited supply of stock, we expect to see recent strong sales prices sustained and predict continued strong growth in the short to medium term," the report commented.</p>
<p>Within the eastern suburbs unit market, the suburb of Coogee has been a stand out performer, especially in the $1 million to $1.5 million price bracket.</p>
<p>The 2016 median price for Coogee units was $1,037,500 which is up 17.9% from 2015 (source: PriceFinder).</p>
<p>"As an example of what this median unit price will get you, 7/3-7 Kidman Street, Coogee recently sold for $1.125 million.</p>
<p>"This property was a near original 1970s unit comprising 2-bedrooms and 1-bathroom with a 1-car lock-up garage and features restricted ocean views.</p>
<p>"This market is driven by both investors and owner-occupiers which comprise a mixture of singles, couples and down-sizers.</p>
<p>"The desirable beachside location has always been a main driver for the Coogee unit market and with limited new unit development in the area, we expect to see the trend of strong growth continue into the future," the report stated.</p>
<p>The prestige market in the eastern suburbs is continuing to see strong sale results.</p>
<p>"As expected, the main drivers of this prestige market are blue-ribbon suburbs close to the city within popular lifestyle neighbourhoods, close proximity to private schools and with view corridors of the ocean or Sydney Harbour.</p>
<p>"Demand is still extremely strong for high quality renovated homes and units with cashed up and time poor buyers ready to move on the right property, without wanting to do the hard work themselves," the report suggested.</p>
<p>A recent example is 84 Paddington Street, Paddington which recently sold in March 2017 for $7.1 million.</p>
<p>This property comprises a 5-bedroom, 3-bathroom Victorian terrace with parking for three vehicles and situated on 191 square metres of land.</p>
<p>The property was previously sold on 6 March 2013 for $2.8 million prior to renovation.</p>
<p>"This continued strong demand and limited supply of prestige property will keep prices strong in the short to medium term."</p>
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Sydney's hot eastern suburbs residential market: HTW

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<p>The Illawarra residential market prices continue to grow strong, according to Herron Todd White’s recent report.</p>
<p>The property valuation firm says that various factors such as low interest rates, employment and decreasing affordability in Sydney are creating strong demand for the area.</p>
<p>“There has been strong growth in the Illawarra residential market for a number of years in all locations and property types.</p>
<p>The market is particularly driven by what is happening in Sydney.</p>
<p>There is a flow on effect from Sydney to Wollongong to the Shoalhaven.</p>
<p>Low interest rates, stable employment, improving infrastructure and decreasing affordability in Sydney all combine to create strong demand for residential property at all price levels.</p>
<p>There are a number of factors that could cause the market to change.</p>
<p>These include interest rate hikes, an over supply of new properties, an economic downturn in the region or a crash in the Sydney market.</p>
<p>Interest rates are currently at record lows and it appears that both owner occupiers and investors are willing to borrow more and more to fund transactions.</p>
<p>Any interest rate hike may cause investors in particular to hold off buying property until it becomes apparent that interest rates are not going to keep increasing.</p>
<p>Without as many investors in the market, demand will be lower and competition between buyers will be reduced,” the report stated.</p>
<p>Wollongong in particular is in the middle of a construction boom, especially in unit developments according to Herron Todd White.</p>
<p>“Wollongong is in the midst of a construction boom.</p>
<p>In particular new unit developments are at an all time high and the supply of new units are at unprecedented levels.</p>
<p>In addition there are many new land developments of varying sizes with the majority in West Dapto, Calderwood, Shell Cove and South Nowra.</p>
<p>As long as the supply is being met by strong demand the market will continue to be strong.</p>
<p>However all this new supply may exaggerate any downturn in the market if developers cannot offload their new stock,” the report advised.</p>
<p>Herron Todd White says that Illawarra’s economic situation is tied with its property market and therefore influences it.</p>
<p>“The Illawarra property market is strongly linked to the economic fortunes of the region.</p>
<p>The region continues to diversify from its mining and steel roots and has enjoyed good growth in medical and aged care and tourism sectors.</p>
<p>That said, market confidence is still derived from the steel and mining sectors.</p>
<p>Major downturns in these sectors could result in a downturn in the property markets.</p>
<p>With the region being more and more accessible to Sydney through improved infrastructure, the link between the Sydney and Illawarra property markets is closer than ever.</p>
<p>It is likely that the events that would cause a slow down in the Sydney market would also impact the Illawarra and if Sydney buyers were removed from the Illawarra market demand for property would be reduced,” the report stated.</p>
<p>A three bedroom house at <a href="https://www.realestate.com.au/property-house-nsw-figtree-125477566" target="_blank">9 Mark Street</a>, Figtree (above) has been listed for between $699,000 to $768,900.</p>
<p>Similarly a two bedroom house at <a href="https://www.realestate.com.au/property-house-nsw-woonona-125478226" target="_blank">45 Hillcrest Avenue</a>, Woonona (below) has been listed for $600,000.</p>
<p><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/2017/05/16/45%20Hillcrest%20Avenue.jpg" alt=""></p>
<p>A two bedroom house at <a href="https://www.realestate.com.au/sold/property-house-nsw-north+wollongong-125324826" target="_blank">1/4 Pleasant Avenue</a>, North Wollongong (below) was recently sold for $570,000.</p>
<p><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/2017/05/16/1_4%20Pleasant%20Avenue.jpg" alt=""></p>
<p>Similarly a four bedroom house at <a href="https://www.realestate.com.au/sold/property-house-nsw-horsley-125281798" target="_blank">21 Norman Clark Crescent</a>, Horsley (below) was recently sold for $955,000.</p>
<p><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/2017/05/16/21%20Norman%20Clark%20Crescent.jpg" alt=""></p>
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